Central Bank of India · NSE:CENTRALBK
Central Bank of India — Q3 FY2020-21 Earnings Presentation
50 slides from Central Bank of India's earnings presentation, Feb 9, 2021
Slide 1: Cover letter to stock exchanges on results presentation
arfucniqttlq Central Office CO:MBD:2020-21:2.L|8 9th February, 2021 National Stock Exchange of India Limited General Manager Listing Department Corporate Relationship Deptt Exchange Plaza, BSE Ltd. Plot No.C/1, 'G' BIock Phiroze Jeejeebhoy Towers Bandra-Kurla Complex Dalal Street, Fort Bandra (E), M
Slide 2: Financial Results for the Quarter/Nine Months ended 31.12.2020
Financial Results for the Quarter/Nine Months ended 31.12.2020 Analyst Presentation Visit us at www.centralbankofindia.co.in :- http://twitter.com/centralbank_in :-https://www.facebook.com/centralbankofindia 1
Slide 3: Safe Harbour
Safe Harbour Certain statements in these slides are forward-looking statements. These statements are based on Management's current expectations and are subject to uncertainty and changes in circumstances. Actual outcomes may differ materially from those included in these statements due to a variety
Slide 4: Mission
MISSION To provide Customer Centric products and services by leveraging human resources and technology
Slide 5: Contents
CONTENTS 1 Strength, Shareholding & Branch Network 2 Performance Highlights 3 Financial Performance 4 Asset Quality 5 Capital Adequacy 6 Profitability 7 Treasury Performance 8 Digital Banking 9 Financial Inclusion 10 Consolidated Financials 11 New Initiatives 4
Slide 6: Strengths
STRENGTHS Strong Brand Image PAN India Branch with Legacy of 109+ Network years Strong CASA Strong BC Network Strong Digital Strong RUSU Banking setup Presence Best in class industry initiatives 5
Slide 7: Shareholding Pattern
SHAREHOLDING PATTERN As on December 31, 2020 Insurance Other body Public FIIs Cos 0.21% Corp 0.46% 3.89% • Share Capital : ₹ 5875.56 cr 0.39% Banks & FI 5.27% • Shares of Central Bank of India are listed on BSE and NSE. • Equity Shares of Central Bank of India are part of NSE 500, BSE 500 & BSE PSU
Slide 8: Pan India Branch Network
PAN INDIA BRANCH NETWORK As on 31 Dec '20 1 17 Total Branches 4617 Rural 1604 55 12 152 42 Semi Urban 1332 104 16 136 Urban 811 8 172 589 Metro 870 120 435 7 8 8 317 465 89 320 6 2 19% 120 35% 105 3 607 96 17% 110 132 31 1 29% 3 208 Rural Semi Urban Urban Metro 120 7
Slide 9: Performance Highlights
PERFORMANCE HIGHLIGHTS Net Profit of ₹ 165 Cr during the quarter as against a Net Profit of ₹ 155 Cr during the corresponding quarter last year registering a YoY growth of 6.45%. Provision Coverage Ratio (PCR) improved from 73.73% as on 31st Dec'19 to 84.19% as on 31st Dec'20. Net NPA improved from
Slide 10: Performance Highlights
PERFORMANCE HIGHLIGHTS Qtr ended Dec '20 over Dec '19 Y-o-Y 165 Cr 84.19% Net PCR Profit 155 Cr 73.73% 2.97% 16.30% NIM GNPA 2.92% 19.99% 2228Cr 4.73% NII NNPA 2022 Cr 9.26% 9
Slide 11: Profitability Ratios
PROFITABILITY RATIOS Net Interest Income (₹ in Crore ) Net Interest Margin(%) 2354 3.35 2228 2146 3.08 2022 1926 2.97 2.92 2.85 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Cost to Income Ratio(%) Liquidity Coverage Ratio (%) 80.99 386.26 376.72 369.99 60.27 54.79
