View
214
Download
0
Category
Preview:
Citation preview
8/8/2019 India Info Intro
1/27
ResultsforQuarterendin June30th 2009
July17,2009
8/8/2019 India Info Intro
2/27
Presentation structure
Performancehighlights
Businessreview
Businessstrategy
Industry
2
Unlessotherwisementioned,factsandfiguresinthispresentationrefertothosefortheIndiaInfoline group(consolidated)
8/8/2019 India Info Intro
3/27
Performancehighlights Q1FY10
Overall financial erformance
QuarterlyIncomeatRs2.57bnup37%qoq
EBIDTAmarginforthequarterwas37.4%,ascomparedto30.3%inthepreviousquarter
PBTandPAT wereatRs816.9mn,andRs516.8mn,up180%qoq and104%qoq respectively
Equities
Overallmarket
share
on
the
NSE
stood
at
3.63%
compared
to
3.53%
in
the
previous
quarter
AveragedailyvolumesstoodatRs32.25bn ascomparedtoRs19.16bn inQ4FY09,anincreaseof68%qoq
StrategicagreementwithInteractiveBrokersLLCwillprovideIndiaInfolineclientsaccessto80exchanges
LifeInsurance
Commencedbusiness
for
several
insurance
companies
including
Max
New
York
Life
Insurance,
MetLife,
RelianceLifeInsurance,BirlaSunlife andKotak LifeInsurance
AnnualizedPremiumIncomemobilizedstoodatRs.38.40crores
Whiletheoutlookofthebusinesswillremainlinkedwiththeindustryfortune,thecompanyspositionasa
brokerwillimproveovernextfewquarters
RecommencedMortgagebusinessinJune2009giveneasingofcreditmarkets
BooksizeRs9.22bn attheendofJune2009
WealthManagement
3
AssetsundermanagementcrossedRs20bn
Increasedthebaseforfamiliesunderadvisory
Appliedto
the
FSA
in
United
Kingdom
for
licence
8/8/2019 India Info Intro
4/27
Performanceinpictures Q1FY10Performancereview
Revenues(RsMn) EBITDA(RsMn)
26,904.527,667.8
23,039.6
25,633.9
25,000
30,000
9,982.6
8,790.7
9,581.210,000
12,000
18,696.7
15,000
20,000
6,088.8
4,364.6
6,000
8,000
-
5,000
,
Q1FY09 Q2FY09 Q3FY09 Q4FY09 Q1FY10
-
2,000
,
Q1FY09 Q2FY09 Q3FY09 Q4FY09 Q1FY10
EBITDAmargin(%)PBT(RsMn)
7,770.3
6,733.8
8,168.6
7,000
8,000
9,000 37%
32%
37%40%
4,535.5
2,909.33,000
4,000
5,000
6,00026%
23%
20%
4
-
1,000
2,000
Q1FY09 Q2FY09 Q3FY09 Q4FY09 Q1FY10
0%
10%
Q1FY09 Q2FY09 Q3FY09 Q4FY09 Q1FY10
8/8/2019 India Info Intro
5/27
Financialhighlights Q1FY10
Incomefromoperations 2,562.6 2,684.0 1,867.1 4.5% 37.3%
Equitiesbrokerage&related 1,768.0 1,584.9 1,152.6 11.5% 53.4%
FinancingandInvestment 488.8 649.8 345.2 24.8% 41.6%
ar et ngan on neme a . . . . .
Life
Insurance
distribution
83.7
155.6
89.3
46.2%
6.2%Commoditiesbrokerage&related 66.0 49.9 55.0 32.2% 19.9%
WealthandMutualfundadvisory 50.9 63.5 55.4 19.8% 8.1%
MerchantBanking 9.0 4.4 0.3 103.3% 2982.2%
Otherincome 0.8 6.5 2.6 87.1% 68.2%
TotalIncome 2,563.4 2,690.5 1,869.7 4.7% 37.1%
A.Direct
cost
567.1
561.9
384.3
0.9% 47.6%
B.Em lo eecost 642.8 626.2 632.6 2.7% 1.6%
C.Administrationexpenses 395.4 504.1 416.3 21.6% 5.0%
EBITDA 958.1 998.3 436.5 4.0% 119.5%
Interest 7.2 136.2 22.8 94.7% 68.6%
. . . . .
