#1BSE: 539404 | NSE: SATIN Corporate Identity No. L65991DL1990PLC041796 SATIN SATIN CREDITCARE NETWORK LTD. INVESTOR PRESENTATION September 2020 Reaching out! BUILDING A DIFFERENCE TO MAKE A DIFFERENCE WE ARE GREAT PLACE TO WORK - CERTIFIED™M Building and Sustaining High-Performance™ Culture Great Place To WorkⓇ Certified JAN 2020-DEC 2020 INDIA#2Content - 03-10 COVID 19 Business Update & New Initiatives 11-15 Overview and Key Performance Highlights 16-35 What makes Satin a Compelling Investment Story 36-39 40-54 Multiple Growth Levers Financials of the Company & Its Subsidiaries 55-60 Company Background SATIN Cautionary Statement Any forward-looking statements about expected future events, financial and operating results of the Company are based on certain assumptions which the Company does not guarantee the fulfilment of. These statements are subject to risks and uncertainties. Actual results might differ substantially or materially from those expressed or implied. Important developments that could affect the Company's operations include a downtrend in the industry, global or domestic or both, significant changes in political and economic environment in India or key markets abroad, tax laws, litigation, labour relations, exchange rate fluctuations, technological changes, investment and business income, cash flow projections, interest and other costs. The Company does not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date thereof. Based on revised returns filed by the company, some items for the year ended Mar31, 2020 have been regrouped. SATIN CREDITCARE NETWORK LTD. Reaching out! 2#3SATIN CREDITCARE NETWORK LTD. Reaching out! COVID-19 Business Update & New Initiatives SATIN 3#4COVID-19 Business Update • All branches were operational as on 30th June 2020, all staff has resumed work SATIN Branch Operations & Centre Meetings • Disbursements got impacted on account of Nationwide Lockdown during the quarter New disbursements were majorly done to existing customers with strong repayment history As per Central and State Governments directives, the workforce were carrying on operations at the branch level on rotational basis • • Continuous interaction with field staff helped us keep them motivated Collection Efficiency • We got COVID insurance cover for all the employees We have activated ~98% of the centres . Focused on cashless collection and quickly launched digital collections which have seen a good traction and scale . Launched customer service app to connect with clients and cashless collection Saw improvement in repayments and collections Month on Month with lockdown restrictions easing out The collection efficiency trends are as follows: - April - 3%; May - 17%; June – 62%; July - 85%; August - 85% • Most of the customers have started paying instalments . 11% of the customers have opted for Complete Moratorium SATIN CREDITCARE NETWORK LTD. Reaching out! 4#5COVID-19 Business Update • As of 30th June 2020, GNPA stood at 2.4% • COVID related provision of Rs. 90 crore over and above standard ECL, which is 2% of on-book portfolio Credit Cost and Provisioning • We have made adequate provisions against default risk of our book under moratorium and other exigencies • • Have made total Expected Credit Loss (ECL) of 3.2% as against our GNPA of 2.4% for on-book portfolio As on 30th June 2020, on-book NNPA stood at -0.8% Capital and Liquidity SATIN • . As of 30th June 2020, CRAR stood at 31.09% which is well above regulatory requirements, having a robust ALM position Continue to maintain a healthy balance sheet liquidity with Rs. 1,652 crore of surplus funds as on 30th June 2020, leverage of 3.6x Have undrawn sanctions worth Rs. 1,006 crore as on 30th June 2020. More loan applications in advanced stage of processing During the quarter, the Board of Directors of the Company, considered and approved the fund raising by way of the Rights Issue of Rs. 120 crore which will further augment our capital base to meet future capital requirements and funding requirements for growth of the business and operations and general corporate purposes. • The Company has successfully raised Rs. 120 crore via Rights Issue of partly paid equity shares in the ratio of 48:125. The issue was oversubscribed at 123% The Company has made first call of Rs.15 per share on application and balance amount would be called via one or more subsequent calls as may be determined by the Board/Committee of the Board, from time to time SATIN CREDITCARE NETWORK LTD. Reaching out! 5#6Collection Efficiency and Moratorium 83% 97% Improvement in Collection Trend 15% 15% 38% 85% 85% 62% 3% 17% Apr-20 May-20 Jun-20 Jul-20 Aug-20 Collected Not collected 89% of the clients are activated, 11% opting for complete moratorium · For SHFL, the complete moratorium book stands at 6% • For SFL, the complete moratorium book stands at 4% in retail MSME business SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 6#7Taking further steps to achieve completely digital ecosystem Modes enabled during COVID-19 for contactless repayments via popular apps like Google pay, Paytm, Phonepe etc. Customer activation under process for regular collections via NACH/eNACH through bank accounts SATIN CREDITCARE NETWORK LTD. Reaching out! Debit Cards UPI BBPS Digital Payment Ecosystem NACH/ eNACH Payment Gateway SATIN Under progress - Addition of Satin on BBPS (Bharat Bill Payment System) :: One Stop Solution by NPCI for recurring payments For financially literate customers, payment gateway facility to be provided on Satin website 7#8Steps taken to improve connect with customers during COVID-19 New "Customer Service App" launched to increase digital and financial awareness among customers and to connect with brand "SATIN" Connect with Customers SATIN New Product launched . as Purpose of new product: Rebuild income generation activities impacted due to COVID-19 & Amphan Tele-collection activity by CSS in COVID-19 containment zones "Pragati Loan" · Reduced monthly cash outflow on loans for borrowers SATIN CREDITCARE NETWORK LTD. Reaching out! 8#9Customer