DCBBANK

Ref. No.CO:CS:RC:2022-23:103 July 30, 2022 BSE Limited National Stock Exchange of India Limited Listing Department, Listing Department, Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th floor, Plot No. C/1, 1st floor Dalal Street. G Block Bandra – Kurla Complex, Mumbai 400 001 Bandra (East), Mumbai 400 051 Scrip Code: 532772 NSE Symbol: DCBBANK Dear Sirs, In the attachment, please find an “Investor Presentation - Q1FY23”. Kindly acknowledge receipt. Thanking you, Yours faithfully, For DCB Bank Limited Rubi Chaturvedi Company Secretary & Compliance Officer Encl: As above DCB Bank Limited Corporate & Registered Office: 6th Floor, Tower A, Peninsula Business Park, Senapati Bapat Marg, Lower Parel, Mumbai - 400013 CIN: L99999MH1995PLC089008 Tel: +91 22 66187000 Fax: +91 22 66589970 Website: www.dcbbank.com DCB Bank Limited Investor Presentation – Q1FY23 Safe Harbour Thispresentationandtheaccompanyingslides(the“Presentation”),whichhavebeenpreparedbyDCBBankLimited(the“Company”),havebeenpreparedsolely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offeringdocumentcontainingdetailedinformationabouttheCompany. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representationorwarranty,expressorimplied,whatsoever,andnorelianceshallbeplacedon,thetruth,accuracy,completeness,fairnessandreasonablenessofthe contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respectofthecontentsof,oranyomissionfrom,thisPresentationisexpresslyexcluded. Certain matters discussed in this Presentation maycontain statements regarding the Company’s market opportunityand businessprospects that areindividuallyand collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertaintiesand assumptions that aredifficult to predict. These risks and uncertainties include,but arenot limited to, theperformanceof the Indian economyandof theeconomies of variousinternationalmarkets, theperformanceof the industryin Indiaandworld-wide, competition, the company’sabilityto successfullyimplement its strategy, the Company’s future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company’s market preferences and its exposure to market risks, as well as other risks. The Company’s actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-lookinginformationcontainedinthisPresentation.Anyforward-lookingstatementsandprojectionsmadebythirdpartiesincludedinthisPresentationarenot adoptedbytheCompanyandtheCompanyisnotresponsibleforsuchthird-partystatementsandprojections. 2 Q1 FY2023 Performance Highlights & Key Takeaways Improving core fees income: INR 64.78 crores Continued investments in front line + Credit cost: 0.31% branch infrastructure: 405 Branches Strong capital adequacy ratio: Improving growth in Advances: +17.89% 18.47% Y-o-Yand Deposits: +14.64% Y-o-Y Continued strong recoveries & Continued granular loan book upgrades (84% at Rs. 3 crore below) Performance Highlights and Key Take-ways Collection efficiency almost Top 20 deposits: 6.20% back to pre-COVID-19 levels Decreasing Gross NPA: 4.21% and Net NPA: 1.82%ratio Improving provision coverage: 69.48% Savings Account growth: 65.52% Y-o-Y Improving CASA Ratio: 28.57% 3 Key Performance Highlights – Q1 FY2023 INR 45,221 crores INR 29,814 crores INR 35,081 crores ( +12.19% Y-o-Y ) ( +17.89% Y-o-Y ) ( +14.64% Y-o-Y ) Balance Sheet Size Advances Deposits INR 97.1 crores 4.21% 1.82% ( 187.78% Y-o-Y ) (Q1FY2022: 4.91%) (Q1FY2022: 2.84%) Profit After Tax Gross NPA Net NPA 28.57% 18.47% 69.48% (Q1FY2022: 21.69%) (Q1FY2022: 19.64%) (Q1FY2022: 59.42%) CASA Ratio Capital Adequacy Provision Coverage Ratio Ratio 4 Key Performance Highlights – FY2022 INR 44,793 crores INR 29,096 crores INR 34,692 crores ( +13.11% Y-o-Y ) ( +13.05% Y-o-Y ) ( +16.79% Y-o-Y ) Balance Sheet Size Advances Deposits INR 288 crores 4.32% 1.97% ( -14.38% Y-o-Y ) (FY2021: 4.13%) (FY2021: 2.31%) Profit After Tax Gross NPA Net NPA 26.75% 18.92% 67.84% (FY2021: 22.85%) (FY2021: 19.67%) (FY2021: 62.35%) CASA Ratio Capital Adequacy Provision Coverage Ratio Ratio 5 About Us • New generation private sector bank