Slide 12: Profitability Ratios
PROFITABILITY RATIOS Cost of Deposits (%) Yield on Advances (%) 5.08 5.05 7.77 4.70 7.37 4.45 7.30 7.31 4.28 7.01 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Return on Assets (ROA)(%) Credit Cost(%) 0.19 0.17 0.19 3.91 0.20 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20
Slide 13: Strong Liability Franchise
STRONG LIABILITY FRANCHISE ₹ in Cr Total Deposits 323444 323872 321252 319318 320584 313763 314305 308435 Total Deposits 303424 304376 Total Average Deposits Dec '19 Mar '20 Jun '20 Sep '20 Dec'20 CASA 155306 153788 150501 152274 150843 145279 147743 139863 CASA 140066 Average CASA 136457 Dec '19 Ma
Slide 14: Deposit Mix
DEPOSIT MIX Dec'20 ₹ in Cr Dec '19 Inter Bank High Cost Inter Bank High Cost Deposits Deposits Deposit Deposit Current 0.32% 1.04% 0.02% Current 0.02% 4.37% 4.65% Core Core Time Savings Time Savings Deposit 40.98% Deposit 43.30% 53.60% 51.71% Particulars Dec '19 Dec '20 Y-o-Y Growth% Current 13468*
Slide 15: Advances Mix
ADVANCES MIX Dec '19 Dec '20 ₹ in Cr 26.55% Retail 35.34% 27.15% 35.39% Agri MSME 20.90% 19.67% 17.21% 17.78% Corporate RAM : 64.66% RAM : 64.61% SECTORS Dec '19 Dec '20 Y-o-Y Growth (%) Retail 44174 49111 11.18 Agriculture 34781 35571 2.27 MSME 28639* 32161 12.30 RAM 107594 116843 8.60 Corporate 58
Slide 16: Rated Standard Advances
RATED STANDARD ADVANCES Dec'19 As per BASEL III Dec'20 Unrated AAA Unrated AAA BB and 3.45% 9.28% BB and 3.19% 12.40% Below 19.47% AA Below 19.92% 23.47% AA CRE CRE 5.83% 23.60% Government 2.59% guaranteed Government advances A guaranteed 6.32% 18.59% advances BBB A 17.14% 9.99% BBB ₹ in Cr 10.53% 1
Slide 17: Retail Segment
RETAIL SEGMENT As on 31 Dec '20 ₹ in Crore Home Loan ₹27464 (55.92% of Total Retail Advance) Other Retail Auto Loan Loans ₹12517 ₹2954 (6.01% of Total (25.49% of Total Retail Advance) Retail Advance) Retail Segment ₹49111 (27.15% of Total Advance) Education Personal Loan Loan ₹ 3662 ₹ 2514 (7.46% of
Slide 18: Retail Segment
RETAIL SEGMENT ₹ in Crore Retail Segment Home Loans Auto Loans 27464 2954 49111 24836 2733 Dec '19 Dec '20 Dec '19 Dec '20 Personal Loans 2514 2475 44174 Dec '19 Dec '20 Education Loans Other Retail Loans 3892 12517 10238 3662 Dec '19 Dec '20 Dec '19 Dec '20 Dec '19 Dec '20 Retail loans showed a gro
Slide 19: Asset Quality
ASSET QUALITY Standard Restructured 3046 ₹ in Cr 2885 2755 2421 518 523 637 305 Retail 2058 593 305 202 Agriculture 547 139 152 1205 1364 860 1060 MSME 534 Corporate 825 829 856 852 859 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 ₹ in Cr Segment wise Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Corporate 825
Slide 20: Asset Quality: SMA 0
ASSET QUALITY SMA 0 (₹ in Cr. ) 45093 8576 26903 3675 Retail 14044 449 Agriculture 7955 10292 MSME 3359 4415 Corporate 18798 1691 15140 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 (₹ in Cr. ) Segment wise SMA 0 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Corporate 18798 15140 137 2390 6585* MSME 14044 3359
Slide 21: Asset Quality: SMA 1
