PROJECT ON AXIS BANK

By Group A4 (MBA)
MICROANALYSIS
 History of Banking Sector
 PreIndependence
 Nationalization
 Liberalization

 Apex Bank – RBI

 Commercial Banks
 Public Banks
 Private Banks

 Co-operative
Banks
 Development Banks
 Industry Trends
 E-cheques
 Real Time Gross Settlement
 Electronic Funds Transfer
 Electronic Clearing Service
 Automatic Teller Machine
 Point of Sale Terminal
 Tele Banking
 Electronic Data Interchange
 Terms Related to the Banking Sector
 Bank Rate
 Cash Reserve Ratio
 Inflation
 Money Supply (M3)
 Statutory Liquidity Ratio
 Repo
 Open Market Operations
MICROANALYSIS
 Bank History
 Established
in 1994 as UTI Bank
 Was promoted by
 Union Trust of India (UTI)
 Life Insurance Corporation (LIC)

 General Insurance Corporation Ltd. and its four subsidies

 Came up with an IPO in 1998

 Launched a co branded International Credit Card with
MasterCard
 Started e-banking services in 2000
 Got listed on London Stock Exchange in 2005
 Name changed to AXIS Bank in 2007
PROMOTERS
CORPORATES ASSOCIATED
 P J Nayak – Chairman and CEO 2007 – 2009
 Shikha Sharma – Current CEO and MD appointed in
2009
 Adarsh Kishore – Non Executive Chairman
CURRENT POSITION OF THE COMPANY
 3rd largest private sector bank and 9th largest overall
 1042 Branches and 4474 ATMs (as on 30th June, 2010)

  Market Cap. (` cr.) Net Interest Net Profit Total Assets

Income

ICICI Bank 1,11,980.90 25,706.93 4,024.98 3,63,399.71

HDFC Bank 1,00,555.04 16,172.91 2,948.69 1,83,270.78

Axis Bank 56,696.97 11,638.02 2,514.53 1,80,647.87

Kotak Mahindra 29,812.51 3,255.62 561.11 37,436.31

YES BANK 10,844.44 2,369.71 477.74 36,382.50

SWOT
 Strengths
 Competitive and profitable banking franchise
 High level of services
 Knowledge of Indian Market
 Supported by various promoters
 Services updated by latest technology
 Weakness
 Competitiveness of cost of services
 Market capitalization is low
 Positioning
 UTI fraud
 Customer service
 Opportunities
 Large retail and corporate market
 Wide scope in the rural market
 Competitive banking services
 Foreign Markets
 Threats
 Established Governments Banks
 Established and growing MNC Banks
 Advent and growth of foreign Banks
 Inflation and rising lending rates
FINANCIAL ANALYSIS
FINANCIAL HIGHLIGHTS
 Profit after tax up 38.51% to ` 2514.53 crores
 Net Interest Income up 35.76% to ` 5004.49 crores

 Earnings per share (Basic) increased from ` 50.61 to `

65.78.
 Proposed Dividend up from 100% to 120%

 Capital Adequacy Ratio stood at 15.80% as against the

minimum regulatory norm of 9%
 Growth of bank at 38.51% and 69.50% against sector
growth of 20.64% and 14.13% for the previous two years
MARKETING STRATEGY
 Product
 Banking and Savings
 Corporate Finance
 Investment and Insurance
 Loans and Borrowings
 Place
 Branches – 1042
 ATMS – 4474
 Price
 Customers get value for money
 Lower fee charge
 Promotions
 Advertising
 Print Media
 Publicity
 Personal Selling
 Sales Promotions
HR POLICIES
 Training and Development of employees
 Monitoring and improving employee performance

 Compensation and Reward Administration

 Grievance Handling
DIFFERENTIAL STRATEGY
 Service above others
 Customer based & service oriented

 Max coverage, innovative products and services

 Services provided
 Remittance
Card
 EMV based platinum credit card
CSR INITIATIVES
 Axis Bank Foundation set up in 2006
 Transfers 1% of net profit to the Foundation

 Supporting 41 NGOs

 536 education centers covered

 47055 children covered

 24 SMEs exclusively focusing on MSMEs

 AWARDS & SIGNIFICANT EVENTS
Business World ,Best Bank Fastest Growing Large Bank
Awards
Date Event

Business Today,Best Bank India's Best Bank, India's Fastest DECEMBER‘93 Registered office at
Awards  Growing Bank, India's Most Ahmedabad, head office at
Consistent Bank Mumbai.
APRIL ‘94 First branch of UTI
ET Intelligence Group Best Bank 2009 inaugurated at Ahmedabad.
MARCH ‘95 Completes first profitable
year.
NDTV Profit Business Best bank Private Sector
DECEMBER ‘00 Bank opens 200th ATM,
Leadership Awards 2009 
2nd largest ATM network in
the country.
Forbes Fab 50 The Best of Asia Pacific's
Biggest Listed Company NOVEMBER ‘01 Deposit base for bank
crosses ` 10,000 cr.
FE Best Banks Award Best New Private Sector JANUARY ‘02 Bank’s 100th branch opens
bank,Rank 1 at Tuticorin, Tamil Nadu.
Talisma  Customer Appreciation Award MARCH ‘05 Issue of Global Depository
2009 Receipts(GDR)
AUGUST ‘06 Launch of Credit card.
D & B Best Bank Awards  Best Private Bank
JULY ‘07 UTI turns to AXIS.
Lafferty Award  Best Annual Report-India
MARCH ‘07 AXIS Bank launches
Platinum Card.
CONCLUSION
 Axis Bank has shown substantial growth in the past few
years.
 The change in name to have seemed to achieved its goal
as the net profits and total incomes are growing way over
the growth rate of the sector.
 It may not be long before Axis Bank overtakes HDFC
Bank in terms of Net Income and Total Income to
become the no. 2 bank in Private Sector in India.
THANK YOU