Investor Presentation September 2018 A leading Financial Services Conglomerate Aditya Birla Capital Limited
Table of contents 1 | Overview Pg. 3 - 10 2 | Business-wise Performance Pg. 11 - 38 3 | Consolidated Financials & Other Annexures Pg. 39 - 44 NOTE 1: The financials of Aditya Birla Capital are consolidated financials prepared as per Indian GAAP unless otherwise specified NOTE 2: The financial figures in this presentation have been rounded off to the nearest INR 1 crore Aditya Birla Capital Limited 2
A financial services conglomerate meeting the lifetime needs of its customers Aditya Birla Capital LTD Listed NBF BFC ADITYA BIRLA FINANCE LTD 100% 00% ADITYA BIRLA MONEY LTD St Stock & Sec Securities 75% 75% Hou ousing Fin Finance ADITYA BIRLA HOUSING FINANCE LTD 100% 00% ADITYA BIRLA INSURANCE BROKERS LTD 2 Insu nsurance Broking 50.01% 1% ADITYA BIRLA SUN LIFE INSURANCE Life Insu Lif nsurance 51% 51% COMPANY LTD. 1 100% 00% ADITYA BIRLA PE ADVISORS PVT. LTD Private Equ quity AM AMC ADITYA BIRLA SUN LIFE AMC LTD 1 51% 51% Onl nline Per ersonal ADITYA BIRLA MYUNIVERSE LTD 3 93.7% Fin Finance ADITYA BIRLA HEALTH INSURANCE Hea ealth Insu nsurance 51% 51% CO. LTD 1 100% 00% ADITYA BIRLA ARC LTD ARC AR (JV with Värde Partners) 4 Wel ellness ADITYA BIRLA WELLNESS PRIVATE LTD 1 51% 51% 1 Indicates JV. 2 49.998% of ABIBL is held by Infocyber India Pvt Ltd. 3 6.3% of ABMUL is held by employee welfare trust (under ESOP) 4 50% JV subject to regulatory approvals Above is not intended to show the complete organizational structure and all entities therein. It is intended to describe Note: ABFS structure contains major subsidiaries and excludes step down subsidiaries, if any the key businesses of Aditya Birla Capital Aditya Birla Sunlife Pension Management Limited is 100% subsidiary of Aditya Birla Sun Life Insurance Company Ltd. Aditya Birla Capital Limited 3
Management team Average experience of Average experience of Chief Executive, ABCL 23+ years in Financial 10 years in ABG Services domain Ajay Srinivasan Business CEOs CEO, Infra & CEO, Asset CEO & MD CEO CEO, General CEO, Private Equity CEO, Health Insurance Life Insurance Structured Finance Management Aditya Birla Finance Insurance Broking A. Balasubramanian Rakesh Singh Tushar Shah D. Muthukumaran Sandeep Dadia Mayank Bathwal Pankaj Razdan ABCL Management President , Strategy & CFO COO CHRO CRO Chief Digital Officer CMO Business Development Mukesh Malik Subhro Bhaduri Pinky Mehta A Dhananjaya Gaurav Zutshi Ajay Kakar Pramo Selvaratnam Aditya Birla Capital Limited 4
Our approach Leveraging Market Opportunities Product Increasing Innovation and Reach Performance Capturing Balanced and Leveraging Customer Life Profitable Synergies Time Value Growth Strengthening Enablers - Risk, Retailisation Technology and Analytics Aditya Birla Capital Limited 5
Growth and scale across the platform A Trusted Brand That Serves All Financial Needs.. ..with a Platform of Size and Scale 5 Year Growth : FY14 → FY18 P R O T E C T I N G F I N A N C I N G Pan-India 1.3x Lending Book: 3.7x Life Insurance NBFC presence with Ind FYP: 2,00,000+ 800+ Health Housing GWP: ~Rs 250 cr Lending Book: 57x Agents and branches Finance # Insurance* Channel Partners # Commenced operations from Oct ‘14 * First year of full operation in FY18 84+ Banks A D V I S I N G I N V E S T I N G 16,000+ and 260+ employees Insurance national Revenue: 3.2x 2.8x AMC AAUM: Advisory distributors Online Revenue: 6.5x Revenue: 2.2x Broking Money Mgmt Aditya Birla Capital Limited 6
Key milestones: FY18 Ranked No.3 Mutual Fund 4 ✓ ✓ LISTED Aditya Birla Capital Net VNB Positive in Life Insurance Business ✓ ✓ Launched UNIFIED Brand HFC Achieved Full Year PROFITABILITY ✓ ✓ Crossed Rs 1,000 Cr Annual PAT 1 1 st FULL YEAR for Health Insurance with ✓ ✓ Manage over Rs 3,00,000 Cr in AUM 2 1 MILLION lives covered Received ARC License (JV with Värde ✓ ✓ Lending Book of over Rs 51,000 Cr 3 Partners) Touching Lives of 10 Million Active Customers 1 Consolidated PAT (before minority interest) 3 Includes lending book of NBFC and housing finance Business 2 Includes AUM of Life Insurance, Health Insurance, Private Equity and Quartely average AUM of Asset Management Business 4 Based on AAUM for Q1FY19 (Source: AMFI) Aditya Birla Capital Limited 7
