Professional Documents
Culture Documents
jpg
page 1.jpg
page 3.jpg
page 2.jpg
9thAnnual India Unlimited. InvestorConference
Mr. Bipin Kabra
March 9, 2010
page 3.jpg
page 3.jpg
Origin
Capital of
11,000
7 employees
Nov 14, 1927
Trichur
page 3.jpg
page 3.jpg
Milestones
Incorp.
1927
1st
Branch
Br. o/s
Kerala
SCB
status
100
branches
Public
issue
1stATM
Rights
issue
1937
1975
1977
1980
1996
2000
2002
page 3.jpg
page 3.jpg
The distant past
Dependency in Kerala
Banking business
Infrastructure
Employees
Board of Directors
page 3.jpg
Board of Directors (contd.)
Name
Age
Total Work Experience
Mr. S.
Santhanakrishnan
64
RetiredasDeputyManagingDirectorofSBIafterservingthem36years.AnindependentDirecto
ronBoard.HewasalsotheexecutiveChairmanofCreditInformationBureau(India)Limited(CI
BIL).
Mr. K. S. Reddy
56
HehasbeeninIndianCivilServicesforover16yearsandworkedinMinistriesofPlanningandPr
ogrammeImplementation,FoodProcessingIndustries,Defense,Communications,
WelfareandTourismandCivilAviation.
Mr. VidyadharaRaoChalasani
64
Anadditional/independentdirectoronboard.Hehasoverthreedecadesexperienceinfinanci
alservices.Currently,heistheDirectorofAdviceAmerica(California,USA).
During1987-2000,hewasthechiefinvestmentstrategistofWachoviaSecurities.
Mr. GhanshyamDass
57
HewastheManagingDirectorofNASDAQQMXforAsiaPacificuntilFebruary2009.HewasalsotheC
EOofBritishBankofMiddleEastinIndia&MajanInternationalBankintheSultanateofOman.Cu
rrently,heistheSeniorAdvisorofKPMGandAdvisor,IntelCapital.
Mr. SateeshKumar
Andra
41
Heisontheboardofstart-upslikeMetromelaInternetServicesPrivateLimited,GingerSoftM
ediaPrivateLimited,PressmartIndiaLimitedandMetrikusIndiaPrivateLimited,
startedbyyoungandfirstgenerationentrepreneurs.HewasthePromoterandCEOofEUCLIDsoft
ware,aleadingproviderofBusinessIntelligenceforIT.Heisengagedasventurepartnerwith
DFJ(DraperFisherJurvetson)India,whichlendssupporttoenterprisingentrepreneurs.
page 3.jpg
page 3.jpg
Shareholding Pattern as on Dec 31, 2009
Stakeholders
December 31, 2009
September 30, 2009
Shares in
million
%
Shares in
million
%
Resident Individuals
30.0
46.86
27.9
43.55
Foreign Institutional Investors
14.8
23.15
14.9
23.30
Corporate Bodies
14.3
22.24
15.0
23.34
Non Resident Indians
3.6
5.63
3.5
5.46
Banks / Financial Institutions
0.2
0.39
0.7
1.06
Others *
1.1
1.74
2.1
3.29
Total
64.1
100.00
64.1
100.00
Rs. in crores
Non interest income driven by an increased focus on fee based business
page 3.jpg
page 3.jpg
Net Interest Income
Rs. in crores
Particulars
Q3 -
FY2010
Q3 -
FY2009
Y-O-Ygrowth
9m -
FY2010
9m -
FY2009
Y-O-Ygrowth
Interest Income
139.8
111.8
25%
384.1
293.5
31%
-from Advances
108.0
78.8
37%
304.0
204.0
49%
-from Investments
30.8
21.4
44%
73.6
60.3
22%
-from balances with
RBI / other banks
0.6
11.6
(95)%
4.5
29.2
(85)%
-Others
0.4
-
-
2.0
-
-
Interest Expenses
100.7
74.4
35%
287.4
200.1
44%
Net Interest Income
39.2
37.4
5%
96.7
93.4
4%
page 3.jpg
page 3.jpg
Trend in Net Interest Margin
Margins improved on a sequential basis due to higher growth in low cost
deposits from the new branches and renewed thrust on the SME segment2.38%
1.91%
2.52%
1.4%
1.6%
1.8%
2.0%
2.2%
2.4%
2.6%
2.8%
3.0%
Q1-2010Q2-2010Q3-2010
page 3.jpg
page 3.jpg
Trend in Operating expenses
13
16
17
1718
26
30
12
1213
14
14
18
23
25
28
29
31
32
4453
0
10
20
30
40
50
60
Q1-09
Q2-09
Q3-09Q4-09
Q1-10
Q2-10
Q3-10
Rs. in croresOthersStaff cost
page 3.jpg
page 3.jpg
Key Ratios (%)
Particulars
Q3 -
FY2010
Q2 -
FY2010Q1 -
FY2010
9m -
FY2010
9m -
FY2009
Yield on Advances
10.41
10.55
11.46
10.81
12.04
Cost of Funds
6.36
6.86
7.22
6.78
7.06
Net Interest Margin
2.52
1.91
2.38
2.35
3.29
Cost / Income ratio
94.94
79.71
71.15
82.67
62.14
Credit -Deposit ratio
75.31
74.17
71.04
75.31
69.52
Return on Equity
1.19
5.70
9.31
5.32
11.45
Return on Assets
0.07
0.50
0.71
0.37
1.07
page 3.jpg
page 3.jpg
Key Ratios (contd.)
