SOUTH INDIAN BANK
Q2 FY 18-19
INVESTOR PRESENTATION
SUMMARY
·
MR.V.G.
MATHEW MD % CEO
·
The
FIRST Kerala based bank to implement Core Banking System
|
Branch Location
|
No of BrancheS
|
|
Kerala
|
465
|
|
South India (Ex-Kerala)
|
249
|
|
Rest of India
|
143
|
|
TOTAL
|
857
|
|
SOUTH IND BANK
|
Sep '18
|
Jun '18
|
Mar '18
|
Dec '17
|
Sep '17
|
YOY
|
QOQ
|
|
Operating Profit before Provisions
and contingencies
|
309.78
|
269.64
|
310.88
|
330.15
|
460.27
|
-32.7
|
14.89
|
|
Provisions And Contingencies
|
204.68
|
231.53
|
148.63
|
154.28
|
453.68
|
-54.88
|
-11.6
|
|
PROFIT Before Tax
|
105.1
|
38.11
|
162.25
|
175.87
|
6.59
|
1494.84
|
175.78
|
|
Tax
|
34.97
|
15.07
|
48.15
|
60.87
|
2.27
|
1440.53
|
132.05
|
|
Net Profit
|
70.13
|
23.04
|
114.1
|
115
|
4.32
|
1523.38
|
204.38
|
|
Equity Share Capital
|
180.97
|
180.95
|
180.88
|
180.58
|
180.44
|
0.29
|
0.01
|
|
EPS After Extra Ordinary
|
|||||||
|
Diluted EPS
|
0.39
|
0.13
|
0.63
|
0.64
|
0.02
|
1850
|
200
|
|
NPA Ratios :
|
|||||||
|
i) Gross NPA
|
2,646.15
|
2,552.18
|
1,980.30
|
1,774.59
|
1,766.32
|
49.81
|
3.68
|
|
ii) Net NPA
|
1,784.72
|
1,813.88
|
1,415.80
|
1,210.83
|
1,255.84
|
42.11
|
-1.61
|
|
i) % of Gross NPA
|
4.61
|
4.54
|
3.59
|
3.4
|
3.57
|
29.13
|
1.54
|
|
ii) %
of Net NPA
|
3.16
|
3.27
|
2.6
|
2.35
|
2.57
|
22.96
|
-3.36
|
|
Return on Assets %
|
0.33
|
0.11
|
0.56
|
0.58
|
0.02
|
1550
|
200
|
|
MP
|
14.86
|
||||||
|
PE
|
9.53
|
||||||
|
VOLUMES
|
6857888
|
||||||
|
FV
|
1
|
||||||
|
52 W L H
|
12.45
|
34.75
|
|||||
|
TREND
|
|||||||
|
18.10.18
|
1 week
|
2 week
|
1 month
|
3 month
|
6 month
|
9 month
|
1 year
|
|
Price
|
13.24
|
14.16
|
16.25
|
22.6
|
26.7
|
32.15
|
32.15
|
|
Gain / Loss
|
12.24%
|
4.94%
|
-8.55%
|
-34.25%
|
-44.34%
|
-53.78%
|
-53.78%
|
REVIEW OF Q2 FY 19 RESULTS
SOME IMPORTANT FEATURES :
· CASA
UP 11.5% YOY (16485 VS 18388)Rs Cr
· DEPOSITS
UP 11.6% (67142 VS 74911)
· ADVANCES
UP 15.5% (49717 VS 57413)
· NET
INTEREST INCOME UP 1% (503 VS 506)
· PROVISIONS DOWN 55% (454 VS 205)
· PAT
UP 1650% (4 VS 70)
· OPENED
A REP OFFICE IN DUBAI,UAE
·
TERM DEPOSITS UP 7% (39618 TO 42498)
·
NRI DEPOSITS GROWING UP 14% (17850
TO 20,425)
·
GROSS NPA 2552 TO 2646
·
NET NPA 1814 TO 1785
·
STRESSED ASSETS AS % OF ADVANCES
4.58% TO 4.83% ON GROSS BASIS
·
,, ON NET BASIS : 3.31% TO 3.36%
·
PROVISION COVERAGE RATIO : 41.9%
·
CAPITAL COMPOSITION : TIER 1 10%;
TIER 2 2.1% TOTAL 12.1%
BUSINESS STRATEGY
· Expand Retail Business
· New Retail Banking
Department Focus on retail loan & liability/investment products
•Efficient branches & processing centers for faster
processing of loans
•Outbound Sales team
•Continuous training of work force
•Advanced technology for ease of customers
•Invest in Brand
Building
Strengthen SME Base
•Cluster based
approach in industry hubs
•Sole Banker to SMEs
for all banking needs
•Dedicated
vertical to penetrate SME banking
Improve CASA
• Strategy &
Road map in place to increase CASA funds
• Alternate channels
for mobilising CASA
• Centralized
processes allowing branches to focus on garnering low cost funds
• Continuous improvement/review of products
Enhance Asset Quality
• Granulize loan
portfolio to spread out risk
• Cautious approach
on large corporate lending
• Special cell for monitoring non performing and
restructured assets
IMPROVE SHARE OF OTHER INCOME
• Focus on increasing
banking services for SME, Retail, NRI
• Enhance treasury
capabilities & increase branch strength
• Expand POS/ATM
Network and all digital channels
• Leveraging
technology to introduce modern & new-age banking products
• Focus on 3rdParty/Investment products to generate more
other income
Loan Processing
·
ENTIRE
LOAN UNDERWRITING CENTRALISED
·
ENHANCED
RISK MANAGEMENT
·
KYC
COMPLIANCE AND FRAUD PREVENTION TOOLS
Retail Business
•Penetrate further in the existing set of
Customers
•Faster
Sanctions
BRANCH
PROFITABILITY
•Focus on
particular geographies and open additional branches
•Improve
Branch Profitability
Housing:
Key Initiatives
•Retail
hub in Kochi to increase focus on housing finance
•Dedicated
Officers for marketing Retail Loans
•Marketing
initiative through TVCs
•Tailor made products for different
segments
July to September 2018
•Mortgage
Loans Sanctioned : 1,982 Nos.
•Amount
of Mortgage Loans Sanctioned: Rs. 587 Crs
SME Highlights
·
Dedicated JGM 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
•Ongoing training (in-house as well
as external)
•Entire
SME loan processing centralized at Kochi at two
centers-Special focus on applications up to Rs. 2.00 Cr and standardized,
uniform risk based approach on Rs. 2.00 Cr to Rs. 25.00 Cr SME Segment.
•Underwriting of SME loans through customized software called SME LOS (SME
Loan Origination System ) to ensure speedy, paperless processing with
capabilities to integrate with external sources like Finacle, CIBIL, Rating
Agencies etc for seamless flow of data.
•Regional Offices freed from processing of
loan applications so as to focus on new customer acquisition and marketing