Service App (CSA) SCNL has come up with it's own Customer Service App Provides latest updates to customer on Company's Policies, Products & Services, Loans Availed, Contact Details etc. Future of CSA... SATIN Push notification is available to provide updates to clients for payment confirmations, payment reminders, loan outstanding and launch of new products & services Acts a platform for digital payments, hence by ensuring digital literacy in Customer More Automated process within CSA to reduce dependency on branch staff Digitization of customer related processes, and a mode for cashless collection Ensures improvement in data quality Real time updating of LMS records as per transactions, collection updates Acts as customer's self-service tool - User friendly Clients can verify their details available with branch and contact authorities in case of discrepancies SATIN CREDITCARE NETWORK LTD. Reaching out! Eliminates the use of physical copies of loan documents provided to clients such as Loan cards Eliminates chances of staff fraud due to elimination of cash handling 9#10Socially Responsible At The Time of COVID - 19 Activities done during COVID-19: Contribution to PM Cares Fund and CM Relied Fund in Assam Distribution of Ration Kits and other essential items for Covid and Flood affected districts in Bihar Distribution of Masks and other safety items सत्यमेव जयते PMCARES Prime Minister's Citizen Assistance and Relief in Emergency Situations Fund SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN CREDITCARE NETWO (A Leading Microfinance Institu सैटिन क्रेडिटकेयर नेटवर्क लि बाढ़ राहत सामाग्री वि अंचल बेगूसराय कोचिड 19 महामारी से बचाव मास्क का उपयोग करें एवं सामाजिक दूरी SATIN हिन NETWO र नेटवर्क लि न्धन दल 10#11SATIN CREDITCARE NETWORK LTD. Reaching out! Overview and Key Performance Highlights SATIN 11#12Key Business Performance Highlights (1/2) India's leading NBFC-MFI with 33.2 lacs customers, 1,355 branches, 393 districts and 23 states, with Assets Under Management (AUM) of Rs. 8,119 crore for Q1FY21 Successfully closed Rights Issue of Rs. 120 crore in Aug'20, great response with oversubscription of 123% GNPA at 2.4% and NNPA at -0.8%¹ in Q1FY21, despite difficult business environment; PCR stands at 130% Percentage of Promoter pledge has gone down from 52.88% in Dec'18 to 8.9% as on date Launched 'Customer Service App' for client connect and cashless collection, first in the industry to be able to do so Having 76% exposure in rural India, which is immune to various macroeconomic challenges Undergoing various measures for cost optimization, viz. branch and RO merger, staff optimization, operating leverage and cost reduction 'Great Place to Work' certified in January 2020 Awarded Certificate of Excellence in Clean Energy Finance, in line with our commitment towards a better tomorrow Figures are on consolidated basis unless otherwise stated 1. For on-book portfolio, numbers are standalone SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 12#13Key Business Performance Highlights (2/2) Long term Credit Rating CARE A-(stable) and ICRA A-(stable); Short term rating CARE A1 and ICRA A1, Grading MFI1 (highest order) Social rating sA from Microfinanza, C1 Code of Conduct Assessment (COCA) from ICRA, the highest grade - Implemented cashless disbursements across 100% branches - 12% of collection via cashless mode in Jun'20, adopting entirely new and digital measures Only lender to 58% clients at the time of disbursement for MFI lending Book value per share at Rs. 281.89; Post rights issue of Rs. 120 crores with addition of 1.99 crore shares, Book Value per share will be Rs. 220.32 Awarded Companies with Great Manager award and National Best Employer Brands in NBFC Sector; Awarded 8th Rank In "Dream Companies to Work For" Satin Housing Finance Ltd (SHFL), AUM of Rs. 144 crore, Standalone credit rating of CARE BBB (Stable). 9 active lenders including refinance facility from NHB Taraashna Financial Services Ltd (TFSL) AUM at Rs. 677 crores, added two new BC partners Satin Finserv Ltd, Satin's MSME arm, AUM of Rs. 118 Crore, Standalone credit rating of CARE BBB- (Stable). SFL too has been brought to own in-house software now Figures are on consolidated basis unless otherwise stated SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 13#14Corporate Overview Standalone - Q1FY21 Rs.13 PAT crore 0.7% ROA crore Rs.54 Rs. 7,181 cr GLP Rs.16,000 Average Ticket Size Data for Q1FY21, RoA and RoE are calculated on annualized basis SATIN CREDITCARE NETWORK LTD. Reaching out! crore Disbursement 3.5% ROE 31.09% CRAR 23.3 '000 No. of Loans disbursed 1,117 Branches 23 States & UTS 34.3 lacs Loan Accounts Outstanding SATIN 14#15Corporate Overview Consolidated - Q1FY21 Rs.13 crore 0.7% 3.5% PAT Rs.8,119 GLP crore Rs. 1,355 Branches Data for Q1FY21, RoA and RoE are calculated on annualized basis SATIN CREDITCARE NETWORK LTD. Reaching out! ROA 311 Revenue 23 States & UTS crore ROE Rs.150 NII crore 33.2 lacs Clients SATIN 15#16SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN What makes Satin a Compelling Investment Story 16#17What makes Satin a Compelling Investment Story 1. Leading MFI player with differentiated Product Offerings 2. Diversified Geographical Reach 3. Technology Prowess 4. Robust Underwriting Processes 5. Well-diversified Liability Profile 6. Ample Liquidity & Positive ALM 7. Strong & Experienced Management Team 8. Successfully Handled Crisis During Legacy of 30 Years SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 17#18Who we are SATIN Microfinance is primarily based on the Joint Liability Group (JLG) model, to provide financial assistance and enable women from rural and semi-urban areas to achieve self sustainability CREATING A NICHE BY BEING A ONE STOP FINANCIAL SERVICES PROVIDER FOR OUR CUSTOMERS MICROFINANCE... Income Generating Loans (IGL) Long Term Loans (LTL) Social impact financing of solar lamps, bicycles, water and sanitation facilities etc. ...AND BEYOND Housing Finance Micro Small & Medium Enterprises (MSME) Visionary Management backed by Professional Team Established track record of delivery through vast branch network Strong client relationship built on transparent practices & internal controls Low-risk lending aimed at income generation Diversification by product & geography Proprietary IT platform & Technology prowess H LOTA Accountability & Ownership Team Work & Collaboration Integrity Seeking Excellence SATIN CREDITCARE NETWORK LTD. Reaching out! Business Correspondence & Digital Lending Large marquee institutional investor base Comfortable liquidity and CRAR Nurturing Lives 18#19Awarded excellence in clean energy finance microenergy M credits EXCELLENCE IN CLEAN ENERGY FINANCE This certificate is awarded to Satin Creditcare Network Ltd For distributing over 85,579 clean energy products, impacting the lives of over 4.11 lakh people with clean energy solutions to date and become part of UNFCCC Clean Development Program (CDM) .. 