#1DhanlaxmiBank established 1927 Investor Presentation O3-FY 2022#2Company overview Dhanlaxmi Bank established 1927 VISION Banking on Relationships forever MISSION To Become a Strong and Innovative Bank with Integrity and Social Responsibility to Maximize Customer Satisfaction as well as that of the Employees, Shareholders and the Society. ➤Incorporated in 1927 at Thrissur, Kerala. Over the 94 years that followed, Bank has earned the trust and goodwill of clients. ➤520 touch points including 245 branches, 258 ATMs and 17 BCs across 14 States and 1 Union Territory; our focus has always been on customer services and personalized relationships. Total Employees 1686 Investor Presentation December 2021#3Operating Performance - YoY DhanlaxmiBank DEPOSITS Q3 FY 2022 Rs.12,101Cr 6% Q3 FY 2021 Rs. 11,456 Cr CASA Q3 FY 2022 Rs.4008 Cr 1-8% Q3 FY 2021 Rs.3700 Cr ADVANCES Q3 FY 2022 Rs.7552 Cr ↑ 10% Q3 FY 2021 Rs.6837 Cr NII Q3 FY 2022 Rs.266 Cr ↑■ 3%. Q3 FY 2021 Rs. 258 Cr OPERATING PROFIT Q3 FY 2022 Rs. 70 Cr [29% Q3 FY 2021 Rs.99 Cr NET PROFIT Q3 FY 2022 Rs. 12 Cr 62% Q3 FY 2021 Rs.32 Cr Investor Presentation December 2021 established 1927#4Operating Performance - QoQ Dhanlaxmi Bank DEPOSITS Q3 FY 2022 Rs.12,101 Cr 1.44% Q2 FY 2022 Rs. 11,918 Cr CASA Q3 FY 2022 Rs.4008 Cr 0.28% Q2 FY 2022 Rs.3996 Cr ADVANCES Q3 FY 2022 Rs.7552 Cr [8.32% Q2 FY 2022 Rs.6971 Cr NII Q3 FY 2022 Rs. 96 Cr ↑ [5.49% Q2 FY 2022 Rs. 91 Cr OPERATING PROFIT Q3 FY 2022 Rs. 28 Cr ↑ [7.69% Q2 FY 2022 Rs.26 Cr NET PROFIT Q3 FY 2022 Rs. 2 Cr 50% Q2 FY 2022 Rs.4 Cr Investor Presentation December 2021 established 1927#5Key Highlights Key Highlights Dhanlaxmi Bank established 1927 Total business of the bank Rs.19653 Crs as on 31st December 2021 registering YoY growth of 7.44%. Deposits grew by 5.63% to reach Rs. 12101 Crs as on 31st December 2021 from Rs. 11456 Crs as on 31st December 2020. Retail Deposits of the bank registered a growth of 3.12% to reach Rs. 6183 Crs as on 31st December 2021. CASA grew by 8.31% on YOY basis. Gross advance record growth of 10.45% to reach Rs 7552 Crs as on 31.12.2021. Advance under SME and Agricultural sector grew by 19.83% and 8.24% to reach Rs. 1148 Crs and 762 Crs respectively. CD ratio improved from 59.68% to 62.41% on YOY basis. Net Interest Income has improved by 2.91% to reach Rs. 265.89 Crs on YOY basis. Digital transactions touched 62%. Investor Presentation December 2021#6Profit and Loss overview Dhanlaxmi Bank established 1927 Particulars 9 Months Interest Income 682 (5) Q3-FY 22 Q3-FY 21 Y-0-Y (%) 9 Months 718 Q3-FY 22 3 Months 235 Q2-FY 22 3 Months Rs. in Crore Q-0-Q (%) 229 3 Interest Expenses 416 460 (10) 139 138 8 Net Interest Income 266 258 3 96 91 5 Non Interest Income 100 102 (1) 34 37 (8) Operating Expenses 296 261 13 102 102 0 Operating Profit 71 99 (28) 28 26 26 8 Provisions and Contingencies 58 67 (13) 26 22 22 18 12 32 Net Profit (61) 2 4 (50) Investor Presentation December 2021#7Net Interest Income Net Interest Income 91 80 71 91 13 Rs. in Crore 96 Dhanlaxmi Bank Cost of Deposits -Yield on Advance 10.29 9.99 established 1927 9.12 9.56 9.62 5.28 5.17 4.64 4.6 4.56 Q3-FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3-FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Net Interest Margin 2.95 2.82 2.66 Cost of Funds 2.94 12 5.71 5.57 2.85 10 -Yield on Investments 5.09 5.10 5.18 8 5.39 5.28 6 4.75 4.70 4.67 4 2 0 Q3-FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3-FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Investor Presentation December 2021#8Operating Efficiency