#1Investor Presentation Q1-FY24 | JUNE 2023 July 18, 2023 IndusInd Bank#2IndusInd Bank at a Glance 5th Largest Private Bank with Disproportionately Large Distribution Network *3,01,317 crs Loans * 3,47,047 crs Deposits 35 mn Diversified Across Products and Geographies Customers Across Segments III Universal Banking Approach with Diversified Loan & Deposit Mix 54:46 Loan Mix Retail VS Wholesale Strong Domain Expertise Long Vintage across Cycles Vehicle Finance 26% of the Loan Book 6,561 Group Network Pan India 40% CASA Stable Low-cost Deposits Innovative Digital Approach Overall Digital Transaction Mix at 93% Micro Finance 11% of the Loan Book Gems & Jewellery 4% of the Loan Book Robust Balance Sheet with Strong Capital Adequacy & Contingency Buffers 18.40% CRAR Tier 1: 16.89 | Tier 2: 1.51 132% Average LCR Well above regulatory requirement 71% PCR GNPA 1.94% | NNPA 0.58% Strong Profitability amongst highest in the Industry 4.29% Net Interest Margin 45.86% Cost to Income 2 5.5% Operating Profit Margin to Loans IndusInd Bank#3Key Financial Highlights for Q1 FY24 Balance Sheet Loans *3,01,317 crs Deposits *3,47,047 crs CASA *1,38,440 crs Term Deposits *2,08,607 crs Total Assets *4,66,993 crs 22% YoY 4% QoQ 15% YoY 3% QoQ 6% YoY 3% QoQ 21% YoY 4% QoQ 14% YoY 2% QoQ Net Interest Income Total Other Income Revenue Operating Profit Net Profit Profit & Loss *4,867 crs *2,210 crs *7,077 crs *3,831 crs *2,124 crs 18% YoY 4% QoQ 14% YoY 3% QoQ 17% YoY 4% QoQ 12% YoY 2% QoQ 30% YoY 4% QoQ Net Interest Margin Return on Assets Return on Equity Cost to Income Net NPA Key Ratios 4.29% 1.90% 15.24% 45.86% 0.58% 8 bps YoY 1 bps QoQ 17 bps YoY -bps QoQ 180 bps YoY 2 bps QoQ 250 bps YoY 93 bps QoQ 9 bps YoY 1 bps QoQ 3 IndusInd Bank#4Q1FY24 Outcome Against PC-6 Ambitions Resulting in Planning Cycle 6 (FY 2023-26) Loan Growth Retail Loan Mix Retail Deposits as per LCR PPOP / Loans Branch Network Customer Base 4 18%-23% Q1FY24 Outcome 22% 55%-60% 54% 45%-50% 43% 5.25% 5.75% 5.5% 3,250 - 3,750 2,606 > 50mn 35mn IndusInd Bank#5Consolidated Balance Sheet In crs Capital & Liabilities Q1 FY24 Q1 FY23 Y-o-Y (%) Q4 FY23 Q-0-Q (%) Capital Reserves and Surplus 776 775 776 56,368 48,932 15% 54,229 4% Deposits 3,47,047 3,02,719 15% 3,36,120 3% Borrowings 45,622 41,812 9% 49,011 (7)% Other Liabilities and Provisions 17,180 15,862 8% 17,701 (3)% Total 4,66,993 4,10,100 14% 4,57,837 2% Assets Cash and Balances with RBI 28,235 56,153 (50)% 42,975 (34)% Balances with Banks 18,168 6,615 175% 13,802 32% Investments 94,216 72,487 30% 83,076 13% Advances 3,01,317 2,47,960 22% 2,89,924 4% Fixed Assets Other Assets Total 2,109 1,952 8% 2,078 1% 22,948 24,933 (8)% 25,982 (12)% 4,66,993 4,10,100 14% 4,57,837 2% 5 IndusInd Bank#6Consolidated Profit and Loss Account - Q1 FY24 In Crore Net Interest Income Other Income Q1FY24 Q1FY23 Y-O-Y (%) Q4FY23 Q-0-Q (%) 4,867 4,125 18% 4,669 4% 2,210 1,932 14% 2,154 3% Total Income 7,077 6,057 17% 6,823 4% Operating Expenses 3,246 2,626 24% 3,065 6% Operating Profit 3,831 3,431 12% 3,758 2% Provisions & Contingencies 991 1251 (21)% 1,030 (4)% Profit before Tax 2,840 2,180 30% 2,727 4% Provision for Tax 716 549 30% 684 5% Profit after Tax 2,124 1,631 CO 6 30% 2,043 4% IndusInd Bank#7Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 7 IndusInd Bank#8Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 80 IndusInd Bank#9Well Diversified Loan Book across Consumer and Corporate Products Loan Book Mix (*crs) (crs) 2,47,960 2,60,129 2,72,754 2,89,924 3,01,317 Consumer Banking June-23 % Vehicle Finance 78,332 26% 46% 47% 47% 46% 46% Commercial Vehicle 29,320 10% Utility Vehicle 9,813 3% 54% 53% 53% 54% 54% Small CV 3,561 1% Two-Wheeler 4,778 2% Jun-22 Sep-22 ■Consumer Banking ■Corporate & Commercial Banking Dec-22 Mar-23 Jun-23 Car 11,110 4% Tractor 9,516 3% Equipment Financing 10,234 3% Non-Vehicle Finance 51,567 17% Small Corporates Mid Size Corporates 16% 5% (*crs) Corporate Banking June-23 % Large Corporates 77,065 25% Large Corporates Mid Corporates 47,624 16% 25% Small Corporates 14,748 5% Total Advances 1,39,437 46% Business Banking 14,807 5% Loan Against Property 9,953 3% Vehicle Finance 26% Credit Card 8,978 3% Personal Loans 6,084 2% Merchant advances 4,229 1% BL, AHL, Others Microfinance 7,516 2% 31,981 11% Microfinance_ Non Vehicle Retail 11% 17% Total Advances 1,61,880 54% 9 