with more • To be the most innovative and responsive than 400 branches across 18 States and 2 neighborhood bank in India serving Union Territories Background Company Vision entrepreneurs, individuals, and businesses • MSME/SME, Agriand Retail focus • Granular secured small ticket lending • Promoted by the Aga Khan Fund for Economic • Diversified portfolio (Deposits and Advances) Development (AKFED) & Platinum Jubilee • Proven business model Investments Limited (holds 14.85%) • Stable & skilled management team Promoter & • Institutions (including FII + FPI) 50.08% • Expanding branch network Attributes (non promotor shareholding above 1% is 39.07%) Shareholding • Accelerating digital agenda • Efficient capital consumption & strong Capital Adequacy 7 Journey so Far  Amalgamation of Masalawala  Private Equity Investment by AKFED (Aga Khan  Name changed to DCB Bank 1981 Cooperative Bank and Ismailia 2005 Fund for Economic Development -Principal 2013  Opened 100th Branch Cooperative Bank into Development Promoter) of INR 1.38 bn in March 2005 Cooperative Bank Limited.  Private Equity investment of INR 0.52bn by HDFC and Khattar Holdings and others in February 2006  QIP of INR 2.5bn 1984  Multi-State Cooperative Bank 2006 2014  Raised INR 1.86 bn through IPO, issue oversubscribed 35 times 1988  Acquired “Scheduled” status from 2007  Preferential Allotment of INR 2.8 bn in Aug 2007 2017  QIP of INR 3.8bn Reserve Bank of India to Al Bateen, TATA Capital and others  Opened 300th Branch  Conversion to Development Credit 1995 Bank Limited. 2009  QIP of INR 0.81bn 2022  Opened 400th Branch  Secured Foreign Exchange License & became an Authorized Dealer 2004  Classified as a “New Generation 2012  QIP of INR 0.94bn and Preferential Private Sector Bank” by the RBI Allotment of INR 1.39bn 8 MSME/SME Opportunity Number of working enterprises – 64 million, Employment – 111 million MSMEs play a pivotal role in the economic and Urban 49%, Rural – 51% social development of the country Manufacturing-31%, Trade – 36%, Other services – 33% Robust Indian economy, MSMEs target market size and DCB Bank’s knowledge, experience, capability, products and increasing branch foot print has the potential to create a large and Sole proprietor – 96% meaningful Balance Sheet size above one lakh crores in the foreseeable future MSME contributes 30% to GDP and 48% to merchandise exports 79% of Indian workforce in self employed* *DNA Survey June 2013 Source –Annual Report 2020‐21, Government of India, Ministry of Micro Small and Medium Enterprises 9 Business Strategy 01 02 03 04 05 06 Target MSME/SME/ Create a diversified, Limit Corporate, Focus on retail Rely mainly on Retail Target Tier 2 to Tier 6 Retail segment secured and granular unsecured and lumpy Mortgages*, Working Deposits (CASA, Term locations portfolio exposures Capital, Commercial Deposits). Limit Vehicle, Tractor dependency on bulk Finance, KCC, Gold deposits. Use long Loans, Construction term refinance options Finance, TReDS and (SIDBI, NABARD and Co-lending NHB) 07 08 09 10 11 12 Continuously strengthen Invest continuously in Generate steady Continuously improve Form strategic Partner with select credit (underwriting, digital agenda to granular Fee Income Liquidity management, alliances to enhance “start-up” companies to collections, recoveries, improve frontline and through bancassurance, Cost productivity, products, segments participate in ‘new age’ portfolio monitoring and customer experience mutual funds, trade, Operational Risks and and distribution technologies analytics) remittances, foreign HR processes exchange and cash management *Includes Home Loan & LAP 10 Wide Range of Products Retail Banking Deposit Products Cards Payments Advances – Focus on Secured Lending Third Party Distribution • Home Loans • Kisan Credit Card • Life Insurance, • Current and Savings • ATM Card • Bill / Utility Payments • Loan Against Property • Gold Loan • General Insurance (CASA) • Debit Card • IMPS, RTGS , NEFT, UPI (LAP) • Tractor Loans • Health Insurance • NRI Deposits • Remittances • Auto Loan* • Retail Microfinance • Mutual Funds • Recurring Deposits • Tax Payments • Co-Lending (New) • Term Loan to MFIs • Term Deposits • Visa Money Transfer • Commercial Vehicle* • TREDs (New) • Lockers • POS Terminals • Construction Equipment* • ODTD • Construction Finance • School Finance • Dealer Trade Advance (New) SME, Corporate Banking, NBFCs, Co-operative Banks Corporate Banking Capital Management • Current Account • Guarantees • Term Loans • Working Capital • Trade Current Account • Import/ Export • Bills Collection • Cash Management • Foreign Exchange • Letters of Credit • Invoice Discounting • Supply Chain *Offered to existing customers 11 Way Forward Balance Sheet (Deposits + Advances) 12 ddrraawwrrooFF yyaaWW && kkoooollttuuOO Asset Quality & Cost to Average Assets Margins Key Ratios Credit Costs / Cost to Income Ratio Balance Sheet as at 30-Jun-22: Diversified portfolio with focus on Gross NPA at 4.21% and Net NPA Cost to Average Assets at 2.67% Return on Assets at 0.86% INR 45,221 crores robust yields resulting in healthy/ at 1.82% steady NIMs Cost to Income at 64.38% Return on Equity at 10.12% Advances of INR 29,814 crores Provision Coverage Ratio at with a focused approach towards NIM of 3.61% for Q1FY23 69.48% Headcount at 8,697 and branch secured lending network at 405 Credit cost at 0.31% Aim to double the Balance Sheet Target of 3.65% to 3.75% Target GNPA below 2.50% and Target Cost to Income Ratio of 55% Return on Assets (ROA) size in three to four years NNPA of 1.50% or below in 4 to 5 quarters Achieve 1% or above in 4 to 5 quarters Improving CASA, diversified Expect to improve Fee Income and Mortgages (Home Loan + LAP), Gold Advances portfolio, achieving Agri Target steady credit costs of 45 bps Target Cost to Average Assets of Cost to Average Assets Loans, AIB expected to lead the PSL and containing NPAs to 55 bps 2.40% Return on Equity (ROE) growth Achieve closer to 14% in 4 to 5 Maintain margin of safety quarters (Operating Profit / Provisions of 3 to Capital efficiency and improving 4 times) profitability have the potential to deliver healthy RoEs rraaFF ooss yyrroottSS eehhTT Well Penetrated Distribution Network HHeeaadd ccoouunntt AATTMMss BBrraanncchheess 8,077 8,697 402 349 373 354 400 405 6,556 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 RReeggiioonn wwiissee BBrraanncchheess ((%%)) SSttaattee wwiissee BBrraanncchheess ((%%)) 18% 19% 16% 28% 4% 12% 4% 5% 26% 8% 5% 28% 5% 8% 6% 8% Maharashtra Odisha Gujarat Metro Urban Semi Urban Rural Telangana Madhya Pradesh Karnataka Andhra Pradesh Punjab Uttar Pradesh Haryana Tamil Nadu Others Note: Map not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy,timeliness or completeness 14 Digital Engagement / Technology Innovation Mobile Applications • Mobile Banking for multilingual Retail Technology Adoption customers • Mobile App for Gold Loan customers • Blockchain –adopted ‘Blockchain’ for use cases such as multi authentication for ATM • Zippi + -paperless and digital onboarding management journey for new customers • AR/ VR banking –AR implementation for use • WhatsApp Banking cases as branch locator • SMS Banking and Missed Call services • API Banking –180+ services in API sandbox • Social Command Center –for customer Alliances servicing and marketing • Bank is digitally acquiring NTB customers in partnership with Niyo. Web Applications • TReDS platform for Trade Receivables and Invoice • Internet Banking for both Retail and Corporate Discounting customers –functionality across deposit products, • Co-lending payment services and others • DCB Remit –flagship product for foreign exchange remittance Customer Friendly Onboarding Process • DCB EazyBee –reimagined and simplified user • Paperless onboarding process with e-KYC/ Video journey for Mutual Fund investments KYC • NRI Online platform –NRI customer onboarding • Fully digitized end to end customer onboarding platform product (CUBE). • Self Service KIOSKs at branches 15 Leading to Enhanced Digital Footprint DDiiggiittaall