Employee Additions 45 71.73 DhanlaxmiBank Cost to Income Ratio established 1927 85.08 81.47 82.14 80.71 0 Q3-FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3 - FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Business Per Employee Rs. in Crore 11.66 11.52 11.37 11.30 10.99 Business per Branch 77 76 75 76 77 Rs. in Crore 81 Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3 - FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Investor Presentation December 2021#9Balance Sheet overview Dhanlaxmi Bank established 1927 Particulars CAPITAL AND LIABILITIES Capital 31.12.2020 (Reviewed) Reserves and Surplus Deposits Borrowings Other Liabilities and Provisions TOTAL 31.03.2021 30.09.2021 Rs. in Crore 31.12.2021 (Audited) (Reviewed) (Reviewed) 253 253 253 253 606 611 622 624 11456 11712 11918 12101 150 150 150 250 343 371 289 280 12808 13097 13232 13508 ASSETS Cash and Balances with Reserve Bank of India 480 602 596 614 Balances with Banks and Money at call and short notice 740 383 487 32 Investments 4150 4439 4594 4734 Advances 6513 6787 6696 7259 Fixed Assets 207 225 223 222 Other Assets* 718 661 636 646 TOTAL 12808 13097 13232 13508 *Out of Which RIDF/RHF/MSME Deposits Contingent Liabilities 344 268 247 264 634 413 413 489 Bills for collection 316 301 305 309 Investor Presentation December 2021#10Indicators DhanlaxmiBank established 1927 Particulars Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Yield on Advances (%) 10.29 9.99 9.12 9.56 9.62 Yield on Investments (%) 5.71 5.57 5.09 5.10 5.18 Cost of Deposits (%) 5.28 5.17 4.64 4.60 4.56 Cost of Funds (%) 5.39 5.28 4.75 4.70 4.67 Net Interest Margin (%) 2.95 2.82 2.66 2.85 2.94 Cost/Income Ratio (%) 70.52 81.47 85.08 82.14 80.71 Return on Assets (%) 0.34 0.29 0.21 0.16 0.13 Return on Equity (%) 4.93 4.3 3.13 2.38 1.89 EPS (%) 1.26 1.47 0.27 0.41 0.49 Book Value (Rs) 33.94 34.15 34.42 34.57 34.65 Market Capitalisation 369.4 375.22 400.27 409.88 375.72 CRAR Basel III (%) 14.16 14.47 14.57 13.64 13.13 Core CRAR 10.99 11.31 11.75 10.98 10.52 RWA Basel III (in Cr) 5990.12 6057.22 5812.44 6115.45 6388.36 Ratio of RWA to Total Assets 46.77 46.25 45.00 47.34 47.29 Provision Coverage Ratio 92.68 74.20 75.66 74.18 77.55 Investor Presentation December 2021#11Deposit Composition 11456 11712 Rs. in Crore Total Deposit 11658 11918 12101 DhanlaxmiBank Composition of Deposit established 1927 CASA ■Retail Deposit Bulk Deposit 15% 16% 15% 15% 16% 53% 51% 52% 51% 51% 32% 33% 33% 34% 33% Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 21 Q3 FY 22 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Investor Presentation December 2021#12Digital Banking in '000 Digital Transaction Volume DhanlaxmiBank established 1927 Number of Registered Customers for Mobile Banking in '000 703 688 671 757 776 Dec 20 Mar-21 Jun-21 Sep-21 Dec-21 2815 3000 2842 3030 2293 Dec 20 Mar-21 Jun-21 Sep-21 Dec-21 Transactions Through Digital Channel Mobile Transaction Volume in '000 134 128 123 in '000 Number of Registered Customers for Internet Banking 691 673 Dec 20 Mar-21 Internet Transaction Volume in '000 146 141 246 234 234 236 198 706 759 Jun-21 Sep-21 779 Dec-21 in '000 Debit Card Transaction Volume 2620 2648 2453 2467 1973 Dec 20 Mar-21 Jun-21 Sep-21 Dec-21 Dec 20 Mar-21 Jun-21 Dec 20 Mar-21 Jun-21 Sep-21 Dec-21 Sep-21 Dec-21 Banks performance in Digital Transaction rated as "Good" in the score card as on June 2021 published by Ministry of Electronic and Information Technology. Investor Presentation December 2021#13Composition of Loan Book GROSS ADVANCE Rs. in Crore 