IndusInd Bank#10Vehicle Finance: Granular Portfolio Across Vehicle Categories Overview of Vehicle Finance Division 35+ Years of Vintage Across Credit Cycles Market Leader in Most Products Amongst Top 3 Diversified Vehicle Loan Book across Vehicle Categories (%) Two Wheelers 6% Focus on Business Owner Segment Utility Vehicle 13% Nimbleness of an NBFC With Dedicated Network Nationwide Presence Diversified Across States Strong Collateral Coverage Throughout the Loan Cycle Tractor 12% Vehicle Finance Loan Book (*crs) 75,243 71,665 67,167 64,583 78,332 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Construction Equipment 13% Small CV 5% Car 14% Disbursements (*crs) CV 37% 12,713 12,516 11,901 10,664 10,078 21% YOY 18% YoY 4% QoQ 10 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 (5)% QoQ IndusInd Bank#11Microfinance: Bridging the Financial Inclusion Gap 2nd Largest Micro Finance Lender 10mn Women Customers 14 1.38 Lacs Villages covered across 21 States Tech/Data driven Risk Management District/Branch level Monitoring 115K+ Active Bharat Money Stores Banking at doorstep in remote areas 660K+ Merchants (loan clients) Addressing the MSME banking needs 11 Micro Finance Loan Book (*crs) 32,215 31,981 29,403 29,617 29,688 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Average Ticket Size (*) 32,453 33,134 29,738 29,089 29,275 ||||| Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 9% YoY 1% QoQ 11% YoY 2% QoQ IndusInd Bank#12Corporate Portfolio - Focus on Granular, Higher Rated Customers Corporate Loan Book (*crs) 1,39,437 1,34,150 1,27,010 1,21,766 1,14,429 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Improving Risk Profile * BB+ & Below BBB-, BBB, BBB+ A-, A, A+ AA-, AA, AA+ AAA 22% 22% 22% 21% 22% YoY 25% 24% 24% 26% 26% 28% 27% 29% 4% QoQ 23% 22% 23% 20% 4% 4% 4% 4% Stressed telco at 1% Sep-22 Dec-22 Mar-23 Jun-23 Diversified Fee Mix Q1FY24 Sector Sector-wise Loan Mix (% of Total Loans) NBFCs (other than HFCS) Q1 FY24 5.21% Investment Banking 3% Real Estate - Commercial and Residential 4.18% Loan Gems and Jewellery 3.93% Processing 34% Power Generation - Non Renewable 2.99% Steel 2.16% Food Beverages and Food processing 1.60% Power Generation - Renewable 1.49% Services 1.23% Road Projects (Operational) 1.09% Petroleum & Products Others 1.08% 21.31% Corporate Banking 46.28% Consumer Banking 53.72% Total 100.00% 12 * Includes fund and non-fund based exposure to corporate clients Foreign Exchange 26% Trade & Remittances 37% IndusInd Bank#13Non-Vehicle Retail Loans - Risk Calibrated Growth Strategy Business Banking (*crs) 14,807 13,845 12,203 12,839 12,512 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Credit Cards (*crs) 8,978 8,395 7,714 7,098 6,478 ០ Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 21% YoY 7% QoQ Loan Against Property (*crs) 9,953 9,502 9,640 9,248 9,009 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Other Retail Loans 17,829 16,436 14,336 39% YoY 11,855 12,720 7% QoQ 13 10% YoY 3% QoQ 11 50% YoY 8% QoQ Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 IndusInd Bank#14Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 14 IndusInd Bank#15Deposit Growth Driven by Granular Retail Deposits; Building Stable Low-Cost Deposit Book Deposits (*crs) 3,47,047 3,36,120 3,25,278 3,15,532 3,02,719 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Cost of Deposits (%) Retail Deposits as per LCR (*crs)* Retail Deposits Share of Retail Deposits (%) 43% 43% 42% 41% 41% 15% YoY IIIII 21% YoY 1,50,691 1,24,105 1,29,990 1,43,021 3% QoQ 1,37,968 5% QoQ 5.47% 5.81% 6.12% 4.79% 5.10% 133bps YoY Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 31bps QoQ * Retail deposits and deposits from small business customers as defined by LCR as at period end. 15 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Key Focus Areas Expanding branch network Focus on target market segments Growth driven by retail customer acquisitions Scaling up new businesses - Affluent and NRI Leverage BFIL for rural customers Building Merchant Acquiring Business Digital Partnerships & Alliances Exploring Community Banking Approach for select segments Innovative service propositions Executing Digital 2.0 with planned Individual and SME launches IndusInd Bank#16Healthy Share of CASA; Strong Liquidity Profile CASA (*crs) Share of CASA % CASA 43% CA Share of CA % CA (*crs) 42% 40% 40% 42% 15% 14% 12% 14% 15% 1,30,508 1,33,525 1,36,379 1,34,728 1,38,440 50,007 50,600 49,343 40% YoY 44,157 6% YoY 35,265 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 SA Share of SA % 31% 28% SA (crs) 27% 25% 26% 95,243 89,368 86,372 89,097 84,128 ... Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 3% QoQ 6% YoY 6% QoQ 16 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Liquidity Coverage Ratio (%) 124% 132% 125% 117% 123% Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 2% QoQ IndusInd Bank#17Borrowings Constituted by Long Term Sources Borrowings (crs) Borrowings (Cr) % of Total Liabilities 11% 10% 10% 10% 11% 49,011 47,284 45,622 41,812 40,673 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Borrowings Mix (%) Short-Term FCY (less than Infrastructure 12 months). 4% Tier 2 Bonds Bonds 3% AT1 Bonds 3% 6% Long-Term FCY 26% Refinance from Development Finance Institutions 58% 17 IndusInd Bank#18Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 18 IndusInd Bank#19Strong Product Groups with Efficient Capital Deployment LC-BG Mix Low RWA Consumption (*crs) Notional Amount Risk Weighted Assets 13,86,814 0.5%# 1.4%# 78,236 9,446 24,041 Derivatives + FX Contracts + Options #CRAR consumption LC and Guarantees LC-BG Rating Profile LC - Sight 6% LC - Usance 15% Performance Guarantees 41% Financial Guarantees FX-Derivatives Exposure Type 38% One of the largest treasuries in Indian banks with best-in-class risk management systems Robust framework for measurement of risks through Client Suitability Tests, VaR, PV01, Stop- loss limits, MTM of marketable portfolios, Exposure limits, etc. Exposures predominantly to public sector, cash backed transactions and strong sponsors * Below investment grade 4% Secured by Cash Backed 13% Counter Guarantees of Corresponden Exposure t Bank 5% against Banks (Non Collateralised) 2% Above investment grade 78% *Stressed telecom contributes 1% 19 199 Others Counterparties 15% Central Counterparty (Guaranteed Settlements) 51% Counterparties with Collateralised Arrangements (CSA) 32% IndusInd Bank#20Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 20 20 IndusInd Bank#21Yield Cost Movement 9.60% 12.24% Segment-wise Yield: Q1FY24 Corporate Banking Consumer Banking Total 6.12% 5.31% 9.20% 12.02% Q4FY23 5.81% 4.92% Yield on Assets Yield on Advances Cost of Deposits Cost of Funds Q1FY24 Q4FY23 Outstanding (*crs) Yield (%) Outstanding (crs) Yield (%) 139,437 8.99% 134,150 8.89% 161,880 14.76% 155,774 14.68% 301,317 12.24% 289,924 12.02% •Yield on Assets/Cost of funds are based on Total Assets/Liabilities 21 21 IndusInd Bank#22Diversified and Granular Fee and Other Income Streams In crs Q1FY24 Q1FY23 Y-O-Y(%) Q4FY23 Q-o-Q(%) Trade and Remittances 233 189 23% 200 17% Foreign Exchange Income 262 220 19% 269 (2)% Cards and Distribution Fees 637 507 26% 714 (11)% General Banking Fees 382 334 20% 237 61% Loan Processing Fees 588 511 15% 636 (8)% Investment Banking 17 25 (35)% 31 (47)% Total Core Fee Income 2,119 1,786 19% 2,087 2% Securities/MM/FX Trading/Others 91 146 (37)% 67 37% Total Other Income 2,210 1,932 14% 2,154 3% Fee Income Mix 73% CONSUMER BANKING 23% CORPORATE BANKING 4% TRADING & OTHER INCOME 22 22 IndusInd Bank#23Operating Profit Margins Amongst the Highest in Industry Net Interest Margin (%) 4.21% 4.24% 4.27% 4.29% 4.28% Total Fee to Asset Ratio (%) 1.9% 1.9% 1.9% 1.9% 1.9% Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Cost to Income Ratio (%) 43.9% 43.4% 43.9% 5.7% 5.7% 44.9% 45.9% ..... Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 23 23 Operating Profit Margin (%) 3.5% 3.5% 5.7% 5.6% 5.5% 3.5% 3.5% 3.5% bbbbb Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 ■% of Average Loans % of Average Assets IndusInd Bank#24Key Financial Indicators Return on Assets (%) 1.73% 1.80% 1.87% 1.90% 1.90% Return on Equity (%) 15.23% 15.26% 15.24% 14.45% 13.44% Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Earning Per Share - Annualized (*) 101.3 93.2 84.2 105.4 Net Worth (crs) 109.5 48,186 50,686 52,848 54,994 47,265 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 24 IndusInd Bank#25Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 25 25 IndusInd Bank#26Movement in Non-Performing Assets Q1FY24 Q4FY23 In crs Corporate Consumer Total Corporate Consumer Total Opening Balance 2,069 3,757 5,826 1,869 