Investor Presentation June 2015 Q1 - FY16 1 Experience Next - - PowerPoint PPT Presentation

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Experience Next Generation Banking Investor Presentation June 2015 Q1 - FY16 1 Experience Next Generation Banking I MPORTANT N OTICE No representation or warranty, express or implied is made as to, and no reliance should be placed on, the

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SLIDE 1

Experience Next Generation Banking

Investor Presentation June 2015 Q1 - FY16

1

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Experience Next Generation Banking

IMPORTANT NOTICE

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 such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historical information or facts and may be “forward looking statements”, including those relating to the Company‟s general business plans and strategy, its future financial condition and growth prospects, and future developments in its industry and its competitive and regulatory environment. Actual results may differ materially from these forward-looking statements due to a number of factors, including future changes or developments in the Company‟s business, its competitive environment and political, economic, legal and social conditions in India. This communication is for general information purpose only, without regard to specific objectives, financial situations and needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. The Company may alter, modify or otherwise change in any manner the content

  • f this presentation, without obligation to notify any person of such revision or changes. This presentation can not be

copied and/or disseminated in any manner.

2

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Experience Next Generation Banking

Strategy: Way Forward

  • Strengthening long-term franchise value with focus on Retail and SME

segments – Housing loans - key focus segment with centralized processing and faster approvals – Creating SME hubs focused on serving the needs of SME clientele

  • Focused on improving asset quality

– Special cell focused on recovery from NPA accounts – Cleaned books through sale of stressed assets to Asset Reconstruction Companies (ARCs)

  • Strengthening deposit franchise

– Improvement in core deposits – CASA continues to and is expected to improve with concerted efforts at branch level

  • Customer focused technology initiatives

– Increase in internet, mobile and debit card transactions

3

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Experience Next Generation Banking

Item Q1 - FY16 Q1 - FY15 Y-o-Y Q4 - FY15 Q-o-Q

Net Interest Income 3,40.3 340.9 (0.2%) 347.1 (1.9%) Other Income 1,03.8 121.2 (14.3%) 121.9 (14.8%) Profit After Tax 65.3 126.7 (48.5%) 16.3 300.5% Advances 38,243.0 34,255.4 11.6% 37,392.0 2.3% Deposits 52,323.8 46,489.2 12.6% 51,912.0 0.8% GNPA 713.8 517.3 38.0% 643.4 10.9% NNPA 464.0 310.5 49.4% 357.0 30.0% NIM 2.54% 2.72% (6.7%) 2.70% (5.9%) CASA 22.28% 22.07% 0.9% 20.59% 8.2%

4

Key Performance Highlights – Q1-FY16

  • Rs. Crore
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Experience Next Generation Banking

Financial performance

5

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Experience Next Generation Banking

  • Rs. Crore

Balance Sheet Overview

Q1-FY16 Q1-FY15 Y-o-Y (%) Q4-FY15 Q-o-Q (%) Capital & Liabilities Capital 135 135 0.3% 135 0.0% Reserves and Surplus 3,520 3,349 5.1% 3,454 1.9% Deposits 52,324 46,489 12.6% 51,912 0.8% Borrowings 1,660 2,641 (37.1%) 2,232 (25.6%) Other Liabilities & Provisions 1,301 1,263 3.0% 1,383 (5.9%) Total 58,940 53,877 9.4% 59,116 (0.3%) Assets Cash & Balances with RBI 2,417 2,260 6.9% 2,442 (1.0%) Balances with Banks 825 1,709 (51.7%) 1,154 (28.5%) Investments 15,994 14,361 11.4% 16,717 (4.3%) Advances 38,243 34,255 11.6% 37,392 2.3% Fixed Assets 478 465 2.8% 479 (0.1%) Other Assets 983 826 19.0% 932 5.5% Total 58,940 53,877 9.4% 59,116 (0.3%) Business (Advances + Deposits) 90,567 80,745 12.2% 89,304 1.4% Current Accounts 2,034 1,879 8.2% 1,818 11.9% Savings Accounts 9,622 8,382 14.8% 8,868 8.5% CASA Ratio 22.3% 21.2% 20.6%