TTrraannssaaccttiioonnss ((%% ooff TToottaall TTrraannssaaccttiioonnss)) PPeerrssoonnaall IInntteerrnneett BBaannkkiinngg TTrraannssaaccttiioonnss ((IInn LLaakkhhss)) 2.8 91% 2.7 2.7 2.6 88% 89% 2.5 87% 87% Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Digital transactions (%) UUPPII TTrraannssaaccttiioonnss ((IInn LLaakkhhss)) MMoobbiillee BBaannkkiinngg TTrraannssaaccttiioonnss ((IInn LLaakkhhss)) 60.3 10.0 9.5 9.6 9.1 50.9 45.7 7.8 37.4 28.2 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 16 Eminent Board of Directors Amyn Jassani Ashok Barat Iqbal Khan Independent Director Independent Director Non-Independent Director A Fellow of the Institute of Chartered Accountants with more than 25 A Fellow of the ICAI and of the ICSI, Associate of the Institute of A Partner at Shardul Amarchand Mangaldas & Co. and member of the years of experience, mainly with the big four accounting firms. He is Chartered Accountants of England & Wales an CPA, Australia. He held Private Equity and Mergers and Acquisitions practice group. He also a member of the Institute of Company Secretaries of India and senior leadership positions in various Indian and multinational completed his J.D. from Columbia Law School, & LL.B. from London has passed the Certified Information System Auditor’s (CISA) organizations, both in India and overseas. He is on the Board of School of Economics and Political Science. examination. several other companies and advises businesses on various strategies Murali M Natrajan Rafiq Somani Rupa Devi Singh Managing Director & CEO Independent Director Independent Director A Fellow of the Institute of Chartered Accountant, he is the Managing A Master in Marketing Management with 30 years of experience in the A Founder, Managing Director & CEO of Power Exchange India Ltd Director & Chief Executive Officer of the Bank since April 2009 and has field of Information Technology. He is currently working as the Area (PXIL). She holds a Post-Graduate in Law from the University of Delhi 38 years global experience in financial services in Standard Chartered Vice President at ANSYS Inc. & holds CAIIB. Bank, Citibank and American Express. Shabbir Merchant Shaffiq Dharamshi Somasundaram PR Independent Director Non-Independent Director Independent Director A Fellow of the Institute of Chartered Accountants of India with over 30 A Masters in Personal Management with more than 30 years of An M.Sc. Graduate in Economics with specialization in Risk years’ experience across Unilever Group companies in India and experience. He is the founder of Valulead Consulting, a boutique Management. He is currently working with Aga Khan Fund for abroad, Standard Chartered Bank and others. Currently he is the consulting firm. Economic Development (AKFED) as Head of Banking. Managing Director of World Gold Council in India. Tarun Balram Thiyagarajan Kumar Independent Director Independent Director A senior banker with almost 30 years of experience with HSBC in the A business leader with over 36 years of experience with Hindustan Corporate and Institutional banking domain. He worked in various Lever/ Unilever & the Times Group, in the finance, commercial, capacities including Managing Director and Head India -Corporate & governance, audit/ assurance functions. He serves in an active Institutional Banking, covering HSBC’s Corporate & Financial Sector leadership role in the Times Group as Director, Management Clients (local and multi-national). Assurance Services. 