Earnings Presentation Q1FY20 www.repcohome.com Earnings - PowerPoint PPT Presentation

Repco Home Finance Limited Earnings Presentation Q1FY20 www.repcohome.com Earnings Presentation  August 2019

Agenda Repco Home Finance Limited Q1FY20 Performance  Business summary…………………………………………….……. ► Financial performance …………………………… ► Borrowing profile………………..……………….…………………. ► Geographic Presence  Footprint.……………………………………………….. ► Region- wise loan book.………………………………………….… ► Annexure  Earnings Presentation  August 2019

Repco Home Finance Limited Q1FY20 Performance Earnings Presentation  August 2019

Business Summary Repco Home Finance Limited Loans outstanding (June 30, 2019) Rs. 1,13,421 mn • Net worth (June 30, 2019) Rs. 14,929 mn • Tier 1 capital adequacy ratio 24.5% (Provisional) • Average loan per unit Rs. 1.4 mn • Number of live accounts 94,624 • Current employee Strength 941 • Gross NPA (%) (June 30, 2019) 4.2% • ECL provision(%) (June 30, 2019) 1.5% • 4 Earnings Presentation  August 2019

Q1FY20 performance Repco Home Finance Limited Figures in Rs million Total income Net interest income Profit after tax Q1FY20 623 3,284 1,271 14% 7% 2% Q1FY19 2,872 1,186 609 TN & Pondicherry book Rest of India book Overall loan book 65,354 48,283 Q1FY20 1,13,421 8% 13% 19% Q1FY19 60,547 40,640 1,00,745 5 Earnings Presentation  August 2019

Asset book Repco Home Finance Limited Figures in Rs million Sanctions and disbursements Loan Book 1,13,421 7,580 1,10,000 8,000 1,00,745 6,981 1,00,000 7,039 7,000 6,674 90,000 6,000 80,000 70,000 5,000 60,000 4,000 50,000 40,000 3,000 30,000 Q1FY19 Q1FY20 20,000 Sanctions Disbursements June'18 June'19 Loan book composition Mix of loan portfolio 100% 100% 18.2% 18.5% 80% 80% 54.2% 57.3% 60% 60% 81.8% 81.5% 40% 40% 45.8% 42.7% 20% 20% 0% 0% June'18 June'19 June'18 June'19 Salaried Non Salaried Home loans Loans against property 6 Earnings Presentation  August 2019

Income and earnings growth Repco Home Finance Limited Figures in Rs million Total income Net interest income 3,284 3,500 1,400 1,271 2,872 1,300 3,000 1,186 1,200 2,500 1,100 2,000 1,000 900 1,500 800 1,000 700 500 600 - 500 Q1FY19 Q1FY20 Q1FY19 Q1FY20 Net profit Net worth 640 17,000 623 14,929 620 609 15,000 13,184 600 13,000 580 11,000 560 9,000 540 7,000 520 5,000 500 June'18 June'19 Q1FY19 Q1FY20 7 Earnings Presentation  August 2019

Operating cost Repco Home Finance Limited Figures in Rs million Employee cost Other opex 100 160 147 89 88 90 130 140 80 120 70 100 60 50 80 40 60 30 40 20 20 10 0 0 Q1FY19 Q1FY20 Q1FY19 Q1FY20 Cost to income ratio 18.4% 18.5% 20.0% 15.0% 10.0% 5.0% 0.0% Q1FY19 Q1FY20 8 Earnings Presentation  August 2019

Profitability ratios Repco Home Finance Limited Net interest margin Spread 3.4% 5.0% 4.8% 3.2% 4.8% 3.2% 3.1% 4.5% 4.6% 3.0% 4.4% 4.2% 2.8% 4.0% 2.6% 3.8% 3.6% 2.4% 3.4% 2.2% 3.2% 2.0% 3.0% Q1FY19 Q1FY20 Q1FY19 Q1FY20 Return on equity Return on assets 3.0% 25.0% 2.5% 19.8% 2.5% 2.2% 20.0% 17.7% 2.0% 15.0% 1.5% 10.0% 1.0% 5.0% 0.5% 0.0% 0.0% Q1FY19 Q1FY20 Q1FY19 Q1FY20 9 Earnings Presentation  August 2019

Asset quality Repco Home Finance Limited 90+ dpd(%) 5.0% 4.5% 4.2% 4.0% 4.0% 3.9% 4.0% 3.7% 3.6% 3.4% 3.5% 3.0% 2.9% 3.0% 2.5% 2.0% Jun-17 Sep'17 Dec'17 Mar'18 June'18 Sep'18 Dec'18 Mar'19 June'19 Gross NPA 10 Earnings Presentation  August 2019

ECL Provisioning Repco Home Finance Limited Figures in Rs million June'18 Mar'19 June'19 3,987 3,259 4,812 Gross Stage 3 4.0% 3.0% 4.2% % portfolio in Stage 3 449 1,178 1,469 ECL provision - Stage 3 3,538 2,081 3,343 Net - Stage 3 11% 36% 31% Coverage ratio - Stage 3 96,759 1,07,109 1,08,609 Gross Stage 1 & 2 96% 97% 96% % portfolio in Stage 1 & 2 715 1,645 1,719 ECL provision - Overall 11 Earnings Presentation  August 2019

