Dcb Bank Limited · NSE:DCBBANK
Dcb Bank — Q3 FY2016 Earnings Presentation
40 slides from Dcb Bank's earnings presentation, January 2016
Slide 1: Investor Presentation – Q3 FY 2016
Investor Presentation – Q3 FY 2016 January 2016 DCB Bank Limited
Slide 2: Disclaimer
Disclaimer This presentation is strictly confidential and may not be copied, published, distributed, redistributed, disseminated or transmitted, directly or indirectly, in any manner. The information in this presentation is being provided by DCB Bank Limited (the “Bank”). This presentation has been
Slide 3: Branch Network Dec 31, 2015
Branch Network Dec 31, 2015 State Branches At a Glance ANDHRA PRADESH 6 Branches 176 CHATTISGARH 6 ATMs 397 GOA 4 ***Network 35,000+ ** GUJARAT 25 No. of HARYANA 5 Category Branches % KARNATAKA 5 Metro 62 35 KERALA 1 Urban 27 15 MADHYA PRADESH 14 Semi 51 29 MAHARASHTRA 39 Urban • Mumbai & suburbs 28
Slide 4: Key Indicators - I
Key Indicators - I No. of Cost to Return on Return on INR mn Branches Balance Sheet Income Ratio Asset Equity Q3 FY 2015 176 176,216 59.42% 0.96% 9.72% YTD FY 2016 176 176,216 58.67% 1.00% 10.07% FY 2015 154 161,323 58.83% 1.37% 14.16% FY 2014 130 129,231 62.93% 1.31% 14.04% FY 2013 94 112,788 68.58
Slide 5: Key Indicators - II
Key Indicators - II INR mn Q3 FY 15 Q2 FY 16 Q3 FY 16 Y-o-Y Deposits 118,498 135,573 140,835 19% *CASA 28,182 32,669 32,175 14% Retail (including AIB) 72,043 80,373 83,480 16% Term NRI Term 9,075 11,007 11,499 27% Advances 94,912 111,809 117,362 24% Advances (Excluding 72,409 89,843 97,273 34% Corpo
Slide 6: Balance Sheet
Balance Sheet Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Dec 31, INR mn 2011 2012 2013 2014 2014 2015 2015 Shareholder’s Equity 6,215 8,614 10,031 11,540 15,233 15,886 17,210 Deposits 56,102 63,356 83,638 103,251 118,498 126,091 140,835 Borrowings1 8,607 11,235 15,256 8,601 7,416 11,638 8,557 O
Slide 7: Profit & Loss
Profit & Loss INR mn Q3 FY15 Q4 FY15 Q1 FY16 Q2 FY16 Q3 FY16 Net Interest Income 1,219 1,297 1,404 1,500 1,605 Other Income 480 463 631 487 472 - Commission, exchange and brokerage 307 336 299 351 361 Operating Income 1,699 1,760 2,035 1,987 2,077 Operating Expenses (1,015) (1,080) (1,138) (1,206) (
Slide 8: Profit & Loss
Profit & Loss INR mn FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Net Interest Income 1,891 2,277 2,844 3,684 5,082 Other Income 1,121 1,004 1,170 1,387 1,657 - Commission, exchange and brokerage 683 786 893 999 1,193 Operating Income 3,012 3,281 4,014 5,071 6,739 Operating Expenses (2,152) (2,443) (2,75
Slide 9: Deposits and Advances Mix
Deposits and Advances Mix Deposits as on Dec 31, 2015 Residential CASA Term Deposit 23% 55% Interbank Term Deposit 14% Non-Resident Term Deposit 8% Retail Deposits (including AIB Banking) to Total Deposits - 81.25% * CASA includes NRI CASA. Advances as on Dec 31, 2015 Corporate AIB Banking 17% 17% O
Slide 10: NIM, Yield and Cost of Funds
NIM, Yield and Cost of Funds Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Dec 31, 2011 2012 2013 2014 2014 2015 2015 Net Interest Margin 3.13% 3.25% 3.34% 3.56% 3.70% 3.72% 3.96% Yield on Advances 11.12% 12.60% 12.75% 12.84% 12.50% 12.63% 12.34% Cost of Funds 5.83% 7.11% 7.78% 7.78% 7.75% 7.78% 7
Slide 11: Gross NPA Movement
