Axis Bank Limited · NSE:AXISBANK
Axis Bank — Investor Day (November 2023)
17 slides from Axis Bank's investor day presentation, Nov 23, 2023
Slide 1: Retail Liabilities Franchise - Analyst Day 2023
Retail Liabilities Franchise ANALYST DAY 2023 November 23, 2023
Slide 2: Granularization and Premiumization of Liability franchise continues to make strong progress
Granularization and Premiumization of Liability franchise continues to make strong progress Growth Profitability Sustainability ✓ Steady growth in granular deposits ✓ Improvement in the quality of the deposit ✓ Focus on rigor and rhythm in execution franchise has structurally aided NIMs ✓ Market sha
Slide 3: What have we done well?
What have we done well? Improved the quality of deposits meaningfully ~ 550 bps improvement in outflow rates in last 2 years, which is the best among large peers* 44.4% CASA ratio, which is among the best in the industry Deposits growth trends continue to improve steadily 15% CAGR in CASA deposits i
Slide 4: Steadily gaining share across districts led by our micro market focused approach
Steadily gaining share across districts led by our micro market focused approach 300 Market scoping at every district with # Districts -54% -9% 19% 52% single minded focus for garnering incremental deposits 200 255 232 253 100 212 Special focus on Top 50 districts# 106 114 • SA share >= 5% improved
Slide 5: The quality of franchise has seen significant improvement
The quality of franchise has seen significant improvement • Lendable deposits comprise the portion of deposits that can be utilized by the bank for further lending • Run off rate is defined for each category of deposits by the regulator • Lower run-off implies higher lendable share from deposit sour
Slide 6: We are sweating our franchise; have clear headroom to improve further
We are sweating our franchise; have clear headroom to improve further Total Deposits per branch CASA Deposits per branch LCR Deposits per branch (indexed to 100) (indexed to 100) (indexed to 100) 139 137 148 114 115 100 100 117 100 FY19 FY21 H1FY24 FY19 FY21 H1FY24 FY19 FY21 H1FY24 Asset led liabili
Slide 7: Five thematic imperatives prioritized into large projects across segments
Five thematic imperatives prioritized into large projects across segments to accelerate deposits growth Translated into projects across Key projects 5 thematic imperatives channels / geo / segments Liability Sales Corporate Salary Accelerating NTB engine Sourcing Branch Banking Driving Retail FD inf
Slide 8: Introducing premium propositions to cater to specific segments
Introducing premium propositions to cater to specific segments with health, travel and investment benefits • New premium savings account variant Sampann to cater to Rural and Semi urban locations • Exclusive offering for Burgundy customers to enjoy benefits of a super-premium Magnus credit card Anal
Slide 9: Building primacy leveraging both physical & digital channels
Building primacy leveraging both physical & digital channels NTB 100-day Onboarding Individual FD Digital onboarding D2C targeting 1-30 31-100 days days Pre-planned nudges Trigger nudges (at defined frequency) (on triggers such as large credit etc.) Building Customer Channel Cross-sell primacy/ Acqu
Slide 10: Liabilities attachment | Driving attachment on non-liability NTB base
Liabilities attachment | Driving attachment on non-liability NTB base … through capabilities of product bundles and co-origination journey Contribution to New SA customers Co-origination SA MDAB Product Bundle journey H1'24 ~18% Customer applies for bundled product (single form, journey) Undergoes C
Slide 11: Strategically expanding our distribution strength
Strategically expanding our distribution strength 5150+ branch Jammu & Kashmir 35 3 Ladakh footprint across India branches Punjab 376 27 20 Himachal Pradesh Chandigarh 250 opened in H1’24 64 Uttarakhand Haryana 306 203 Delhi Arunachal Pradesh Sikkim 15 11 411 Assam 201 Rajasthan 101 Uttar Pradesh 13
Slide 12: Acquisition Excellence: End to end revamp to unlock efficiency
Acquisition Excellence: End to end revamp to unlock efficiency Right Proposition Right Sales Process Right Resourcing SA New Acquisitions in H1'24 (yoy growth) • Branding & Illustrative Communication: Madhavaram Thiruvottiyur - ‘Open’ Mobile App Input Perambur - Continuous brand & focused Ambattur T
Slide 13: Corporate Salary: Proposition redesigned to win employer mindshare and employee wallet share
Corporate Salary: Proposition redesigned to win employer mindshare and employee wallet share Enhanced Revamped Proposition salary proposition Superior delivery Enhanced of proposition proposition delivery Corporate Value Employee Value Frontline Sales Delivery team Proposition Proposition Enablement
Slide 14: Embedding Digital | Our front-line team enabled with 'Siddhi' App
Embedding Digital | Our front-line team enabled with 'Siddhi' App App provides personalized insights to front-line staff for effective customer connects Personalized Insights 1 • Smart nudges to create client delight • Actionable insights to improve performance Digitally sell products under 60 secon
Slide 15: We expect the impact of these key projects to reflect in full potential of deposits franchise
We expect the impact of these key projects to reflect in full potential of deposits franchise in next 7-8 quarters There has been improvement in RTD* deposit Premiumisation of Corporate Focus is to reduce reliance on growth trajectory in recent quarters Salary franchise on track borrowings as we gro
Slide 16: Summary
Summary Improvement in quality of Improving trend in We have a roadmap in deposits delivered, aiding productivity of branches, place for next 7-8 quarters the structural NIM journey have clear room to to realize the full potential improve further of deposits franchise Analyst Day 2023 15
Slide 17: Thank You
Thank You A's BANK