PRESS RELEASE AXIS BANK ANNOUNCES FINANCIAL RESULTS FOR THE QUARTER ENDED 30 th JUNE 2013 Results at a Glance Net Prfit fr Q1FY14 grws 22% YOY and is `1,409 crres The Bank s Retail franchise cntinues t demnstrate slid grwth Savings Bank Depsits grw 20% YOY CASA and Retail Term Depsits cnstitute 69% f Ttal Depsits Daily Average CASA fr Q1FY14 cnstitute 39% f Ttal Depsits Retail Assets increased 40% YOY and accunt fr 29% f net advances Retail Fee incme grws 23% YOY Asset Quality is stable with Net NPA at 0.35% Bank is well capitalised with a healthy Capital Adequacy Rati. Under Basel II, verall CAR is 16.90% and Tier I CAR is 12.35% including Q1 prfits. Under Basel III, verall CAR and Tier I CAR stands at 16.40% and 12.25% respectively, including the Q1 prfits. The Bard f Directrs f Axis Bank Limited apprved the financial results fr the quarter ended 30 th June 2013 at its meeting held in Ahmedabad n Thursday, 18 th July 2013. Prfit & Lss Accunt: Quarter ended 30 th June 2013 The Bank has reprted strng earnings in terms f grwth in Net Interest Incme, Fee and ther incme fr the quarter ended 30 th June 2013. With slwer grwth in perating expenses, the Bank s Operating Prfit and Net Prfit have registered sund grwth. Operating Prfit & Net Prfit The Bank s Operating Prfit grew 45% YOY t `2,844 crres during Q1FY14 frm `1,964 crres during Q1FY13. The Net Prfit fr Q1FY14 has registered a grwth f 22% YOY t `1,409 crres frm `1,154 crres in Q1FY13. Page 1 f 6
Net Interest Incme and Net Interest Margin The Bank s Net Interest Incme (NII) rse 31% YOY t `2,865 crres during Q1FY14 frm `2,180 crres during Q1FY13. The Bank recrded a Net Interest Margin f 3.86% in Q1FY14, grwing sequentially by 16 basis pints ver Q4FY13. Other Incme Other Incme cmprising fee, trading prfit and miscellaneus incme grew 33% YOY in Q1FY14 and std at `1,781 crres as cmpared t `1,336 crres during the same perid last year. During the quarter, fee incme grew 14% YOY t reach `1,317 crres while trading prfit grew 193% YOY t `440 crres. The main business segments driving fee grwth during the quarter were Treasury and DCM, which grew 37% YOY, fllwed by Retail Banking, which grew 23% YOY. Balance Sheet: As n 30 th June 2013 The Bank s Balance Sheet grew 15% YOY and std at `3,34,061 crres as n 30 th June 2013. The Bank s Advances grew 16% YOY t `1,98,151 crres as n 30 th June 2013. Retail advances grew 40% YOY t `56,706 crres as n 30 th June 2013, and accunted fr 29% f net advances f the Bank cmpared t 24% last year. SME segment t recrded a healthy grwth f 27% YOY and std at `28,021 crres. Investments grew 17% YOY t reach a level f `1,03,290 crres as n 30 th June 2013 frm `87,986 crres last year. In the Bank s Investment bk, the share f gvernment securities was 62% while investments in ther securities such as crprate bnds, equities, preference shares and mutual funds accunted fr the balance. Savings Bank Depsits recrded a healthy grwth f 20% YOY t reach `63,298 crres as n 30 th June 2013 and Current Accunt depsits grew 11% and std at `37,798 crres. On a daily average basis, CASA depsits grew 17% YOY cnstituting 39% f ttal depsits, cmpared t 36% during the same perid last year and 37% in the previus quarter. During the same perid, Retail Term Depsits grew 18% YOY t cmprise 46% f the ttal Term Depsits f the Bank. CASA and Retail Term Depsits cnstituted 69% f Ttal Depsits as n 30 th June 2013 cmpared t 63% last year. Retail Depsits cnstituting Savings Bank Depsits and Retail Term Depsits, grew 19% YOY and std at `1,26,605 crres as n 30 th June 2013. Page 2 f 6
Capital Adequacy and Sharehlders Funds The sharehlders funds f the Bank grew 44% YOY and std at `34,948 crres as n 30 th June 2013. The Bank is well capitalised and Capital Adequacy Rati (CAR) as n 30 th June 2013 under Basel II was 16.37% (excluding net prfit fr Q1FY14) and Tier-I CAR was 11.82% (excluding net prfit fr Q1FY14). If the net prfit f `1,409 crres fr Q1FY14 is included, the ttal CAR and Tier-I CAR as n 30 th June 2013 wuld be 16.90% and 12.35% respectively. The verall CAR and Tier-I CAR f the Bank cmputed under Basel III as n 30 th June 2013 was 15.87% and 11.72% respectively, excluding the net prfit fr Q1FY14. If the net prfit fr Q1FY14 is included, the ttal CAR and Tier-I CAR under Basel III wuld be 16.40% and 12.25% respectively. Asset Quality As n 30 th June 2013, Grss NPAs and Net NPAs std at 1.10% and 0.35%, as against 1.06% and 0.32% respectively as n 31 st March 2013. The Bank held prvisin cverage f 80% as n 30 th June 2013 (as a prprtin f Grss NPAs including prudential write-ffs). The prvisin cverage befre accumulated write-ffs was 89%. The cumulative value f