IDFC First Bank Limited

rs,

a (East), Mumbai - 400 051. Tel: +91 22 7132 5500 Fax: +91 22 2654 0354 Registered Office: KRM Towers, 7th Floor, No.1, Harrington Road, Chetpet, Chennai - 600 031. Tel: +91 44 4564 4000 Fax: +91 44 4564

60%

We rigorously subject the applications through 10 specific filters. We generally reject about 40-60% of the applications received by us based on product category as part of the above stringent filt

Rs. 935 crore

n NBFC that specialized in Retail & MSME financing based on new technologies. The company grew from Rs. 935 crores in 2010 to Rs. 32,000 crores in March 2018. It had a NIM of 8.0%. Capital First had grown the loan

Rs. 32,000 crore

Retail & MSME financing based on new technologies. The company grew from Rs. 935 crores in 2010 to Rs. 32,000 crores in March 2018. It had a NIM of 8.0%. Capital First had grown the loan book at a 5-year CAGR of 29%

8.0%

s. The company grew from Rs. 935 crores in 2010 to Rs. 32,000 crores in March 2018. It had a NIM of 8.0%. Capital First had grown the loan book at a 5-year CAGR of 29%, had maintained high asset quality o

29%

ores in March 2018. It had a NIM of 8.0%. Capital First had grown the loan book at a 5-year CAGR of 29%, had maintained high asset quality of GNPA of 2% and NNPA 1%, and had grown profits at a 5-year CAG

2%

First had grown the loan book at a 5-year CAGR of 29%, had maintained high asset quality of GNPA of 2% and NNPA 1%, and had grown profits at a 5-year CAGR of 56%. Capital First was looking for a commerc

1%

own the loan book at a 5-year CAGR of 29%, had maintained high asset quality of GNPA of 2% and NNPA 1%, and had grown profits at a 5-year CAGR of 56%. Capital First was looking for a commercial banking

56%

maintained high asset quality of GNPA of 2% and NNPA 1%, and had grown profits at a 5-year CAGR of 56%. Capital First was looking for a commercial banking license to convert to a Scheduled Commercial Ba

8.68%

the Bank had certain issues. As per the financials of 31st December 2018, The Bank had low CASA at 8.68%. The Bank had low NIM at 1.9% (H1 FY 19) and low Pre-Provisioning Operating Profits OP 0.32% (H1 FY

1.9%

per the financials of 31st December 2018, The Bank had low CASA at 8.68%. The Bank had low NIM at 1.9% (H1 FY 19) and low Pre-Provisioning Operating Profits OP 0.32% (H1 FY 19) a) b) c) Most (91.96%) o

0.32%

ASA at 8.68%. The Bank had low NIM at 1.9% (H1 FY 19) and low Pre-Provisioning Operating Profits OP 0.32% (H1 FY 19) a) b) c) Most (91.96%) of the deposits & borrowings of Rs. 1,29,381 crores was institut

“Total Customer Deposits Section 7: Deposits & Borrowings Deposits: Strong growth in Total Customer Deposits Total Customer Deposits (Retail Deposits + Wholesale Deposits) has grown well at a 5 Year CAGR (Dec-18 to Dec-23) of 36%.”

“• • Our core Retail deposits has risen strongly at a 5-Year CAGR of 68%.”

“Cr Infrastructure Bonds Long Term Legacy Bonds Other Bonds Refinance Total Balance Run off Schedule As on Dec-22 As on Dec-23 Q4-FY24 7,542 6,511 1,867 2,842 5,899 6,030 748 930 - 1,310 - - FY25 5,064 1,126 123 930 834 3,594 299 - 18,762 13,607 1,310 7,243 4,727 FY26 Beyond FY26 RoI (%) - - 327 - 327 8.94% 8.91% 9.07% 8.25% 8.89% • Because we have a DFI background, the legacy borrowings are costing the bank 8.89%.”

“• Commercial Vehicles Financing includes Construction Equipment 40 Bank has run down Infrastructure Project financing Book to below 2% of funded assets Section 8: Loans & Advances Infrastructure Financing Book (Rs.”

“• Based on low SMA, we expect a lower level of NPA formation in future.”

“This indicates lower NPA levels going forward.”

“Crore) 12,635 4Y CAGR: 27% 9,706 7,380 32% 30% 33% increase in NII in 9M FY24 on YoY basis against balance sheet growth of 22% YoY 11,982 9,039 6,076 21% 4,845 25% FY19 FY20 FY21 FY22 FY23 9M FY23 9M FY24 • Net Interest Margin (NIM) on AUM for Q3-FY24 was 6.42% as compared to 6.13% in Q3-FY23 and 6.32% in Q2-FY24.”