ASSET QUALITY SMA 1 ₹ in Cr 7258 5773 2970 2054 Retail 535 Agriculture 2997 2538 554 324 1857 MSME 2619 847 611 2667 Corporate 788 319 981 733 1134 1038 671 725 134 221 498 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 ₹ in Cr Segment wise SMA 1 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Corporate 1134 1038
Slide 22: Asset Quality: SMA 2
ASSET QUALITY SMA 2 ₹ in Cr 11595 2898 7007 1598 Retail 5101 Agriculture 2888 2871 MSME 314 1450 609 1173 Corporate 2338 2597 303 4228 1964 219 383 913 485 336 406 527 237 212 Dec '19 Mar'20 Jun '20 Sep '20 Dec '20 ₹ in Cr Segment wise SMA 2 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Corporate 913 485
Slide 23: COVID
COVID 19 In accordance with the RBI guidelines relating to COVID-19 as conveyed vide their circular no. DOR No. BP.BC.63/21.04.048/2019-20 dated 17.04.2020 and DOR. No. BP.BC.71/21.04.048/2019- 20 dated 23.05.2020, the Bank has granted a moratorium on the payment of all installments and / or interes
Slide 24: COVID
COVID 19 The Honorable Supreme Court of India, in a public interest litigation case of Gajendra Sharma vs. Union Bank of India & Anr vide an interim order dated September 03, 2020 has directed that the accounts which were not declared as Non-Performing Assets (NPA) till August 31, 2020 shall not be
Slide 25: Provision Coverage Ratio and Slippage Ratio
PROVISION COVERAGE RATIO(PCR%) 84.19 82.24 79.12 77.29 73.73 Dec '19 Mar '20 Jun '20 Sep '20 Dec'20 SLIPPAGE RATIO (%) 3.22 0.33 0.02 0.08 0.07 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 PCR without Technical Write off is 74.51% as on 31.12.20 against 59.20% as on 31.12.19 24
Slide 26: NPA Movement
NPA MOVEMENT ₹ in Crore Gross NPA Dec '19 Jun '20 Sep '20 Dec '20 Qtr Qtr Qtr Qtr Opening Gross NPAs 33497 32589 31946 30785 Slippage of PA to NPAs 3998 20 97 59 Increase in balance of existing NPAs 350 14 16 44 Sub Total 4348 34 113 103 Less: Up gradation 8 92 123 88 Recovery (Including Sale to ARC
Slide 27: Asset Quality Trend
ASSET QUALITY TREND 19.99 18.92 18.10 17.36 16.30 Gross NPA % 9.26 7.63 6.76 Net NPA % 5.60 4.73 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 ₹ in Crore Particulars Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Gross Advances 166411 172244 176496 177293 180856 Net Advances 146595 151101 154919 155085 158776 Gr
Slide 28: Status of NCLT Accounts
STATUS OF NCLT ACCOUNTS As on Dec'20 RBI List 1 O/s ₹ 869.17 cr PCR on NCLT accounts 100.00% RBI List 2 O/s ₹ 5425.78 cr 97.55% 96.88% 94.56% Others O/s ₹ 14896.95 cr RBI Ist List RBI IInd List Others Total Total O/s ₹ 21191.91 cr 27
Slide 29: Capital Ratios
CAPITAL RATIOS Capital Adequacy Ratio (%) 12.83 11.72 12.34 12.39 11.50 2.19 2.07 * 2.21 Tier-II 2.39 2.28 CET-I 10.64 10.13 10.32 9.33 9.22 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Leverage Ratio (%) 4.39 4.13 3.96 3.83 3.78 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 * Tier II reduced by 14bps on accou
Slide 30: Profitability
PROFITABILITY (₹ in Crore) Quarter ended Nine Month ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 over over Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) 1.Total Income 6557 6833 7278 20117 20475 -4.04 -9.91 1.1 Interest Income 5783 6052 6029 17852 17633 -4.44 -4.08 1.
