IDBI Bank Limited · NSE:IDBI
IDBI Bank — Investor Presentation (October 2010)
23 slides from IDBI Bank's investor presentation, October 2010
Slide 1: Presentation to Analysts October 2010
Presentation to Analysts October 2010
Slide 2: Genesis
Genesis 1964-1976 1994- 00 2003 - 06 2007- 10 Set upp byy an IDBI Act IDBI Repeal p Act Complete p Act of amended to passed in Networking Parliament in permit private December 2003 (100% Core 1964 as a ownership upto for conversion Banking) subsidiary of 49%. to a bankingg Organization g the Central
Slide 3: Status as Leading DFI
Status as Leading DFI • Leading provider of long term finance o Played an apex role in helping create the industrial and infrastructural base in the country o Total T l Investments I generatedd – ` 4000 billi billion ((approx.)) ((over USD 80 bn) o Significant player in domestic debt syndication. •
Slide 4: Systemic Importance
Systemic Importance • Minimum 51% shareholding by Govt. at all times as specified in the Memorandum & Articles of Association • Large size and retail base • Large investments by PF / Superannuation funds • Continued Govt. support - Infusion of ` 3119.04 crore as preferential allotment of equity lead
Slide 5: Transition from DFI to a full-service bank
Transition from DFI to a full- full-service bank • In I September S t b 2004,2004 IDBI moved d from f it erstwhile its t hil DFI status t t into i t a full-service commercial bank offering the entire suite of banking products • Today, IDBI has positioned itself as a bank of choice with p corporate a
Slide 6: Distribution Network
Distribution Network • Reach • 759 branches; 1295 ATMs • 1- Overseas, 218-Metro, 290-Urban, 168-Semi Urban & 82-Rural • Presence in 514 locations • Network of : o 56 Retail Asset Centres o 31 City SME Centres o 15 Agri Processing Centres o 4 Regional Processing Units o 21 C Central t l Cl Clearing i
Slide 7: Operating Profile
Operating Profile • Range of products for its Retail and Corporate customers o Retail – Suite of value added asset & liability products leveraging off a strong technology platform o SME & Agri business o Corporate – Infrastructure financing, Project loans, Working Capital loans, Loan Syndication & A
Slide 8: Distinctive strengths
Distinctive strengths Description – Privileged corporate banking relationships and unparalleled reputation in project Business strengths g finance and infrastructure lending – Sophisticated retail banking operations and capability – Amongst lowest staff strength (with about 13350 employees) Nimble i
Slide 9: Highlights (Q2 FY11 over Q2 FY10)
Highlights (Q2 FY 11 over Q2 FY 10) 130213 154305 1168 475 1026 429 OME OP PROFIT ADVANCES DEPOSITSS FEE INCO 24% 18% 152% 22% 61% 69% PAT NII N P 104993 130677 464 389 637 254 • MAT tax credit of ` 113.17 Crore has been considered for tax provision 0.77 17.43 CASA ROA 13.15 ROE 0.54 NIM 2.27 15.26
Slide 10: Profit & Loss
Profit & Loss (` in Crore)) Particulars Q2 - 11 Q2 - 10 HY - 11 HY - 10 Interest income 4577 3712 8866 7174 p Interest expenses 3409 3248 6847 6395 Net Interest income 1168 464 2019 779 Other Income 492 571 958 1328 Total income 1660 1035 2978 2107 Operating Expenses 635 398 1121 714 - Employee Cost
Slide 11: Details of Other Income
Details of Other Income (` in Crore) Particulars Q2 - 11 Q2 - 10 HY - 11 HY - 10 FY - 10 Commission Excg & Brkg Commission, 396 347 716 560 1225 Profit on sale of investments 20 167 30 633 748 Profit/(Loss) on revaluation of investment -14 -31 -15 -33 -51 Profit on sale of Fixed Assets 0 0 -1 1 0 -1
Slide 12: Details of Operating Expenses