Profit/(Loss)beforetax 816.9 777.0 290.9 5.1% 180.8%
Provisionfortaxation 269.7 243.1 31.2 11.0% 765.8%
ro t oss a tertaxa terextraor nary . . . . .
MinorityInterest 30.4 38.6 6.9 339.3%
Profit/(Loss)AfterTax 516.8 495.4 252.9 4.3% 104.4%
8/8/2019 India Info Intro
6/27
Presentationstructure
Performancehighlights
Businessreview
Businessstrategy
Industry
6
Unlessotherwisementioned,factsandfiguresinthispresentationrefertothosefortheIndiaInfolinegroup(consolidated)
8/8/2019 India Info Intro
7/27
RetailequitiesPerformancereview
ar e
s areon
a
.
n
as
comparedto3.53%inthepreviousquarter
Averagedailyturnoverup68%yoy toRs32.25bnin
Q1FY10ascomparedtoRs19.16bn intheprevious
Retailcustomerbaseforequitybroking
596,056
676,107700,000
800,000Numberofclients
quar er
Retailcustomer
base
has
increased
by
36%
yoy to
0.67mn inQ1FY10
TieupwithInteractivebrokerswillprovideclients
438,864
300,000
400,000
500,000
600,000
accessto80exchangesin18countries
5,500
75,000
150,000
0
100,000
200,000
FY05 FY06 FY07 FY08 FY09 Q1FY10
IILmarketshareEquitiesbroking(Cash&FAO)
EquitiesBrokerageRsMn (LHS) Av.DailyVol (Rs.Mn)
3 63%3.8%
4.5%NSE Market Share
2150
191435,000
40,0002,500
3.03%
.
2.6%
3.2%
692
1125
15851483
1114 1153
1768
15,000
20,000
25,000
30,000
1,000
1,500
,
7
1.3%
1.9%
Jun-07 Sep-07 Dec-07 Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-090
5,000
10,000
0
500
Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09
8/8/2019 India Info Intro
8/27
InstitutionalequitiesPerformancereview
ra ng
ormos
oca
ns u ons
an
over
g o a
nves ors
n
n a
IncreasedpresenceintheUSmarketsbyhiringofaseniorresourcestationedinNewYork
150+stocksundercoverage,targetingtodoublecoverageuniverse
IndepthandthematicprintedreportsonGold,ProtectionismandIndiaandCHina chartbook(a
compendiumof100chartscomparingthe2economies)werewellreceivedbyclients
Establishedcredentials
in
executing
large
block
deals
DealflowfortheInvestmentbankingdivisionexpectedtoimprovewithimprovingmarketsentiments
Researchoffering
Sectoral special on Gold witha foreword by Jim Rogers
Sizing Up India & China: 100charts to compare and
contrast the two economies
Thematic research thatgoes far beyond balancesheets and P&L accounts
8
8/8/2019 India Info Intro
9/27
InsurancePerformancereview
os
ea ngpr va e
sec or
p ayers
n
e
nsurance
n us ry
averecor e
ayoy ec ne
InsurancemobilizationinQ1FY10stoodatRs384mn
Productmixhasbeensignificantlychangedtoincreasethecontributionofendowmentproducts
Outlookofthebusinesswillremainlinkedwiththeindustryfortunes,butthecompanyspositionasa
brokerwillimproveovernextfewquarters
Changingproductmix Mobilization(RsMn)
Q1FY10Q1FY09
1,9452,000
2,500 Mobilization(Rsmn)
50%
26%27%
1%
29%
891
1,102
806 844
613
1,000
1,500
92%
23%
ENDOWMENT HEALTH
PENSION ULIP
44%
432 384
500
8/8/2019 India Info Intro
10/27
CreditandfinancePerformancereview
o a
por o os ze
was
s . n
as
on
une
,
Economyhasshownsignsofrecoveryandthedemandforcreditalsoispickingup
Have resumedsecuredlendingagainstthesecurityofresidentialandcommercialproperty
Numberofdisbursals Portfoliobreakup
1,229
1,416
1,5741,600 Securedloans
Unsecuredloans
Q1FY09
10%
Q1FY10
433528
368
587
471
800
, 18%
12%
17%
10
106
