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Investor Presentaiton

Key Performance Indicators RoA driver tree: NBFCs' ROA improved 45 bps in FY23 on higher NIMs, lower credit costs RoA Tree HFCS Diversified Gold Loan MFIS Industry Particulars1 UOM FY23 FY22 FY23 FY22 FY23 FY22 FY23 FY22 FY23 FY22 Net interest Margin (%) ↑ 2.8 2.7 ↑ 7.9 7.3 ↓9.9 11.0 ↑ 10.1 9.1 ↑ 5.4 5.0 Fee + Other Income (%) 0.6 0.6 ↑ 1.6 1.4 ↑ 0.3 0.2 ↑ 2.4 1.1 ↑ 1.0 0.9 Operating expenses (%) 0.5 0.5 ↑ 3.7 3.2 13.7 3.4 5.1 5.1 ↑ 2.1 1.8 Pre-Provision Profit² (%) ↑ 2.9 2.8 ↑ 5.8 5.6 ↓6.5 7.8 ↑ 7.5 5.1 ↑ 4.4 4.1 Credit costs (%) ↓0.4 0.5 1.5 2.4 ↓0.1 0.2 ↓3.0 3.9 ↓↓0.9 1.3 Tax (%) 0.5 0.5 ↑ 1.5 0.9 1.6 1.9 ↑ 1.4 0.5 ↑ 1.0 0.7 Return on Assets (%) ↑ 2.0 1.8 ↑ 2.9 2.1 ↓ 4.8 5.6 ↑ 3.7 1.4 ↑ 2.5 2.1 1. All the above #s are as a % of Average Assets, 2. Pre-provision profit may not tally due to rounding off error 3. Other Expenses include "Net loss on fair value changes", "Net loss on derecognition of financial instruments under amortized cost category", "Net Transaction Exchange Loss" and/or "Loss/write-off on Repossessed Assets and Assets acquired in satisfaction of debt" 1. Note: Analysis has been made based on 29 NBFCs (10 HFCS, 2 Gold, 3 MFI and 14 Diversified NBFCs) 2. Source: Capitaline, Quarterly Results, Investor Presentation, Annual Report, BCG Analysis 22 Copyright © 2023 by Boston Consulting Group. All rights reserved. %
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