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Financial Highlights – As at June 2015

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Experience Next Generation Banking

  • Rs. Crore

Profit and Loss Account

Q1-FY16 Q1-FY15 Y-o-Y (%) Q4-FY15 Q-o-Q (%) Net Interest Income 340 341 (0.2%) 347 (1.9%) Other Income 104 121 (14.3%) 122 (14.9%) Total Income 444 462 (3.9%) 469 (5.3%) Operating Expenses 263 241 9.2% 304 (13.4%) Operating Profit 181 221 (18.1%) 165 9.6% Provisions (Ex-Tax) & Contingencies 80 95 (16.0%) 138 (42.4%) Profit Before Tax 101 126 (19.7%) 27 275.5% Provision for Tax 36 43 (16.2%) 11 228.1% Exceptional Items

  • (43)

N/A

  • N/A

Profit After Tax 65 127 (48.5%) 16 308.0%

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Financial Highlights – As at June 2015

  • Other income was driven by strong contribution from transaction fees despite the decrease from

treasury

  • Provisions decreased mainly due to the reduction in loan loss provisions
  • In Q1-FY15, exceptional item refers to reversal of excess depreciation charged till March 31, 2014

(net of taxes) due to change in depreciation method from WDV to SLM

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Experience Next Generation Banking Experience Next Generation Banking

8

Key Metrics – Quarterly

Particulars FY14 FY15 FY16 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Net Interest Margin (NIM) (%) 2.93 3.03 3.02 3.02 2.72 2.80 2.70 2.70 2.54 CRAR Basel II (%) 13.66 13.16 12.35 12.53 12.32 12.35 11.57 12.06 11.49 RoAA (Annualized) (%) 0.94 0.97 1.02 1.00 0.93 0.75 0.71 0.56 0.45 Provision Coverage (%) 57.95 53.56 55.73 62.71 62.50 62.91 60.41 60.63 56.13 CASA (%) 20.58 21.33 21.16 20.69 22.07 22.09 21.51 20.59 22.28 Gross NPA (%) 1.57 1.92 1.66 1.19 1.50 1.55 1.80 1.71 1.85 Net NPA (%) 1.12 1.39 1.18 0.78 0.91 0.90 1.04 0.96 1.21 Book Value per Share (Rs.) 23.27 24.20 25.13 25.06 25.88 26.47 27.10 26.59 27.07 Earnings per Share (Rs.) 3.41 3.59 3.79 3.78 3.78 3.01 2.87 2.28 1.94 Branches

  • Kerala

409 422 434 436 439 440 441 444 447

  • South India (Ex-Kerala)

213 220 227 227 228 230 231 236 239

  • Rest of India

119 121 128 131 134 135 138 142 142 Total Branches 741 763 789 794 801 805 810 822 828 ATMs

  • Kerala

475 492 512 552 565 587 607 651 670

  • South India (Ex-Kerala)

230 250 265 293 295 311 323 362 374

  • Rest of India

125 130 137 155 158 165 178 187 200 Total ATMs 830 872 914 1,000 1,018 1,063 1,108 1,200 1,244

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Experience Next Generation Banking

9,400 10,252 10,745 11,393 12,193 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 22.1 22.1 21.5 20.6 22.3 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Breakup of Deposits CASA Ratio NRI Deposits

25,668 27,052 28,456 29,968 31,517 8,382 8,456 8,598 8,868 9,622 1,879 1,859 1,826 1,818 2,034 10,560 9,326 9,579 11,258 9,151 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 Term Savings Current Others*

*Others includes: Bulk, Certificates of Deposits

  • Rs. Crore

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Deposits

(%)

  • Rs. Crore
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Experience Next Generation Banking

Core & Non-Core Deposits CASA Deposits

  • Rs. Crore

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Deposits

  • Rs. Crore

20%

Core Deposit Non-Core Deposit Total Deposit June-15 June-15 June-15 June-14 June-14 June-14

