Induslnd Bank

clN , L6519r PN1se4PLC076333

lanuary 12, 2016

The Deputy General Manager
Corporate Relationship Dept.
BSE Ltd.
1" Floor, New Trading Ring
Rotunda Bujldjng, P J Towers
Dalal Street, Fort

Mumbai

:100 001

BSE Scrip Code:532187

Email:

coi [email protected]!,,,lia-cs!tl

Dear Sir.

Investor Prescntation Unaudited Financial Results

Pursuant to Regulation ,16 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, we lbrward herewith the lnvestor Presentation on the Unaudited Financial
Results ofthe Bank for the Quarter and Nine-month period ended December .l I, 2015.
We request you to take the same on record

Yours faithfully,
For Induslnd Bank Limited

Haresh K. Ca Ilnt
Company Sec tary

Encl :

a-/a

nduslndBankLimited,T0laorSoiitaireCo.poratePark,l6T,GuruHargovindllMarg,Andheri{E),
400093. l/aharashtra, ndia Tel: (022) 66412200 Fax: lA22) 66412224
^4umbal
Regirlered Office.2a0l Gen.Thimmayya Road, Pune 411 00r,lndia
T1.: (020) 2614

3201 Far (020) 2634 3241 Msit

us at

wwjnduiind.om

Investor Presentation

January 12, 2016

Q3 FY16 Performance Highlights

Key performance vectors remained stable

Y-o-Y PAT growth up by 30% ; Q-o-Q up by 4%;
Non-Interest Income to revenue remains healthy at 42%; Core Fee growth at 30% Y-o-Y
NIM Y-o-Y up by 24 bps to 3.91%
Deposit and CASA growth above industry - 25% and 28% Y-o-Y respectively
Credit growth above industry - 29% Y-o-Y and 5% Q-o-Q
Net NPA at 0.33% ; Credit cost 17 bps for quarter
Accelerated the pace of investment in branches - 51 branches opened during the Q3;
total count at 905 as on Dec 31, 2015.

Plan vs Outcome
Planning Cycle 3 (201417)

Resulting in

Q3-FY 16
Outcome

Loan Growth

25% - 30%

29%

CASA Growth

CASA > 35%

35%

Fee Growth
Core Fee Growth

Exceed Loan Growth

29%
30%

Branch Network

To Double from 602

905

Customer Base

To Double

On track

Planning Cycle 3:Key New Initiatives

Tractor Financing

Retail
Retail
Assets
Assets
Ramp
Ramp
Up Up

Targeting S of
SME

Real Estate

Retail Trade / FX

Innovative
Customer Offerings

Asset

Front and Back

Full suite of Rural

Reconstruction

Office optimization

Products

How We Measure Up On Key Metrics

Net Interest Margin (NIM)

RoA

RoE*

1.90% 1.91% 1.90% 1.93% 1.92%

3.67% 3.68% 3.68%

3.88% 3.91%

19.79%

20.36%

QIP & Pref.

Allot.

Rs 5081 crs

18.31%
16.70%
14.05%

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

*on average equity

Net NPA

Revenue / Employee (Rs. Lacs)