1785 1746 1676 1738 1692 1694 1862 1719 1782 1822 DhanlaxmiBank ADVANCES Q3 FY 2022 Rs.7552 Cr ↑ 10% Q3 FY 2021 Rs.6837 Cr New Initiatives Government Business - Empanelled by RBI as Agency Bank 1148 1005 958 917 1170 Introduced T-Bill linked products for AAA rated corporates 762 704 799 735 731 2163 1717 1710 1705 1659 established 1927 Contractors Bill discounting facility through Digital Platform - Empanelled by Govt. of Kerala Launched Dhanam PRS (Loan against Paddy Receipts issued by Supplyco) Implemented the Credit Guarantee Scheme for MFIS Q2 FY 22 Q3 FY 22 Introduced Wi-Fi enabled Dhan Namaste Credit Card Q3 FY 21 Q4 FY21 Q1 FY 22 ■Corporate Agri & Micro SME Gold ■ Retail Investor Presentation December 2021#14Composition of Loan Book Fresh Disbursements in Personal Segment Rs. in Crore 2.41 26.15 77.43 40.55 122.11 21.61 22.65 19.96 16.29 61.04 45.80 119.39 Dhanlaxmi Bank established 1927 Corporate Loan Book Rs. in Crore 2163 1717 1710 1705 1659 Q3 FY 21 Q4 FY21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Rating Profile of Corporate Loan Book Exposures Rs 15 Cr and above (in %) 11.37 15.38 14.37 15.64 11.87 17.14 14.93 16.62 17.44 18.31 33.64 17.65 18.88 21.84 23.23 26.81 20.15 40.51 12.81 33.16 30.82 28.29 24.86 5.31 3.47 2.93 0.21 0.97 2.09 13.33 13.00 14.14 10.95 9.31 Q3 FY 21 Q4 FY21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3 FY 21 Q4 FY21 Q1 FY 22 Q2 FY 22 Q3 FY 22 ■2 Wheeler Loan ■Car Loan ■Loan Against Property ■Home Loan Unrated <BBB BBB ■AA ■ ААА Investor Presentation December 2021#15Concentrated efforts in recoveries and Collections 61 48 Recovery and Upgrades 210 96 Rs. in Crore 60 DhanlaxmiBank established 1927 Sequential improvement in SMA 2 Book Rs. in Crore 254 161 99 Q3 FY 21 Q4 FY21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q1-2022 Q2-2022 Q3-2022 Investor Presentation December 2021#16Non Performing Assets Gross NPA % 9.23 9.27 8.67 7.55 5.78 1.11 DhanlaxmiBank established 1927 Net NPA % 4.76 4.92 4.58 3.83 Dec 20 Mar-21 Jun-21 Sep-21 Dec-21 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Gross NPA Rs. in Crs Net NPA Rs. in Crs Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Opening 449 395 657 642 604 Opening 111 72 323 301 330 Additions 7 310 194 136 25 Additions 5 284 160 108 21 Deductions 61 48 210 173 60 Deductions 44 34 182 60 80 73 Closing 395 657 642 604 570 Closing 72 323 301 330 278 Investor Presentation December 2021#17Capital Composition Capital Adequacy Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Dhanlaxmi Bank BASEL III Tier 1 Tier II established 1927 Tier 1 659 685 683 672 672 3.17 3.16 2.83 2.66 2.61 Tier II 190 191 164 163 167 Risk Weighted Assets 11 11.31 11.75 10.98 10.52 5990 6057 5812 6115 6388 . Strong capital Comfort with a CRAR of 13.13% as on 31.12.2021. Tier I ratio of 10.52% Investor Presentation December 2021 14.16 14.47 14.57 13.64 13.13 Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22#18Tie-Ups BAJAJ Allianz Relationship Beyond Insurance A Canara HSBC ओ.बी.सी. OBC Life Insurance SBI general INSURANCE SURAKSHA AUR BHAROSA DONO B BAJAJ Allianz General Insurance Co. Ltd. NSDL Technology, Trust & Reach NREDCAP Clean Energy for Sustainabi Samunnathi Kerala State Welfare Corporation for Forward Communities Ltd. smc BSE STAR MF Moneywise. Be wise. SMART INVESTING Supplyco food security for Kerala Investor Presentation December 2021#19Branch Network Dhanlaxmi Bank established 1927 Over 520 customer touch points including 245 branches, 258 ATMs and 17 BCs 19 12 9 Branch Presence Metro Branches-58 Urban