18 Experienced Team of Professionals Abhijit Bose Ajay Mathur Ajit Kumar Singh Bappa Roy Damodar Agarwal • Designation: Chief Credit Officer • Designation: Head –Collections & • Designation: Head –Treasury & • Designation: Product Head – • Designation: Head –Strategic • Years of Experience: 31+ Commercial Vehicles FIG Business Banking, Insurance & Investments Initiatives & Alternate Channels • Years of Experience: 29+ • Years of Experience: 29+ • Years of Experience: 30+ • Years of Experience: 26+ Gaurav Mehta J. K Vishwanath Kamala Kant Pandey Krishna Ramasankaran Manoj Joshi • Designation: Head –Marketing, • Designation: Head –Corporate & • Designation: Head –Channel • Designation: Head Credit –Retail • Designation: Chief Compliance PR , Corporate Communication, SME Banking Sales & Emerging Markets & SME Officer and Chief Internal CSR • Years of Experience: 28+ • Years of Experience: 27+ • Years of Experience: 26+ Vigilance • Years of Experience: 27+ • Years of Experience: 27+ Meghana Rao Murali Rao Murali M. Natrajan Narendranath Mishra N C Kaushal • Designation: Head –Branch • Designation: Chief Technology Officer • Designation: MD & CEO • Designation: Head –Agri & Inclusive • Designation: Head –Digital Banking Operations • Years of Experience: 21+ • Years of Experience: 38+ Banking • Years of Experience: 30+ • Years of Experience:21+ • Years of Experience: 22+ Pankaj Sood Praveen Kutty R. Venkattesh Ravi Kumar Rubi Chaturvedi • Designation: Head –Retail Branch • Designation: Head –Retail Banking • Designation: Head –Operations, • Designation: Head –Operations • Designation: Company Secretary Banking • Years of Experience: 31+ Technology, Human Resource and and Key Projects • Years of Experience: 15+ • Years of Experience: 25+ CIO • Years of Experience: 26+ • Years of Experience: 31+ Satish Gundewar Sridhar Seshadri Sukesh Bhowal Sumit Manchanda T P Anuradha • Designation: Chief Financial Officer • Designation: Chief Risk Officer • Designation: Head –Mortgages, Gold • Designation: Head -Credit • Designation: Chief Internal Auditor • Years of Experience: 26+ • Years of Experience: 38+ Loan & Personal Loan • Years of Experience: 21+ • Years of Experience: 22+ • Years of Experience: 26+ 19 Update on Advances AAddvvaanncceess ((IINNRR ccrroorreess)) PPrroodduucctt MMiixx ((AAss oonn 3300--JJuunn--2222)) 9% 6% 3% 6% 29,096 29,814 5% 4% 27,343 26,537 3% 25,290 10% 3% 21% 3% 2% 1% 3% 42% Mortgages Agri & Inclusive Banking (AIB) Mortgages Tractors Corporate banking Gold Loan Kissan Credit Card 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 MFI+BC Commerical Vehicle SME + MSME Gold Loan SME + MSME Co-lending Others Others 21 Agri & Inclusive Banking (AIB) – A Bank Within a Bank AAIIBB aass aa %% ooff TToottaall PPoorrttffoolliioo 18% 20% 21% 22% 21% 21% 82% 80% 79% 78% 79% 79% 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 Jun-22 AIB Others • AIB Manages 180 Branches • AIB’s main mandate is financial inclusion and coordinate achievement of PSL + Agritargets • AIB’s main products are KCC, Gold Loans, Tractor Finance and MFI. However, AIB uses its branch network to source all retail products Note: Map not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy,timeliness or completeness 22 Disbursements PPrroodduucctt wwiissee DDiissbbuurrsseemmeenntt TTrreennddss ((IINNRR ccrroorreess)) DDiissbbuurrsseemmeennttss tthhrroouugghh CCoo--LLeennddiinngg ((IINNRR ccrroorreess)) 3,631 1,954 3,551 3,150 3,012 1,111 1,115 795 821 366 574 715 442 885 873 1,479 719 503 570 614 685 315 119 283 667 661 782 566 372 380 328 309 388 139 302 26 62 40 183 21 169 24 244 15 222 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Mortgages SME + MSME Corporate banking AIB Gold Loan Construction Finance Commerical Vehicle (Including TreDs) 23 Deposit Profile DDeeppoossiittss ((IINNRR ccrroorreess)) CCAASSAA MMiixx ((%%)) TTeerrmm DDeeppoossiittss MMiixx ((IINNRR ccrroorreess)) 34,692 35,081 25,411 25,057 23,851 22,917 28,435 30,370 29,704 9,281 10,024 31% 27% 29% 30% 23% 21% 21,625 6,519 6,787 18,167 24,007 6,810 5,840 72% 78% 78% 72% 78% 64% 77% 79% 23,851 22,917 25,411 25,057 69% 73% 71% 70% 21,625 18,167 8% 8% 11% 9% 9% 10% 28% 20% 17% 11% 13% 13% 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 30-Jun-22 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 30-Jun-22 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 30-Jun-22 CASA Term Deposits CA SA Resident TD Non-Resident TD Inter Bank Term Deposits Top 20 deposits contribute 6.20% of the Total Deposits 24 Funding Mix FFuunnddiinngg MMiixx ((IINNRR ccrroorreess)) CCrreeddiitt RRaattiinngg 