Magma Fin Report Inv Pres

1 1 Magma Fincorp Limited

Reaching New Heights in Retail Finance

Q3 FY14 Update

2 2 2

HELPING PEOPLE REACH OUT TO THEIR DREAMS

3

Leadership Team

Business Overview and Strategy

Annexures

Financial Results – 9M FY14

3

4

Common infra services sharing with new businesses, mortgage and insurance, and Operational efficienices leading

to consistent reduction in opex ratio

Product mix and customer mix optimization leading to increase in NIS by 95 bps to 5.70%.

Loan book increases by 20% yoy to Rs 17,224 crore aided by growth in mortgage, SME and tractor financing

4

Key Business Highlights – 9M FY14

Aggressive NPA recognition at 120+ dpd resulting in 2X* impact on provisioning compared to RBI norms at 180+ dpd.

#1

#2

#3

#4

Significant intervention in internal processes leading to trend-line reversal in collection efficiency from Nov 13

#5

* Refer slide 12

5 5


Values in Rs. Crore and based on MFL (Standalone & Consolidated Statements)

9M FY14

9M FY13

STA

ND

AL

ON

E

Loan Assets

15,417

13%

13,704

Opex /Avg. Loan

Assets

-42 bps

3.02%

3.44%

Net Interest

Spreads

5.69%

4.52%

117 bps

Profit After Tax

104.8

79.5

32%

9M FY14

9M FY13

CO

NS

OL

IDA

TE

D

Loan Assets

17,224

20%

14,338

Opex /Avg. Loan

Assets

-17 bps

3.17%

3.34%

Net Interest

Spreads

5.70%

4.75%

95 bps

Profit After Tax

113.8

99.3

15%

6 6

Financial Results – Q3 FY14

Values in Rs. Crore and based on MFL (Standalone & Consolidated Statements)

17,224

20%

14,338

-5 bps

3.25%

3.30%

5.83%

5.09%

74 bps

36.2

38.1

-5%

Loan Assets Opex /Avg. Loan

Assets

Net Interest

Spreads Profit After Tax

Q3 FY14

Q3 FY13

CO

NS

OL

IDA

TE

D

Loan Assets

15,417

13%

13,704

Opex /Avg. Loan

Assets

-43 bps

3.05%

3.48%

Net Interest

Spreads

5.85%

4.86%

99 bps

Profit After Tax

30.9

33.0

-6%

Q3 FY14

Q3 FY13

STA

ND

AL

ON

E

7 7

Car/UV 35%

CV 12%

CE 13%

Tractor 18%

SME Loans

9%

Used CV 6%

Mortgage 7%

Disbursement Mix

Car/UV 34%

CV 20%

CE 16%

Tractor 14%

SME Loans

7%

Used CV 9%

9M FY14: Rs 6,616 cr 9M FY13: Rs 6,676 cr

Values in Rs. Crore and based on MFL (Consolidated)

Change in product mix aligned to risk reward efficiencies supported by multi product portfolio strategy

Car/UV 32%

CV 11%

CE 12%

Tractor 20%

SME Loans

9%

Used CV 6%

Mortgage 10%

Car/UV 33%

CV 17%

CE 16% Tractor

17%

SME Loans

7%

Used CV 10%

Q3 FY14: Rs 2,482 cr Q3 FY13: Rs 2,338 cr

8

6,931

10,976 12,462

5,105

5,264

4,762

-

5,000

10,000

15,000

FY12 FY13 9M FY14

On Book Assets Off Book Assets

Loan Book Growth

8

Total Loan Assets 12,036 17,224 16,240

Net Interest Spread 3.40% 5.70% 4.91%


Healthy increase in spread driven by judicious product and customer mix

9 9

Diversified Loan Asset Portfolio

27% 30% 31%

34% 24% 19%

19%

15% 14%

10%

12% 15%

- 8% 8%

5% 6% 7%

5% 5% 5% 0.4% 0.5%

0%

25%

50%

75%

100%

FY12 FY13 9M FY14

Car/UV CV CE Tractor Mortgage Used Vehicles SME Loans Gold Loans

12,036 16,240 17,224 Total Loan Assets


Well diversified portfolio of 8 products – Commercial vehicles and equipments reduced to 33% from 53% and tractor

and mortgage contributing 23% against 10% in two years

10

* Total On+Off B/S Loan Assets in MFL (Consolidated)