Particulars
Dec 31,
2009
Sept 30,
2009
June 30,
2009
Mar 31,
2009
Dec 31,
2008
Capital Adequacy Ratio
Basel I (%)
13.36
14.93
13.38
14.44
14.33
-Tier I
9.14
10.16
11.97
12.90
12.82
Basel II (%)
14.29
15.90
14.14
15.38
-
-Tier I
9.78
10.81
12.65
13.75
-
Gross NPA ratio (%)
1.76
1.73
1.92
1.99
2.27
Net NPA ratio (%)
0.89
0.86
0.96
0.88
0.89
Gross NPAs (Rs. in crores)
77.88
70.26
67.96
64.43
67.76
Net NPAs (Rs. in crores)
39.14
34.43
33.70
28.24
26.12
page 3.jpg
page 3.jpg
Particulars
Dec 31,
2009
Sept 30,
2009
June 30,
2009
Mar 31,
2009
Dec 31,
2008
Y-O-Y
growth
CASA
1,323.6
1,244.9
1,126.0
1,207.6
1,166.3
13.5%
CASA (%)
22%
22%
22%
24%
25%
-
Term Deposits
4,678.5
4,384.6
3,944.6
3,761.1
3,448.4
35.7%
Total Deposits
6,002.1
5,629.4
5,070.6
4,968.8
4,614.7
30.1%
Net Advances
4,390.6
4,001.8
3,488.6
3,196.1
2,938.8
49.4%
Rs. in crores
Credit -Deposit Growth
Growthindepositsandadvancescontinuetobehigherthantheindustryaverage
Depositsgrewby30%ascomparedtoindustrygrowthof18%
Advancesroseby49%vis-à-vis14%increaseintheindustry
page 3.jpg
Thank You
page 3.jpg
Appendix
page 3.jpg
Payment Services -
Bill pay, Money
transfer, charity,
Religious
offerings, etc.
Bill
Discounting, BGs,
LCs, Working
capital
finance, Term
loan, project
finance etc.
Retail Loans -
Mortgages, Vehicle, Gold, Shares,
Property etc.
Credit / Debit
Card
Investment Banking
Third Party
Products -
MF, Insurance, Gold, Forex, Depository
etc.
Liabilities -
Current, Saving,
Term, Recurring,
Roaming account
etc.
Liability
Products
Loan Products
Transaction
products
Product Suite
page 3.jpg
.Branch
.ATM
.Internet
Channel Development
Total touch points will increase to 726 as at March
2010 from 279 as at March 2009
page 3.jpg
Regional Bank
All India BankPresence in 600
locations
Branch network increased from 207 to 273
140 Locations covered
page 3.jpg
Branches -Old look
C:\Documents and Settings\Administrator\Desktop\New Folder\New pho\dlb existing
infra\chirakadavu br\140920091087.jpg
C:\Documents and Settings\Administrator\Desktop\New Folder\New pho\dlb existing
infra\chirakadavu br\140920091085.jpg
C:\Documents and Settings\Administrator\Desktop\New Folder\New pho\dlb existing
infra\chirakadavu br\140920091082.jpg
Picture 007
E:\sameer on 172.19.122.188\PPG\Financials\budget-11\dlb existing infra\chirakad
avu br\080920091070.jpg
page 3.jpg
Branches -New look
2
page 3.jpg
Euronet
New Operational ATM
Proposed ATM
.Increasefrom73to453
. Paypertransaction
.No.oftransactionsrosefrom1.7lakhsp.m.to3.2lakhsp.m.
ATMs
page 3.jpg
Old Look New look
E:\sameer on 172.19.122.188\PPG\Financials\budget-11\pi\PICT0090.JPG
page 3.jpg
Old Web site site1.gif
page 3.jpg
New Web site dhanbank.comInternet banking hits increased from 7 lakhs to 34 lakhs
p.m.
page 3.jpg
Business Mix
Micro/Agri11%
TAG14%
WBG62%
Retail13%
High volume, less
margin, less risky
page 3.jpg
Business Mix -Geographical
44%
30%
56%
70%
20%
30%
40%
50%
60%
70%
80%
31/03/2009
15/02/2010KeralaNon Kerala
page 3.jpg
.Change of culture at Branches from Lending to Liabilities
.Dedicated sales team of 1,000 people
.Focus on CASA -Average CASA deposits increased from Rs.
