GRUH Finance — Q1 FY2020 Earnings Presentation
33 slides from GRUH Finance's earnings presentation, Jul 30, 2019
Slide 1: GRUH Finance Limited
GRH Fl NCE LI ITED We help you build homes SEC: 2019 July 30, 2019 The BSE Ltd. National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, “Exchange Plaza”, 26th Floor, Dalal Street Bandra-Kurla Complex, Mumbai 400 001 Bandra (E ), Mumbai 400 051 BSE Code No: 511288 Symbol : GRUH Kind Ann: Gen
Slide 2: GRUH Finance Limited June 2019
GRUH Finance Limited JUNE 2019 1
Slide 3: GRUH Profile
GRUH PROFILE f}GRUH We help you build homes
Slide 4: Company profile: promoters, operations and network
• Promoted by HDFC & AKFED on July 21, 1986 • Commenced operations in 1988 from Ahmedabad • Regulated by National Housing Bank (NHB) • Recognized by NHB for Refinance facility • Retail Network of 196 offices across 11 States & one Union Territory • Consistent track record of Dividend Payout 3
Slide 5: Merger
Merger The Board of Directors of the Company, at its meeting held on January 7, 2019, approved a Scheme of Amalgamation, for the merger of GRUH Finance Limited with Bandhan Bank Limited with effect from proposed Appointed Date of January 1, 2019. In this regards, Competition Commission of India, Sha
Slide 6: Shareholding Pattern as on June 30, 2019
Shareholding Pattern as on June 30, 2019 5
Slide 7: Ratings
Ratings • Public Deposits : – ‘MAAA@’ by ICRA and – ‘FAAA@’ by CRISIL • Non-Convertible Debentures : ‘AAA@’ by ICRA and ‘AAA’ by CRISIL • Subordinated NCD: ‘AAA@’ by ICRA and CRISIL • Commercial Paper : ‘A1(+)’ by ICRA and CRISIL “These ratings indicate high safety with regard to timely payment of i
Slide 8: GRUH's contribution to Housing Stock
GRUH’s contribution to Housing Stock • Cumulative Housing Units Financed – 4,67,478 • Cumulative Disbursement of ₹ 34,516 Crore • Cumulative Housing Units Financed in Rural Areas - 2,30,109 • Cumulative Disbursement in Rural Areas(*) ₹13,778 Crore • Cumulative Disbursement under Pradhan Mantri Awas
Slide 9: Performance Highlights
Performance Highlights f}GRUH We help you build homes
Slide 10: Key Financial Ratio
Key Financial Ratio Key Ratios As At As At As At June’19 March’19 June’18 Net Interest Margin to ATA (%) 3.84 4.00 4.39 Non-Interest Expense to ATA (%) 0.64 0.68 0.67 Credit Cost to Loan Assets (%) 0.30 0.26 0.27 Loans to Total Assets (%) 86 93 99 Return on Assets (%) 2.58 2.66 2.89 Return on Equity
Slide 11: Balance Sheet
Balance Sheet (₹ in Crore) June 2019 June 2018 Growth (%) Sources of Funds Share Capital 146.74 146.29 - Reserves & Surplus 1863.77 1262.77 48 Borrowings 18429.99 14339.14 29 Current Liabilities & Provisions 370.93 346.43 7 Deferred Tax Liability (Net) - 110.75 (100) 20811.43 16205.38 28 Application
Slide 12: Income Statement
Income Statement (₹ in Crore) Particulars June 2019 June 2018 Growth (%) Revenue from Operations 532.97 450.95 18 Finance Cost 348.70 263.14 33 Impairment on Financial Instruments - 2.50 (100) Employee Benefit Expenses 14.29 14.99 (5) Depreciation and Amortisation 2.88 0.83 247 Establishment Expense
Slide 13: Loan Assets (₹ in crore)
Loan Assets (₹ in crore) 18000 17,737 17500 17,408 17000 16500 16000 15,913 15500 15000 June'18 Mar'19 June'19 12
Slide 14: Profit After Tax (₹ in crore)
Profit After Tax (₹ in crore) 140 130 120 115 116 100 80 60 40 Quarter ended June'18 Quarter ended Mar'19 Quarter ended June'19 13
Slide 15: NIM & NIM to Average Total Assets
NIM & NIM to Average Total Assets 180 5.9 175 171 173 5.7 170 5.5 160 5.3 5.1 150 NIM (₹ in crore) 4.9 140 4.7 4.39 4.5 130 4.3 120 4.00 4.1 3.84 3.9 110 3.7 100 3.5 Quarter ended June'18 Quarter ended Mar'19 Quarter ended June'19 NIM (₹ in crore) NIM to ATA (%) 14
Slide 16: NIM & NIE to Average Total Assets
NIM & NIE to Average Total Assets 5.00 4.50 4.49 4.47 4.47 4.50 4.39 4.00 4.08 4.00 3.94 3.84 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.72 0.77 0.72 0.69 0.67 0.71 0.70 0.68 0.64 0.00 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18 Mar-19 Jun-19 Net Interest Margin to Avereage Total Assets (%) Non-Inter
Slide 17: Return on Assets (%)
Return on Assets (%) 3.50 3.00 2.89 2.78 2.50 2.58 2.26 2.00 2.14 2.05 1.50 1.00 0.50 0.00 Jun-14 Jun-15 Jun-16 Jun-17 Jun-18 Jun-19 16