“Crore) 4,142 41% increase in Fee and Other income in 9M FY24 on YoY basis 4,185 4Y CAGR: 37% 2,961 2,691 54% 1,550 1,622 66% 1,167 5% 33% FY19 FY20 FY21 FY22 FY23 9M FY23 9M FY24 * H2-FY19 actual annualized 60 b.”

“launched and fee-based • Many of these products are in the early stage of their lifecycle and have the potential to grow significantly going forward.”

“Loan book has grown at a 4Year CAGR of 10% but against which the operating profit has grown at the 4Year CAGR of 43% Balance Sheet growth Core operating profit growth (Pre-merger standalone Bank) (Post merger) 1,105 397 H1 FY19 (Annualized) H2 FY19 (Annualized) 35% YOY growth in Core Operating Profit in 9M FY24 against 22% Balance sheet growth 4,398 3,265 Core Pre-Provisioning Operating Profit (In Rs.”

Wide range of Fund and Non-Fund Based Products

1

Corporate Banking

1

Definition

1

We are building a world class bank with

1

Wide range of Fund and Non-Fund Based Products

The Bank launched many new products and services in building a strong, sustainable, diversified deposit and asset franchise power by digital innovations Section 6: Products and Services The Bank has developed a wide Product Suite of a Universal Bank Retail Lending Solutions Home Loans, vehicle Loans, Consumer Loans, Education Loans, Personal Loans, Used Car Loans, Gold Loans, Rural Finance, Tractor Finance Working Capital demand Loans, Cash Credit, Term Loans, Corporate Bonds / NCDs, Foreign Currency Loans Corporate Lending Corporate Lending Retail Lending V E R S Supply Chain Financing Dealer Vendor finance, finance, TREDS, Factoring, Invoice discounting Supply Chain Financing Treasury & Forex Solutions Correspondent banking, FX Solutions, Cross-border SWIFT, Government Bonds & Strips, Liberalized Remittance Scheme, External Commercial Borrowing, Treasury solutions incl. forwards,options, swaps etc. Transaction Banking & CMS NEFT/RTGS/IMPS Payments, Transfers (ACH, Direct debit), UPI

Corporate Banking

Comprehensive funded and non-funded product solutions for Corporate customers Working Capital Loans Trade Finance, Forex & CMS Solutions Term Loans 25 The Bank has a wide range of Current and Savings Account Offerings FIRST Booster Current Account • • • • • Targeted at SMEs and Entrepreneurs Auto - Sweep funds into a FD above 2 lacs balance in the current account No pre-mature breakage penalty for breakage of FDs Nil average monthly balance requirement; Free VISA Platinum Debit Card with unlimited ATM transactions at IDFC FIRST Bank ATM; Free UPI QR and bulk payment; Complimentary doorstep banking; Zero transaction charges through NEFT/RTGS/IMPS Section 6: Products and Services Startup Current Account for new age startups, TASC Institutional Account for specific needs of Trusts, Associations, Societies, Clubs, Educational Institutions, Hospitals • Merchant Multiplier account with specific proposition for merchants, • • • World Business Accounts for the corporates with domestic & intern

Definition

Collection Efficiency % = (Pos of EMI Collected for the Month)/(Pos of EMI Due for the month)* 100 Note: Collections does not include any arrear collections, or prepayment collections in these calculations, and hence represents the true picture of collections efficiency. 99.2% 99.3% 99.4% 99.3% 99.4% 99.4% 99.5% 99.3% 99.4% 99.3% 99.5% 99.5% 99.5% 99.5% 99.6% 99.3% 99.5% 99.5% 99.5% 99.5% 99.5% 99.5% 99.5% 99.6% Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Note: Above numbers pertain to Urban portfolio which is the majority of the Book. Similar experience of improvement is observed in the Rural financing also. 50 b. Retail, Rural & SME Loans Section 9: Risk Management & Asset Quality High collection efficiency leads to low SMA SMA-1 & SMA-2 portfolio as % of total Retail, Rural & SME Loan Book 0.82% 0.87% 0.85% 0.77% 0.85% Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 • • SMA

We are building a world class bank with

- Highest levels of corporate governance - Stable balance sheet growth of ~20%, - Robust asset quality of GNPA less than 2% and net NPA of < 1% - High teens ROE - Contemporary technology and - High levels of Customer Centricity. 92 Disclaimer This presentation has been prepared by and is the sole responsibility of IDFC FIRST Bank (together with its subsidiaries, referred to as the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer or recommendation to purchase or subscribe for, any securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contractor commitment therefore. In particular, this presentation is not intended to be a prospectus or offer document under the applicable laws of any jurisdiction, inc