Mix/Product-wise GNPA (%) Repco Home Finance Limited 7.0% 6.2% 5.6% 6.0% 5.0% 4.5% 4.2% 4.0% 4.0% 3.0% 3.0% 2.0% 1.5% 1.5% 1.1% 1.0% 0.0% Salaried Non-Salaried Overall June'19 Mar'19 June'18 8.0% 6.9% 6.8% 7.0% 6.0% 5.0% 5.0% 4.2% 4.0% 3.6% 4.0% 3.3% 3.0% 2.5% 3.0% 2.0% 1.0% 0.0% Housing Loan LAP Overall June'19 Mar'19 June'18 12 Earnings Presentation  August 2019

Diversified borrowing profile Repco Home Finance Limited Average 100% 5% 2% June'18 June'19 % change Source (Rs mn) 9% cost 15% 80% 7.6% 7,292 10,459 43% National Housing Bank 60% 71% 64% Repco Bank 8.2% 6,253 7,583 21% 40% 20% Commercial Banks 8.8% 53,321 67,833 27% 8% 8% 11% 9% 0% NCDs 8.2% 12,370 8,258 -33% June'18 June'19 National Housing Bank Repco Bank Commercial Papers 7.8% 4,000 1,500 -63% Commercial Banks NCDs Total 8.6% 83,236 95,632 15% CPs Update on Liquity On-Balance Sheet liquidity - Rs. 2,019 mn of cash and cash equivalents. Off- Balance Sheet liquidity - Unutilized bank lines of Rs. 13,000 mn. (as at August 12, 2019) 13 Earnings Presentation  August 2019

Repco Home Finance Limited Geographic Presence Earnings Presentation  August 2019

Footprint Repco Home Finance Limited Present in 12 states and 1 Union Territory with  147 branches and 27 satellite centers. Entered the State of Rajasthan in Q1FY20  Presence beyond South: branches in West  Bengal, Orissa, Maharashtra, Gujarat, Madhya Pradesh & Rajasthan. Network Expansion 174 170 170 160 156 150 142 150 122 130 110 92 88 90 70 50 30 Mar'12 Mar'13 Mar'14 Mar'15 Mar'16 Mar'17 Mar'18 Mar'19 June'19 15 Earnings Presentation  August 2019

Region-wise loan book Repco Home Finance Limited Andhra Pradesh, Others, 2.9% 6.6% Telangana, 4.6% Gujarat, 3.4% Karnataka, 13.8% Tamil Nadu, 56.6% Kerala, 3.6% Maharashtra, 8.6% Annualized Exposure YoY QoQ States June'18 Mar'19 June'19 growth growth Andhra Pradesh 6.8% 6.7% 6.6% 8% 5% Telangana 4.3% 4.6% 4.6% 20% 7% Gujarat 2.6% 3.3% 3.4% 46% 27% Karnataka 13.1% 13.8% 13.8% 19% 13% Kerala 3.9% 3.7% 3.6% 4% 4% Maharashtra 7.6% 8.4% 8.6% 26% 21% Tamil Nadu 58.9% 56.6% 56.6% 8% 12% Others 2.8% 3.0% 2.9% 18% 2% Total 100% 100% 100% 13% 12% 16 Earnings Presentation  August 2019

Repco Home Finance Limited Annexure Earnings Presentation  August 2019

Shareholding pattern Repco Home Finance Limited % Outstanding shares – 62.56 mn Major non-promoter shareholders shareholding HDFC Mutual Fund 7.5% Bodies Resident Corporates, Franklin Templeton Mutual Fund 6.2% Individuals, 1.2% India Capital Fund Limited 5.9% 7.4% Aditya Birla Mutual Fund 5.7% Mutual DSP Mutual Fund 4.4% Funds, Alliance Bernstein Funds 3.1% 25.2% Somerset Emerging Markets Fund 2.2% Foreign Apax Global Fund 2.1% Portfolio ICICI Prudential ETF Investors, 1.4% 25.8% NRIs, 1.1% Promoters, 37.1% Others, 2.2% 18 Earnings Presentation  August 2019

Profit and loss statement Repco Home Finance Limited Figures in Rs million (Rs. million) Q1FY20 Q1FY19 YoY (%) Q4FY19 QOQ (%) FY19 Income: Revenue from operations 3,281 2,869 14% 3,077 7% 11,893 Other income 3 3 9% 4 -18% 59 Total Income 3,284 2,872 14% 3,081 7% 11,952 Expenses: Interest and other financial charges 2,015 1,684 20% 1,914 5% 7,200 Employee benefit expense 147 130 13% 171 -14% 585 Depreciation and amortization expense 30 10 188% 13 129% 50 Other expenses 58 79 -26% 93 -37% 349 Provisions & write-offs 75 47 60% -24 170 Total Expenses 2,325 1,949 19% 2,166 7% 8,354 Profit before tax 960 923 4% 915 5% 3,598 Tax expense: Current tax 268 274 -2% 228 17% 1,017 Deferred Tax 69 39 75% 172 -60% 235 Net Profit/(Loss) 623 609 2% 515 21% 2,346 Other Comprehensive Income 2 0 -860% 3 -40% 8 Total Comprehensive Income 625 609 3% 518 21% 2,355 19 Earnings Presentation  August 2019

Relative performance – Q1FY20 Repco Home Finance Limited Particulars Units Q1FY19 Q1FY20 Sanctions Rs. mn 7,580 6,981 Disbursements Rs. mn 7,039 6,674 Net interest income Rs. mn 1,143 1,271 PAT Rs. mn 609 623 NIM % 4.8 4.5 Yield on assets % 11.4 11.7 Cost of funds % 8.2 8.6 Spread % 3.2 3.1 Return on assets % 2.5 2.2 Return on equity % 19.8 17.7 20 Earnings Presentation  August 2019