Branches-62 34 142 Investor Presentation December 2021 Semi-Urban Branches-106 Rural Branches-19 Banking on Relationships forever www.dhanbank.com DhanlaxmiBank established 1927#20Strong Management Team Strong Management Team Mr. Shivan J.K, Managing Director & CEO Dhanlaxmi Bank established 1927 ■ Bachelor in Agriculture and MBA & CAIIB; More than 37 years of experience in Retail, Agri, Corporate, International & Forex operations. ■ Was Chief General Manager of Stressed Assets Resolution Group of State Bank of India and worked with EY India as Senior Advisor. Mr. L. Chandran, General Manager A post graduate in Science, MBA(Finance), CAIIB and B.Ed; Associated with DLB for over 24 years in different capacities in various geographical areas and was Chief Risk Officer, Chief Compliance Officer, Chief Recovery Officer and Head SME (Credit Underwriting). Also worked in Government and Public Sector Financial Institution for about 7 years. Mr. Ramesh A.J, Chief Financial Officer ■ ■ Chartered Accountant and CAIIB; More than 34 years of experience in Banking sector. Previously worked with SBI / SBT in Finance & Accounts, Large Value Credit intensive branches. Mr. John Varughese, Head IT and Digital Banking Engineering graduate, MBA, Certified Information System Auditor (CISA) & CAIIB; Over 28 years of experience in IT & Banking including with Federal Bank. ▪ Worked as Chief Information Security Officer, Head - Alternate Channels, Regional Head, Chief Compliance Officer and Chief Credit Officer. Mr. Rajan Sleeba, Head- Human Resources Department ■ Post Graduate in law (LLM) and CAIIB; Over 36 years of experience in banking sector including working with Federal Bank. ■ Vast experience in Branch Banking, Credit and as Regional Head. Mr. Surendran A.V, Head- Wholesale Banking ■ Graduate in Science and JAIIB; More than 33 Years of experience in banking with specialization in Treasury Management for last 17 years. Worked as Regional Head and handled Government Business. Investor Presentation December 2021#21Strong Management Team Mr. Santoy John, Chief Compliance Officer Dhanlaxmi Bank ■ Post Graduate in Science, CISA & CAIIB and PGCP in Business Management from XIMB Bhubaneswar, previously associated with ICICI Bank and RBL Bank. ■ Over 24 Years of experience covering Teaching, Retail Banking, Internal Audit, Information Security, Payment systems, Centralized Operations and Compliance. Mr. Binoy B.S, Head- Internal Audit ▪ Graduate in Science, LLM & CAIIB; Over 25 years of experience in banking including working with South Indian Bank and 5 years' as a practising lawyer. ■ Vast experience in Legal, Credit Sanction, Credit Monitoring and Recovery. Mr. Satheesan V, Chief Vigilance Officer ■ Graduate in Law (BAL, LLB), Master of Business Law (MBL) and MBA (International Business); ■ Over 29 years experience which includes as a practicing lawyer and with Indian Overseas Bank. Has the Additional charge as Head-Legal. Mr. Suresh M Nair, Chief Credit Officer ■ Bachelor in Commerce and CAIIB; Over 40 Years of experience in Banking with SBI Group (State Bank of Travancore, State Bank of Patiala & State Bank of India). ▪ Vast experience in Corporate Credit, SME, Stressed assets & Project Finance. Mr. Gurumurthy R.K, Head Treasury ■ Commerce Graduate with CAIIB ■ 39 years of experience in Commercial & Investment Banking with specialization in Treasury operations for over 30 years. Mr. Venkatesh H, Company Secretary A qualified Company Secretary, Chartered Accountant, Cost Accountant and Post Graduate in Commerce & JAIIB. • Over 