38,774 39,080 34,924 35,812 35,439 Instruments CRISIL ICRA 24% 26% 19% 23% 24% Long Term –Subordinated Debt AA-/Stable A+Stable 69% 66% 66% 64% 67% Certificates of Deposits A1+ - Short –Term Fixed Deposits A1+ A1+ 10% 9% 7% 9% 8% 2% 2% 2% 2% 2% 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 CASA TD Refinance Subordinate Debt & Others 25 Asset Quality 6% 75% 5% 4.91% 4.73% 4.78% 67.84% 69.48% 70% 5% 62.17% 4.32% 4.21% 65% 59.42% 60.46% 4% 60% 4% 55% 2.84% 3% 2.66% 50% 2.55% 3% 45% 1.97% 2% 1.82% 40% 2% 35% 1% 30% 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 GNPA NNPA Provision Coverage Ratio Gross NPA Movement Product wise Gross NPA 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 (INR Crores) (INR Crores) Opening Balance (A) 1,083 1,269 1,285 1,340 1,290 Mortgages 472 448 385 342 331 (+) Fresh Slippages 515 414 457 376 564 SME+MSME 151 137 120 138 149 (+) Addition to Existing NPAs 5 2 1 2 7 Corporate 84 83 102 101 101 Sub-Total (B) 520 416 458 378 571 AIB 239 259 300 292 317 (-) Recoveries 90 94 185 162 137 Gold Loans* 65 53 137 133 106 (-) Upgrades 162 303 217 264 433 Commercial Vehicle 207 245 236 226 230 Sub-Total (C) 252 397 402 426 570 (-) Write Offs / Sacrifice (D) 82 3 1 2 3 Others 51 60 60 58 54 Closing Balance (A+B-C-D) 1,269 1,285 1,340 1,290 1,288 Total 1,269 1,285 1,340 1,290 1,288 *Includes Co‐Lending 26 Restructured Advances 31-Mar-2022 30-Jun-2022 (INR crores) Restructured Provision Net outstanding Restructured Provision Net outstanding Standard 2,156 287 1,869 2,094 278 1,816 NPA 273 137 136 288 147 141 Total 2,429 424 2,005 2,382 425 1,957 • By September 2022 restructured advances under moratorium expected to be below INR 700 crores of which ~61% will be Home Loans and ~34% to be Business loan or LAP. • Every month some part of the restructured advances under moratorium are becoming a part of billed portfolio. 27 Collection Efficiency CCoolllleeccttiioonn EEffffiicciieennccyy ((%%)) ––BBuucckkeett 00 Portfolio Jan-20 Mar-22 Apr-22 May-22 Jun-22 Business Loans (LAP) 98.9% 97.7% 97.5% 98.2% 98.3% Home Loans 99.2% 99.0% 98.4% 98.8% 99.1% CV Loans 96.0% 85.1% 91.1% 93.8% 93.8% CCoolllleeccttiioonn EEffffiicciieennccyy OOvveerraallll ((IInncclluuddiinngg ddeelliinnqquueenntt aanndd rreessttrruuccttuurreedd bbooookk)) %% Portfolio Jan-20 Mar-22 Apr-22 May-22 Jun-22 Business Loans (LAP) 97.5% 96.7% 96.1% 96.7% 97.0% Home Loans 98.5% 98.5% 97.6% 98.0% 98.4% CV Loans 92.1% 85.2% 86.2% 89.5% 88.6% 28 Key Credit Metrics SSlliippppaaggeess GGrroossss NNPPAA ((%%)) NNeett NNPPAA ((%%)) SSlliippppaaggeess ((%%)) ((eexxccll.. GGoolldd LLooaann)) ((%%)) 4.91% 2.84% 8.12% 7.90% 7.22% 4.32% 4.21% 1.97% 5.64% 1.82% 4.33% 3.10% Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 PPCCRR PPCCRR PPCCRR SSttaannddaarrdd rreessttrruuccttuurreedd ((IInnccll.. TTeecchhnniiccaall wwrriittee--ooffff)) ((eexxccll.. TTeecchhnniiccaall wwrriittee--ooffff)) ((eexxccll.. GGoolldd LLooaannss)) AAddvvaanncceess ((%%))** 67.84% 69.48% 55.56% 57.81% 72.49% 73.39% 7.41% 7.02% 59.42% 61.43% 6.18% 6.42% 6.09% 43.33% 5.43% Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Jun-21 Mar-22 Jun-22 Gross Net *Calculated as a percentage of net advances 29 Provisions – Balance Sheet (INR crores) 30-Jun-2021 31-Mar-2022 30-Jun-2022 Provision for Gross NPA 438 595 620 Floating Provision 112 122 125 Sub-total (A) 550 717 745 Specific Standard Asset Provision 14 29 40 Contingency provision on Restructured and Stressed Accounts 108 70 68 Restructured Standard Assets 189 287 278 Sub-total (B) 310 387 386 Standard Asset Provisions 78 94 97 Sub-total (C) 78 94 97 Total (A+B+C) 938 1,198 1,228 (INR crores) 30-Jun-2021 31-Mar-2022 30-Jun-2022 Performing Advances (A) 24,593 28,561 29,308 Provisions excluding NPA Provision (B) 500 603 608 Provision as a percentage of Performing Advances(B/A) 2.03% 2.11% 2.08% 30 Key Ratios (Y-o-Y) YYiieelldd oonn AAddvvaanncceess ((%%)) CCoosstt ooff FFuunnddss CCoosstt ooff DDeeppoossiittss NNeett IInntteerreesstt MMaarrggiinnss 11.50% 11.06% 10.71% 7.10% 6.62% 6.96% 