35,929 43,173 10,560 9,151 46,489 52,324

13% 13%

Current Deposit Savings Deposit Total CASA June-15 June-15 June-15 June-14 June-14 June-14

1,879 2,034 8,382 9,622 10,261 11,656

  • Improved

CASA by 14% through concerted efforts at the branch level

  • Strengthening

core deposit franchise for long-term growth

8% 15% 14%

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Experience Next Generation Banking

34,692 35,871 36,998 37,978 38,820 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 10,215 10,309 9,833 9,657 9,369 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

R…

7,388 7,799 8,374 8,811 8,218 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Retail SME Aggregate Loan Book

3,127 3,407 3,739 4,077 4,917 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

A…

13,962 14,356 15,052 15,433 16,317 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Agriculture Corporate

  • Rs. Crore

Advances: Composition of Loan Book

  • Rs. Crore
  • Rs. Crore
  • Rs. Crore
  • Rs. Crore

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Experience Next Generation Banking

Shifting focus from Gold Loan to Retail, SME, and Agriculture

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Gold Loan Portfolio

1,127 614 782 434 337 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Retail SME Agriculture Aggregate Gold Loan Portfolio

  • Rs. Crore
  • Rs. Crore

5,905 5,706 5,147 4,591 4,268 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 1,337 1,428 1,508 1,672 1,928 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 3,441 3,665 2,857 2,485 2,003 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

  • Rs. Crore
  • Rs. Crore
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Experience Next Generation Banking

Kerala South Ex-Kerala Rest of India

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Advances: Geography wise split

11,621 12,435 12,880 13,741 14,270 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 13,421 13,530 13,542 12,769 12,682 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 9,658 9,892 10,549 11,444 11,899 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

  • Rs. Crore
  • Rs. Crore
  • Rs. Crore

Kerala franchise providing a very strong base with growth in advances led by expansion into other geographies, both in South India (ex-Kerala) and Rest of India

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Experience Next Generation Banking

127 76 88 16 65 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 2.72 2.80 2.70 2.70 2.54 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 341 358 320 347 340 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Net Total Income Net Interest Income Net Profit Net Interest Margin

  • Rs. Crore

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Income & Profit - Quarterly

  • Rs. Crore
  • Rs. Crore

(%)

462 452 480 469 444 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

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Experience Next Generation Banking

121 94 160 122 104 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

  • Rs. Crore

Other Income Breakup Other Income Key Initiatives

  • Enhancing treasury income
  • Targeting end-to-end SME business potential
  • Strengthening retail presence
  • Focus on NRI remittances and currency

conversion

  • Integrating both domestic and forex treasury

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Other Income

Q1-FY16 Q1-FY15 Y-o-Y (%) Q4-FY15 Q-o-Q (%)

Transaction 51.9 38.5 34.8% 50.1 3.7% Investment 14.1 45.8 (69.2%) 27.7 (49.0) Technology 20.5 20.8 (1.4%) 22.2 (7.8%) ForEx 8.7 7.1 21.9% 11.7 (25.8%) Other* 8.7 9.0 (3.7%) 10.2 (15.4%) Total Other Income 103.9 121.2 (14.3%) 121.9 (14.8%)

*Other includes IT, Bullion, etc.

  • Rs. Crore
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Experience Next Generation Banking

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Break-up of Provisions

Particulars Q1-FY16 Q1-FY15 Q4-FY15 For NPA & NPI 41.22 87.12 59.65 For Depreciation on Investments 20.33 5.02 6.88 For Standard Assets 9.43 (5.65) 10.64 For Restructured Advances/Sacrifices & FITL 6.72 2.65 46.67 For Unhedged Forex Exposure (1.08) 5.55 3.11 Others 2.89 (0.06) 10.79 Taxes 36.08 43.05 10.92 Total Provisions 115.58 137.68 148.66

  • Rs. Crore
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Experience Next Generation Banking