Slide 18: PBT & PAT to Average Total Assets
PBT & PAT to Average Total Assets 4.50 4.00 3.88 3.91 3.50 3.77 3.67 3.55 3.53 3.52 3.44 3.43 3.00 2.89 2.50 2.78 2.75 2.61 2.66 2.58 2.55 2.57 2.50 2.00 1.50 1.00 0.50 0.00 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18 Mar-19 Jun-19 PAT to Average Total Assets (%) PBT to Average Total Assets (%)
Slide 19: Cost to Income Ratio (%)
Cost to Income Ratio (%) 18.00 16.00 15.89 15.93 16.17 15.79 15.66 14.00 14.81 14.84 14.18 14.32 12.00 10.00 8.00 6.00 4.00 2.00 0.00 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18 Mar-19 Jun-19 18
Slide 20: Gross & Net NPAs to Loans (%)
Gross & Net NPAs to Loans (%) 1 0.86 0.95 0.9 0.8 0.7 0.66 0.65 0.6 0.5 0.40 0.35 0.4 0.3 0.2 0.1 0 June'18 Mar'19 June'19 Gross NPAs to Loans (%) Net NPAs to loans (%) 19
Slide 21: Borrowings Profile
Borrowings Profile 80 69 70 63 60 50 47 40 30 27 26 20 20 16 10 10 9 10 1 2 0 Jun-18 Mar-19 Jun-19 Banks/NHB NCDs Public Deposits CPs 20
Slide 22: Composition of Assets
Composition of Assets 120 99 100 93 86 80 60 40 20 12 5 0 1 2 2 0 Jun'18 Mar'19 Jun'19 Loan Assets Bank Deposits Current Assets & Others 21
Slide 23: NPAs under Ind AS
NPAs under Ind AS (₹ in Crore) Particulars Q1 FY FY Q1 FY 1920 1819 1819 Loan Assets 17,737 17,408 15,913 Stage - III Loan Assets 169 114 136 ECL Provision required as per Ind AS norms on Total Loan Assets 53 45 42 ECL Provision required as per Ind AS on Total Loan Assets (%) 0.30 0.26 0.27 Actual P
Slide 24: Stage wise composition of Loan Assets under Ind AS
Stage wise composition of Loan Assets in % under Ind AS Stage Q1 FY 1920 FY 1819 Q1 FY 1819 I 94.33 95.58 93.76 II 4.72 3.76 5.38 III 0.95 0.66 0.86 100.00 100.00 100.00 23
Slide 25: NPAs under NHB Norms
NPAs under NHB Norms (₹ in Crore) Particulars Q1 FY 1920 FY Q1 FY 1819 1819 Gross NPAs 169 114 136 Gross NPAs (%) 0.95 0.66 0.86 Minimum Provisions required as per NHB Norms: - Standard Assets 52 51 47 - NPAs 40 31 30 92 82 77 Excess Provisions carried towards - Standard Assets 16 17 19 - NPAs and C
Slide 26: Outstanding Portfolio
OUTSTANDING PORTFOLIO Composition of Outstanding Loan Portfolio (₹ in Crore) As At June 30, 2019 As At June 30, 2018 Growth Amount % Amount % % Individuals Housing 14665.12 83.13 13105.35 82.52 11.90 Mortgage 1819.83 10.32 1711.45 10.78 6.33 NRP loans 333.17 1.89 354.08 2.23 (5.91) Developers Constr
Slide 27: Profile of Individual Loans
Profile of Individual Loans Operations Details June 2019 March 2019 June 2018 1. Average loan per unit (Rs. 8.27 8.19 7.90 In Lac) 2. Avg. cost per dwelling unit 13.53 13.35 12.86 (Rs. In Lac) 3. Average FOIR (%) 36 38 38 4. Average LCR (%) 67 69 69 26
Slide 28: Key Financial Ratios
Key Financial Ratios As on March 31, 2019 2018 2017 Capital Adequacy Ratio* (%) 20.30 18.90 18.32 Tier – I 19.26 17.68 16.82 Tier –II 1.04 1.22 1.50 *Minimum Regulatory Requirement of 12% 27
Slide 29: Productivity Ratios
Productivity Ratios As on Q 1 FY19-20 FY18-19 Q 1 FY18-19 Average No. of Employees 687 685 684 Average No. of Retail offices 195 195 190 Profit After Tax Per Employee (₹ in Lac) 67 65 67 Total Assets Per Employee (₹ in Lac) 3,032 2,774 2,371 28
Slide 30: ALM Structural Profile as on June 30, 2019
ALM Structural Profile as on June 30, 2019 6,000 5,100 5,000 4,000 3,893 3,068 3,000 2,478 2,498 2,000 1,130 868 1,000 519 200 32 - 1 to 14 days Over 15 days to one Over 1 month to 2 Over 2 month to 3 Over 3 month to 6 month months months months Cumulative Inflow (₹ in Crore) Cumulative Outflow (₹ i
Slide 31: Awards and Accolades
Awards and Accolades •Winner in Affordable Housing Finance Category at the Outlook Money Awards 2017. • Best Performing Primary Leading Institution under CLSS for EWS/LIG segment • Highest number of loans to EWS segment under CLSS for EWS/LIG. • CNBC Bajar Gujarat Ratna Award 2015-16 for “Excellence
Slide 32: Disclaimer
Disclaimer This presentation may contain statements about events and expectations that may be “forward looking”, including those relating to general business plans and strategy of GRUH Finance Limited (GRUH), its future outlook and growth prospects, and future developments in its business and its co
Slide 33: Thank You
Thank You f}GRUH We help you build homes