Power of coming together as “ONE BRAND” Our Consideration Score 1 since launch of ABCL Brand in November 2017 Breaking off the Pack Gain in overall Consideration Score Oct’17 Jun ’18 To p P r i v a t e S e c t o r B a n k s To p P u b l i c S e c t o r I n s t i t u t i o n s P r i v a t e D i v e r s i f i e d N B F C s 1 Consideration Score representative of willingness of customers to trust a brand with all their money needs across Based on Survey conducted by insurance products, mutual funds and investing products, loan products and investment advisory services ABCL consideration score across all category offerings (Oct’17 – Jun’18) P R O T E C T I N G I N V E S T I N G F I N A N C I N G A D V I S I N G Consideration Score + 30 Consideration Score + 33 Consideration Score + 32 Consideration Score + 38 Category Score + 10 Category Score + 8 Category Score + 9 Category Score + 17 Aditya Birla Capital Limited 8
Delivering strong financial performance: FY18 Figures in Rs Crore C O N S O L I D A T E D P R O T E C T I N G I N V E S T I N G F I N A N C I N G 21% 27% 32% 28% 13,428 2,67,739 51,378 1,235 11,071 964 2,10,742 38,839 FY17 FY18 Revenue 4 FY18 Profit After Tax FY17 FY17 FY17 FY18 FY18 Growth FY17 FY18 (After Minority Interest) Premium 1 AAUM 2 Lending Book 3 44% Consolidated 4 573 824 1 Includes Life Insurance individual first year premium and Health Insurance retail business premium 2 Includes AAUM of Asset Management Business, and does not include Life Insurance, Health Insurance and Private Equity 3 Includes lending book of NBFC and Housing Finance Businesses 4 On like to like basis. ABNL transferred its 51% stake in Aditya Birla Sun Life Insurance (ABSLI) to ABCL w.e.f 23 rd March 2017. Previous year financials have been re-stated to make performance comparable. Aditya Birla Capital Limited 9
Delivering strong financial performance: Q1 FY19 Figures in Rs Crore P R O T E C T I N G I N V E S T I N G F I N A N C I N G C O N S O L I D A T E D 32% 19% 30% 62% 3,374 2,67,176 53,584 280 2,553 172 2,25,176 41,066 Q1 FY18 Q1 FY19 Revenue 4 Profit After Tax Q1 FY18 Q1 FY19 Q1 FY18 Q1 FY19 Q1 FY18 Q1 FY19 Growth Q1 FY18 Q1 FY19 (After Minority Interest) Premium 1 AAUM 2 Lending Book 3 Established 36% 212 288 Businesses 5 1 IIncludes Life Insurance individual first year premium and Health Insurance retail business premium 2 Includes AAUM of Asset Management Business, and does not include Life Insurance, Health Insurance and Private Equity 3 Includes lending book of NBFC and Housing Finance Businesses 26% Consolidated 172 216 4 Asset Management and Wellness businesses consolidated based on equity accounting under Ind AS, however included in revenue to show holistic financial performance 5 Includes EBT of NBFC, Asset Management and Life Insurance businesses Aditya Birla Capital Limited 10
Aditya Birla Finance Limited 11
A well diversified portfolio CAGR 39% 43,242 Amongst Top 5 Private Diversified SME + Retail + HNI NBFCs in India 34,703 Strong +4% 25,755 growth in lending Lending Book grew at 39% CAGR book 17,855 Mid + Large Lending Book at Rs 43,242 cr (Rs. Cr) 11,735 Retail + SME + UHNI Mix at 47% (up 4%) FY'14 FY'15 FY'16 FY'17 FY'18 Unsecured Retail Lending business turned profitable in <2 years of operations 1,885 CAGR 42% Net 1,350 Interest 943 Income Net Interest Income grew at 42% CAGR 674 (Rs. Cr.) 459 Net Interest Income at Rs 1,885 cr FY'14 FY'15 FY'16 FY'17 FY'18 Aditya Birla Capital Limited 12
Multi-product portfolio catering to a range of customer needs Large & Mid Corporate (50% of Loan Book) SME (27% of Loan Book) 6% 4% TL/ WCDL 8% 12% TL/ WCDL 11% 14% 19% 19% 24% LAP 25% Project Loan 26% 29% 27% 24% LRD Structured Finance 47% 39% Supply Chain Finance 31% 33% Construction Finance Broker Funding FY17 FY18 FY17 FY18 Retail (11% of Loan Book) HNI + Others (12% of Loan Book) 21% 16% 20% 26% LAP LAS 19% 44% 80% Unsecured and Digital 71% 61% Treasury 41% LAS FY17 FY18 FY17 FY18 Aditya Birla Capital Limited 13
Diversified borrowing mix Competitive Cost of Borrowings 3% 5% 4% 5% 5% 15% 24% Achieved through active treasury management and 28% 30% 33% dynamic changes in borrowing mix 29% 16% 19% 25% Diversified 26% Borrowing Mix 56% 51% 50% AAA rated by India Rating and Research 40% 36% Strong parentage of Aditya Birla Group FY'14 FY'15 FY'16 FY'17 FY'18 Bank CP NCD Sub debt & Perpetual Maintained Adequate Liquidity Cover CRAR at 17.9% and leverage at 5.7x 9.89% 9.62% 9.11% Resulted in 8.60% competitive 7.83% cost of borrowings FY'14 FY'15 FY'16 FY'17 FY'18 Aditya Birla Capital Limited 14
Recommend
More recommend