15th April 2020 April Allderdice April Allderdice CEO, MicroEnergy Credits Empowered 89,597 houses with clean energy products impacting 4.30 lakh people's lives SATIN CREDITCARE NETWORK LTD. Reaching out! Awarded Certificate of Excellence in Clean Energy Finance SATIN 01 Satin is one of the newest partners of Microenergy Credits - (MEC) 02 Satin's clean energy programme is an illustration of its dedication to serve the bottom of pyramid section of society by providing customized financial solution 03 Satin is investing in carbon funds for expanding and improving their clean energy programme 19#201. Leading MFI player with differentiated Product Offerings Product features as on Jun'20 Start Date Ticket Size Range Tenure Frequency of Collection No. of States/UTS No. of Branches Gross Loan Portfolio (Rs. crore) No. of loan accounts Avg. Ticket Size for Q1FY21 Notes SATIN SCNL Business Correspondent Services Housing Finance SME MFI (1) Taraashna Financial Services Limited (2) Satin Housing Finance Limited (3) Satin Finserv Limited (SFL)(4) May'08 (JLG) May'12 Feb'18 Mar'19 Upto Rs. 50,000 Upto Rs. 50,000 (JLG Microfinance) Rs. 100,000 4,000,000 Rs. 100,000 100,000,000 6 - 24 months 12-24 months Bi-Weekly Bi-Weekly/2 Bi-Weekly 23 7 1,114* 208 6,894(5) 3,426,047 Rs. 16,000 (JLG) - 24 240 months Monthly 4 8 15 15 677 144 118 364,533 1,305 1,099 Rs. 1,253,000 Rs. 457,000 (Retail)(6) 12 120 months Monthly/Quarterly (1) As on Jun'20, included MFI Lending (loans under JLG model, IndusInd BC and water & sanitation) and Product Financing (Loans for solar lamps, cycles); (2) TFSL acquisition is effective Sep 1, 2016; (4) SFL was incorporated on August 10, 2018 (3) Satin Housing Finance Ltd was incorporated on April 17, 2017 (5) SCNL also has MSME portfolio of Rs. 287 crore other than MFI portfolio (6) Average Ticket Size of Retail Financing is 4.57 lacs. Overall, the average ticket size of SFL is Rs. 10.7 lacs *As of Q1FY21, there were 1,114 branches with Microfinance operations & 27 branches with MSME operations. Out of the 27 MSME branches, 24 of them also had microfinance operations & 3 were unique SATIN CREDITCARE NETWORK LTD. Reaching out! 20 20#21With focus only on Micro-Finance Products SATIN Income Generation Loan (Prarambh) Ticket Size : Rs. 8,000 Rs. 30,000 Tenure: 12/24 months Long Term Loan (Vriddhi) Festival Loan Ticket Size : Rs. 31,000-Rs. 50,000 Tenure: 24 months Ticket Size : Rs. 6,000 Tenure: 6 months Product Financing/Wash Loan Ticket Size : Rs. 1,099 Rs. 15,000 Tenure: 6-9 months Emergency Loan (Pragati) Ticket Size : Rs. 10,000 Rs. 30,000 Tenure : 24 months • Household Income: Rural-Rs. 1.25 Lacs & Urban/Semi-Urban- Rs. 2 Lacs • Outstanding (incl. applied loan): <=1.0 Lacs Eligibility Criteria • Satin can be 3rd lender & 2nd MFI • CSS No loans given to delinquent customers • OTP validation SATIN CREDITCARE NETWORK LTD. Reaching out! 21#22With opportunities to leverage our customer reach SATIN Satin finances product purchase of solar lamps, bicycles etc. and grants loan for safe water and sanitation facilities Financing ~Rs. 100 crore during FY20 Bicycle Loan 60,000+ loans disbursed Home Appliances 7,500 loans disbursed Note: No. of loans disbursed during FY20 Product Financing Benefits Solar Products Enhances the productivity and generating potential of its clients income 55,000 loans disbursed Enables company to leverage its rural outreach Consumer Durables 20,000+ loans disbursed Capitalizes on company's existing network and client base No incremental cost, thus the income directly adds up to the bottom line Water & Sanitation 27,000+ loans disbursed SATIN CREDITCARE NETWORK LTD. Reaching out! 22#232. Diversified Geographical Presence ...serving ~33 lacs Customers across India 58% Clients with Satin as Only Lender* 33.2 lacs No. Of Active Clients 37.9 lacs No. of Loan Accounts 43% No. of First Cycle Customers* The pictorial representation of Map of India does not purport to be the Political Map of India SATIN CREDITCARE NETWORK LTD. Reaching out! 393 No. of Districts 87,000+ No. of Villages 68 No. of Regional Offices 2.6 lacs No. of Centres SATIN 7,475 No. of Loan Officers 11,700 No. of Employees On Consolidated basis *at the time of disbursement, data is for JLG Standalone only 23#24Leading to increasing footprints States 2. Reducing exposure to traditional regions 1. Increasing exposure to Newer states % of total GLP FY16 Q1FY21 UTTAR PRADESH 40.9% 23.0% GLP (Rs. crore) Q1FY21 1,863 BIHAR 17.7% 16.2% 1,318 PUNJAB 12.7% 9.5% 771 MADHYA PRADESH 15.5% 9.1% 735 UTTARAKHAND 3.2% 2.0% 163 MAHARASHTRA 1.6% 1.0% 82 TOTAL 91.7% 60.7% 4,931 3. Foraying into New Geographies SATIN CREDITCARE NETWORK LTD. Reaching out! % of total GLP GLP (Rs. crore) States FY16 Q1FY21 Q1FY21 WEST BENGAL 0.1% 5.8% 467 RAJASTHAN 2.3% 5.5% 444 HARYANA 1.9% 3.7% 299 DELHI & NCR 2.0% 3.7% 299 GUJARAT 0.5% 3.5% 285 JHARKHAND 0.7% 2.1% 170 CHHATTISGARH 0.6% 1.1% 89 J&K 0.1% 0.1% 8 TOTAL 8.2% 25.4% 2,061 % of total GLP States FY16 Q1FY21 GLP (Rs. crore) Q1FY21 ASSAM 0.0% 4.7% 386 ORRISA 0.0% 3.4% 276 TAMIL NADU 0.0% 3.1% 253 KARNATAKA 0.0% 1.3% 108 TRIPURA 0.0% 1.0% 81 HIMACHAL PRADESH 0.0% 0.1% 8 PONDICHERRY 0.0% 