Cost /Income
48.76%

47.64% 47.04%
47.28%
46.40%

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

0.32%

0.31%

0.31%

0.31%

0.33%

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

34

34

36

36

Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16

Consistent delivery of strong operating performance

5

35

Ratings

ICRA AA+ for Lower Tier II subordinate debt program by ICRA

ICRA AA for Upper Tier II bond program by ICRA

CRISIL A1+ for certificate of deposit program by CRISIL

CARE AA+ for Lower Tier II subordinate debt program by CARE

IND A1+ for Short Term Debt Instruments by India Ratings and Research

IND AA+ for Lower Tier II subordinate debt program by India Ratings and Research

IND AA for Upper Tier II bond program by India Ratings and Research

IND AA+ for Senior bonds program by India Ratings and Research

Financial Performance

Steady Headline Numbers for Q3-FY16

Y-o-Y Growth

Q-o-Q Growth

Net Interest
Income

Rs 1,173 crs

36%

7%

Other Income

Rs 839 crs

29%

7%

Core Fee Income

Rs 726 crs

30%

8%

Revenue

Rs 2,012 crs

33%

7%

Operating Profit

Rs 1,061 crs

37%

5%

Net Profit

Rs 581 crs

30%

4%

Steady Headline Numbers for 9M-FY16

Y-o-Y Growth

Net Interest
Income

Rs 3,248 crs

30%

Other Income

Rs 2,384 crs

29%

Core Fee Income

Rs 2,035 crs

26%

Revenue

Rs 5,633 crs

30%

Operating Profit

Rs 2,990 crs

33%

Net Profit

Rs 1,666 crs

28%

Top line momentum

Y-o-Y Growth

Q-o-Q Growth

Advances

Rs 82,167 crs

29%

5%

Corporate
Advances

Rs 47,918 crs

30%

3%

Consumer Finance
Advances

Rs 34,249 crs

27%

7%

Deposits

Rs 86,423 crs

25%

7%

CASA

Rs 30,232 crs

28%

8%

SA

Rs 16,125 crs

32%

7%

Borrowings

Rs 20,321 crs

21%

(4%)

10

Balance Sheet
(Rs Crs)

Q3FY16

Q3FY15

Y-o-Y (%)

Q2FY16

Q-o-Q (%)

Capital & Liabilities

594

528

12%

592

Reserves and Surplus

16,777

9,862

70%

16,178

4%

Deposits

86,423

69,376

25%

80,840

7%

Borrowings

20,321

16,752

21%

21,117

(4%)

4,071

3,489

17%

4,580

(11%)

128,186

100,007

28%

123,307

4%

Cash and Balances with RBI

4,081

3,533

16%

4,630

(12%)

Balances with Banks

5,479

4,891

12%

5,673

(3%)

Investments

28,177

21,312

32%

26,755

5%

Advances

82,167

63,847

29%

78,294

5%

Fixed Assets

1,198

1,119

7%

1,180

2%

Other Assets

7,084

5,305

34%

6,775

5%

Total

128,186

100,007

28%

123,307

4%

Business (Advances + Deposit)

168,590

133,223

27%

159,134

6%

Capital

Other Liabilities and Provisions

Total
Assets

11

Profit and Loss Account

(Rs Crs)

Q3FY16

Q3FY15

Y-o-Y (%)

Q2FY16

Q-o-Q (%)

1173.42

861.37

36%

1,094.28

7%

Other Income

839.00

649.00

29%

783.54

7%

Total Income

2,012.42

1,510.37

33%

1,877.82

7%

951.44

736.53

29%

871.29

9%

1,060.98

773.84

37%

1,006.53

5%

Provisions &
Contingencies

177.08

98.01

81%

158.09

12%

Profit before Tax

883.90

675.83

31%

848.44

4%

Provision for Tax

302.88

228.64

32%

288.40

5%

Profit after Tax

581.02

447.19

30%

560.04

4%

Net Interest Income

Operating Expenses
Operating Profit

12

Profit and Loss Account (9M)

(Rs Crs)

9M-FY16

9M-FY15

Net Interest Income

3,248.36

2,495.14

30%

Other Income

2,384.15

1,848.89

29%

Total Income

5,632.51

4,344.03

30%

Operating Expenses

2,642.28

2,096.32

26%

Operating Profit

2,990.23

2,247.71

33%

458.50

281.61

63%

2,531.73

1,966.10

29%

865.63

667.65

30%

1,666.10

1,298.45

28%

Provisions & Contingencies

Profit before Tax
Provision for Tax
Profit after Tax

13

Y-o-Y (%)

Key Financial Indicators

Q3FY16

Q3FY15

Q2FY16

1.92%

1.90%

1.93%

ROE (On average equity)

14.05%

18.31%

16.70%

Cost / Income Ratio

47.28%

48.76%

46.40%

Net Interest Margin

3.91%

3.67%

3.88%

Net NPA

0.33%

0.32%

0.31%

39.20

33.84

38.16

16,988

9,998

16,384

Return on Assets

EPS (annualized, Rs. per share)

Capital + Reserves (Excl. Revaluation Reserve)

14

Well Diversified Loan Book

Loan Book (Rs crs)

68,788

72,243

78,294

82,167

78,605

59%

58%

56%

55,102
44,321

59%

58%

55%

51%
49%

45%

41%

42%

41%

42%

44%

FY13

FY14

FY15

Jun-15

Sep-15

Dec-15

Dec-15
(Excl Portfolio
Acquisition)

Consumer Finance Division

Corporate & Commercial Banking

(Rs crs)

(Rs crs)