291
15 28
0
400
Q2FY08 Q3FY08 Q4FY08 Q1FY09 Q2FY09 Q3FY09 Q4FY09 Q1FY10
54% 56%
PersonalLoan MortagageLoan
MarginFunding LAS/Debenture
8/8/2019 India Info Intro
11/27
WealthmanagementPerformancereview
sse sun er
managemen
crosse
s
n w
ncrease
rac on
or
am y
o ce
o er ng
Productsincludestructuresnotes,NABARDandbonds,andlongdatedoptions
Growingdomesticandinternationalpresence
Createdmarketsforprimary/secondaryNABARDbonds,Longdatedoptionsand FCCBs
I I F L P r i v a t e W e a l t h s P r o d u c t P r o p o s i t i o n
AdvisoryAccounts
Inhouseequityand
debtadvisory
ExecutionaryPlatform
Inhouseequity
broking
CustodyandTrust
FamilyOffice
proposition
ManagedAccounts
Independent Asset
Managers
ure v sory
agreements
Derivativesand
Optionsstrategy
cre
Commoditytrading
Currencytrading
rus serv cesan
succession planning
ar ners or e
200,000opportunity
Commodityand
currencyPMS/trusts
RealEstate
advisory
PrivatePlacements
International
latform
MutualFunds
REandPEFunds
11
StructuredNotes
TermCover
insurance
8/8/2019 India Info Intro
12/27
RecentawardsandaccoladesPerformancereview
MOSTIMPROVED
INDIA
AwardedMost
BESTBROKER
INDIA
Awarded BestBroker
FASTESTGROWING
LARGEBROKER
AwardedFastest
Improved
brokerageinIndia
byAsiaMoney asa
partofitssurveyof
brokera esin
India byFinanceAsia
asapartofitssurvey
offinancialservices
firmsacrossAsiafor
growingEquity
BrokingHouse
LargefirmsinIndia
fortheyear2008by
Dun&Bradstreet
countriesacross
Asiafor2008
12
8/8/2019 India Info Intro
13/27
Presentationstructure
Performancehighlights
Businessreview
Businessstrategy
Industry
13
Unlessotherwisementioned,factsandfiguresinthispresentationrefertothosefortheIndiaInfolinegroup(consolidated)
8/8/2019 India Info Intro
14/27
Corporateoverview
Thejourneysofar
IIFLWealth
launched
Insurancebroking
HousingFinance
registration
Inprincipleapproval
forMutualFund
VentureCapitallicense
256
241250
300
Revenues EBITDA PBT PAT BestBrokeraward FIIregistration
200 CLSAteamjoins
FormedIIFL(Asia)
Pte LtdSDM
n)
Launchedonline
106101
7371
100
Launched
Commodities
broking
LaunchedPMS
s ngon
NSE,BSE
Launched
proprietary
tradingplatform
DGCX
membership
(
Becamecorporate
agentforICICI
Prudential
Started
distributionof Launched
proprietary
2 3 4 39
19
38
22
35
26
1829
2 512
19
48
36
0
50
www. n a n
foline.com
nanc a pro uc s
platform
for
onlinetrading
14
-50
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
8/8/2019 India Info Intro
15/27
Visionandstrategy
BusinessStrategy CustomerStrategyVision
Focus
on
core
competenceinfinancial
services
Drive
customer
stickiness
throughquality
advice,bestvalueanda
TOBECOME
THE
MOSTRESPECTEDCOMPANYIN
THEFINANCIALSERVICESSPACE
Multipleproductsand
diverserevenuestreams
ensurede
risked
delightfulexperience
Cuttingedgeproprietary
technologyfor
Shareholders:High
Assetheavyorlong
gestationbusinesses
throu h se arate JVs
,
andcustomerservice
Wide,multimodal
network servin as one
ROCE,ROE
Customers:Valueand
experience
groupcompanies
stopshop
to
customers Employees:
Rewards
and
growth
15
8/8/2019 India Info Intro
16/27
Corporatestructure
IndiaInfolineLtd.(Bloomberg:IIFLIN)
IndiaInfoline
Commodities
Ltd.
IndiaInfoline
Investment
ServicesLtd.