Largest contribution by a single state limited to 10% of loan book

Diversification of loan book exposure minimizes impact of regional/local/single event risks

10

Total loan assets: Rs. 17,224 crore *

Delhi/Uttarakhand, 8%

Haryana, 6% Punjab/HP, 4%

Rajasthan, 8%

UP, 10%

Bihar, 3%

Jharkhand, 2%

Orissa, 3%

WB, 5%

AP, 9% Karnataka, 5% Kerala, 5%

TN, 4% Chattisgarh, 4%

Gujarat, 6%

MP, 8%

Maharashtra, 10%

North: 35%

South: 23%

East: 14% West: 28%

Widespread Geographic Coverage

11 11

Liability Profile

Debt (incl.

securitisation) 11,364 15,863

On Balance

Sheet Debt 6,259 10,599

Rating Upgrades

Instrument 31 Mar 12 31 Mar 13 31 Dec 13

Short term A1+ A1+ A1+

Long term AA+ AA+ AA+

Pref Cap AA AA AA

Sub debt AA AA AA

Perpetual debt AA- AA- AA-

Diversified liability sources limit concentration risk,

allows stable flow of funds and improved rating, all

leading to lower costs

Consortium of 20 public & private sector banks

Capital market funding from wide spectrum of lenders

including MFs, Insurance companies, Pension /

Provident funds and Corporates among others

Other unsecured debt includes multiple instruments

like PDI, Sub-debt, FIs and Preference capital

35 35 35

13 21 25

7

11 10

45 33 30

0%

25%

50%

75%

100%

FY12 FY13 9M FY14

Banks DCM Others Securitisation

15,883

11,122

Liability Profile


12 12

Collections and Provisioning

Collection Efficiency (%) NPA Provisions (% of Loan Assets)

Collection Efficiency is defined as percentage of instalment collections made during the period out of total instalments billed during the period

Values in charts in % and based on MFL (Consolidated)

Magma follows early provisioning at 120dpd+, and higher provisioning %age compared to RBI norms.

As a result NPA provisions made for Rs 123 crores (Rs 61 crores required as per RBI norms) as on 31 Dec ’13

Magma does not restructure any loan

Magma adopts the most conservative NPA provisioning policy among NBFCs

98.2

94.9

90.0

95.0

100.0

FY13 9M FY14

1.6

3.6

2.5

1.3

2.9

2.2

-

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

FY13 9M FY14 9M FY14 - RBInorms

GNPA % NNPA %

13 13

Summary Financials (Standalone)

Q3 FY14 Q3 FY13 9M FY14 9M FY13 FY13

LIABILITIES 12,151 11,020 12,151 11,020 11,742

Net Worth 1,264 1,161 1,264 1,161 1,174

On B/S Debt 9,882 8,910 9,882 8,910 9,593

Other Liabilities 1,005 948 1005 948 975

ASSETS 12,151 11,020 12,151 11,020 11,742

Loan Assets 10,823 9,359 10,823 9,359 9,703

Other Assets 1,328 1,660 1,328 1,660 2,038

Q3 FY14 Q3 FY13 9M FY14 9M FY13 FY13

Income from Ops. 455.3 405.5 1,326.8 1,071.5 1,511.0

Interest Expenses 274.9 244.2 791.3 640.8 887.4

Gross Margin 180.5 161.4 535.5 430.7 623.5

Other Income 18.2 23.5 58.3 69.5 95.2

Operating Expenses 160.4 136.0 458.5 382.7 539.6

Overheads 88.2 91.9 260.8 262.1 362.0

Sourcing Expenses 27.9 24.1 80.5 64.5 91.5

Prov./Write Offs 44.3 20.1 117.3 56.1 86.1

Profit Before Tax 38.3 48.8 135.3 117.5 179.2

Profit After Tax 30.9 33.0 104.8 79.5 122.8

BA

LA

NC

E S

HE

ET

P

RO

FIT

AN

D L

OS

S S

TA

TE

ME

NT

Values in Rs. Crore and based on MFL (Standalone)

14 14

RoA Analysis (Standalone)