0.1% 7 MEGHALAYA 0.0% 0.1% 5 SIKKIM TOTAL 0.0% 0.0% 1 0.0% 13.9% 1,127 24 SATIN#25And de-risking geographical concentration To have become a PAN India Player Share of Top 4 States Reduced from 77% to 58% over 4 years 77.3 12.7 Limiting Exposure per district Average exposure per district % % of Top 10 Districts to AUM 67.7 10.1 -19% 56.3 15.5 58.6 10.2 57.7 0.45 19.2 17.7 12.9 8.4 9.6 9.5 8.8 9.3 0.35 9.1 18.1 18.3 0.28 21 21 19 15 15 15 17.5 16.5 16.2 0.25 0.25 40.9 29.9 26.3 FY17 23.2 22.9 FY17 FY18 FY19 FY20 Q1 FY21 21.6 FY19 FY20 UP Bihar MP Punjab FY18 Q1FY21 Number of States with more than 1% exposure of SATIN 7 10 10 16 17 2015 2017 2019 2020 SATIN CREDITCARE NETWORK LTD. Data on consolidated basis Reaching out! FY17 FY18 FY19 FY20 Q1FY21 Particulars FY17 FY18 FY19 No. of Districts - JLG 236 306 359 397 FY20 Q1FY21 393 % of Districts with <1% exposure % of Districts with >2% 1.0% 88.1% 92.5% 96.4% 96.5% 2.1% 96.4% 0.6% 0.5% 0.5% 188 120 88 % of Top 10 Districts to Net-worth 79 77 FY17 FY18 FY19 FY20 Q1FY21 SATIN 25#263. A Difference Powered by Technological Prowess & Processes... Game Changing Digital Transformation Technology (LMS) Turn Around Time of Customer Acquisition to disbursement journey Reduced from 18 days to a few minutes & Help us to be ahead of the curve to better respond to the ever-changing business scenarios ☐ ■ SATIN LMS Online real-time system Last Mile Connectivity on Tabs Greener (paperless environment) Event based mapping of Geo Location & Tracking Penetration Instant Bank Account Verification Core Accounting & Financial System Cashless Disbursement @100% branches Real-time Dashboards Technology footprint at Subsidiaries BC subsidiary also using the same technology & leveraging the same benefits Centralized Shared Service centre introduced within SATIN; to create unified support model across Business Reporting / End User Applications Support & Managed Infrastructure Strategic Direction for newer subsidiaries like Housing & MSME on industry best technology platform "OMNIFIN" Gold Standard Information Security Our company is the first MFI to be certified with ISO 27001:2013, which affirms the prevalence of robust ISMS specifying the requirements for establishing, implementing, maintaining and continually improving ISMS within the organisation This certification indicates SATIN has integrated a robust ISMS in its business processes & exemplifies that information security and client confidentiality are part of the cornerstones of SATIN's strategic objectives. ☐ Real-time CB Checks. Features enabling brand recall value (SMS, OTP, QR Code) 01 SATIN CREDITCARE NETWORK LTD. Reaching out! 22 02 03 26#27Centralized Shared Services (Vision, Scope & Task Criteria) Aimed to maximize the effectiveness of the business process and policies by providing and ensuring high quality services to our clients as well as our stakeholders Credit Risk Management and Data Quality Maintenance Customer Services Loan application details and document verification Incoming complaint management (multilingual)-SPARSH(IVR) Bank details verification & validation Comments on the basis of checklist Sanctioning the loan application Loan disbursement verification-TVR Centralized Shared Services Death verification process Loan Dost (Outgoing calls) SATIN KYC Process Checking the authenticity of documents and improving the quality of documentation and data base TVR Tele Verification Response Report is a way to evaluate quality of process followed to disburse a loan and prevent the occurrence of issues or defects in the process SATIN CREDITCARE NETWORK LTD. Reaching out! IVR Interactive Voice Response helps to enhance public image of our brand and provides protection if there is a slip-up in customer service Tele Collection To generate the lead for collection from PAR clients and reduce PAR stats 27#28Centralized Shared Services Loan Application KYC Collection Psychometric Test + Branch n₁ Branch n₂ CB Check Operations at Branch CGT/GRT SATIN CREDITCARE NETWORK LTD. Reaching out! Centralized Shared Service Center ABM-n₁ In case of rejection, transaction would re-flow to Branch for re- Branch ng uploading of proper documents. After 3 times of rejection, application gets rejected. SATIN In case documents are proper and loan is sanctioned ABM-n₂ In case of Rejection, transaction would re-flow to Branch for re- uploading of proper documents. After 3 times of rejection, application gets rejected. Ready for Disbursement SATIN Branch n₁ Branch n₂ Branch n3 28#29... leading to Operating Efficiency & Scalability New initiatives... Centralized processes KYC Compliance & Real- time Credit Bureau checks (0) ..leading to improved processes J Reduced TAT Real-time Decision Making Auto bank reconciliation using API Penny drop verification Cash less disbursements & collections C$ Faster Book Closing Enhanced Productivity ¥7 Improved Data Quality 1 WW Geotagging Brand image SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 29#304. Robust Underwriting Processes Real-time Credit Bureau checks SATIN to track loan history of the prospective clients, also created own Credit Bureau scorecard for individual clients for better screening Rotating responsibility = Shuffling CSOs every 9 months and transferring every 18 months to reduce human biases. Risk Officers visit customers regularly E Centralized Share Services KYC verification, IVR, TVR, ensuring uniform processes Geo-tagging of 100% branches and centers and 70% customers' houses Account verification & Cashless Disbursements via penny drop verification along with strict KYC compliance, also cashless disbursements eliminates the cash handling risk SATIN CREDITCARE NETWORK LTD. Reaching out! 30#31...Full-fledged in-house Internal Audit Full-fledged in-house Internal Audit 101 Zonal Auditors & Regional Auditors 100% Digital on Audit Reports and Findings Quarterly Audit Regional Office, Branch & Social Performance Management SATIN CREDITCARE NETWORK LTD. Reaching out! |||||| <<< ** Feedback based Compliance Audit 3,876 Audits completed in FY20 18 man-days