Details of Operating Expenses (` in Crore) Particulars Q2 - 11 Q2 - 10 Staff Cost 342 172 Rent, taxes & lighting Rent 49 47 Printing & stationery 5 7 Advertisement & Publicity 20 7 D Depreciation i i 26 20 Postage, Telegram, Teleph., etc 18 12 Repairs and maintenance 21 20 Insurance 40 27 Banking ex
Slide 13: Key Profitability Indicators
Key Profitability Indicators Q2 - 11 Q2 - 10 HY - 11 HY - 10 FY - 10 Net Interest Margin 2.27% 1.05% 1.96% 0.94% 1.27% Return on Assets 0.77% 0.54% 0.61% 0.47% 0.53% Return on Equity 17.43% 13.15% 13.81% 11.21% 13.14% Cost of all liabilities 6 10% 6.85% 6.10% 6 85% 6.12% 6 12% 7.09% 7 09% 6.69% 6 69
Slide 14: Key Operating Indicators
Key Operating Indicators Q2 - 11 Q2 - 10 HY - 11 HY - 10 FY - 10 Non-interest income to Total Income 9.71% 13.37% 9.75% 15.62% 13.11% Efficiency [Cost- Net Income] Ratio 38.22% 38.47% 37.64% 33.89% 40.18% Staff Expenses to total income 6.75% 4.00% 5.86% 3.34% 4.31% Staff Expenses to total expenses 8
Slide 15: Balance Sheet
Balance Sheet (` in Crore)) As at 30-Sep-10 30-Sep-09 LIABILITIES p Capital 984 725 Reserve & Surplus 12958 9102 [Net Worth] 11997 7839 Deposits 154305 130677 Borrowings 49410 41526 Other Liabilities & Provisions 7231 6153 Total 224888 188183 ASSETS Cash & balance with RBI 14380 10476 Bal. with bank
Slide 16: NPAs
NPAs (` in Crore) As at 30 30-Sept-2010 Sept 2010 Gross Advances 131136 Gross NPAs 2472 Gross NPAs as % of Gross Advances 1 88 1.88 Total Provisions held 923 Net Advances 130213 N t NPA Net NPAs 1549 Net NPAs as % of Net Advances 1.19 Provision Coverage Ratio (%) 37.34 P Provision i i C Coverage RRa
Slide 17: Advances
Advances (` in Crore) Vertical 30-Sep-10 30-Sep-09 Nature 30-Sep-10 30-Sep-09 Corporate 89435 80929 Bills 2596 2187 SME 11632 5754 CC OD, CC, OD WCDL etc t 22464 13484 Agri 7768 3545 Term Loans 105153 89322 Retail 21378 14765 Total 130213 104993 Total 130213 104993 Top 20 Borrowers 33765 Maturity pr
Slide 18: Advances by industry
Advances (` in Crore) Industry Outstanding Committed Exposure (FB+NFB) Power 18626 29150 Iron & Steel 12304 18913 Construction 11791 18247 Telecom Services 9124 14419 NBFC 8395 11968 Textiles 6034 8405 Electrical Machinery 7053 8402 Engineering 5222 8326 Food & Beverages 5309 7741 Fertilizers 2221 6
Slide 19: Restructuring
Restructuring (` in Crore) IIndustry d Sep 10 S Jun 10 J Financial Services 90.43 98.56 Infrastructure 183.13 301.97 Diamond Industry 94.78 97.53 Other Services 74 05 74.05 41 94 41.94 Electricity 2554.91 2773.01 Electronics 41.12 45.89 Agro Industries 23.53 18.42 gy Information Technology 23.02 21.
Slide 20: Investments
Investments (` in Crore) Category HTM AFS HFT TOTAL Government securities 44622 3862 2962 51446 SASF Securities 5841 0 0 5841 Shares 306 2834 20 3160 Debent res/ Bonds Debentures/ 253 1986 0 2239 Subsidiaries/ Joint Ventures 791 0 0 791 Oth (CPs/CD/MF)etc. Others (CP /CD/MF) t 648 3438 2467 6553 Tot
Slide 21: List of some strategic investments
List of some strategic investments E i Entity % IDBI ASSET MANAGEMENT LTD. 100.00 IDBI CAPITAL MARKET SERVICES LIMITED 100.00 IDBI GILTS LTD 100.00 IDBI HOMEFINANCE LIMITED 100.00 IDBI INTECH LIMITED 100.00 IDBI MF TRUSTEE COMPANY LTD. 100.00 IDBI FORTIS LIFE INSURANCE COMPANY LIMITED 48.00 IDBI TRU
Slide 22: Liabilities
Liabilities (` in Crore) Deposits 30-Sep-10 30-Sep-09 Current 12621 12213 Savings 10925 7075 Term 130759 111389 Total 154305 130677 Borrowings 30-Sep-10 30-Sep-09 Tier I 3839 2463 Upper Tier II 3286 2500 Lower Tier II 5851 4917 Senior Bonds etc 26459 24358 Flexibonds 570 1111 SLR Bonds 1893 2742 Out
Slide 23: Thank You
@ DBI BANK Thank You