3,842 5,711 Fresh Additions 43 1,333 1,376 264 1,339 1,603 -from Standard 43 1,201 1,244 82 1,162 1,244 -from Restructured 132 132 182 177 359 Deductions 124 1,137 1,261 63 1,424 1,487 -Write-offs 19 701 720 569 569 -Upgrades 12 87 99 47 181 228 -Recoveries * 93 349 442 16 674 690 Gross NPA Net NPA % of Gross NPA % of Net NPA Provision Coverage Ratio (PCR) Restructured Advances 1,989 3,952 5,941 2,069 3,757 5,826 1,747 1,715 1.94% 1.98% 0.58% 0.59% 71% 71% 0.66% 0.84% *Q1 FY24 Sale to ARC is Rs. 163 crs (Q4 FY23 Sale to ARC is 278 crs) 26 IndusInd Bank#27NPA Composition - Consumer Banking (*crs) Q1 FY24 CV Utility CE Small CV TW Cars Tractor BBG/LAP Gross NPA 378 30 93 65 376 60 169 847 HL/PL/Oth ers 265 Cards MFI Total 216 1,453 3,952 Gross NPA % 1.28% 0.30% 0.91% 1.81% 7.62% 0.54% 1.76% 3.34% 1.47% 2.38% 4.39% 2.41% HL/PL/Oth Q4 FY23 CV Utility CE Small CV TW Cars Tractor BBG/LAP Cards MFI Total ers Gross NPA 311 29 86 57 352 53 161 797 256 206 1,449 3,757 Gross NPA % 1.10% 0.32% 0.87% 1.63% 7.17% 0.50% 1.71% 3.32% 1.39% 2.39% 4.32% 2.37% 27 27 IndusInd Bank#28Loan Related Provisions held as on June 30, 2023 ☐ ☐ Specific provision of 4,124 crs for non-performing accounts(towards PCR) Floating provisions of 70 crs (towards PCR) Standard contingent provisions of 1,700 crs surplus outside PCR Standard asset provisions of ₹1,345 crs other than contingent provisions Provision Coverage Ratio at 71% and total loan related provisions at 121% of GNPA Loan related provisions of ₹7,239 crs are 2.4% of the loans 28 IndusInd Bank#29Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 29 29 IndusInd Bank#30Healthy Capital Adequacy Capital Adequacy In crs 30 June 23 31 Mar 23 Credit Risk, CVA and UFCE 2,82,316 2,85,986 Market Risk 9,643 8,639 Operational Risk 42,411 42,411 Total Risk Weighted Assets 3,34,370 3,37,036 16.06% 15.97% CET1 Ratio (%) 16.01% 16.44% 15.93% Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Core Equity Tier 1 Capital Funds 54,980 53,668 Additional Tier 1 Capital Funds 1,490 1,490 CRAR (%) Tier 2 Capital Funds 5,062 5,030 18.40% 18.14% 18.01% 18.01% 17.86% Total Capital Funds 61,532 60,188 CRAR CET1 Tier 1 Tier 2 18.40% 17.86% 16.44% 15.93% 16.89% 16.37% 1.51% 1.49% 30 30 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 IndusInd Bank#31Shareholding Pattern and Credit Ratings Private Corporates 5.35% NRIs/ Director/ Others 1.93% Individuals 7.37% Fils 38.87% * Includes FPls Diversified Shareholding GDR issue 8.18% Promoters 15.14% Credit Ratings Domestic Rating: ☐ ☐ CRISIL AA + for Infrastructure Bonds program/Tier 2 Bonds CRISIL AA for Additional Tier 1 Bonds program MFs/Banks/ Insurance Co 23.16% ☐ CRISIL A1+ for certificate of deposit program / short term FD programme IND AA+ for Senior bonds program/Tier 2 Bonds by India Ratings and Research IND AA for Additional Tier 1 Bonds program by India Ratings and Research CARE A1+ for certificate of deposit (CD) programme of IndusInd Bank Limited (IBL) by CARE Edge Ratings International Rating: Ba1 for Senior Unsecured MTN programme by Moody's Investors Service 31 IndusInd Bank#32Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 32 IndusInd Bank#33Disproportionately Large Distribution Network with Unparalleled Rural Presence Distribution Network with Deep Rural Presence Strengthening Distribution Infrastructure Jun 30, Sep 30, Dec 31, Mar 31, June 30, Particulars 2022 2022 2022 2023 2023 ~35 mn Customer Base ~1,38,000 Villages Covered Branches/Banking Outlets 2,286 2,320 2,384 2,606 2,606 BFIL Branches 2,836 2,978 3,176 3,303 3394 Vehicle Finance Marketing 817 805 792 582 561 6,561 Group Network T 2,875 ATMs Outlets (IMFS) ATMs 2,783 2,807 2,894 2,878 2,875 Geographical Breakdown of Branches Urban 656 25% Rural 596 23% Metro Semi 794 Urban 30% 560 22% 33 33 Western 477 Regional Breakdown of Branches Southern 640 25% 18% Central 348 13% Eastern 532 21% Northern 609 23% IndusInd Bank#34Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy 34 Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning ESG - Core to the Business Philosophy Experienced Board and Management Team IndusInd Bank#35Digital Strategy at IndusInd continues to drive impact across 3 primary Business Objectives Digital transaction intensity continues to grow and more and more of existing business moving digital 1 2 Drive Superior Customer