field audit per auditor per month 31 SATIN#325. We have a well-diversified Liability Profile... ... insulated from Capital Market Turbulence Product-wise Jun'20 0% 3% Large Lender Base 61 Active Lenders 27% 15% Lender-wise Jun'20 21% 15% 4% 1% 54% 59% SATIN CREDITCARE NETWORK LTD. Reaching out! Term Loan Top 10 Funders NCD Buyout Commercial paper ECB NABARD State Bank of India Indian Bank SIDBI Standard Chartered Bank Bank of Baroda SATIN % Share as on 30th Jun'20 14% 10% 7% 6% 4% 4% Bank of Maharashtra 4% Blue Orchard Microfinance Fund 4% Banks NBFC Domestic Financial Institution Overseas Fund Domestic Fund Total of top 10 lenders IDFC First Bank 4% HSBC 3% 60% 32#336. Strong Capitalization with Ample Liquidity Healthy CRAR to support Growth Opportunities Benefit of positive ALM continues 30.45% 31.09% 28.49% 21.18% || FY18 FY19 FY20 Q1FY21 Static ALM as on 30th Jun'20 (Rs. Crore) Inflows Liquidity at the beginning of month* Principal - Loan portfolio Interest - Loan portfolio Total (A) Outflows Principal repayments Interest repayments Total (B) Cumulative Mismatch (A-B) 26.3 25.5 21.5 22.3 22.1 18.4 15.5 14.4 11.7 8.4 8.5 9.0 FY16 FY17 FY18 Avg. maturity of Assets FY19 FY20 Avg. maturity of Liabilities Q1FY21 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 SATIN Dec-20 Total 1,652 1,434 1,423 1,462 1,537 1,646 1,652 237 197 239 250 239 223 1,386 54 61 77 77 71 65 405 1,943 1,692 1,739 1,789 1,848 1,934 3,443 475 193 234 224 170 364 1,658 35 76 44 29 31 48 263 509 268 278 252 201 412 1,921 1,434 1,423 1,462 1,537 1,646 1,522 1,522 *Excluding margin money deposits Rs 248.4 crore lien with Lenders and undrawn sanction in hand Rs.1006 crore as on Jun'20; Principal repayments of only on-book portfolio are factored in the cashflows SATIN CREDITCARE NETWORK LTD. Reaching out! 33#34... With improving asset quality GNPA, Provisions & NNPA on AUM (Rs. crore) 522.5 14.4% GNPA, Provisions & NNPA on AUM (%) 348.6 9.6% 225.7 184.5 211.8 173.5 4.4% 212.7 105.6 164.1 2.9% 2.9% 2.4% 173.9 154.5 4.2% 4.8% 1.7% 2.3% 13.0 78.8 0.3% 2.2% 47.7 19.1 1.2%. 0.6% 0.2% Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 Provisons NNPA Provisions % NNPA % On-book Provisions & NNPA (Rs. crore) 151.5 156.3 -4.8 Mar-20 ■NNPA Provisions SATIN CREDITCARE NETWORK LTD. Reaching out! 113.0 On-book Provisions & NNPA (%) 3.3% 2.4% 3.4% 3.2% 146.8 -0.1% -33.9 Mar-20 Jun-20 ■NNPA Provisions -0.8% Jun-20 SATIN 34#35... With improving asset quality - Quarterly On-book GNPA, Provisions & NNPA (%) Provision Coverage Ratio (%) 3.9% 4.4% 4.3% 130.0 3.3% 2.4% 103.2 2.6 2.3 76.9 3.3 60.0 59.4 3.4 3.2 1.6 1.8 1.0 -0.1 -0.8 Q1FY20 Q2FY20 Q2FY20 Q4FY20 Q1FY21 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 PCR % Provisions % NNPA % On-book PCR at 130% in June-20 is the highest in the last few years SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 35#36SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN MULTIPLE GROWTH LEVERS.. 36#37Industry Growth Drivers Government focus on digitisation Massive growth potential of MSME and BC sectors Healthy growth in affordable housing finance segment Increased penetration of technology in rural areas Large unmet demand in the industry SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 37#38Industry Performance 14,275 (+22% Y-a-Y) Branch Network 3.9 crore (+24% Y-o-Y) Total Loan Accounts 116,738 (+25% Y-o-Y) Employee Base Rs. 27,754 (+15% Y-o-Y) Rs. Average Ticket Size Off Balance Sheet Balance Sheet 56,683 74,371 15,980 36,025 13,927 Rural Urban 25% 5,637 56,584 42,756 30,388 31-Mar-19 31-Dec-19 31-Mar-19 Loan Portfolio (Rs. crore) Source: MFIN Micrometer March 2020, Data is for Microfinance companies SATIN CREDITCARE NETWORK LTD. Reaching out! 75% 3.2 crore (+19% Y-o-Y) Total Clients SATIN 74,371 crore (+31% Y-o-Y) Assets Under Management (AUM) 3% 41% 56% Breakup of GLP geography (31st Mar 2020) Breakup of GLP purpose (31st Mar 2020) Agriculture/Allied Non-Agriculture Household Finance 38#39Diversification with allied product offerings TAROOSHNA T CARVING YOUR FUTURE Satin™ Housing Finance Ltd. THE ANSWER IS HOME SFL Satin Finserv Limited SATIN Taraashna Financial Services Ltd - TFSL Satin Housing Finance Ltd (SHFL) >>> 100% retail book comprising of: >>> >>> Acting as a business correspondent, TFSL provides credit to clients in rural and semi-urban areas on behalf of partner banks and NBFCs >>> Affordable home loans - 87% Satin Finserv Limited (SFL) Incorporated in Aug'18, got license from RBI to start business in Jan'19 >>> Loan against property - 13% » Standalone credit rating of CARE BBB- (Stable) » » The cashless disbursement percentage has reached almost 92% of TFSL's total disbursement for Jun 20, 5% collection through cashless mode Excellent portfolio quality since inception, Collection Efficiency of >80% during lockdown » Gross Loan Portfolio of Rs. 118 crore in Q1FY21 >>> >>> TFSL has a low risk business model which is highly capital efficient Mainly caters to customers belonging to Middle and Low-Income Groups in peripherals of Tier II and below cities » CRAR for Q1FY21 is 88.08% » Total equity stands at Rs. 102.5 crore >>> » AUM stood at Rs. 677 crore, with presence across 7 states CRAR of 98.84% and gearing of 1.41. Total equity stands at Rs. 80 crore >>> Business focus on secured retail MSME lending, wholesale lending to small NBFC MFI and others >>> >>> The Company operates through 208 branches, has more than 3.6 lakh active loan clients AUM Rs. 144 crore, with presence across 4 states with 1,305 customers >>> 15 Branches across 8 states with 1,099 active loan clients >>> Standalone rating of BBB (Stable) from CARE » SFL too has been moved to in-house software >>> 9 active lenders including NHB refinance SATIN CREDITCARE NETWORK LTD. Reaching out! 39#40SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN KEY FINANCIAL & OPERATIONAL METRICS 40 40#41Key Operation Metrics Districts, States and Branches 1,3551 Employees & Loan Officers 1,383 8,152 1,163 7,4752 (767 995 6,382 6,296 23 23 4,481 13,005 22 11,700³ 11,831 1,495 18 1,325 1,353 16 9,004 