Set up by an IDBI Act IDBI Repeal Act Act of

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Joel Walker
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1 Presentation to Analysts July 2011

2 Genesis Set up by an IDBI Act IDBI Repeal Act Act of amended to passed in Parliament in permit private December as a ownership upto for conversion subsidiary of the Central Bank (RBI) Ownership transferred to Govt. in 1976 IDBI had been a policy bank in the area of industrial financing and development 49%. Domestic IPO in 1995, reduces Govt. stake to 72%. Post capital restructuring in 2000, Govt. stake reduced to 58.5% to a banking company. Govt. ownership to be not below 51% Amalgamation of IDBI Bank Ltd. With IDBI Ltd. W.e.f. April 2, 2005 Oct amalgamated erstwhile UWB. Complete Networking (100% Core Banking) Organization structure redesigned on Customer Segmentation basis Name changed to IDBI Bank Ltd Achieved regulatory norms of SLR, CME 2

3 Status as Leading DFI Leading provider of long term finance o Played an apex role in helping create the industrial and infrastructural base in the country o Total Investments generated ` 4000 billion (approx.) (over USD 80 bn) o Significant player in domestic debt syndication. Played a pivotal role in developing institutions that shaped the country s financial architecture o NSE - Electronic Stock Exchange, o NSDL - Securities Depository, o CARE - Rating Agency, o SHCIL - Depository Participant, e-stamping etc. o SIDBI - Funding institution for SSI and ME o Exim Bank- A bank to finance export Import o ARCIL - Asset reconstruction company o NeDFI - For development of North-East Region 3

Distribution Network Reach 883 branches; 1459 ATMs 1- Overseas, 252-Metro, 335-Urban, 204-Semi

SME Centres o 14 Agri Processing Centres o 5 Regional Processing Units o 23 Central Clearing

College Corporate customers:3000+ Retail customer base:5 million+ Global expansion plans

4 Distribution Network Reach 883 branches; 1459 ATMs 1- Overseas, 252-Metro, 335-Urban, 204-Semi Urban & 91-Rural Presence in 598 locations Network of : o 61 Retail Asset Centres o 31 City SME Centres o 14 Agri Processing Centres o 5 Regional Processing Units o 23 Central Clearing Units 6 Currency Chests across the country Internet banking 4 Regional & 1 Central Training College Corporate customers:3000+ Retail customer base:5 million+ Global expansion plans Initiated the process for setting up Branch Offices at Singapore and Representative Office at Shanghai 4

5 Highlights (Q1 FY 12 over Q1 FY 11) S ADVANCE A % DEPOSITS S D % NII % 838 FEE INCO OME F % IT OP PROF O 24% PAT 33%

6 Balance Sheet As at 30-Jun Jun-10 LIABILITIES Capital Reserve & Surplus [Net Worth] Deposits Borrowings Other Liabilities & provisions Total ASSETS Cash & balance with RBI Bal. with banks & money at call Investments Advances Fixed Assets [incl leased assets] Other Assets Total

7 Profit & Loss Particulars Quarter Ended Year Ended Jun.11 Jun.10 Mar.11 Mar10 Mar.10 Interest income Interest expenses Net Interest income Other Income Total income Operating Expenses Employee Cost Other Operating Expenses Operating Profit Provisions & contingencies NPAs / Write offs Restructured Assets Others (Invt., Std Asset, etc) Tax Deffered Tax Profit After Tax

8 Details of Other Income Particulars Quarter Ended Year Ended Jun.11 Jun.10 Mar.11 Mar.10 Commission, Excg & Brkg Profit on sale of investments Profit/(Loss) on revaluation of investment Profit on sale of Fixed Assets Profit on forex/derivatives Dividend from subsidiaries Recovery from written off cases Other misc income Total Fee Based Income