Experience and Engagement IndusMerchant Solutions PlayStore App Rating 4.2 32% YoY growth in IndusMobile MAU* 82% growth in mobile txn. Volumes (May 23 vs May'22)# 20% QoQ growth in IndusMerchant Solutions MAU Indus Mobile PlayStore App Rating 4.3 74% of service requests processed digitally 1.6X growth (May 23 vs May'22) in mobile txns. compared to industry# 37% YoY growth in Whatsapp Banking Registered Base Transform existing lines of businesses 77K+ clients on boarded using VKYC every month across SA, FD, Cards, PL 98% of savings accounts opened digitally 39% of savings accounts digitally unassisted 98% of mutual funds sourced digitally 100% of life insurance sourced digitally 86% of non life insurance sourced digitally • 97% of credit cards sourced digitally 74% of personal loans sourced digitally 65% of current accounts opened digitally 67% of Small Business Banking (upto 2 cr exposure) sourced digitally 63% of Retail Forex digital via indusforex == MAU = Monthly Active Users; # RBI Data ** 35 IndusInd Bank Digital Unassisted refers to customer initiated and Do It Yourself led % from retail customers (excluding clients of Bharat Financial and Vehicle Finance Division)#36Digital Strategy at IndusInd continues to drive impact across 3 primary Business Objectives Direct platform led business continues to grow at a robust pace 3 Do It Yourself (DIY) Platform led & BaaS* led Business: Assets grew 4X YOY, Liabilities grew 1.4X YOY Assets (Indexed) Liabilities (Indexed) 500 200 400 150 400 1.4x 150 300 4x 100 100 200 100 100 50 Create scalable, profitable 0 0 Jun-22 Jun-23 Do It Yourself / Open Jun-22 Jun-23 Banking led business models Indus Ceasy CREDIT Indus Ceasy CREDIT DIY Current Account with VKYC *Banking as a Service DIY Cards Vol (indexed) 706 DIY PL Vol (indexed) 666 6.6x 7x DIY CA Vol (indexed) 100 343 3.4x Indus easy CREDIT DIY STBL Vol (indexed) 100 348 3.4x 100 100 Q1 FY'23 Q1 FY'24 Q1 FY 23 Q1 FY 24 Q1 FY 23 Q1 FY 24 Q1 FY 23 Q1 FY 24 36 IndusInd Bank#37Digital Marketing at IndusInd continues to activate the brand digitally and driving better conversions through insight-led marketing campaigns SEQ Creating Video First Content Doubling up SEO efforts Impactful digital marketing initiatives leading to increase in organic growth G ∞ -30% Increase in lead page traffic per product since Apr'23 # -100 Avg. No. Of leads generated per product in a month Traffic & Remarketing Ads Leveraging Social Media Reduction in Cost of Acquisition (CAC) due to optimization of campaigns and increase in organic sourcing Indus Ceasy CREDIT Indus Ceasy CREDIT DIY Savings Account with VKYC DIY SA CAC(indexed) 100 -2% 98 Q1 FY 23 Q1 FY 24 DIY Cards CAC DIY PL CAC (indexed) (indexed) 100 -69% 31 Q1 FY 23 Q1 FY 24 100 68% 32 Q1 FY 23 Q1 FY 24 37 DIY Current Account with VKYC DIY CA CAC (indexed) 39% 100 61 Q1 FY 23 Q1 FY 24 IndusInd Bank#38Digital Stack for Individual and MSME Segments: Continued enhancements to drive DIY, STP & overall operational efficiencies Indus ✓ easy CREDIT for Individuals Enabled instant completion of personal loan and credit card application journey by integrating assisted Video-KYC in assisted as well as DIY mode-enabling better customer experience and reduction in TAT 100% completion of LOS migration from legacy software to new state-of- the-art LOS system – enabled digitalization of journey. - Indus Mobile (Mobile Banking app) Additional security features by preventing un-authorized access, mirroring, tempering with client-side application Real-time account statement view & download feature for CASA and credit card customers Indus MERCHANT SOLUTIONS Awarded Best Merchant Acquirer of the Year at the 10th Payments Industry Awards, 2023 Indus Ceasy CREDIT For Businesses Launched STP journey in Unsecured Small Ticket Business Loans (upto 20 lacs) for pre- qualified, enabling instant disbursement within 10 mins. Digitization of Term Loans, Non Fund Based and Export Lending Products in Small Business Banking upto 2 Cr – to allow sanction within 2 days IndusNet (Net Banking app) Integration with Income Tax and GST portal to enable tax payment transaction via IndusInd Bank Net Banking portal Seamless inward remittance journey for IndusNet users by enabling SSO-based login to Indus Fast Remit from IndusNet Launch of CBDC app (Android & iOS) 38 IndusInd Bank#39With alternate data, newer algorithms and multi dimensional models we have been able to augment our asset disbursements with very short TAT 1 NTC Underwriting Using alternate data and ML algorithms we have identified profitable segments for unsecured underwriting B 1. • Started underwriting ntc personal loans PL origination proportion to grow from 1-2% to 10% 2. Start pre-approving credit cards to NTC 3. Evaluating alternate data 2 MSME Underwriting Models 0-5Cr Internal and external ML Algorithm Alternate Credit Score Bank channels alternate data 1. 