1,344 6,910 383 393 340 1,109 302 235 10,419 11,148 10,040 7,653 5,801 FY17 FY18 Districts FY19 FY20 Q1FY21 FY17 FY18 □ States Branches Satin Employees FY19 TFSL Employees FY20 Q1FY21 Loan Officers Clients (lakhs) Gross Loan Portfolio (Rs. crore) Satin TFSL Satin TFSL 34.6 35.5 4.1 3.9 28.2 33.2 3.6 26.5 2.3 3.5 31.5 30.8 29.6 22.9 24.0 8,1193 5,757 670 7,068 604 8,174 704 677 4,067 450 7,220 7,181 6,374 5,085 3,617 FY17 FY18 FY19 FY20 Q1FY21 FY17 FY18 FY19 FY20 Q1FY21 Note: (1) Data on Consolidated basis. On a standalone basis, the number of branches were 1,117; (2) Data on a consolidated basis. On a standalone basis the number of loan officers were 6,324; (3) Consolidated figures includes Satin Housing Finance Limited and Satin Finserv Ltd. SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 41#42Key Standalone Financials Gross Income (Rs. crore) 376 290 333 Q1FY20 Q4FY20 Q1FY21 NII PAT 240 1,373 1,401 54.3% Cost to Income Ratio (%) 44.8% 63.3% FY19 FY20 Q1FY20 Q4FY20 Q1FY21 NII and PAT (Rs. crore) 824 6.1% 6.3% 734 50.8% 49.7% II FY19 FY20 Opex to GLP (%) 4.7% 6.5% 6.0% 181 134 195 156 41 12 13 Q1FY20 Q4FY20 Q1FY21 FY19 FY20 Q1 FY20 Q4 FY20 Q1 FY21 FY19 FY20 SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 42#43SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN FINANCIAL & OPERATIONAL DETAILS (Consolidated) 43#44Annexure - Business Details - Consolidated - SATIN Particulars AUM (Rs. crore) On-Book AUM* Securitization Q1FY21 Q1FY20 YoY% Q4FY20 QoQ% 8,119 7,139 13.7% 8,174 -0.7% 4,653 4,344 7.1% 4,621 0.7% 46 246 -81.3% 46 -0.1% Assignment 2,009 1,475 36.2% 2,056 -2.3% Business Correspondence 519 648 -19.9% 543 -4.5% TFSL Business Correspondence 677 542 24.9% 704 -3.8% SHFL - Housing Finance 144 101 42.5% 139 3.4% SFL 118 30 -299.3% 111 6.4% AUM Mix (Rs. crore) 8,119 7,139 13.7% 8,174 -0.7% MFI Lending 6,349 5,523 14.9% 6,380 -0.5% Product Financing 26 9 194.7% 30 -12.1% MSME 287 287 -0.1% 267 7.4% Business Correspondence - IndusInd Bank 519 648 -19.9% 543 -4.5% TFSL Business Correspondence 677 542 24.9% 704 -3.8% SHFL - Housing Finance 144 101 42.5% 139 3.4% SFL 118 30 299.3% 111 6.4% No. of Branches 1,355 1,228 10.3% 1,383 -2.0% SCNL TFSL SHFL SFL 1,117 1,024 9.1% 1,140 -2.0% 208 186 11.8% 213 -2.3% 15 6 150.0% 15 0.0% 15 12 25.0% 15 0.0% *includes securitization, differences due to rounding off SATIN CREDITCARE NETWORK LTD. Reaching out! 44#45Annexure - Business Details - Consolidated SATIN Particulars No. of Employees SCNL Q1FY21 Q1FY20 YoY% Q4FY20 QoQ% 11,700 11,085 5.5% 13,005 -10.0% 10,040 9,555 5.1% 11,148 -9.9% TFSL 1,353 1,342 0.8% 1,495 -9.5% SHFL 185 106 74.5% 216 -14.4% SFL 122 82 48.8% 146 -16.4% No. of Loan Officers 7,475 7,023 6.4% 8,152 -8.3% SCNL 6,324 5,992 5.5% 6,863 -7.9% TFSL 948 935 1.4% 1,068 -11.2% SHFL 94 54 74.1% 106 -11.3% SFL 109 42 159.5% 115 -5.2% No. of Active Clients 3,323,727 3,604,373 -7.8% 3,458,304 -3.9% SCNL 2,956,790 3,226,519 -8.4% 3,082,146 -4.1% TFSL 364,533 376,746 -3.2% 373,779 -2.5% SHFL 1,305 829 57.4% 1,266 3.1% SFL 1,099 279 293.9% 1,113 -1.3% Average Ticket Size MFI Lending (SCNL) 16,000 29,000 -44.8% 37,000 -56.8% Product Financing (SCNL) 2,050 3,722 -44.8% 4,200 -51.1% TFSL 23,900 28,600 -16.4% 31,200 -23.4% SHFL SFL 1,253,000 1,074,000 1,386,000 -9.6% 1,257,000 -0.3% 622,900 72.4% 997,000 7.7% SATIN CREDITCARE NETWORK LTD. Reaching out! 45#46Annexure - P&L Statement - Consolidated Particulars (Rs. crore) Revenue SATIN Q1FY21 Q1FY20 YoY% Q4FY20 QoQ% FY20 FY19 YOY% Interest and Fee Income DA Income Treasury Income 258 249 3.6% 257 0.4% 994 1,116 -11.0% 14 39 -64.9% 85 -83.9% 236 133 76.9% 20 30 -34.0% 23 -12.8% 117 95 23.7% BC Fees 12 31 -61.7% 35 -65.9% 127 87 45.9% Other Operating Income 7 4 67.0% 10 -26.0% 29 13 117.8% Total Revenue 311 353 -12.1% 409 -24.1% 1,503 1,445 4.0% Expenses Finance Cost 160 154 4.2% 139 15.1% 589 642 -8.3% Employee Benefit Expenses 79 86 -8.0% 90 -12.0% 351 305 15.0% Credit Cost & FLDG for BC 33 20 68.5% 127 -73.9% 223 58 280.8% Other Expenses 17 25 -32.7% 30 -43.5% 111 110 0.5% Depreciation and amortization expense 4 4 -2.6% 5 -25.4% 18 13 40.2% Total Expenses 293 289 1.6% 391 -25.0% 1,292 1,129 14.4% Profit Before Tax 17 65 -73.3% 18 -5.0% 212 316 -33.0% Tax expense 4 23 -81.3% 5 -11.7% 57 114 -50.4% Profit after Tax 13 41 -68.8% 13 -2.4% 155 201 -23.1% Other comprehensive income net of taxes 5 8 -35.4% 33 -83.7% 45 45 25 78.1% Total Comprehensive Income 18 49 -63.0% 46 -60.8% 200 227 -11.9% SATIN CREDITCARE NETWORK LTD. Reaching out! 46#47SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN FINANCIAL & OPERATIONAL DETAILS (Standalone) 47#48Annexure - Operational Details - Standalone (Quarterly) SATIN Particulars Gross AUM (Rs. crore) No. of districts No. of branches No. of States of operation No. of Employees No. of Loan Officers Q1FY21 7,181 Q1FY20 YoY% Q4FY20 QoQ % 6,467 11.0% 7,220 -0.5% 305 350 -12.9% 383 -20.4% 1,117 1,024 9.1% 1,140 -2.0% 23 22 4.5% 23 0.0% 10,040 9,555 5.1% 11,148 -9.9% 6,324 5,992 5.5% 6,863 -7.9% No. of Loan accounts 3,427,761 3,781,085 -9.3% 3,615,690 -5.2% Disbursement during the period (Rs. crore) 54 1,806 -97.0% 2,516 -97.9% No. of loans disbursed during the period 23,331 632,825 -96.3% 726,661 -96.8% Particulars Productivity Metrics for MFI lending Gross AUM/Branch (Rs. crore) Gross AUM/Loan Officer (Rs. crore) Disbursement/ Branch (Rs. crore) Disbursement/ Loan Officer (Rs. crore) No. of Clients/ Branch No. of Clients/ Loan Officer Average Ticket Size (Rs.) SATIN CREDITCARE NETWORK LTD. Reaching out! Q1FY21 Q1FY20 YoY% Q4FY20 QoQ % 6.2 6.1 1.7% 6.1 1.0% 1.1 1.0 5.4% 1.0 7.7% 0.0 1.7 -98.1% 2.2 -98.5% 0.0 0.3 -98.0% 0.4 -98.4% 2,569 3,135 -18.1% 2,627 -2.2% 453 533 -15.0% 434 4.4% 16,000 29,000 44.8% 37,000 -56.8% 48#49Annexure - Financial Performance - Standalone SATIN Particulars (Rs. crore) Gross yield (1) Financial Cost Ratio (2) Q1FY21 Q1FY20 Q4FY20 FY20 FY19 16.08% 20.74% 22.07% 20.61% 23.97% 8.64% 9.45% 7.95% 8.49% 11.15% Net Interest Margin (3) Operating Expense ratio (4) Loan Loss Ratio (5) ROA (6) 7.44% 11.29% 14.12% 12.12% 12.81% 4.72% 6.13% 6.32% 6.02% 6.51% 1.76% 1.12% 6.81% 2.97% 0.96% 0.72% 2.46% 0.72% 2.26% 3.01% ROE (8) 3.52% 13.50% 3.49% 12.00% 19.08% Leverage (Total Debt (7) / Total Net Worth) 3.62 3.91 3.72 3.72 4.55 Cost to Income Ratio 63.34% 54.28% 44.76% 49.66% 50.83% Asset Quality GNPA % ECL as % of AUM Q1FY21 Q1FY20 Q4FY20 FY20 FY19 2.4 2.8 2.9 2.9 2.9 2.2 1.7 2.3 2.3 1.7 1234565% 2. 