9 Details of Operating Expenses Particulars Quarter Ended Year Ended Jun.11 Jun.10 Mar.11 Mar.10 Staff Cost Rent, taxes & lighting Printing & stationery Advertisement & Publicity Depreciation Postage, Telegram, Teleph., etc Repairs and maintenance Insurance Banking expenses Expenses for recovery of write off cases Outsourcing expenses Fee and other expenses for borrowing Other expenditure TOTAL

10 Key Ratios Particulars Quarter Ended Year Ended Jun.11 Jun.10 Mar.11 Mar.10 Net Interest Margin (%) 2.07% 1.61% 2.07% 1.17% Return on Assets (%) 0.54% 0.45% 0.73% 0.53% Return on Equity (%) 10.40% 12.04% 14.93% 13.14% Cost of all liabilities (%) 7.25% 6.13% 6.31% 6.69% Yield ildon Total Assets (%) 9.81% 8.47% 9.15% 9.03% Margin (%) 2.56% 2.35% 2.84% 2.34% Cost of Funds (%) 7.99% 6.64% 6.94% 7.35% Return on Earning Assets (%) 10.03% 03% 8.69% 9.39% 9.38% Spread (%) 2.04% 2.05% 2.45% 2.03% Non-interest income to Total Income 7.11% 9.94% 10.36% 13.60% Efficiency y[ [Cost- Net Income] Ratio 34.90% 36.91% 35.16% 40.18% Staff Expenses to total income 4.03% 4.91% 5.06% 4.31% Staff Expenses to total expenses 4.85% 5.95% 6.33% 5.10% Overhead efficiency ratio 77.98% 97.26% 95.06% % Fee Based Income to Average Assets 0.14% 0.19% 0.72% 0.71% 10

11 Balance Sheet Ratios 30-Jun Jun-10 Total Business [Dep. + Adv.] SB Deposits to Total Deposits 7.74% 6.55% Current Account Deposits to Total Deposits 9.55% 6.44% Time Deposits to Total Deposits 82.71% 87.00% Book Value - ` Total Off B/Sheet item to Total Assets 54.91% 56.68% Owned Funds to total outside liabilities 5.71% 4.08% Tier One Capital Tier Two Capital Total oa Capital a Total Risk Weighted Assets Total Risk Weighted Assets to Total Assets 77.00% 76.70% CRAR (Total) 13.83% 11.86% CRAR - Tier I 8.11% 6.69% 69% CRAR - Tier II 5.72% 5.17% Number of Accounts (i) Savings (ii) Current (iii) Term Deposit)

12 NPAs Particulars 30-Jun Mar-11 Gross Advances Gross NPAs Gross NPAs as % of Gross Advances Total Provisions held Net Advances Net NPAs Net NPAs as % of Net Advances Provision Coverage Ratio Provision Coverage Ratio as per RBI Guidelines Sectoral Net NPAs % Agri & Allied activities iti Industry (Micro, Small, Medium & Large 1.54 Services 1.65 Personal Loans

13 Summary of NPAs as on Jun 30, 2011 For the Quarter Gross NPA Provision Net NPA As on Additions (First time NPA) Less: (i) Upgradations (ii) Recoveries (iii) Countercyclical Provision As on

14 Classification of NPAs as on 30th June 2011 For the Quarter Gross NPA Provision Net NPA Sub Standard Assets Doubtful Assets Loss Assets Total

15 Advances Vertical 30-Jun Jun-10 ICG LCG MCG MSME Agri Retail Total Nature 30-Jun Jun-10 Bills CC, OD, WCDL etc Term Loans- Other Total Top 20 Borrowers Maturity yprofile Amount Upto 6 Months Months-1Year Years Years > 5 Years Total