2. 1. Green Approved with very short TAT 2. Amber Proceed with caution Banking, Industry, GST, Financials Data Separate models to score application on key dimensions (Underwriter to review and ask for documents) 3. Red: Reject 39 for vehicle financing Credit sanction time reduced from 25 days to 1 day Approval rate of 90-95% in Green/Amber channels IndusInd Bank#40IndusInd Bank Launching a new way to bank INDIE GETS IT DONE 40 40 GET IN ON Google Play DOWNLOAD NOW Download on the App Store#41Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups G Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning Healthy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy ESG - Core to the Business Philosophy Experienced Board and Management Team 41 IndusInd Bank#42ESG highlights for Q1 of FY24 Indus WE WE WILL HELP YOU GROW TN FD LEED INDUSIND BANK, PIONEER BRANCH RK SALAI, CHENNAI Chenna PLATINUM February 2003 Leadership In ESG because we made Sustainability our business MEST MANA IN INDIA Business Risk Operations Awards ORMC approvals for Women Entrepreneurs Product in place. Signed a MoU with USAID supported SAMRIDH, allocating Rs. 5 crores in interest-free grants for Indus-WE (Women Entrepreneurs) in healthcare sector. More Offers in pipeline. Selected by UN Supported 'Taskforce on Nature related Financial Disclosures' as a pilot partner in India for developing a comprehensive risk management and disclosure framework for nature-related financial disclosures All our pioneer branches are now LEED certified. IBL to be Carbon Neutral by 2032 - Mandate under execution by Deloitte Recognized as the 'Best Banks in India for ESG' by Asiamoney for FY-2023, second time in a row 42 IndusInd Bank#43Awarded 'Best Bank for ESG in India - FY23' W Leadership in ESG because we made Sustainability our business A BEST BANK AWARDS 2023 ASIA MONEY BEST BANK FOR ESG INDIA BEST BANK FOR ESG IN INDIA 43 43 Our Sustainability Pillars ESG products for Business ESG Principles in Bank's IT, HR and Operations Disclosures & ESG Ratings ESG Integration in Risk Management Industry-level Advocacy & Collaboration ESG integration in PC-6 strategy Thanking our partners for helping us win this award for the second consecutive year IndusInd Bank#44Key Strengths of the Bank Diversified Loan Book with Domain Expertise in Livelihood Loans Robust Liability Franchise Strong Product Groups Heathy Capital Adequacy Disproportionately Large Distribution Network Executing Digital 2.0 Strategy 44 44 Profitability amongst the Highest in Industry Stable Asset Quality with Conservative Provisioning ESG - Core to the Business Philosophy Experienced Board and Management Team IndusInd Bank#45Board of Directors with Varied Expertise Name Mr. Sunil Mehta Mr. Shanker Annaswamy Dr T T Ram Mohan Mrs. Akila Krishnakumar Mr. Rajiv Agarwal Mr. Sanjay Asher Mrs. Bhavna Doshi Mr. Jayant Deshmukh Mr. Pradeep Udhas Mr. Sumant Kathpalia Nature of Directorship Non-Executive, Independent, Part-time Chairman Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Non-Executive Independent Director Managing Director & CEO Special Knowledge /Expertise Banking, Financial services, Insurance and Investment. Information Technology, Human Resource, Risk Management and Business Management Banking, Finance, Economics and Risk Management. Information Technology, Payments & Settlement Systems, Human Resource & Business Management Small Scale Industry Law and Accountancy Accountancy and Risk Management. Agriculture and Rural Economy and Cooperation. Finance, Information Technology and Business Management. Banking and Accountancy, Risk Management and Business Management Prior Experience Was on the board of all AIG companies in India, Held various senior positions at Citibank, Independent Director on the Board of State Bank of