3. 4. 5. 6. 1. Gross Yield represents the ratio of total Income in the relevant period to the average AUM Financial Cost Ratio represents the ratio of interest Expense in the relevant period to the Average AUM Net Interest Margin represents the difference between the Gross Yield and the Financial Cost Ratio Operating Expenses Ratio represents the ratio of the Operating Expenses (expenses including depreciation but excluding Credit Cost and interest Expense) to the Average AUM Loan Loss Ratio represents the ratio of credit cost (including FLDG on BC) to the Average AUM RoA is annualized and represents ratio of PAT to the Average Total Assets 7. Total Debt includes Securitization and preference shares considered as debt in accordance of IndAS 8. RoE is annualized and represents PAT(Post Preference Dividend) to the average equity (i.e., net worth excluding preference share capital) SATIN CREDITCARE NETWORK LTD. Reaching out! 49#50Annexure - P&L Statement- Standalone Particulars (Rs. crore) Revenue SATIN Q1FY21 Q1FY20 YoY% Q4FY20 QoQ % FY20 FY19 YOY% Interest and Fee Income DA Income 248 245 1.1% 247 0.4% 966 1,113 -13.2% 14 39 -64.9% 85 -83.9% 236 133 76.9% Treasury Income 19 28 -31.2% 21 -8.4% 112 91 22.0% BC Income 3 16 -79.9% 14 -75.8% 62 25 148.9% Other Operating Income 5 4 30.5% 6 -39.4% 25 11 135.3% Total Revenue 290 333 -13.0% 376 -22.9% 1,401 1,373 2.0% Expenses Finance Cost 156 152 2.5% 135 15.4% 577 639 -9.7% Employee Benefit Expenses 67 23 73 -8.6% 75 -11.7% 297 265 12.0% Credit Cost & FLDG for BC 32 18 77.5% 116 -72.6% 202 55 264.7% Other Expenses 15 22 -32.3% 28 -47.1% 97 97 0.4% Depreciation and amortization expense 3 3 -3.2% 5 -25.5% 15 11 34.3% Total Expenses 272 268 1.6% 359 -24.1% 1,188 1,067 11.3% Profit Before Tax 17 65 -73.3% 17 2.4% 213 306 -30.3% Tax expense 5 24 -80.9% 4 1.1% 57 111 -48.6% Profit After Tax 13 41 -68.9% 12 2.9% 156 195 -19.9% Other comprehensive income net of taxes 5 8 -35.9% 33 -83.7% 45 25 77.5% Total Comprehensive Income 18 50 -63.4% 46 -60.0% 201 220 -8.8% SATIN CREDITCARE NETWORK LTD. Reaching out! 50#51SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN FINANCIAL & OPERATIONAL DETAILS (Subsidiaries) 51#52Annexure -> P&L Statement - TFSL Particulars (Rs. crore) Revenue Total Revenue Expenses Finance Cost Employee Benefit Expenses Credit Cost SATIN Q1FY21 Q1FY20 YoY% Q4FY20 QoQ % FY20 FY19 YOY% 10.4 16.2 -35.7% 22.2 -53.0% 69.8 68.3 2.2% 0.9 0.5 87.7% 0.8 21.9% 3.2 2.5 28.4% 8.5 9.9 -14.3% 9.4 -9.0% 38.3 35.3 8.3% 0.8 2.0 -60.4% 4.2 -80.9% 13.4 5.7 133.5% Other Expenses 1.6 2.1 -25.4% 7.7 -79.5% 14.4 11.1 29.6% Depreciation and amortization expense 0.4 0.4 -5.7% 0.4 -14.5% 1.7 1.1 58.5% Total Expenses 12.2 15.0 -18.5% 22.5 -45.7% 71.0 55.7 27.3% Profit Before Tax -1.8 1.2 -246.8% -0.3 517.7% -1.2 12.6 -109.5% Tax expense -0.5 0.4 -222.5% 0.1 -590.0% -0.2 4.1 -104.6% Profit After Tax -1.3 0.8 -258.7% -0.4 233.7% -1.0 8.4 -111.9% Other comprehensive income net of taxes 0.0 0.0 0.2 0.3 0.1 304.3% Total Comprehensive Income -1.3 0.8 -258.7% -0.2 744.0% -0.7 8.5 -108.9% SATIN CREDITCARE NETWORK LTD. Reaching out! 52#53Annexure - P&L Statement - SHFL SATIN Particulars (Rs. crore) Q1FY21 Q1FY20 YoY% Q4FY20 QoQ % FY20 FY19 YoY% Revenue Interest and Fee Income 5.1 3.2 56.0% 5.1 -1.0% 16.8 4.5 277.4% Treasury Income 0.4 0.3 42.9% 0.6 -26.2% 1.9 1.0 83.4% Other income 0.1 0.2 -4.1% 0.8 -81.5% 2.3 1.6 43.1% 5.7 3.7 52.4% 6.5 -13.2% 21.0 7.1 196.9% Total Revenue Expenses Finance cost 3.3 1.4 128.9% 2.9 13.2% 8.3 1.1 651.0% Employee benefit expenses 2.4 2.1 12.1% 3.1 -23.3% 9.7 4.8 102.0% Credit Cost 0.1 0.1 -26.4% 0.9 -92.7% 1.2 0.3 285.6% Other expenses 0.4 0.8 -47.4% 0.0 1141.6% 2.5 2.3 9.5% Depreciation and amortization expenses 0.1 0.1 -5.0% 0.1 -39.9% 0.5 0.1 413.3% Total Expenses 6.2 4.5 37.3% 7.1 -12.6% 22.2 8.6 158.7% Profit Before Tax -0.5 -0.8 -32.5% -0.6 -4.9% -1.2 -1.5 -18.6% Tax expense -0.2 -0.2 -26.2% -0.1 37.3% -0.3 -0.3 2.0% Profit After Tax -0.4 -0.6 -34.7% -0.5 -15.4% -0.9 -1.2 -23.4% Other comprehensive income Total Comprehensive Income -0.4 -0.6 -34.7% -0.4 -12.7% -0.9 -1.2 -25.6% SATIN CREDITCARE NETWORK LTD. Reaching out! 53#54Annexure -> P&L Statement - SFL Particulars (Rs. crore) Revenue Interest and Fee Income Treasury Income Other income Total Revenue Expenses SATIN Q1FY21 Q1FY20 YoY% Q4FY20 QoQ % FY20 5.78 1.11 418.9% 5.72 1.1% 13.59 0.15 0.04 334.9% 0.06 158.2% 0.24 0.06 0.02 152.6% 0.08 -30.6% 0.18 5.99 1.17 411.3% 5.86 2.3% 14.02 Finance cost 0.99 0.21 370.6% 0.73 35.6% 1.76 Employee benefit expenses 1.68 1.12 50.3% 2.11 -20.2% 6.67 Credit Cost 0.51 0.07 586.5% 0.56 -9.1% 1.46 Other expenses 0.64 0.86 -25.6% 0.42 54.3% 3.13 Depreciation and amortization expenses 0.04 0.00 1828.5% 0.09 -50.3% 0.11 Total Expenses 3.86 2.27 70.3% 3.90 -0.9% 13.14 Profit Before Tax 2.13 (1.10) -294.2% 1.96 8.7% 0.88 Tax expense (DTA) 0.53 (0.29) -282.7% 0.53 0.7% 0.24 1.60 (0.80) -298.4% 2.49 -35.9% 0.65 Profit After Tax Other comprehensive income Total Comprehensive Income SATIN CREDITCARE NETWORK LTD. Reaching out! 0.05 -0.02 1.64 (0.80) -304.1% 2.47 -33.4% 0.65 54#55SATIN CREDITCARE NETWORK LTD. Reaching out! COMPANY BACKGROUND SATIN 55#56Key milestones: Crossed the USD 1 billion AUM mark Business Timeline 2016 2017 2018 2019 2020 Started MSME Lending in FY17; Acquired TFSL in Sep'16 Reaches 27.1 lacs active clients and AUM of Rs. 4,882 crore by Dec'17 SHFL commenced lending in Feb18; BC agreement with IndusInd Bank, reached AUM of Rs. 5,757 crore by Mar'18 Received NBFC license for Satin Finserv Ltd for MSME business; reached AUM of 1 Bn USD; TFSL became wholly owned subsidiary Received the Award of "Great Place to Work" 2015 2014 2013 2012 2010 Listing on