8 years of experience in Secretarial operations. Investor Presentation December 2021 established 1927#22Disclaimer DhanlaxmiBank established 1927 This presentation has been prepared by Dhanlaxmi Bank (the "Bank") solely for your information and for your use and may not be taken away, reproduced, redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organization or firm) or published in whole or in part, for any purpose. By attending this presentation, you are agreeing to be bound by the foregoing restrictions and to maintain absolute confidentiality regarding the information disclosed in these materials. The information contained in this presentation does not constitute or form any part of any offer, invitation or recommendation to purchase or subscribe for any securities in any jurisdiction, and neither the issue of the information nor anything contained herein shall form the basis of, or be relied upon in connection with, any contract or commitment on the part of any person to proceed with any transaction. This presentation is not and should not be construed as a prospectus (as defined under Companies Act, 1956) or offer document under the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulation, 2009, as amended, or advertisement for a private placement or public offering of any security or investment. The information contained in these materials has not been independently verified. No representation or warranty, express or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the information presented or contained in these materials. Such information and opinions are in all events, not current after the date of the presentation. The recipients of this presentation and the information contained herein are not to construe the document as tax, investment or legal advice. Any forward-looking statements in this presentation are subject to risks and uncertainties that could cause actual results or financial conditions or performance or industry results to differ materially from those that may be inferred to being expressed in, or implied by, such statements. Such forward-looking statements are not indicative or guarantees of future performance. Any forward-looking statements, projections and industry data made by third parties included in this presentation are not adopted by the Bank, and the Bank is not responsible for such third party statements and projections. This presentation may not be all inclusive and may not contain all of the information that you may consider material. The information presented or contained in these materials is subject to change without notice. Neither the Bank nor any of its affiliates, advisers or representatives accepts liability whatsoever for any loss howsoever arising from any information presented or contained in these materials. You should not place undue reliance on forward-looking statements, which speak only as of the date of this presentation. This presentation is for general information purposes only, without regard to any specific objectives, financial situation or informational needs of any particular person. The Bank may alter, modify or otherwise change any manner the content of this presentation, without obligation to notify any person of such change or changes. THIS PRESENTATION DOES NOT CONSTITUTE OR FORM ANY PART OF ANY OFFER, INVITATION OR RECOMMENDATION TO PURCHASE OR SUBSCRIBE FOR ANY SECURITIES IN THE UNITED STATES OR ELSEWHERE Investor Presentation December 2021#23Dhanlaxmi Bank THANK YOU Investor Presentation December 2021 established 1927