Slide 31: Total Income
TOTAL INCOME (₹ in Crore) Quarter ended Nine Month ended Growth % Qtr Dec '20 Particulars Dec'20 over over Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) Interest Income 5783 6052 6029 17852 17633 -4.44 -4.08 (i) Advances 3085 3203 3062 9411 9268 -3.68 0.75 (ii) Investments
Slide 32: Non-Interest Income
NON-INTEREST INCOME (₹ in Crore) Quarter ended Nine Month Ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 over over Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) NON-INTEREST 774 781 1249 2265 2842 -0.90 -38.03 INCOME Commission, Exchange & 249 264 277 797 842 -5.68 -10.
Slide 33: Total Expenditure
TOTAL EXPENDITURE (₹ in Crore) Quarter ended Nine Month ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 Dec '20 Dec '19 over over Dec '20 Sep '20 Dec '19 Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) A)Interest Expended 3555 3698 4007 11124 11930 -3.87 -11.28 i) Deposits 3441 3572 3860 10741 11514 -3.67 -10.85
Slide 34: Establishment Expenses
ESTABLISHMENT EXPENSES (₹ in Crore) Quarter ended Nine Month Ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 over over Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) Basic Pay/ Spl. Pay 303 309 324 931 982 -1.94 -6.48 Special Allowance 23 23 25 71 75 0.00 -8.00 Dearness A
Slide 35: Other Operating Expenses
OTHER OPERATING EXPENSES (₹ in Crore) Quarter ended Nine Month Ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 over over Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) Other Operating Expenses Rent & Taxes 95.84 91.73 95.26 271.69 265.64 4.48 0.61 Lighting, Generator 28.5
Slide 36: Provisions & Profit
PROVISIONS & PROFIT (₹ in Crore) Quarter ended Nine Month Ended Growth % Qtr Qtr Particulars Dec '20 Dec '20 Dec '20 Sep '20 Dec '19 Dec '20 Dec '19 over over Sep '20 Dec '19 (Q-o-Q) (Y-o-Y) OPERATING PROFIT 1192 1458 1696 3941 3826 -18.24 -29.72 PROVISIONS 1027 1297 1541 3480 3419 -20.82 -33.35 i)
Slide 37: NPA Provision Breakup
NPA PROVISION BREAKUP (₹ in Crore) Particulars Dec '20 Sep '20 NPA Provision Increase due to: Ageing Provision 564 1191 Slippages/Increase in Balance/Fraud 101 242 Security reduction 115 122 Sub Total 780 1555 Less : Provision write back due to Cash Recoveries/Upgradation 215 699 Net Additional NPA
Slide 38: Investment Portfolio
INVESTMENT PORTFOLIO Dec '19 Govt. Securities Dec '20 0% 4% 0% 0% 4% 19% Other Approved 21% 0% 2% Shares 2% 0% Debentures & 0% Bonds Subsidiaries & Joint Ventures 75% Others 73% Investment Outside India (₹ in Crore) Particulars Dec '19 Dec '20 Govt. Securities 108248.77 110695.98 Other Approved 0 0
Slide 39: Treasury Operations
TREASURY OPERATIONS AFS BOOK (₹ in Crore) Dec-19 Dec-20 PSU OTHERS OTHERS CORPORATE 5% BOND 8% PSU 9% G-sec & T-bill CORPORATE 6% 4% BOND 47% 7% G-sec & T-bill 51% SDL 27% SDL CP 27% 5% CP 4% Modified Duration : 2.47 Modified Duration : 2.57 Break up of Domestic Investments(%) Break up of Domestic (
Slide 40: Treasury Performance
TREASURY PERFORMANCE Interest on Investment Trading Profit 2561 2504 402 284 Dec '19 Dec '20 Dec '19 Dec '20 Yield on Investment Return on Investment 7.05 (including Trading Profit) 7.83 6.52 7.56 Dec '19 Dec '20 Dec '19 Dec '20 Particulars Dec '19 Dec '20 Interest on Investment (₹ in Crore) 2561.15