16 Advances Commited Industry Outstanding Exposure (FB + NFB) POWER 20, , IRON AND STEEL 15, , ROADS & BRIDGES / PORTS 13, , TELECOM 13, , OIL & GAS/PETROLEUM PRODUCTS 9, , NBFC 10, , GENERAL MACHINERY & EQUIPMENTS 7, , AGRICULTURE & RELATED ACTIVITIES 8, , CONSTRUCTION 8, , TEXTILES 7, , INFRASTRUCTURE OTHERS 6, , TRADING 4, , M ETAL PRODUCTS 4, , CEM ENT 5, , FERTILIZERS 2, , OTHER 3, , CHEM ICAL & CHEM ICAL PRODUCTS 3, , SUGAR 3, , COM M ERCIAL REAL ESTATE 3, , BANKING , Total 1,53, ,41,

17 Restructuring Industry Net Outstanding tanding Financial Services Infrastructure Diamond Industry Other Services Electricity Electronics Agro Industries IT Health Care Metal Industry Chemical & Fertilizers Electical Machinery Motor Vehicles Paper Textiles Food & Beverages Printing Telecommunications Real Estate Misc. Industry Mining and quarrying 8.51 Retail Store Air Transport Total

18 NPAs out of Restructured Advances as on Jun 30, Industry Net Outstanding Financial Services 0.00 Infrastructure Diamond Industry Other Services Electricity Electronics Agro Industries IT Health Care 3.25 M etal Industry Chemical & Fertilizers Electical Machinery M otor Vehicles 7.35 Paper Textiles Food & Beverages Printing Telecommunications Real Estate Misc. Industry M ining and quarry ing 8.51 Retail Store Air Transport 0.00 Total

19 Investments Category HTM AFS HFT TOTAL Government securities SASF Securities Shares Debentures/ Bonds Subsidiaries/ Joint Ventures Security Receipts Others (CPs/CD/MF)etc Total

20 List of some strategic investments Entity % IDBI ASSET MANAGEMENT LTD IDBI CAPITAL MARKET SERVICES LIMITED IDBI INTECH LIMITED IDBI MF TRUSTEE COMPANY LTD IDBI FEDERAL LIFE INSURANCE COMPANY LIMITED IDBI TRUSTEESHIP SERVICES LIMITED SIKKIM INDUSTRIAL DEVELOPMENT AND INVESTMENT CORPORATION LIMITED MANIPUR INDUSTRIAL DEVELOPMENT CORPORATION LIMITED NAGALAND INDUSTRIAL DEVELOPMENT CORPORATION LIMITED NATIONAL SECURITIES DEPOSITORY LIMITED BIOTECH CONSORTIUM INDIA LIMITED ZORAM INDUSTRIAL DEVELOPMENT CORPORATION LIMITED CREDIT ANALYSIS AND RESEARCH LIMITED NORTH EASTERN DEVELOPMENT FINANCE CORPORATION LIMITED INVESTORS SERVICES OF INDIA LIMITED PONDICHERRY INDUSTRIAL PROMOTION DEVELOPMENT AND INVT CORP LTD SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA ASSET RECONSTRUCTION COMPANY (INDIA) LIMITED STOCK HOLDING CORPORATION OF INDIA LIMITED OTC EXCHANGE OF INDIA LIMITED EDC LIMITED TRIPURA INDUSTRIAL DEVELOPMENT CORPORATION LIMITED NEPAL DEVELOPMENT BANK LIMITED CORDEX INDIA PVT. LTD SECURITIES TRADING CORPORATION OF INDIA LIMITED 6.60 CLEARING CORPORATION OF INDIA LIMITED NATIONAL STOCK EXCHANGE OF INDIA LIMITED 5.00 UNITED STOCK EXCHANGE OF INDIA LIMITED

21 Liabilities Deposits 30-Jun Jun-10 Current Savings Term Total Borrowings 30-Jun Jun-10 Tier I Upper Tier II Lower Tier II Flexibonds Omnibonds Refinance/Borrowings SLR Bonds Outside India Total

22 22 Thank You

Set up by an IDBI Act IDBI Repeal Act Act of

Presentation to Analysts April 2011 Genesis 1964-1976 1994-00 2003-06 2007-10 Set up by an IDBI Act IDBI Repeal Act Act of amended to passed in Parliament in permit private December 2003 1964 as a ownership