6.49% 3.67% 3.59% 3.56% 6.16% 6.05% FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 CCoosstt ttoo AAvveerraaggee AAsssseettss CCoosstt ttoo IInnccoommee RRaattiioo RReettuurrnn oonn AAsssseettss RReettuurrnn oonn EEqquuiittyy 2.42% 2.45% 54.63% 55.96% 0.90% 0.87% 11.19% 2.19% 48.87% 9.99% 0.70% 7.92% FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 31 Key Ratios (Q-o-Q) YYiieelldd oonn AAddvvaanncceess ((%%)) CCoosstt ooff FFuunnddss CCoosstt ooff DDeeppoossiittss NNeett IInntteerreesstt MMaarrggiinnss 10.50% 10.66% 10.67% 11.00% 10.65% 6.34% 6.19% 6.07% 6.04% 6.00% 6.23% 6.08% 5.96% 5.95% 5.90% 3.61% 3.93% 3.61% 3.31% 3.37% Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 CCoosstt ttoo AAvveerraaggee AAsssseettss CCoosstt ttoo IInnccoommee RRaattiioo RReettuurrnn oonn AAsssseettss RReettuurrnn oonn EEqquuiittyy 2.67% 64.38% 1.06% 12.12% 2.55% 2.57% 2.28% 2.40% 52.97% 58.41% 57.09% 55.41% 0.86% 10.12% 0.73% 8.28% 0.63% 7.28% 0.34% 3.79% Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 Q1FY22Q2FY22Q3FY22Q4FY22Q1FY23 32 Capital Adequacy Ratio CCaappiittaall AAddeeqquuaaccyy RRaattiioo ((%%)) RRiisskk WWeeiigghhtteedd AAsssseettss ((IINNRR ccrroorreess)) 19.64% 19.34% 23,107 23,501 23,789 24,313 24,938 18.92% 18.47% 18.21% 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 15.54% 15.28% 15.84% 15.10% 15.44% RRiisskk WWeeiigghhtteedd AAsssseettss // TToottaall AAsssseettss ((%%)) 57.33% 56.66% 57.77% 54.22% 55.15% 4.10% 4.06% 3.11% 3.08% 3.03% 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 Tier I Tier II 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 33 Consistent Growth in Fee Income NNoonn--IInntteerreesstt IInnccoommee ((IINNRR ccrroorreess)) CCoorree FFeeee IInnccoommee ((IINNRR ccrroorreess)) 121.2 66.3 118.3 64.8 114.8 63.0 61.4 97.7 92.4 47.2 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 30-Jun-22 34 Profit & Loss Statement – Q1FY2023 (INR crores) Q1FY2023 Q1FY2022 Y-o-Y Q4FY2022 Q-o-Q FY2022 Interest Income 949 846 920 3,513 Interest Expense 575 537 540 2,155 Net Interest Income 374 309 +21% 380 -2% 1,358 Other Income 92 121 115 452 Total Income 466 430 +8% 495 -6% 1,810 Operating Expenses 300 228 274 1,013 Employee Expenses 155 123 146 539 Other Expenses 145 105 128 474 Operating Profit 166 202 -18% 221 -25% 797 Provisions and Contingencies 35 156 68 407 Net Profit Before Tax 131 46 +187% 153 -14% 390 Tax 34 12 40 102 Profit After Tax 97 34 +188% 113 -14% 288 36 Balance Sheet - as at June 30, 2022 (INR crores) 30-Jun-22 31-Mar-22 30-Jun-21 Capital & Liabilities Shareholders Equity 4,116 4,049 3,793 Deposits 35,081 34,692 30,602 Borrowings 3,999 4,082 4,322 Other Liabilities and Provisions 2,025 1,970 1,591 Total 45,221 44,793 40,308 (INR crores) 30-Jun-22 31-Mar-22 30-Jun-21 Assets Cash, Interbank etc. 2,895 4,091 3,452 Investments 9,943 9,051 9,107 Advances 29,814 29,096 25,290 Fixed Assets 675 661 561 Other Assets 1,894 1,894 1,898 Total 45,221 44,793 40,308 37 Historical Profit & Loss Statement (INR crores) FY2019 FY2020 FY2021 FY2022 Interest Income 3,041 3,537 3,458 3,513 Interest Expense 1,892 2,272 2,171 2,155 Net Interest Income 1,149 1,265 1,287 1,358 Other Income 344 388 445 452 Total Income 1,493 1,653 1,732 1,810 Operating Expenses 853 903 847 1,013 Employee Expenses 434 459 434 539 Other Expenses 419 444 413 474 Operating Profit 640 750 885 797 Provisions and Contingencies 133 258 432 407 Net Profit Before Tax 507 492 453 390 Tax 182 154 117 102 Profit After Tax 325 338 336 288 38 Historical Balance Sheet (INR crores) 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 Capital & Liabilities Shareholders Equity 3,116 3,422 3,759 4,049 Deposits 28,435 30,370 29,704 34,692 Borrowings 2,723 3,408 4,482 4,082 Other Liabilities and Provisions 1,518 1,305 1,657 1,970 Total 35,792 38,505 39,602 44,793 (INR crores) 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 Assets Cash, Interbank etc. 2,793 3,546 3,039 4,091 Investments 7,844 7,742 8,414 9,051 Advances 23,568 25,345 25,737 29,096 Fixed Assets 526 546 569 661 Other