Q3 FY14 Q3 FY13 9M FY14 9M FY13 FY13

Total Income/Assets 15.9% 15.9% 15.5% 16.0% 16.3%

Interest Expenses/Assets 9.2% 9.1% 8.8% 9.0% 9.0%

Net Income 6.7% 6.9% 6.6% 7.0% 7.3%

Operating Expenses/Assets 5.4% 5.1% 5.1% 5.4% 5.5%

Overheads/Assets 3.0% 3.4% 2.9% 3.7% 3.7%

Sourcing Expenses/Assets 0.9% 0.9% 0.9% 0.9% 0.9%

Provision & WO/Assets 1.5% 0.7% 1.3% 0.8% 0.9%

Profit Before Tax 1.3% 1.8% 1.5% 1.7% 1.8%

Return on Assets (RoA) 1.0% 1.2% 1.2% 1.1% 1.2%

Return on Equity (RoE) 8.9% 10.3% 10.3% 8.4% 9.7%

Tier 1 CRAR 10.5% 11.1% 10.5% 11.1% 10.6%

Total CRAR 15.3% 16.6% 15.3% 16.6% 16.8%

Values in %; Assets imply average of opening and closing balance of On B/S Assets in MFL (Standalone)

While operating efficiency has improved, accelerated NPA provisioning has resulted in lower profitability

15 15

Proforma P&L Statement (Standalone)

Q3 FY14 9M FY14 FY13

Net Income/Assets 6.0% 6.0% 6.4%

Profit Before Tax 1.5% 1.9% 2.2%

RoA 1.2% 1.4% 1.5%

Q3 FY14 9M FY14 FY13

Income from Ops. 455.0 1,329.9 1,519.6

Interest Expenses 274.9 791.3 887.4

Gross Margin 180.1 538.6 632.2

Other Income 18.2 58.3 95.2

Operating Expenses 152.4 429.1 507.3

Overheads 88.2 260.8 362.0

Sourcing Expenses 27.9 80.5 91.5

Prov./Write Offs 36.3 87.8 53.8

Profit Before Tax 45.9 167.8 220.2

Profit After Tax 36.0 126.3 149.8

RA

TIO

S

PR

OF

IT A

ND

LO

SS

STA

TE

ME

NT

Values in Rs. Crore and based on MFL (Standalone)

Difference between Magma provisioning policy and RBI norms reflected in income from ops. and provisions/write

offs and has a resultant impact on profits

16 16

Summary Financials (Consolidated) B

AL

AN

CE

SH

EE

T

PR

OF

IT A

ND

LO

SS

STA

TE

ME

NT


Q3 FY14 Q3 FY13 9M FY14 9M FY13 FY13

Income from Ops. 513.5 423.9 1,485.4 1,131.1 1,606.9

Interest Expenses 306.3 252.2 879.2 660.1 926.2

Gross Margin 207.2 171.7 606.2 470.9 680.6

Other Income 22.1 21.5 70.8 64.5 94.6

Operating Expenses 187.2 136.9 530.5 388.3 562.7

Overheads 109.4 90.6 315.6 265.4 373.2

Sourcing Expenses 28.5 24.2 82.3 64.9 92.9

Prov./Write Offs 49.3 22.0 132.6 58.0 96.6

Profit Before Tax 42.1 56.4 146.5 147.1 212.5

Profit After Tax 36.2 38.1 113.8 99.3 144.9

Q3 FY14 Q3 FY13 9M FY14 9M FY13 FY13

LIABILITIES 13,916 11,548 13,916 11,548 13,114

Net Worth 1,492 1,260 1,492 1,260 1,397

On B/S Debt 11,122 9,239 11,122 9,239 10,599

Other Liabilities 1,302 1049 1302 1049 1,118

ASSETS 13,916 11,548 13,916 11,548 13,114

Loan Assets 12,462 9,874 12,462 9,874 10,976

Other Assets 1,454 1,674 1,454 1,674 2,138

17 17

Segment wise Breakup – 9M FY14

Asset finance

business

Gold loan

business

Mortgage

business

Insurance

business ^^ Consolidated

Net Interest Spreads (%) ^ 5.93% 9.38% 2.86% 5.70%

Total Loan Assets (Rs cr) 15,727 92 1,405 284 * 17,224 **

Total Income (Rs cr) 1,426.5 13.4 128.3 -12.0 1,556.2

Total Expenses (Rs cr) 1,266.9 22.1 120.7 - 1,409.7

Profit Before Tax (Rs cr) 159.6 -8.7 7.6 -12.0 146.5

^^ P&L related nos for MHDI (Insurance business) represent 37% of total

^ Calculated on Earning Assets; * Gross Written Premium (GWP) in 9M FY14; ** Does not include GWP of Insurance JV