IndiaInfoline
Media&
Research
ServicesLtd.
IIFLRealtyLtd.IIFL(Asia)Pte.
Ltd.
IIFLWealth
Management
Ltd.
IIFLVentures
Ltd.IIFLCapitalLtd.
IndiaInfoline
Marketing
andServicesLtd.
Moneyline
CreditLtd.
IndiaInfoline
Housing
FinanceLtd.
IndiaInfoline
Distribution
Co.Ltd.
IndiaInfoline
Insurance
BrokersLtd.
IndiaInfoline
Insurance
ServicesLtd.
16
*Theabovechartdoesnotcoverallgroupcompanies
8/8/2019 India Info Intro
17/27
Corporateoverview
Managementteamwithproventrackrecord
rac
an
u
a
eamw
mpecca e
aca em c
an
pro ess ona
cre en a s
Opendoor,transparentandperformanceorientedculture
Increasinglevelofemployeeownership
KeyManagementPersonnel
Executive
Directors Non
Executive
Directors Independent
DirectorsNirmalJain,RVenkataraman SatPalKhattar A.K.Purwar,N.Vikamsey,K.Sinha
Institutional Equities
InvestmentBanking
H.Nemkumar,VasudevJagannath,
AniruddhaDange
AjitMenon,DonaldDSouza
Finance
Compliance
KapilKrishan
RMohan
RetailBroking
Wealth Management
Nandip Vaidya
KaranBhagat,YatinShah
Audit
HumanResources
UpendraJaiswal
CaptRSharma
InternationalOperations Bharat
Parajia Technology Titus
G
OffshoreAssetManagementDeepesh Pandey,Manish
Srivastava
InsuranceDistribution Sateesh Kumar
17
CorporateFunctionsVerticals
8/8/2019 India Info Intro
18/27
Presentationstructure
Performancehighlights
Businessreview
Businessstrategy
Industry
18
Unlessotherwisementioned,factsandfiguresinthispresentationrefertothosefortheIndiaInfolinegroup(consolidated)
8/8/2019 India Info Intro
19/27
WelldiversifiedfinancialservicescompanyBusinessandStrategy
Ourserviceofferings
Wealthmanagement
Advisory
Financing
Equities Mutualfunds
Insurance
Equities
Insurance
Retail AffluentCUSTOMERSEGMENTS
Credit&finance
InstitutionalCorporate
Institutionalequities Investmentbanking
Wealthmanagement
AssetManagement
Derivatives Corporatedebt
Investmentbanking
19
8/8/2019 India Info Intro
20/27
BusinessstrategyBusinessandStrategy
Focusedonfinancialservices Deriskedbusinessmodel
Equities
Consumerfinance
Equities
Retail
Nonequities
Institutional
LifeInsurance
MutualFunds
WealthManagement
Retailassets
Massaffluent
India
Retailliabilities
HNIs
International
STRATEGYOperational excellence Attractexceptional peoplewith
ownermindset Innovativeprocessespoweredby
cuttingedgetechnology Successfulintegrationof
InstitutionalequitiesandWealth
RiskManagement
has
withstood
trialbyfire
Leanandscalableplatformwith
anagemen eams
BuildingupoftheAssetManagementteam
Entrepreneurialandprofessional
LiberalOwnershipsharing
20
8/8/2019 India Info Intro
21/27
HowwedifferentiateourselvesBusinessandStrategy
Promotedbyfirstgenerationprofessionalentrepreneurs
Managementteamunmatchedintermsofprofessionalcredentials,experienceaswellasacademicbackground
Managerialdepth
NetworthapproximatelyRs16 bn withnegligibledebt
WellfundedtonotjustweatherbuttakeadvantageofdownturnWellcapitalized
Presentat1,616businesslocations,withover500ownbranches
Effectivelycover
445
cities
across
India
Distributionreach
Thetopmanagementisdrivenbyprideandrewardofownership
TothinkandworklikeanownerispartoforganizationsDNAOwnermindset
Onlyplayerwithproprietarytradingplatform
Effectivelyharnessedtechnologytofacilitateprocessesandprovidesuperiorcustomerexperience
Technologyedge
21
8/8/2019 India Info Intro
22/27
FocusgoingforwardBusinessandStrategy
Focuson
shar enin
Focuson
erfectin
Focuson
attractin the
Focuson
ersonalized
x u
advisory