Slide 41: Digital Transactions
DIGITAL TRANSACTIONS Penetration Apr 19 to Dec 19 Apr 20 to Dec 20 UPI 13% IMPS 8% 7% 10% 39% Mobile Banking 8% 61% Internet Banking 10% Debit card(POS) 5% 1% 12% RTGS/NEFT 1% 6% 10% 1% 8% AEPS Share of Digital Txns through ADC 55.87%* Others Share of Digital Txns through ADC 75.25% Payment Acceptan
Slide 42: Digital Penetration
DIGITAL PENETRATION As on 31 Dec ‘20 UPI • Processing 19.61 lakhs transactions per day • Handled 5392.13 lakhs transactions from APR’2020 • Number of UPI-VPA users: 9.86 lakhs Debit Card • No. of cards at 2.59 Crore (Active EMV Cards) • Handled 487.94 lakhs online transactions from APR’2020 • Proces
Slide 43: BC Network
BC NETWORK No. of transactions via BC (in Lac) 146.08 124.86 119.70 121.65 126.25 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Amount of transactions via BC (₹ in Crore) 7402.13 6374.24 5701.22 5960.21 4616.88 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 42
Slide 44: Financial Inclusion
FINANCIAL INCLUSION PMJDY No of accounts(In Lacs) Balance Outstanding Accounts with Zero Balance (In Cr) (in Lacs) 140.32 3785.28 3668.74 3677.31 136.72 3005.66 3138.07 130.84 18.33 19.14 18.54 17.33 15.28 122.24 122.59 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20 Dec '19 Mar '20 Jun '20 Sep '20 Dec '20
Slide 45: Central Bank of India Group
CENTRAL BANK OF INDIA GROUP Subsidiaries (₹ In Crore) Cent Bank Home Finance Ltd. - Central Bank of Particulars 9M Ended • Engaged into Housing Finance India Shareholding Dec'20 Dec'19 activity Total Income 98.77 107.74 • Presence in 9 States through 18 Branches Net Profit / (Loss) 15.76 8.92 • Adva
Slide 46: Central Bank of India Group
CENTRAL BANK OF INDIA GROUP Group Position (₹ in Cr. ) Particulars As on 31 Dec 2020 As on 31 Dec 2019 CAPITAL & LIABILITIES Capital 5876 5710 Reserves and Surplus 16356 17507 Minorities Interest 51 45 Share Application Money Pending Allotment 0 0 Deposits 324272 308931 Borrowings 6072 5494 Other Li
Slide 47: Central Bank of India Group
CENTRAL BANK OF INDIA GROUP Group Performance (₹ in Cr.) Nine Month Particulars Dec'20 Dec'19 INCOME Interest and Dividend Earned 17930 17721 Other Income 2267 2834 Total 20197 20555 EXPENDITURE Interest Expended 11170 11986 Operating Expenses 5064 4732 Provisions and Contingencies 3487 3431 Total 1
Slide 48: New Initiatives
NEW INITIATIVES “Project DISHA” - Analytics-Based Business Transformation Program • To drive Business Transformation in Retail, Agriculture, MSME Credit and Fee Based Income through CASA for propelling Business Growth and to reinvent the Business Processes for better efficiency and sustainability, B
Slide 49: New Initiatives
NEW INITIATIVES Key HR Initiatives And Projects •As a leap towards improving the learning and development function of the Bank, “Navonmesh” a survey on our Learning & development function was introduced to seek new ways of looking at re- inventing, renewing ideas, strategies and re-invigorating the
Slide 50: Thank You
Sm Sega as aif saa Central Bank of India CENTRAL TO YOU SINCE 1911 THANK YOU 49
Central Bank of India — Q3 FY2020-21 Earnings Presentation on 6ix