Corporate
Banking
Large
Corporates
Mid size
Corporates
Small
Corporates*
Total Advances

Dec-15
22,022 27%

Small
Corporates
12%

Comm. Vehicle
Loans
16%

Utility Vehicle Consumer Finance

Loans
Comm. Vehicle Loans
2%
Small CV
2%

16,042 19%
9,854 12%
47,918

Mid Size
Corporates
19%

*Includes Business Banking

(Consumer Bank) Rs. 5,445 crs
After regrouping the Loan Mix stands
at 52:48 for Corporate : Consumer

13,204

16%

Utility Vehicle Loans

2,041

2%

Small CV

2,019

2%

Two Wheeler Loans

3,034

4%

3,754

5%

3,036

4%

1,008

1%

4,759

6%

1,393
34,249

2%
42%

Two Wheeler
Car Loans
Loans
4%
Car Loans
5%

58%

Equipment Financing

Equipment Credit Card

Financing
Loan Against Property
4%

Credit Card
1%

Large
Corporates
27%

15

Loan Against
Property
6%
Others(BL,PL,G
L,etc)

Dec-15

BL, PL, GL, etc

Total Advances

Diversified Corporate Loan Book

16

Gems and Jewellery

5.90%

Lease Rental

4.82%

Telecom- Cellular

2.94%

Real Estate Developer

2.77%

Power Transmission

2.36%

NBFCs (other than HFCs ) /NBFC-MFI

1.78%

Media,Entertainment & Advt

1.73%

Housing Finance Companies

1.53%

Power Generation

1.37%

Contract Construction-Civil

1.36%

Steel

1.31%

Services

1.26%

Constn related to infra.- EPC

1.10%

Food Credit

1.05%

Food Beverages and Food processing

0.99%

Other Industry

26.06%

Well Rated Corporate Portfolio

P
E
R
C
E
N
T
O
F
R
A
T
E
D

P
O
R
T
F
O
L
I
O

24%
22%

Investment Grade

20%

Sub Investment Grade

18%
16%

Unsecured Non Fund Based %

14%

Secured Non Fund Based %

12%

Unsecured Fund Based %

Secured Fund Based%

10%
8%
6%
4%
2%
0%
IB1
IB2+
(AAA) (AA+)

IB2
(AA)

IB2(AA-)

IB3+
(A+)

IB3
(A)

IB3(A-)

IB4+
IB4
IB4IB5+
(BBB+) (BBB) (BBB-) (BB+)

17

IB5
(BB)

IB5(BB-)

IB6
(B)

IB7
(C )

IB8
(C )

NPA
(D)

Improving CASA profile

Building CASA traction

CASA Uptick
35,000

Expanding branch network

Focus on target market segments

33.9%

34.1%

34.1%

34.7%

34.7%

35.0%

30,000

33%

25,000

Government business

20,000

Capital market flows

15,000

Key Non Resident markets

10,000

38%

22,363

23,634

25,300

26,945

30,232
28,085

27%
21%
16%

5,000

Self employed and Emerging Corporate businesses

10%

Transaction Banking and CMS Mandates

Q2FY15

Differentiated service propositions

Current Account (CA)

Q3FY15 Q4FY15
CASA (Rs.crs)

Q1FY16 Q2FY16 Q3FY16

% of Total Deposits

Savings Account (SA)

18,001

10,000

16.6%

16.5%

16.6%

16.6%

16,001

18.1%

17% 14,001
15% 12,001

8,000
6,000

16.3%

16.1%

20.0%

10,971

11,451

12,356

12,929

13,039

14,107

13%

8,001

11%

4,000

9%

2,000
0

Q2FY15

Q3FY15

Q4FY15

CA (Rs.crs)

Q1FY16

Q2FY16

10,001

6,001

17.3%
11,392

17.6%

17.5%

12,183

12,944

Q3FY15

Q4FY15

18.6%

14,016

15,046

Q1FY16

Q2FY16

18.7%

16,125

4,001

7%

2,001

5%

16.0%

Q2FY15

Q3FY16

SA (Rs.crs)

% of Total Deposits

18

% of Total Deposits

Q3FY16

Other Income
(Rs crs)

Q3FY16

Q3FY15

Core Fee

725.90

560.52

30%

673.30

8%

Securities/MM/FX
Trading/Others

113.10

88.48

28%

110.24

3%

Total

839.00

649.00

29%

783.54

7%

19

Y-o-Y (%)