Mortgage and General Insurance business performing as planned

Presence in Gold Loan business being re-evaluated

Overall profitability to improve as new businesses scale up

18

28.1% 27.4% 27.6% 25.6%

0.0%

10.0%

20.0%

30.0%

FY12 FY13 9M FY13 9M FY14

78

145

99 114

-

50

100

150


1,080

1,701

1,196 1,556

-

500

1,000

1,500


57 62 61 66

-

25

50

75


18

Financials on Growth Trajectory

Total Income (Rs crore) Profit After Tax (Rs crore)

Opex to Total Income ratio (%) ^ Book Value per Share (Rs) – Standalone basis

Based on MFL (Consolidated); ^ Opex Includes Employee Benefit Expenses, Other Expenses, Depreciation and Brokerage & Commission

19

Leadership Team


Annexures


19

20 20

Company in Transformation

Started financing business

Started retail

financing

Acquisition of Consortium Finance

Started implementation of vertical

business structure

Acquisition of Shrachi Infra. Finance

Launched tractor finance business

JV with HDI Gerling for General

Insurance business

Acquired GE’s mortgage business

General insurance business becomes

operational

Launched Gold loan business

Oracle appointed for technology

platform transformation

Started Used CV

financing

Launched SME

Loans business

KKR and IFC, Washington invest Rs 439 crore for

27.8% stake

Securitisation and related accounting policy

streamlined

CARE upgrades ratings

Appointed KPMG as statutory auditors

Launched mortgage finance

business

21 21

Commercial Vehicles

– New and Used

Construction Equipment

Cars & UVs

Tractors

Affordable Housing

SME Loans

Loan Against Gold

General Insurance

Customer

Diverse

financial

needs over

life time

Customer focused

structure and processes

Invest early into

customers – 1st time /

under banked

customers

Business structure

aligned to specialize in

customer’s specific

business needs

Recovery systems

based on customer

behavior

Feedback systems to

improve service – Sales

support

Design and product

development based on

customer feedback

Customer Centric Approach…with a bouquet of products

22

Synergistic Approach to Growth

Entry level vehicles and UV/MUV

Small Road Transport Operator (SRTO)

Rural markets and UV/MUV segment

Tie up with car manufacturers 430

69%

45 Cars

1-5 vehicle owners (esp FTB segment)

SRTO

LCV & SCV

Tie up with CV manufacturers 640 84%* 44

Commercial

Vehicles (CV)

Land owning farmers

25-75 HP tractors

Alliances with OEMs

New product introductions 340 63% 45 Tractors

FTB, Small fleet drivers

M&HCV, Refinance

LCV

High vintage vehicles (7-8 years) 520 70% 35 Used CV

Small Scale Entrepreneurs Increase collaboration with OEMS

Wider product range 1610 78% 39

Construction

Equipment

SME segment

Working capital, business expansion MSME segment 1940 NA 33 SME Loans

Primary borrowers Target underpenetrated urban

markets in North, West and East India Gold Loans

Affordable housing Tier 3 and 4 towns Home Loans

Key Customer Segments Focus areas to Drive Growth ATS

(Rs ’000)

LTV Tenure

(months)

48 52% 12

ATS: Average Ticket Size; FTB: First Time Buyers; Numbers represent average for disbursements done in Q3 FY14

* LTV has been calculated without considering cost of truck body, which is not funded. Inclusive of body in the cost of asset, LTV would be approx. 73%

Captive customers

Rural agri based products

Penetrate motor insurance market

Rural agri markets

General

Insurance

Products

22

Leverage branch / collection

presence and understanding of

product, target customer

behaviour and its requirements to

grow new products

23

New businesses

1

2

3

MORTGAGE

GENERAL

INSURANCE

GOLD LOANS

SYNERGIES/ CAPABILITIES CURRENT STATUS

• Product available in 87 branches

• Gross Written Premium of Rs 284 crore in

9M FY14

• Increase reach and conversion ratio by

leveraging Magma network

• Network of 45 gold loan branches

• Created loan book of Rs 92 crore (0.5% of

total loan book)