8.04 7.95 7.97 7.99 7.85 12.05 11.96 11.79 11.74 11.49 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Cost of Deposits Yield on Advances

11.5 11.0 10.9 10.8 11.5 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 101.5 99.6 99.6 98.8 106.5 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 52.18 52.75 53.29 52.66 59.28 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Yields on Advances & Deposits C/I Ratio Business per Employee Business per Branch

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Operating Efficiency

  • Rs. Crore
  • Rs. Crore

(%) (%)

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Experience Next Generation Banking Experience Next Generation Banking

Net NPA

0.91% 0.90% 1.04% 0.96% 1.21% June-14 Sept-14 Dec-14 Mar-15 June-15

Gross NPA

1.50% 1.55% 1.80% 1.71% 1.85% June-14 Sept-14 Dec-14 Mar-15 June-15 18

Non-Performing Assets

Particulars Amount (Rs. Crore)

Opening Balance April 1, 2015 643.45 Additions during the quarter 175.27 Deductions 104.89 Closing Balance June 30, 2015 713.83

Net NPA Gross NPA

Particulars Amount (Rs. Crore)

Opening Balance April 1, 2015 357.05 Additions during the quarter 146.11 Deductions 39.18 Closing Balance June 30, 2015 463.98

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Experience Next Generation Banking Experience Next Generation Banking

Movement in Restructured Accounts

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Restructured Assets

1,524 1,879 1,938 2,068 2,170 June-14 Sept-14 Dec-14 Mar-15 June-15

  • Rs. Crore

Restructured Assets

Particulars March – 15 Balance June – 15 Balance Opening 1,938 2,068 Fresh Additions 153 107 Increase in balance under existing Restructured Account 19 38 Upgradation to Standard Category (35) Closure including Write- Off (39) Decrease in Restructured Account Balance (5) (8) Closing 2,068 2,170

NPA Provisioning

  • Rs. Crore
  • Rs. Crore

Particulars Amount

Opening Balance – April 1, 2015 259.76 Additions during the quarter 43.69 Deductions 77.84 Closing Balance – June 30, 2015 225.61

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Experience Next Generation Banking Experience Next Generation Banking

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Restructured Breakup and NPA Initiatives

Power 45% Construction EPC 29% Pharma 6% Others* 20%

Sector Standard Restructure - Q1FY16

Standard Restructured Advances *Other includes IT, Bullion, etc.

NPA management initiatives

  • Special Recovery Cell headed by DGM and

staffed by legal team – Collection efforts for large ticket NPAs – responsible for multiple recoveries over past 6 months – Monitoring of restructured loan portfolio

  • Large Asset Monitoring Cell in head office
  • Defocusing from power and infrastructure

sectors

  • Granularise Exposure / Spread out risk
  • Shift in focus from large corporates to mid

and small enterprises – Sole banker or consortium lead as against

  • ne bank in a large consortium, leading

to better control

Restructured Asset Breakup

  • Rs. Crore

Particulars June- 14 Sept- 14 Dec- 14 Mar- 15 June- 15 Restructured Std. Advance 1,401 1,748 1,763 1,882 1,975 Restructured NPA 123 131 175 186 195 Total Restructured Assets 1,524 1,879 1,938 2,068 2,170

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Experience Next Generation Banking BASEL III (Q1-FY16) CRAR Tier I CRAR Tier II 10.0 1.4

10.8 10.8 10.1 10.5 10.1 1.6 1.5 1.5 1.6 1.4 June-14 Sept-14 Dec-14 Mar-15 June-15

CRAR Tier I CRAR Tier II

10.8 10.7 10.0 10.5 10.0 1.6 1.4 1.4 1.6 1.4 June-14 Sept-14 Dec-14 Mar-15 June-15

CRAR Tier I CRAR Tier II

BASEL II (Q1-FY16) CRAR Tier I CRAR Tier II 10.1 1.4

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Core Capital

(%) (%)

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Experience Next Generation Banking