assets restructured till 30 th June 2013, std at `4,211 crres against `4,368 crres as n 31 st March 2013, cnstituting 1.87% f grss custmer assets. Netwrk During Q1FY14, the Bank added 74 branches and 243 ATMs t its netwrk acrss the cuntry and at the end f 30 th June 2013, had a netwrk f 2,021 dmestic branches and extensin cunters and 11,488 ATMs situated in 1,300 cities and twns, cmpared t 1,674 dmestic branches and extensin cunters, and 10,337 ATMs situated in 1,080 cities and twns last year. Internatinal Business The Bank has seven internatinal ffices with branches at Singapre, Hng Kng, Dubai (at the DIFC) and Clmb and representative ffices at Shanghai, Dubai and Abu Dhabi, which fcus n crprate lending, trade finance, syndicatin, investment banking and liability businesses. In additin t the abve, the Bank has a presence in UK with its whlly wned subsidiary Axis Bank UK Limited. The ttal assets under verseas peratins were USD 6.72 billin as n 30 th June 2013, registering a grwth f 9%. A presentatin fr investrs is being separately placed n the Bank's website: www.axisbank.cm. Fr further infrmatin, please cntact Mr. Julius Samsn at 91-22-24254604 r email: julius.samsn@axisbank.cm Page 3 f 6
` crre Financial Perfrmance Q1FY14 Q1FY13 %Grwth Net Prfit 1,408.93 1,153.52 22.14 EPS Diluted (`) 29.94 27.73 7.97 Net Interest Incme 2,865.21 2,179.86 31.44 Other Incme 1,781.31 1,335.51 33.38 - Fee Incme 1,317.42 1,154.35 14.13 - Trading Incme 439.85 150.23 192.78 - Miscellaneus Incme 24.04 30.93 (22.28) Operating Revenue 4,646.52 3,515.37 32.18 Cre Operating Revenue* 4,206.67 3,365.14 25.01 Operating Expenses (incl. depreciatin) 1,802.97 1,551.71 16.19 Operating Prfit 2,843.55 1,963.66 44.81 Cre Operating Prfit** 2,403.70 1,813.43 32.55 * Cre Operating Revenue = Operating Revenue - Trading Incme ** Cre Operating Prfit = Operating Prfit - Trading Incme ` crre Cndensed Uncnslidated Balance Sheet As n 30th June 13 As n 30th June 12 CAPITAL AND LIABILITIES Capital 468.85 414.29 Reserves & Surplus 34,478.80 23,838.83 Depsits 238,440.64 222,630.99 Brrwings 49,813.62 34,067.89 Other Liabilities and Prvisins 10,859.44 8,420.82 Ttal 334,061.35 289,372.82 ASSETS Cash and Balances with Reserve Bank f India and Balances with Banks and Mney at Call and Shrt Ntice 21,140.96 20,775.34 Investments 103,289.62 87,985.66 Advances 198,151.29 171,145.88 Fixed Assets 2,276.41 2,275.95 Other Assets 9,203.07 7,189.99 Ttal 334,061.35 289,372.82 Page 4 f 6
Business Perfrmance As n 30th June 13 As n 30th June 12 ` crre % Grwth Ttal Depsits 238,441 222,631 7.10 Demand Depsits 101,096 86,942 16.28 - Savings Bank Depsits 63,298 52,777 19.94 - Current Accunt Depsits 37,798 34,165 10.63 Demand Depsits as % f Ttal Depsits 42% 39% Term Depsits 137,345 135,689 1.23 Demand Depsits n a Cumulative Daily Average Basis fr the quarter Demand Depsits as % Ttal Depsits (CDAB basis) fr the quarter 89,176 76,425 16.69 39% 36% Net Advances 198,151 171,146 15.78 - Large & Mid-Crprate 99,818 92,887 7.46 - SME 28,021 21,985 27.46 - Agriculture 13,606 15,683-13.24 - Retail Advances 56,706 40,591 39.70 Investments 103,290 87,986 17.39 Balance Sheet Size 334,061 289,373 15.44 Net NPA as % f Net Custmer Assets 0.35% 0.31% Grss NPA as % f Grss Custmer Assets 1.10% 1.06% Equity Capital 469 414 13.17 Sharehlders Funds 34,948 24,253 44.10 Capital Adequacy Rati (Basel II) (including net prfit fr Q1FY14) 16.90% 13.51% - Tier I 12.35% 9.49% - Tier II 4.55% 4.02% Capital Adequacy Rati (Basel III) (including net prfit fr Q1FY14) 16.40% N.A. - Tier I 12.25% N.A. - Tier II 4.15% N.A. Page 5 f 6
Safe Harbr Except fr the histrical infrmatin cntained herein, statements in this release which cntain wrds r phrases such as will, aim, will likely result, wuld, believe, may, expect, will cntinue, anticipate, estimate, intend, plan, cntemplate, seek t, future, bjective, gal, strategy, philsphy, prject, shuld, will pursue and similar expressins r variatins f such expressins may cnstitute "frward-lking statements". These frward-lking statements invlve a number f risks, uncertainties and ther factrs that culd cause actual results t differ materially frm thse suggested by the frward-lking statements. These risks and uncertainties include, but are nt limited t ur ability t successfully implement ur strategy, future levels f nn-perfrming lans, ur grwth and expansin, the adequacy f ur allwance fr credit lsses, ur prvisining plicies, technlgical changes, investment incme, cash flw prjectins, ur expsure t market risks as well as ther risks. Axis Bank Limited undertakes n bligatin t update frward-lking statements t reflect events r circumstances after the date theref. Page 6 f 6