Q2FY16

Q-o-Q(%)

Diverse Revenues from Core Fee Income

(Rs crs)

Q3FY16

Q3FY15

Y-o-Y(%)

Q2FY16

Q-o-Q(%)

85.05

62.35

36%

84.35

1%

Foreign Exchange Income

170.14

168.78

1%

169.57

1%

Distribution Fees
(Insurance, MF, Cards)

125.99

97.95

29%

119.21

6%

General Banking Fees

46.29

42.42

9%

41.39

12%

Loan Processing fees

185.44

129.61

43%

144.78

28%

Investment Banking

112.99

59.41

90%

114.00

(1%)

Total Core Fee Income

725.90

560.52

30%

673.30

8%

Trade and Remittances

Growth momentum continues on regular fee flows

20

Yield / Cost Movement

12.35%

12.07%
9.80%

9.71%

Yield on Assets
Yield on Advances

7.37%

7.15%

5.92%

5.80%

Cost of Deposits
Cost of Funds

Q3FY16

Q2FY16
Yield on Assets/Cost of funds are based
on Total Assets/Liabilities

Segment-wise Yield
Q3FY16

Outstanding
(Rs crs)

Q2FY16

Yield
(%)

Outstanding
(Rs crs)

Yield
(%)

Corporate Bank

47,918

9.98%

46,339

10.10%

Consumer Finance

34,249

15.06%

31,955

15.38%

Total

82,167

12.07%

78,294

12.35%

21

Credit Cost
(Rs crs)

FY13

FY14

FY15

Q1FY16

Q2FY16

Q3FY16

9MFY16

Corporate Bank

116.51

93.70

143.74

39.67

69.97

77.64

187.28

Consumer Finance

103.10

169.97

195.19

51.54

50.44

63.74

165.72

Gross Credit Costs

219.61

263.67

338.93

91.21

120.41

141.38

353.00

Gross Credit Costs

50

48

49

13

15

17*

43

204.81

227.94

323.19

86.52

116.49

121.62

324.63

46

41

48

12

15

15

40

70%

70%

63%

61%

60%

60%

60%

(Basis Points on Advances)

Net Credit Cost

Net Credit Costs
(Basis Points on
Advances)
PCR

*includes carried forward cost of credit of 4 bps

47%

53%

FY13

64%

58%

57%

36%

42%

43%

FY14

FY15

Q1FY16

Corporate Loan Book

42%

45%

47%

58%

55%

53%

Q2FY16

Q3FY16

9MFY16

Consumer Finance Loan Book

22

Loan Portfolio - Movement in NPA and Restructured Advances

(Rs crs)

Q3FY16
Corporate

Consumer

Q2FY16
Total

Corporate

Consumer

Total

Opening Balance

252

350

602

225

345

570

Additions

113

139

252

73

116

189

Deductions

55

118

173

46

111

157

Gross NPA

311

370

681*

252

350

602*

273

241

% of Gross NPA

0.82%

0.77%

% of Net NPA

0.33%

0.31%

60%

60%

0.58%

0.63%

Net NPA

Provision Coverage Ratio

(PCR)
Restructured Advances
*After sale to ARC Rs. 53 crs (Rs.41 crs)

23

NPA Composition Consumer Finance - Vehicles

(Rs crs)

Gross NPA

Com.
Vehicle
139

Gross NPA %

1.05%

Q3-FY16

Gross NPA

Com.
Vehicle
136

Gross NPA %

1.10%

Q2-FY16

20

Const.
Equip.
44

Small
CV
16

1.00%

1.45%

0.81%

21

Const.
Equip.
45

Small
CV
17

1.03%

1.57%

0.84%

Utility

Utility

24

TW

Cars

91

15

2.95%

0.39%

TW

Cars

82

14

2.83%

0.41%

LAP/HL
Cards
/PL
30
15
0.57%

370

1.48% 1.08%

LAP/HL
Cards
/PL
23
12
0.41%

Total

Total
350

1.35% 1.09%

CRAR
(Rs Crs)