• Objectively evaluate gold loan business and

institutionalize learnings

• Over two decades of experience in financing

cars and CV in rural markets

• Over a decade of experience in selling

general insurance policies

• Opportunity to create a network with high

penetration levels

• Cross sell of other Magma products

• Mortgage business present in 79 branches

• Disbursement of Rs 426 crore in 8 months

of operations since May 2013

• Strategy in place for scaling up to higher

contribution in overall portfolio

• Existing branch network in rural/ semi rural

locations

• Target customer profile same as in existing

ABF business

New businesses to increase the size of the market where we compete thus driving long term growth

23

24 24

Product-wise Verticals Collections Vertical

AFC HFC Gold Loans Insurance Based on Customer Behaviour

Sales Credit Operations

Product

Development

Channel

Management

Car/UV

CV

CE

Used CV

SME Loans

Tractor

Home Loan

LAP

Gold Loans General

Insurance

0 dpd

1 – 30 dpd

31 – 90 dpd

91 – 180 dpd

181-730 dpd

ARD/Legal

High Ticket

Key Benefits

Scalability

Operating & cost efficiency including through automation / standardization

Specialization

Aligning responsibilities & remuneration

Product wise Functions

Integrators

Marketing Risk Management

Strategy People Management

Technology Operations

Finance / Treasury Audit

Identify areas of risk /

concerns - preventive

measures

Product

Geography

Customer segment

Branding

Channel development

Product innovation

Customer relations

Cross selling

Inorganic opportunities Leadership & development,

Succession planning,

Training & retention

Supported by

Marketing

Vertically Aligned Business Model

25 25

Branch Network Growth (AFC & Gold Loan Branches) Pan - India Reach

280 branches across 21 states /union territories

Coverage of over 75% of ~670 districts in India*

8,973 employees including ~8200 front line staff

Rural, 87, 37%

Semi Rural, 98, 42%

Urban, 50, 21%

Rural Urban Breakup of AFC Branch Network *

No o

f b

ran

ch

es

60 73 74

50 61 63

46 54 54 44 43 44

45 200

275 280

-

100

200

300

FY12 FY13 9M FY14

North West South East Gold Loan Total

Branch Network

AFC branches

* As on 31 December 2013; Based on company’s market surveys and estimates

26

Leadership Team


Annexures


26

27 27

Board of Directors

Respected Board of Directors

Professional Entrepreneur – MD

Mayank Poddar

Chairman

Supports policy formulation and

guidance to the Management/Board

Over 30 years of experience in the

financial sector.

Sanjay Chamria

VC and MD

Anchors strategic policy formulation

and execution.

Drives new business initiatives and

leads management team

Sanjay Nayar – Non

Executive Director

(Nominee of KKR)

CEO and Country Head of KKR,

India. Ex CEO of Citi India & South

Asia operations

Narayan K Seshadri

Entrepreneur consultant. Former

Country Head - KPMG Consulting &

Head of Business Consulting in

Arthur Andersen

Neil Graeme Brown

Co-Founder of Subito Partners (UK).

Ex-Partner of Coopers & Lybrand

(now PwC) and Ex-Director of Apax

Partners. Set up FIG practice in

Apax Partners

Kailash Nath

Bhandari

Ex Chairman & MD of New India

Assurance and United India

Assurance. Additionally, worked as

consultant of World Bank.

Nabankur Gupta

Founder - Nobby Brand Architects &

Strategic Marketing Consultants.

Pioneer of sub branding and multi

branding in India. Also served as Group

President in Raymond

Satya Brata Ganguly

Chairman Emeritus of Exide

Industries. On the board of Indian

Chamber of Commerce and Industry

and Bengal Chamber of Commerce

and Industry among others.

Promoter Directors Non Promoter Directors

Business

Heads Collections Marketing Risk Strategy

Human

Resource Technology

Treasury/

Finance/IR

Professional Management Team

Audit

Board members with decades of experience in financial services and related fields

28 28

Ashutosh Shukla Experience of over 25 years in Magma and Consortium Finance. Setup North and West Zone business and

headed collections vertical in Magma earlier

V Lakshmi

Narasimhan

Experience of 23 years in Magma and Consortium Finance. Incubated SME Loans & Tractors business in Magma.

Served as National Credit and Risk Head.

Sachin

Khandelwal Experience of over 20 years in sales and marketing. Ex- MD of ICICI Home Finance.