0.93 0.75 0.71 0.56 0.45 June-14 Sept-14 Dec-14 Mar-15 June-15 3.75 2.98 2.85 2.27 1.93 June-14 Sept-14 Dec-14 Mar-15 June-15 25.88 26.47 27.10 26.59 27.07 June-14 Sept-14 Dec-14 Mar-15 June-15

Diluted Earnings per Share Book Value per Share Return on Assets Return on Equity

14.59 11.35 10.55 8.56 7.17 June-14 Sept-14 Dec-14 Mar-15 June-15 22

Returns to Stakeholders

Rs. Rs. (%) (%)

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Experience Next Generation Banking

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Business Focus: Retail

  • Rs. Crore

Retail Breakup

132 227 302 298 190 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 913 1,374 1,345 1,499 987 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

  • Rs. Crore

Sanctioned Housing Loans Number of Home Loans Housing: Key Initiatives

  • Special retail hub in

Cochin to increase focus

  • n housing finance
  • Two more hubs to be set

up – one in South India and one in North India

  • Branch staff being given

specific training to market mortgage loans

  • Marketing initiative

through TVCs

  • Tailor made products for

different segments

*LAD = Loan against deposits

1,608 1,722 1,915 2,106 2,241 3,441 3,665 2,857 2,485 2,003 1,750 1,607 1,620 1,580 1,540 1,966 1,798 1,791 1,726 1,733 761 787 847 926 941 689 730 803 834 910 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 Housing Gold Manufacturing Service & Traders LAD* Others

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Experience Next Generation Banking

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Loan Book by Geography – Q1-FY16

  • Dedicated GM appointed to ensure focus and

better coordination with regions

  • Focused „Green Channel‟ branches to drive faster

loan growth to SMEs

  • Target to become banker of choice to SMEs

thereby getting other business as well – liabilities, vehicle finance, etc.

  • Ongoing training (in-house as well as external)

SME Highlights

Business Focus: SME

Average SME Loan / Account

8.5 9.2 10.5 12.5 13.7 Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

  • Rs. Lakhs

Kerala 46% South (Ex- Kerala) 32% Rest of India 22%

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Experience Next Generation Banking Experience Next Generation Banking

SME Slippage Retail Slippage Slippage

  • Fresh Slippage / Advances ratio is extremely

low across Retail, SME, and Agriculture loan book

  • Transition to centralized processing and

diligent approval processes underscores continued lending focus in these areas

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Fresh Slippages / Advances Ratios

0.17% 0.11% 0.14% 0.12% 0.19% Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

Agriculture Slippage

0.03% 0.05% 0.04% 0.26% 0.21% Jun-14 Sept-14 Dec-14 Mar-15 Jun-15 0.46% 0.52% 0.38% 0.43% 0.55% Jun-14 Sept-14 Dec-14 Mar-15 Jun-15

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Experience Next Generation Banking

Updates

  • SIB Mirror is a mobile-led platform with instant

account access, balance retrieval, immediate fund transfers, all account intimations, and much more

  • SIB-er Net – Suite of comprehensive internet

banking services positioning SIB as a technology-driven bank offering superior services to retail customers

  • Retail branches now interconnected with single-

window service and providing real-time

  • nline, real-time transactions to customers
  • SIB offers Visa, MasterCard, and RuPay debit

cards with online access to users for secure domestic and international transactions

  • Centralized Processing Center allows enhanced

risk management and customer creation with complete KYC compliance and fraud prevention tools

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Technology Initiatives

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Experience Next Generation Banking Active Internet Users