31 Dec. 15

30 Sept. 15

Basel III

Basel III

Risk Weighted Assets

- Credit Risk, CVA and UFCE

93,371

88,294

- Market Risk

4,182

4,425

- Operational Risk

8,837

8,837

106,390

101,556

16,641

15,961

Tier 2 Capital Funds

836

819

Total Capital Funds

17,477

16,780

CRAR

16.43%

16.52%

CET 1/ Tier 1

15.64%

15.72%

0.79%

0.80%

- Total RWA

Core Equity Tier 1 / Tier 1 Capital Funds

Tier 2

25

Distribution Expansion to Drive Growth

Strengthening Distribution Infrastructure

Particulars
Branch
Network
ATMs

Mar 31,
2015

June 30,
2015

Sept. 30,
2015

Dec. 31,
2015

801

811

854

905*

1,487

1,543

1,578

1,621

*includes 58 specialized branches

Note: Numbers given above are total

branches in each state

Branch/Representative Office
Strategic Alliance

26

Shareholding Pattern
December 31, 2015
NRIs/ Director/
Others
1.51%

GDR issue
10.90%

Promoters
14.94%

Individuals
6.74%

MFs / Banks/
Insurance Co
11.22%

Private
Corporates,
11.74%

FIIs*
42.95%

*includes FPIs

27

Accolades

Accolades

IndusInd Bank was awarded as

the Best Bank 2015 by Business
India

Golden Peacock Award for

Innovation Management presented
at the 15th London Global
Convention on Corporate
Governance & Sustainability

29

Accolades

Best Bank Award for Electronic

Payment System among Mid-sized
Banks by IDRBT for the year 2014-15

IndusInd Bank won top honors at the Cyber

Security for Business Impact conference
and awards ceremony organized by
CSOFORUM for implementing security
projects having positive Business Impact
and enabled the Bank to quickly launch
new online services by significantly
reducing the security assurance cycle while
ensuring continuous protection
30

Accolades

IndusInd Bank was awarded as Winner in Small Banks Category for excellent performance in NFS ATM
Network at the National Payments
Excellence Awards 2015

IndusInd Bank was awarded as

Joint Runner up - in Small Banks
Category - for excellent
performance in NACH at the
National Payments Excellence
Awards 2015

31

Thank you

32

Disclaimer
This presentation has been prepared by IndusInd Bank Limited (the Bank) solely for information purposes, without regard to any specific
objectives, financial situations or informational needs of any particular person. All information contained has been prepared solely by the Bank.
No information contained herein has been independently verified by anyone else. This presentation may not be copied, distributed, redistributed
or disseminated, directly or indirectly, in any manner.
This presentation does not constitute an offer or invitation, directly or indirectly, to purchase or subscribe for any securities of the Bank by any
person in any jurisdiction, including India and the United States. No part of it should form the basis of or be relied upon in connection with any
investment decision or any contract or commitment to purchase or subscribe for any securities. Any person placing reliance on the information
contained in this presentation or any other communication by the Bank does so at his or her own risk and the Bank shall not be liable for any
loss or damage caused pursuant to any act or omission based on or in reliance upon the information contained herein.
No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or
correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the
date of this presentation. Further, past performance is not necessarily indicative of future results.
This presentation is not a complete description of the Bank. This presentation may contain statements that constitute forward-looking
statements. All forward looking statements are subject to risks, uncertainties and assumptions that could cause actual results to differ
materially from those contemplated by the relevant forward-looking statement. Important factors that could cause actual results to differ
materially include, among others, future changes or developments in the Banks business, its competitive environment and political, economic,
legal and social conditions. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue
reliance on these forward-looking statements. The Bank disclaims any obligation to update these forward-looking statements to reflect future
events or developments.
Except as otherwise noted, all of the information contained herein is indicative and is based on management information, current plans and
estimates in the form as it has been disclosed in this presentation. Any opinion, estimate or projection herein constitutes a judgment as of the
date of this presentation and there can be no assurance that future results or events will be consistent with any such opinion, estimate or
projection. The Bank may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any
person of such change or changes. The accuracy of this presentation is not guaranteed, it may be incomplete or condensed and it may not
contain all material information concerning the Bank.
This presentation is not intended to be an offer document or a prospectus under the Companies Act, 2013 and Rules made thereafter , as
amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended or any
other applicable law.
Figures for the previous period / year have been regrouped wherever necessary to conform to the current periods / years presentation. Total
in some columns / rows may not agree due to rounding off.
Note: All financial numbers in the presentation are from Audited Financials or Limited Reviewed financials or based on Management estimates.

33