Vikas Mittal Experience of over 20 years in brokerage and wealth management industry. Ex- MD & CEO of Enam Direct & Ex-

MD of Citi Wealth Advisors

Swaraj Krishnan Veteran in the general insurance industry. Ex-CEO of Bajaj Allianz General Insurance

Sandeep Walunj Experience of 20 years in consumer marketing in FMCG & Retail businesses. Worked as CMO–Big Bazaar &

Value Formats in Future Group

Kailash Baheti Ex-CEO of Century Extrusions. Extensive experience in finance, accounts, compliance and legal functions.

Senior management with extensive experience both within Magma and in the industry

COO, Asset

Financing

Business

Chief Financial

Officer

MD & CEO,

Magma Housing

Finance

Business Head,

Gold Loans

CEO, Magma HDI

General Insurance

Chief Marketing

Officer

Chief Strategy

Officer

Bu

sin

ess H

ead

s

Fu

ncti

on

Head

s

Sumit Mukherjee Served as National Sales Head for High Yield Products and Credit and Risk Head at Magma prior to current role.

Worked with Citi Corp as VP prior to joining Magma. Over 18 years of experience in sales.

Mahendar

Bagrodia

Served as National Risk and Credit Head prior to current role. Experience of over 18 years of which 12 years with

Magma Fincorp

Chief Sales Officer

Chief of

Receivables

Management

Management Team

29 29

Shareholding

Promoters, 33.6% Overseas

Bodies, 26.2%

FII, 30.7% Domestic Investors,

3.9%

Public, 5.6%

Top Non Promoter Shareholders Shareholding of Magma Fincorp

KKR

IFC, Washington

Chrys Capital (Lavender Investments Ltd)

India Capital Fund Ltd

Bank Muscat S A O G A/C Bankmuscat India

As on 31st December 2013

Magma Fincorp

(Standalone)

Magma ITL JV

(tractor biz)

Magma HDI JV

(general

Insurance biz)

Magma

Housing

Finance

Magma Fincorp

(Consolidated)

100% 74% 37% 100%

Holding Structure

30 30 30

Forward Looking Statements

Certain statements in this document with words or phrases such as “will”, “should”, etc.., and similar expressions or variation of

these expressions or those concerning our future prospects are forward looking statements. Actual results may differ materially

from those suggested by the forward looking statements due to a number of risks or uncertainties associated with the

expectations. These risks and uncertainties include, but are not limited to, our ability to successfully implement our strategy and

changes in government policies. The company may, from time to time, make additional written and oral forward looking

statements, including statements contained in the company’s filings with the stock exchanges and our reports to shareholders.

The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf

of the company.

Thank You

31

Leadership Team


Annexures


31

32 32

Profit & Loss Statement (Standalone)

Particulars Q3 FY14 Q3 FY13 YoY % 9M FY14 9M FY13 FY13

Income

- Income from Operations 455.3 405.5 12% 1326.8 1071.5 1511.0

- Other Income 18.2 23.5 -22% 58.3 69.5 95.2

Total Income 473.5 429.0 10% 1385.1 1141.0 1606.1

- Finance Costs 274.9 244.2 13% 791.3 640.8 887.4

- Employee Benefit Expenses 53.7 49.9 8% 152.2 142.0 202.8

- Depreciation 7.7 8.7 -12% 25.2 28.2 36.7

- Brokerage & commission 27.9 24.1 16% 80.5 64.5 91.5

- Provisions against Standard Assets 1.0 4.3 -77% 2.4 11.2 12.0

- Provision for NPA/ Writeoffs 43.3 15.8 175% 114.9 44.9 74.1

- Other Expenses 26.8 33.3 -19% 83.4 91.9 122.5

Total Expenses 435.3 380.2 14% 1249.8 1023.5 1427.0

Profit Before Tax 38.3 48.8 -22% 135.3 117.5 179.2

Tax (incl. Deferred Tax) 7.4 15.7 -53% 30.5 38.0 56.4

Profit After Tax 30.9 33.0 -6% 104.8 79.5 122.8

Earnings per share (Rs.) 1.45 1.55 -6% 4.97 3.71 5.74

Book Value per share (Rs.) 66.0 60.7 9% 66.0 60.7 61.8

All values in Rs crore

* Previous year figures have been regrouped / restated, wherever necessary

33 33

Balance Sheet (Standalone)