Assets 1,061 1,326 1,843 1,894 Total 35,792 38,505 39,602 44,793 39 Shareholding Pattern Key Non Promoter Shareholders % Shareholding as on 30-June-2022 DSP Small Cap Fund 4.79 5.01% Tata Mutual Fund* 4.48 14.85% HDFC SmallCap Fund 4.44 27.08% ICICI Prudential Mutual Fund* 4.10 India Advantage Fund S4 I 4.01 Franklin India Smaller Companies Fund 3.36 Oman India Joint Investment Fund II 2.96 Steinberg India Emerging Opportunities Fund Limited 2.89 Aditya Birla Sun Life Mutual Fund* 1.82 2.75% Nippon IndiaRetirement Fund* 1.64 0.23% Manulife Global Fund –India Equity Fund 1.27 50.08% UTI Mutual Fund* 1.16 Nordea1 SICAV –Indian Equity Fund 1.09 Canara Robeco SmallCap Fund 1.06 Bajaj AllianzLife Insurance Company Limited 1.00 AKFED & PJI* Institutions*** Govt. IEPF A/c MCA *Held under various schemes/ funds/ entities. Others (Non Institutional)** Individuals Bodies Corporates • DCB Bank is promoted by the Aga Khan Fund for Economic Development (AKFED) Equity Shares as on 30thJune 2022 –31,10,31,813 shares • AKFED is an international agency dedicated to promoting entrepreneurship and building economically sound companies *AKFED: Aga Khan Fund for Economic Development & PJI: Platinum Jubilee Investment Ltd. • AKFED operates as a network of affiliates with more than 90 **Includes Clearing Members (0.05%), Non-Resident Indians (1.48%),Trusts (0.0006%), Unclaimed shares (0.45%) & Directors separate project companies employing over 47,000 people. & their relatives (0.77%) • AKFEDis active in the developing countries ***Institutions includes 12.45% held by FII & FPI 40 ESG Initiatives Environment Social Governance • Tree plantation to increase urban & rural • Sustainable livelihood created & lives • The Board of Directors comprise executive green cover, biodiversity & sustainable impacted (Cuttack district, Odisha): and non‐executive directors that also livelihood: 1,77,780 trees 1,11,729 individuals includes one woman independent director • Oxygen produced by trees: 20,960 metric • Promoting coastal ecosystem‐based • The Board has more than one independent tonnes livelihoods via bee keeping for director • Reduction of carbon from the atmosphere: communities near mangroves in Uttara • The Board of Directors meet at least four 4,444 metric tonnes Kannada district, Karnataka: 2,500 direct & times in a year • Rainwater harvested for sustainable indirect beneficiaries • The Board of Directors periodically review livelihood: 1,30,44,93,932 liters • Household biogas plants for economically the compliance and non‐compliance items • Positive impact for marginal & small vulnerable rural families: 500 individuals as • A majority of Board Committee and farmers: 2,054 acres direct & indirect beneficiaries Chairpersons are independent directors • Revival of village water bodies & ponds: • Project Jal Sanrakshan sustainable 4,75,205 sq. ft. livelihood‐& water harvesting Aurangabad • Waste recycled promoting circular district, Maharashtra: 7,778 direct & economy: 251 metric tonnes indirect beneficiaries • Methane greenhouse gas reduction: 39 • Project Jal Vikas, sustainable livelihood and metric tonnes water harvesting for rural households • Household biogas produced: 66 metric Morena, Madhya Pradesh: 3,047 direct & tonnes indirect beneficiaries 41 Awards & Accolades (1/2) Certified By The Great Place To Work Institute For Six Consecutive Years India’s Best India’s Top 100 Best Workplaces in BFSI Companies to Work For 2019: India’s Top 20 Best Workplaces in BFSI 2019 : 2019 DCB Bank was Ranked 75th – Best Companies to Work For In India, 2019 2020: India’s Top 25 Best Workplaces in BFSI 2020 42 Awards & Accolades (2/2) DCB Bank as India’s Top 30 India’s Top 100 List of Great People Companies with Great People Managers, Managers, 2 People Managers from DCB Bank won amongst 4,189 participating organizations amongst 10,273 participating People Managers 43 Thank you To receive investor updates from DCB Bank Limited, write in at investorrelations@dcbbank.com. 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