India,, Non- Executive Chairman of Punjab National Bank, Non-Executive Chairman of YES Bank Previously, MD of IBM India Private Limited, President and Chief Executive Officer for GE Medical Systems, South Asia, MD of Wipro-GE Medical Systems, served on the Boards of various councils and associations Retd. Professor of Finance & Economics at IIM Ahmedabad, Previously, Divisional Manager, Tata Economic Consultancy Services, Head of Strategy, Standard Chartered Bank, India, Vice President Bear Stearns, Hong Kong, and Head of Research, Birla Marlin Securities Previously, President - Global Technology at SunGard - a Fortune 500 Company and a global leader in Financial Services Software. One of the Founder- Promoters of Mindtree Ltd. (since divested). Promoter in several small-scale ventures, primarily manufacturing concerns with 38 years of experience in 'Small Scale Industries' segment, Presently, a Senior Partner with M/s Crawford Bayley & Co., one of India's oldest Law Firm. Specializes in the fields of M&A, cross-border M&A, joint ventures, private equity and capital markets Previously, Partner at KPMG India, Served on various Committees of Institute of Chartered Accountants of India (ICAI) Previously, Director of Agriculture, Maharashtra State, Held many important positions in the Department of Agri, Maharashtra Currently senior advisor to KPMG India Chairman and CEO. Previously, Senior Partner at KPMG India, which he co-founded 27 years ago. Held various senior positions including Global roles in KPMG Career banker with years of rich experience in large multi-national banks such as Citibank, Bank of America and ABN AMRO. 45 IndusInd Bank#46Experienced and Well-knit Management Team Name Designation Exp (Yrs) Prior Experience Mr. Sumant Kathpalia Managing Director & CEO 35+ Mr. Arun Khurana Deputy CEO 29+ Career banker with years of rich experience in large multi-national banks such as Citibank, Bank of America and ABN AMRO Regional Head Corporate Solutions Asia-Pacific Markets of RBS Singapore - Mr. Sanjeev Anand Head Corporate, Commercial, Rural & Inclusive Banking 31+ Head - Commercial Banking, ABN AMRO Bank (India) Mr. Ramesh Ganesan Head Technology and Corporate & Global Market Operation 35+ Executive Director, ABN AMRO Bank (India) Mr. Zubin Mody Mr. Bijayananda Pattanayak Mr. Gobind Jain Chief Financial Officer Chief Human Resources Officer 30+ Head HR, ICICI Lombard General Insurance Company Limited Head - Gems & Jewellery 38+ Managing Director and Member, Global Management Team IDGJ of ABN AMRO 29+ Joint President Group Account & MIS, Kotak Mahindra Bank; held prior positions at ICICI Bank, Bank of America, Bank International Indonesia and RBI Mr. Soumitra Sen Head - Consumer Banking & Marketing 33+ Leadership positions at ABN AMRO Bank NV, RBS, Deutsche Bank AG & Nestle Mr. Samir Dewan Head - Affluent Banking & International Business 25+ COO - Private Banking, Asia at RBC, leadership positions with Bank of America, ANZ, and ABN AMRO. Mr. Anil M. Rao Head - Consumer Operations & Solution Delivery 28+ Various positions at ABN AMRO Bank, RBS and Bank of America Mr. Siddharth Banerjee Mr. Vivek Bajpeyi Head Global Markets and FIG 25+ Various position at HSBC, Deutsche Bank, HDFC Bank, ABN AMRO NV, and ANZ Bank Chief Risk Officer 34+ Mr. Shiv Kumar Bhasin Chief Transformation Officer 27+ Was earlier associated with RBL Bank, ANZ Grindlays, Deutsche Bank and Nomura India. Was earlier associated with NSE - India, SBI, Barclays Corporate, Fidelity Investment and some other esteemed organisations. Ms. Charu Sachdeva Mathur Head- Digital Banking & Strategy (Existing Business) 16+ Financial services and telecom advisory at Boston Consultancy Group (BCG) Mr. A. G. Sriram Head - Consumer Finance 30+ Multiple roles across Credit, Operations and Sales including leading Construction and Commercial Vehicle Segment. Mr. Indrajit Yadav - Head Investor Relations and Strategy 14+ Has been with IndusInd Bank since 2013, prior to 2013 he was associated with Nomura India and with Cognizant. 