NSE, BSE and CSE (2); Received top MFI grading of MFI 1 Reaches 8 lacs active clients and AUM of Rs.1,056 crore as on Mar'14; Reaches 4.9 lacs active clients & AUM of Rs. 580 crore as on Mar'13; Converts to NBFC- MFI in Nov'13; Received 'MFI 2+'rating by CARE Starts SHG bank linkage program in Rewa, MP; Receives 83% in microfinance COCA audit Reaches 1.7 lacs active clients and gross AUM of Rs.169 crore as on Mar'10 1990 Date of inception of Satin- October 16, 1990 1996 IPO and listing on DSE, JSE and LSE(1) 1998 Registers as NBFC with the RBI 2008 Started JLG Model in May 2008 2009 JLG business shows strong asset quality and large potential to scale up Note: 1. Regional Stock Exchanges (DSE - Delhi Stock Exchange, JSE - Jaipur Stock Exchange, LSE- Ludhiana Stock Exchange); (2) BSE - BSE Limited, NSE - National Stock Exchange of India Limited, CSE - The Calcutta Stock Exchange Limited SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 56#57Key milestones: Crossed the USD 1 billion AUM mark Fund Raising Timeline 2015 2016 2017 2018 Raised Rs. 41.5 crore from SBI FMO (3) (including warrants); Rs.37.9 crore infused by Promoter Group Raised Rs. 250 crore via QIP in Oct'16; Exit of DMP in Jul'16 and ShoreCap in Aug'16 In Apr'17, raised $10 mn from ADB(4); Investment of Rs. 35 crore by IDFC First Bank (then Capital First); Raised Rs. 150 crore via QIP in Oct'17 Pref. Allotment: Equity funding by NMI (Rs. 20 crore), and Kora Cap (Rs. 80 crore); Promoter invested via FCW (Rs. 60 crore), IndusInd invested Rs. 45 crore via OCCRPS 2013 2012 2011 2010 2009 2019/20 Exit of MV Mauritius ■ Raised Rs. 120 crore by Rights Issue 2008 ☐ Raised Rs. 30 crore from DMP, ShoreCap and MV Mauritius Ltd; Rs.11 crore infused by Promoter Group; Exit of Lok Capital Raised floating rate long term unsecured Tier II debt in Jul'14; Raised Rs. 28.4 crore of equity from NMI and $10 mn of debt from World Business Capital as ECB Raised Rs. 18 crore from Danish Micro Finance Partners K/S (DMP) in Feb'11 Raised Rs. 2.5 crore from Lok Capital in Nov 10 and Rs. 21.8 crore from ShoreCap Il in Dec'10; Rs. 7.7 crore infused by Promoter Group Raised Rs. 1.9 crore from Lok Capital First private equity investment Raised Rs. 4.87 crore from Lok Capital; Rs. 1 crore infused by Promoter Group Note: (3) SBI FMO Emerging Asia Financial Sector Fund Pte. Limited; (4) ADB - Asian Development Bank SATIN CREDITCARE NETWORK LTD. Reaching out! SATIN 57#58Differentiated Investment Choice... Investor confidence 7 rounds of equity capital raised with marquee investors Profitable exit to 4 investors QIP: Rs. 250 crore from marquee institutions in Oct 2016, Rs. 150 crore from large domestic MFs in Oct 2017 Rights Issue of Rs. 120 crore in Aug 2020 in peak of COVID-19 crisis Marquee Shareholder Base As on Jun 30, 2020 Promoter INMI Promoter Commitment 25.17% 30.19% I SBI-FMO ☐ Promoter stake quite high among MFIs, having invested at regular intervals at par with incoming PE Kora Cap ☐ Adequate board representation - Nominee Directors representing the Investors 14.08% ADB Key Shareholders Mutual Funds DSP Aditya Birla ■ UTI $ Foreign Portfolio Investor ■ Morgan Stanley ■ Government Pension Fund Global ■ Massachusetts Institute of Technology $ Financial Institutions IDFC First Bank Ltd ■ IndusInd Bank Ltd Foreign Bank ■ Asian Development Bank SATIN CREDITCARE NETWORK LTD. Reaching out! 6.47% 6.37% 7.58% IndusInd FPIs 4.59% 2.58% 2.97% MFs Others SATIN 58#59Making a Difference to the Community Women Financial Empowerment Workshops 6 Workshops for our clients in 5 states with average participation of 300-350 clients Health Check-up Camps 5 Free health check-up camps for the community in Assam and Odisha বিনামলীয়া স্বাস্থ্য পরীক্ষা শিবির স্যাটিন ক্রেডিটকেয়াৰ নেটৱৰ্ক লিমিটেড Organlaod to GNRC Hospital Financial Awareness Camps 9 Awareness camps in Sivasagar region on Credit Discipline and Financial Literacy, in the wake of Assam crisis. SATIN Skill Development Training 6 Skill development trainings in partnership with USHA sewing machines in Assam স্যাটির ক্রেডিট কেয়ার নেটৱৰ্ক লিমিে SATIN CREDITCARE NETWORK LIMITE FREE CUTTING AND TAILORING TRANING CAMP চलॉ শিবিৰ Supporting Local Schools Supporting 4 local government schools through provision of school bags to the students in Assam Water and Sanitation (WASH) Loans & Clean Energy Loans Financing safe water and sanitation needs of our clients in 4 states (Assam, Bihar, Uttar Pradesh and West Bengal) and providing clean energy loans for purchase of solar home lighting systems Satin Credit Care Network LTD. সংটিন ক্রেডিট কাৰ নেটৱৰ্ক লিমিটেড Flood & Cyclone Relief Initiatives Flood relief camps in West Bengal, Assam and Bihar SATIN CREDITCARE NETWORK LTD. Reaching out! REDMI NOTE 5 PRO MI DUAL CAMERA Building a Difference to Make a Difference XXX XXX 59#60Awards and Accolades ◉ Mr. HP Singh, CMD, was conferred the 'Golden Globe Tiger Awards' at an awards ceremony in Malaysia Mr. HP Singh received the 'Exemplary Leader' Award ☐ Mr. HP Singh received Business Leader of the Year Award in NBFC Sector at World HRD Congress by ET Now November 2018 Got sA social rating from Microfinanza December 2018 Won the "SKOCH Award" for Digital Transformation January 2019 Received "C1" grade in Code of Conduct Assessment from ICRA July 2019 Moved up in "Fortune The Next 500" = July 2019 Got 1st Prize in Customer Service Index by MFIN SATIN = September 2019 "Outstanding Contribution to Water and Sanitation Lending" from Sa-Dhan and Water.org November 2019 Awarded "Company with Great Manager" February 2020 Won "National Best Employer Brand" "Dream Companies to Work For" WE ARE GREAT PLACE TO WORK - CERTIFIED™M Building and Sustaining High-Performance™ Culture Great Place To Work® Certified JAN 2020-DEC 2020 INDIA SATIN CREDITCARE NETWORK LTD. Reaching out! 60#61Contact information Company (Investors & Media): Ms. Aditi Singh Head Investor Relations & Corporate Communication E: [email protected] T: +91 124 4715 400 (Ext - 222) www.satincreditcare.com SATIN#62Thank You SATIN CREDITCARE NETWORK LTD. Reaching out!