1,054 crores (March 2009) to Rs. 1,275 crores (Feb 2010)
.30 to 1,000 new accounts per day
Liabilities
page 3.jpg
Evolution into a contemporary and modern
brand identity
dhanalaksmi final logo copy
dlb logo
Dhanalakshmi_logo
dhanalakshmi
dhanalaksmi final logo copy
page 3.jpg
page 3.jpg
Unveiling the new identity
page 3.jpg
Pan India Signage and communication
under new identitySTA60127.JPG
100_3845
101_1801
STA60054.JPG
page 3.jpg
Unified CommunicationC:\Documents and Settings\Abid_Ansari\Desktop\Dhanlaxmi Ban
k\SDC16827.JPG
C:\Documents and Settings\Abid_Ansari\Desktop\Dhanlaxmi Bank\IMG_0033.JPG
C:\Documents and Settings\Abid_Ansari\Desktop\Dhanlaxmi Bank\IMG_0042.JPG
page 3.jpg
Unified Communication (contd.)
VISITING CARD
LETTERHEAD
page 3.jpg
Recruited over 2,500 employees
Introduction of ESOPs
Average employee age reduced to 34 years (Dec 2009)
from 48 years (Sept 2008)
Senior management team
Recruited senior management from Industry
Formed core team of existing and new members
Human Resources
page 3.jpg
Awards won at the World HRD Congress
Continuous Innovation in HR Strategy at Work
Most Innovative Recruiting and Staffing Program / Initiative and
Recruiting & Staffing Industry Leader of the Year
Our Chairman Mr. G.N. Bajpaiwas honouredwith the Lifetime
Achievement Award under the Global HR Excellence Award category
Awarded Best Employer Brand among private
The Strategy
Financial Perspective
"If we succeed, how will we
look to our shareholders?"
Customer Perspective
"To achieve my vision, how
must I look to my customers?"
Organization Learning
"To achieve my vision, how must
my organization learn &
improve?"
Internal Perspective
"To satisfy my customer, at which
process must I excel?"
page 3.jpg
The Conclusion
Measurement must be linked to strategy
StrategyBalancedScorecard
Measurement to Communicate, not to ControlMeasurement communicates Values,
Priorities and Direction
The Premise
Premise behind the BSC
page 3.jpg
Changing Consumer Demographics
Consumer
Demographics of
India
Increasingly affluent, with a bulging middle
class
The youngest population in the world
65% of population below 35 years of age
Rising savings rate >30%
Increasing literacy levels
Higher adaptability to technology
Urbanization is a continuing trend
Increasing "consumption" mindset in India
page 3.jpg
Growing Per capita GDPConsuming class
population
estimated at
about 260 mn*
Consuming
class population
estimated at
about 350 mn*
2000: Per capita GDP
$5002007: Per capita GDP
$1,00035%
growth
Consuming class
population
estimated at
about 600 mn*
2015: Per capita GDP
$1,500
70%
growth
Per capita GDP to rise from $1,000 to $1,500: consuming
population to grow manifold
However, retail credit / GDP is at low at 10% as compared to
37% in Malaysia and 59% in the Taiwan
Low penetration leaves tremendous growth opportunity
* Estimates based on NCAER data. Consuming class comprises middle and high incom
e households
page 3.jpg
Retail Products
Mortgages
Home Loan, Commercial Property
LAP, LRD
Vehicles
Commercial vehicles
Dealer funding
Auto loan
Construction Equipment
Loan against Gold / Securities
page 3.jpg
Capital raising
Overall requirement of Rs. 3,000 crores next 5 years
To raise Rs. 200 crores of Tier II capital by March 2010
No capital dilution till September 2010
Issued Tier II capital of Rs. 150 crores to high net worth NRIs
CARE and ICRA upgraded rating for Tier II capital by two
notches to A (minus)
Higher Investment limits for FIIs/NRIs
from 24% to 49% for FIIs and 10% to 24% for NRIs
page 3.jpg
Fee Income -New productsE:\sameer on 172.19.122.188\PPG\Financials\budget-11\pho
to\gold-coins-images[1].jpg
Gold coinE:\sameer on 172.19.122.188\PPG\Financials\budget-11\photo\easy-forex-t
rading-online2[1].jpg
Forex / TCs / Fx Card
page 3.jpg
Channel Initiatives proposed for FY 2011
Addition of about 500 ATMs
Fully functional Corporate Internet Banking
Retail Internet Banking -enhancements
E-tax payments
Two factor authentication
Verified by VISA