13 17 24 33 41 55 74 138 135 Q1-… Q2-… Q3-… Q4-… Q1-… Q2-… Q3-… Q4-… Q1-…

(000)’s

Mobile Transaction Volume

(000)’s

Personal Banking: Technology Banking

Internet Transaction Volume

277 327 345 364 390 453 481 556 866 Q1-… Q2-… Q3-… Q4-… Q1-… Q2-… Q3-… Q4-… Q1-…

(000)’s

Internet Transaction Value

609 814 810 894 1,173 1,409 1,467 1,887 2,356 Q1-… Q2-… Q3-… Q4-… Q1-… Q2-… Q3-… Q4-… Q1-…

  • Rs. Crore

Mobile Transaction Value

2 2 5 11 17 28 35 50 74 Q1- FY14 Q2- FY14 Q3- FY14 Q4- FY14 Q1- FY15 Q2- FY15 Q3- FY15 Q4- FY15 Q1- FY16 78 84 90 113 147 177 210 265 342 Q1- FY14 Q2- FY14 Q3- FY14 Q4- FY14 Q1- FY15 Q2- FY15 Q3- FY15 Q4- FY15 Q1- FY16

  • Rs. Crore

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Experience Next Generation Banking

1.8 1.9 2.1 2.2 2.3 2.4 2.5 2.7 2.5 Q1- FY14 Q2- FY14 Q3- FY14 Q4- FY14 Q1- FY15 Q2- FY15 Q3- FY15 Q4- FY15 Q1- FY15

millions

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Personal Banking: Debit Cards

19.8 21.5 23.0 23.7 23.6 25.2 23.6 26.2 26.8 Q1- FY14 Q2- FY14 Q3- FY14 Q4- FY14 Q1- FY15 Q2- FY15 Q3- FY15 Q4- FY15 Q1- FY16

millions

3,235 3,514 3,716 3,886 4,187 4,389 4,081 4,518 4,806 Q1- FY14 Q2- FY14 Q3- FY14 Q4- FY14 Q1- FY15 Q2- FY15 Q3- FY15 Q4- FY15 Q1- FY16

  • Rs. Crore

# of Active Debit Cards Debit Card Transaction Volumes Debit Card Transaction Value

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Experience Next Generation Banking

Location

  • No. of

Branches Kerala 447 South India (Ex-Kerala) 239 Rest of India 142 Total 828

631 688 738 794 822 828 FY11 FY12 FY13 FY14 FY15 Q1-FY16 490 663 800 1,000 1,200 1,244 FY11 FY12 FY13 FY14 FY15 Q1-FY16

Total Branch Network Total ATM Network

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ATM : Branch Network ratio above 1.0x

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Experience Next Generation Banking

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Employees

<1 Year 12.4% 1-2 Years 13.1% 2-5 Years 27.8% 6-10 Years 24.1% >10 Years 22.5%

Employee* Tenure Breakdown Highlights

  • Strong employee presence in the South with

great brand helping to attract and retain quality talent

  • High enthusiasm and satisfaction among

employees, leading to very low attrition levels – many employees have been at SIB for greater than 5 years

  • Recent hires are positioned to grow through

the ranks at SIB and increasingly into retail positions in an effort to drive growth and expansion

Total Employees: 7,137

*Employees include full-time officers and clerks.

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Experience Next Generation Banking

Board of Directors Key Management

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Management Profile

Name Designation

  • Mr. Amitabha Guha

Chairman

  • Mr. V.G. Mathew

Managing Director & CEO

  • Mr. Mohan E. Alapatt

Independent Director

  • Mr. K. Thomas Jacob

Independent Director

  • Dr. John Joseph Alapatt

Independent Director

  • Mr. Francis Alapatt

Independent Director

  • Mr. Salim Gangadharan

Independent Director

  • Mr. Cheryan Varkey

Non Executive Director

  • Mrs. Ranjana Salgaocar

Independent Director

  • Mr. Parayil George John Tharakan

Independent Director Name Designation

  • Mr. V.G. Mathew

Managing Director & CEO

  • Mr. Joseph George Kavalam

Senior Vice President (Administration)

  • Mr. A.G. Varughese

Senior Vice President (Operations)

  • Mr. Thomas Joseph K

Chief General Manager

  • Mr. C.P. Gireesh

Chief Financial Officer

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Experience Next Generation Banking

Ownership Profile

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Experience Next Generation Banking