Gross NPA Movement INR mn Q3 2014-15 FY 2014-15 Q3 2015-16 Opening Balance 1,688 1,385 2,243 (+) Add Fresh Slippages 207 1,706 549 Addition to Existing NPAs 16 33 2 (-) Less Recoveries 63 534 249 Upgrades 56 258 162 Write Offs / Sacrifice - 471 34 Closing Balance 1,792 1,861 2,349 11
Slide 12: Non Performing Assets
Non Performing Assets Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Jun 30, Sep 30, Dec 31, 2011 2012 2013 2014 2014 2015 2015 2015 2015 Gross NPA 5.85% 4.40% 3.18% 1.69% 1.87% 1.76% 1.96% 1.99% 1.98% Net NPA 0.96% 0.57% 0.75% 0.91% 1.00% 1.01% 1.22% 1.16% 1.12% Provision 87.64% 91.17% 85.71% 80.5
Slide 13: Treasury
Treasury Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, INR mn 2011 2012 2013 2014 2015 2015 SLR 17,512 20,219 24,332 28,072 34,750 37,110 Non-SLR 1,007 774 5,552 4,236 4,872 3,190 Total 18,519 20,993 29,884 32,308 39,622 40,300 Investments* HTM 14,415 16,660 19,903 22,603 27,567 29,098 AFS 3,029 3
Slide 14: Capital Adequacy Ratios – Basel III
Capital Adequacy Ratios – Basel III Mar 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Jun 30, Sep 30, Dec 31, 2011 2012 2013 2014 2014 2015 2015 2015 2015 CRAR 13.25% 15.41% 13.61% 13.71% 14.44% 14.95% 14.27% 13.63% 13.04% 11.10% 13.81% 12.62% 12.86% 13.58% 14.21% 13.56% 12.93% 12.33% -- Tier I -- Tie
Slide 15: Ratings
Ratings Dec 31, Mar 31, Sep 30, Dec 31, Dec 31, 2012 2013 2013 2014 2015 Crisil Certificate of Deposits A1 A1+ A1+ A1+ A1+ Short – Term Fixed A1+ - - A1+ A1+ Deposits ICRA Short – Term Fixed - - - A1+ A1+ Deposits Short-Term Fixed Deposits Programme (with a contracted maturity of upto one year) 15 D
Slide 16: Overview
Overview 16 DCB Bank Limited
Slide 17: Who is our Customer?
Self Employed / Small Business (For example: Trader, Commodity, Gold Trader, Vegetable Trader, Commission Agent, Retailer, Restaurant Owner, Caterer, Baker, Vending Machine Supplier , Consultant, Doctor, Contractor, Interior Decorator, Software Designer, Salon, Beauty Parlor, Printer, Electrical Eng
Slide 18: Business Strategy
Business Strategy 1 Concentrate on Tier 2 to 2 Relentless focus on 3 Rely mainly on Retail Deposits (Term, CASA). Tier 6 locations. Liquidity, Costs, Grow NRI deposits. Limit Operational Risks, dependency on bulk. People and Customer Service. Improve continuously. 4 Form strategic alliances 5 Contin
Slide 19: Products and Services
Products and Services Retail Banking SME, Corporate Banking, NBFCs, Co-operative Banks Deposit Products: Loans: Current and Savings Auto Loans Current Account Cash Management** Term Deposits Commercial Vehicle Trade Current Account RTGS /NEFT NRI Deposits Construction Equipment* Working Capital Inte
Slide 20: Capital Raising and Milestones
Capital Raising and Milestones Tier I Capital Raising Milestones 2015 Opened 150th Branch 2014 QIP of INR 2.5 bn 2013 Name changed to DCB Bank Ltd. QIP of INR 940 mn and Preferential 2012 Allotment of INR 1,390 mn 2013 Opened 100th Branch Branches 2009 QIP of INR 810 mn Classified as a “New Generati
Slide 21: Investor Profile
Investor Profile Shareholding Pattern December 31, 2015 Key Non Promoter Shareholders % Tano Mauritius India FVCI II 4.63 *AKFED and PJI 16.27% Sundaram Mutual Fund 3.98 ***Institutions 35.56% Axis Mutual Fund 3.44 Others (Non- Institutions)** PI Opportunities Fund - 1 2.79 6.31% Bodies DSP Blackroc