excellenceSkilldevelopment
u
experience
research
capabilities
Trainingand
processes
Leveraging
besttalents
Givingthem
skilledservice
Useof
development
ofhuman
resources
technology superior
environment
andtraining
technologyto
givethebest
experience
22
8/8/2019 India Info Intro
23/27
Presentationstructure
Performancehighlights
Businessreview
Businessstrategy
Industry
23
Unlessotherwisementioned,factsandfiguresinthispresentationrefertothosefortheIndiaInfolinegroup(consolidated)
8/8/2019 India Info Intro
24/27
LongtermmacrogrowthdriversIndustryoverview
Growingeconomy IndiasGDPexpectedtogrowat8%,Financialservices
likelyto
grow
at
2x
GDP
2 Favorabledemographics 60%ofthepopulationisbelow35yearsofageabouttoenterprimeageforsavingsandinvesting
3 Underpenetratedmarket Verylowpenetrationofequityassetsaswellasmortgages
4 Capitalinflow Indianeconomywillcontinuetoattractforeigncapitalowingtoitscapacitytoabsorbcapitalproductively
5 Consolidation in Indian financial services sector driven b increasin needfor
Capital,
Compliance
and
Research
expertise
24
8/8/2019 India Info Intro
25/27
Industry
400,000
500,000
600,000
800,000
1,000,000
1,200,000
100,000
200,000
300,000
200,000
400,000
600,000
Source:NSE,Source:NSE,BSE
Apr05 Apr06 Apr07 Apr08 Apr09
Apr05 Apr06 Apr07 Apr08 Apr09
14
15
16
17
60
70
80 Top5 Next5 Next15 Next50 Next25
8
9
10
1112
20
30
40
50
5
6
Apr04 Feb
05 Dec
05 Oct
06 Aug
07 Jun
08 Apr
09
0
10
Source:NSE Source:NSDL,CDSL
8/8/2019 India Info Intro
26/27
Industry
5,3274,940
6,717
6,000
7,000
8,000
1,000
1,200
795
1,396 1,496
2,319
3,264
1,000
2,000
3,000
4,000
,
200
400
600
800
APE rowth o %APE market share %
Source:AMFISource:AMFI
Mar03 Mar04 Mar05 Mar06 Mar07 Mar08 Mar09 Jun09
RelianceMutual
Fund
HDFCMutual
Fund
ICICIPrudential
MutualFund
UTIMutual
Fund
BirlaSunLife
MutualFund
7280
5450
80
110PrivatePlayers LIC
85
7375
90
105 PrivatePlayers LIC
39
35
7
(4)
(16)
4
29
19
(6)(12)
(17) (18)
(5)
14 16
(10)
20
2736
3752
59 55
64 63
48
4145
30
45
60
Source:IRDA
(27)25
(39)
(61)(70)
(40)
May08 Jul
08 Sep
08 Nov
08 Jan
09 Mar
09 May
09
15
0
FY04 FY05 FY06 FY07 FY08 FY09 2MFY10
Source:IRDASource:IRDA
8/8/2019 India Info Intro
27/27
Thankyou
Published in July 2009. India Infoline Ltd 200910.
India Infoline Ltd. All rights reserved. Regd. Off: 75, Nirlon Complex, Off W E Highway, Goregaon (E) Mumbai400 063.
Tel.: +(91 22)4007 7000 Fax: 2685 0451.
This report is for information purposes only and does not construe to be any investment, legal or taxation advice. It is not intended as an offer or solicitation forthe purchase and sale of any financial instrument. Any action taken by you on the basis of the information contained herein is your responsibility alone and India
Infoline Ltd (hereinafter referred as IIL) and its subsidiaries or its employees or directors, associates will not be liable in any manner for the consequences of such
action taken by you. We have exercised due diligence in checking the correctness and authenticity of the information contained herein, but do not represent that
it is accurate or complete. IIL or any of its subsidiaries or associates or employees shall not be in any way responsible for any loss or damage that may arise to any
27
. .
its subsidiaries and/or directors, employees or associates may have interests or positions, financial or otherwise in the securities mentioned in this report.
Recommended