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Shareholding Breakup

SL Name of the Group % 1 Acacia Partners 4.99 2 First Carlyle Ventures Mauritius 4.93 3 ICICI Prudential Fund 4.65 4 Pabrai Investment Fund 4.44 5 Life Insurance Corporation of India 4.42 6 Deutsche Securities Mauritius Limited 4.11 7 Kotak Fund 3.72 8 Yusuffali Musaliam Veettil Abdul Kader 3.70 9 CX Securities Limited 3.32 10 GKFF Ventures 3.21

FII 40.5% Public 35.9% Corp and Banks 11.9% Domestic 5.6% NRI 6.0%

Ownership Profile Major Shareholders Group

Strong Institutional Ownership

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Experience Next Generation Banking

Strategic Initiative Description

Expand retail business

  • Specific focus on retail loan products like housing loans, vehicle loans
  • Specialized green channel branches for faster processing of retail loans
  • Dedicated retail loan hub at Cochin; to be replicated across the country
  • Significant focus on continuous training of work force
  • Focus on technology initiatives such as mobile and internet banking
  • Investment in brand building – Mammootty as Brand Ambassador

Strengthen SME relationships

  • Cluster based approach targeting SMEs in industry hubs
  • Be the banker of choice for SME clients across advances, liabilities, services
  • Dedicated GM to coordinate SME banking initiatives across regions

Enhance asset quality

  • Special recovery cell for monitoring non performing and restructured assets
  • Cautious approach on large corporate lending; Granularize loan portfolio to spread out

risk CASA improvement

  • Central processing unit for liability booking to ease load on branches
  • Specific targets and initiatives for CASA

Enhance operating efficiency

  • Optimize business per branch through centralized support services in account opening,

retail loan processing, etc. Improve share of

  • ther income
  • Focus on treasury, exchange and other services for SME, retail and NRI clients
  • Enhance treasury capabilities and increase bench strength
  • Expand POS/ATM network

34

Key Strategic Initiatives

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Experience Next Generation Banking

10-Year Financial Performance

35

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Experience Next Generation Banking

Balance Sheet FY15 FY14 FY13 FY12 FY11 FY10 FY09 FY08 FY07 FY06 FY05 CAGR ‘05-‘15 (%) Capital & Liabilities Capital 135 134 134 113 113 113 113 90 70 70 48 10.89 Reserves and Surplus 3,454 3,234 2,870 2,054 1,732 1,372 1,191 1,071 654 570 408 23.81 Deposits 51,912 47,491 44,262 36,501 29,721 23,012 18,092 15,156 12,239 9,579 8,492 19.85 Borrowings 2,232 2,731 1,285 588 290 331 257 28 33 1 4 88.22 Other Liabs. & Provisions 1,383 1,396 1,245 1,114 964 707 730 745 657 607 526 10.15 Total 59,116 54,986 49,795 40,370 32,820 25,534 20,384 17,090 13,653 10,827 9,478 20.09 Assets Cash & Balances with RBI 2,442 2,201 1,697 1,572 1,828 1,391 998 974 700 546 433 18.88 Balances with Banks 1,154 1,017 2,639 1,069 638 597 1,038 729 1,246 797 268 15.72 Investments 16,717 14,352 12,523 9,400 8,924 7,156 6,075 4,572 3,430 2,739 3,133 18.23 Advances 37,392 36,230 31,816 27,281 20,489 15,823 11,852 10,454 7,919 6,370 5,365 21.43 Fixed Assets 479 412 396 378 357 153 136 113 90 90 78 19.90 Other Assets 932 774 724 671 585 415 284 249 268 285 200 16.64 Total 59,116 54,986 49,795 40,370 32,820 25,534 20,384 17,090 13,653 10,827 9,478 20.09 Business (Advances + Deposits) 89,304 83,721 76,078 63,781 50,210 38,834 29,944 25,610 20,158 15,949 13,858 20.48