Slide 22: Board of Directors
Board of Directors Amin Manekia Pioneered in concept of automatic beverage vending machines in India. More than 20 years in various capacities in different institutions of AKDN for the social-economic uplift of the poor. Altaf Jiwani With expertise in Foreign Exchange, Risk Management and Trade Fina
Slide 23: Management Team
Management Team Aditya Prasad Ajay Mathur Abhijit Bose Head – Corporate Banking Head – Collections & Commercial Vehicles Head – Retail Assets & Strategic Alliances Saudi Investment Bank, Axis Bank, State Bank CGSL & Citibank – 21 yrs exp. Standard Chartered Bank, Citibank, Eldeco of India – *29 yrs
Slide 24: Awards & Recognitions
Awards & Recognitions 24 DCB Bank Limited
Slide 25: IDC Award – Excellence In Transformation for Project Neo
IDC Awards - “Excellence In Transformation” Award for Project Neo (state-of-the-art Loans System) 25 DCB Bank Limited
Slide 26: IDC Award – Digital Business Leader Award
IDC Awards – “Digital Business Leader Award” to Mr. R. Venkattesh, Head - Operations, Technology & HR 26 DCB Bank Limited
Slide 27: Recent Alliances
Recent Alliances 27 DCB Bank Limited
Slide 28: Business Alliance with TVS Credit Services
DCB Bank and TVS Credit Services announced Business Alliance for retail loans Alliance to acquire new customers, create a quality loan book
Slide 29: Digital Agenda
Digital Agenda 29 DCB Bank Limited
Slide 30: Mobile Banking & Passbook; Responsive Website
Mobile Banking & Passbook launched in Responsive Website launched for Android & iOS Platform Mobile & Tabs
Slide 31: Online Mutual Funds and Missed Call Services
Online facility for Mutual Funds Missed Call Services for basic banking distribution services
Slide 32: Online Term Deposit facility
Online Term Deposit facility for convenience of customers across India
Slide 33: IMPS platform rolled out
IMPS platform rolled out for Internet as well as Branch Banking DCB Bank is the 2nd private sector bank to enable IMPS through branches
Slide 34: NACH platform and Straight Thru Processing
National Automated Clearing House (NACH) platform for mandate payments Straight Thru Processing (both incoming and outgoing) for RTGS / NEFT transactions
Slide 35: AMLOCK upgrade, RuPay on POS, E-KYC
AMLOCK (Anti Money Laundering) system upgraded RuPay on POS launched Talisma Email Solution rolled out E-KYC for better Customer convenience 35 DCB Bank Limited
Slide 36: Lead Generation System (e-DSR) application
Lead Generation System (e-DSR) application on Android platform to improve sales efficiency and customer service
Slide 37: mCollect handheld mobile solution
mCollect handheld mobile solution for field collection efficiency and controls
Slide 38: New Human Resources Management System (E.Vu) launched
New Human Resources Management System (E.Vu) launched
Slide 39: Data Center migration
Data Center migration to new state-of-the-art Netmagic (an NTT communications company) Data Center completed New Data Center built with next generation devices One of the most modern data centres in the country
Slide 40: Thank you
Thank you To receive investor updates from DCB Bank Ltd., write in at [email protected] . Do let us know of any change in your contact details on the same email ID. 40 DCB Bank Limited