46 IndusInd Bank#47Awards & Accolades 47 47 IndusInd Bank#48Accolades CAPTAIN Por of The M Indusind Bank #1 FINANCER FOR YEAR 2023 Captain Tractors Captain Tractors awarded IndusInd Bank for being the Number 1 Financier, for 2 consecutive Financial years WELLS FARGO Global Treasury Management Operational Excellence Award Presented to dusind Ban 021-2022 Wells Fargo Operational Excellence Award The Bank's CGMO - Trade and Remittance team received a Wells Fargo Award for Operational Excellence 48 REIMAGINE RECHARGE REDISCOVER JCB 2023 Annual Financiers Awards-2022 INDUSIND BANK JCB Annual Financiers Award 2022 IndusInd Bank was ranked second at the JCB Annual Financiers Award 2022. PINK VITI Finnoviti Awards 2023 IndusInd Bank was recognized for 'Open API Banking with Omni channel experience' at the Finnoviti Awards 2023. IndusInd Bank#49Accolades Infosys Finacle Innovation awards 2023 Infosys INNOVATION Finacle AWARDS 2023 Ecosystem-led Infosys INNOVATION Finacle AWARDS 2023 Modern Technologies-led Innovation Infosys INNOVATION Finacle AWARDS 2023 Maximizing Customer Engagement Indusind Bank 111 Innovation Indusind Bank Gold Gold Winner: Ecosystem Led Innovation - Open Banking & Omni-Channel Indusind Bank Platinum Platinum Winner: Modern Technologies-led innovation - Digital Centre of Excellence Gold Gold Winner: Maximizing Customer Engagement - Centralized hub for communications The Bank was recognized for its commitment to establishing a world-class technology architecture, aspiration to deliver outstanding technology-led solutions, and digital innovation charter. 49 IndusInd Bank#50Disclaimer This presentation has been prepared by IndusInd Bank Limited (the "Bank") solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. All information contained has been prepared solely by the Bank. No information contained herein has been independently verified by anyone else. This presentation may not be copied, distributed, redistributed or disseminated, directly or indirectly, in any manner. This presentation does not constitute an offer or invitation, directly or indirectly, to purchase or subscribe for any securities of the Bank by any person in any jurisdiction, including India and the United States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. Any person placing reliance on the information contained in this presentation or any other communication by the Bank does so at his or her own risk and the Bank shall not be liable for any loss or damage caused pursuant to any act or omission based on or in reliance upon the information contained herein. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Further, past performance is not necessarily indicative of future results. This presentation is not a complete description of the Bank. This presentation may contain statements that constitute forward-looking statements. All forward looking statements are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those contemplated by the relevant forward-looking statement. Important factors that could cause actual results to differ materially include, among others, future changes or developments in the Bank's business, its competitive environment and political, economic, legal and social conditions. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Bank disclaims any obligation to update these forward-looking statements to reflect future events or developments. Except as otherwise noted, all of the information contained herein is indicative and is based on management information, current plans and estimates in the form as it has been disclosed in this presentation. Any opinion, estimate or projection herein constitutes a judgment as of the date of this presentation and there can be no assurance that future results or events will be consistent with any such opinion, estimate or projection. The Bank may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such change or changes. The accuracy of this presentation is not guaranteed, it may be incomplete or condensed and it may not contain all material information concerning the Bank. This presentation is not intended to be an offer document or a prospectus under the Companies Act, 2013 and Rules made thereafter, as amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended or any other applicable law. Figures for the previous period/year have been regrouped wherever necessary to conform to the current period's/year's presentation. Total in some columns/rows may not agree due to rounding off. Note: All financial numbers in the presentation are from Audited Financials or Limited Reviewed financials or based on Management estimates. 50 50 IndusInd Bank