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10-Year Balance Sheet

  • Rs. Crore
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SLIDE 37

Experience Next Generation Banking

FY15 FY14 FY13 FY12 FY11 FY10 FY09 FY08 FY07 FY06 FY05 CAGR ‘05-‘15 (%) Net Interest Income 1,366 1,399 1,281 1,022 791 568 523 376 368 310 257 21.42% Other Income 497 368 335 247 197 208 164 143 103 72 102 4.62% Total Income 1,863 1,767 1,616 1,269 988 777 687 519 471 382 359 15.04% Operating Expenses 1,047 883 767 617 463 366 328 245 219 226 187 16.40% Operating Profit 816 884 849 652 525 411 359 273 252 156 172 13.84% Provisions & Contingencies 414 155 161 79 80 43 57 39 105 87 158 3.52% Profit Before Tax 402 729 688 572 446 367 301 234 146 69 14 18.64% Provision for Tax 138 221 154 171 153 134 107 80 42 18 5 16.61% Exceptional Items

  • 43
  • 31.72
  • 2.70
  • Profit After Tax

307 508 502 402 293 234 195 152 104 51 9 19.66%

37

10-Year P&L

  • Rs. Crore
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SLIDE 38

Experience Next Generation Banking

* PCR without considering technical/prudential write-off. ** Values from FY05-FY08 pertain to CRAR as per Basel I

Key Performance Highlights FY15 FY14 FY13 FY12 FY11 FY10 FY09 FY08 FY07 FY06 FY05 Net Interest Margin (%) 2.70 3.02 3.21 3.10 3.06 2.77 3.17 2.89 3.28 3.25 2.74 CRAR Basel II (%)** 12.06 12.53 13.91 14.00 14.01 15.39 14.76 13.80 11.08 13.02 9.89 RoAA (Annualized) (%) 0.56 1.00 1.17 1.12 1.05 1.07 1.09 1.01 0.88 0.53 0.09 Provision Coverage (%) 60.63 62.71 60.33 71.36 73.94 70.82 48.45 81.98 75.77 63.94 44.22 CASA (%) 20.59 20.69 18.60 19.67 21.55 23.13 23.80 24.08 23.94 26.41 24.79 Gross NPA (%) 1.71 1.19 1.36 0.97 1.11 1.32 2.18 1.78 3.94 4.99 6.64 Net NPA (%) 0.96 0.78 0.78 0.28 0.29 0.39 1.13 0.33 0.98 1.86 3.81 Book Value per Share (Rs.) 26.59 25.06 22.44 19.12 16.33 13.14 11.54 12.84 10.86 9.10 9.54 Earnings per Share (Rs.) 2.28 3.78 4.03 3.55 2.59 2.07 1.72 1.68 1.48 0.72 0.18 Dividend per Share (Rs.) 0.60 0.80 0.70 0.60 0.50 0.40 0.30 0.30 0.25 0.18 NIL Branches

  • Kerala

444 436 409 383 358 316 301 286 277 263 251

  • South Ex-Kerala

236 227 213 200 173 161 146 133 122 119 117

  • Others (Rest of India)

142 131 116 105 100 93 73 71 66 58 51

Total Branches

822 794 738 688 631 570 520 490 465 440 419

ATMs

  • Kerala

651 552 461 382 280 190 144 115 84 66 58

  • South Ex-Kerala

362 293 221 184 124 100 71 50 39 38 33

  • Others (Rest of India)

187 155 118 97 86 81 63 58 51 40 30

Total ATMs

1,200 1,000 800 663 490 371 278 223 174 144 121 38

10-Year Business and Financial Metrics

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SLIDE 39

Experience Next Generation Banking Experience Next Generation Banking

SIB wins 'Best Private Sector Bank’ in the ABP News BFSI Awards 2015

Awards and Recognitions (1/2)

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SLIDE 40

Experience Next Generation Banking Experience Next Generation Banking

SIB wins 'Best IT Team Award‘ Banking Technology Excellence Award

Awards and Recognitions (2/2)

SIB wins Banking Frontiers Inspiring Work Places Award

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