Particulars Dec-13 Dec-12 Mar-13

Shareholder Funds

- Equity capital 38.0 38.0 38.0

- Preference Capital 118.4 165.7 161.4

- Reserves & Surplus 1226.1 1123.4 1135.6

-Share application money pending allotment

Net Worth 1264.1 1161.4 1173.6

Non Current Liabilities 2857.9 3125.6 3410.0

Current Liabilities 7910.8 6566.9 6996.8

Total Liabilities 12151.3 11019.6 11741.9

Non Current Assets

- Fixed assets 176.1 172.6 174.4

- Non Current Investments 222.6 157.6 220.5

- Other Non Current Assets/ Long term Loans & Advances 6830.2 5807.5 6322.4

Current Assets

- Cash & Bank balances 446.5 925.8 1164.0

- Current Investments 90.8 - 64.9

- Other Current Assets/ Short term Loans & Advances etc. 4385.1 3956.1 3795.6

Total Assets 12151.3 11019.6 11741.9



34 34

Profit & Loss Statement: Magma ITL (MITL)


Particulars Q3 FY14 Q3 FY13 YoY %9M

FY14

9M

FY13FY13

- Total Income 36.1 25.9 39% 99.1 71.4 101.0

Total Income 36.1 25.9 39% 99.1 71.4 101.0

- Finance Costs & Other Costs 16.5 12.4 33% 43.2 28.9 42.5

- Operating Expenses 12.2 5.0 144% 30.0 13.6 21.5


- Credit Loss 0.5 -0.5 -217% 3.4 -0.9 0.0

Total Expenses 29.4 17.4 69% 77.1 42.3 64.8


Profit After Tax 4.5 6.0 -24% 15.8 19.6 24.4

35 35

Profit & Loss Statement: Magma Housing Finance (MHF)

Particulars Q3 FY14 9M FY14 FY13*

- Total Income 31.1 85.2 85.3

Total Income 31.1 85.2 85.3

- Finance Costs 19.0 54.5 44.1

- Operating Expenses 9.5 24.8 20.2

- Provision & Writeoffs 1.0 4.6 1.8

Total Expenses 29.4 83.9 66.1

Profit Before Tax 1.7 1.3 19.2

Profit After Tax 1.2 0.9 12.6


* Above figures are for full year; Consolidation with Magma is effective 11th Feb 2013

36 36

Profit & Loss Statement: Magma HDI General Insurance Company (MHDI)


Particulars Q3 FY14 9M FY14 FY13

Gross Written Premium 114.2 283.7 95.8

Net Earned Premium 69.6 145.3 14.3

Claims Incurred 61.5 129.0 12.5

Net Commission 4.4 11.7 3.2

Management Expenses 23.6 61.9 29.6

Underwriting Profit/Loss -20.0 -57.3 -31.1

Investment Income 9.9 24.8 19.2

PBT -10.1 -32.5 -13.5

PAT 1.4 -21.1 -9.4

37 37

Profit & Loss Statement (Consolidated)



Q3 FY14 Q3 FY13 YoY % 9M FY14 9M FY13 FY13

Income

- Income from Operations 513.5 423.9 21% 1,485.4 1,131.1 1,606.9

- Other Income 22.1 21.5 3% 70.8 64.5 94.6

Total Income 535.6 445.5 20% 1,556.2 1,195.5 1,701.5

- Finance Costs 306.3 252.2 21% 879.2 660.1 926.2

- Employee Benefit Expenses 60.7 49.1 24% 170.7 143.3 204.0

- Depreciation 7.7 8.9 -13% 25.2 28.7 37.6

- Brokerage & commission 28.5 24.2 18% 82.3 64.9 92.9


- Provision for NPA/ Writeoffs 47.8 17.3 176% 129.2 46.0 82.6

- Other Expenses 41.0 32.7 26% 119.7 93.4 131.6

Total Expenses 493.5 389.1 27% 1,409.7 1,048.4 1,489.0


Tax (incl. Deferred Tax) 5.9 18.3 -68% 32.8 47.8 67.5

Profit After Tax 36.2 38.1 -5% 113.8 99.3 144.9

Earnings per share (Rs.) 1.68 1.73 5.22 4.48 6.55

38 38

Balance Sheet (Consolidated)

Particulars Dec-13 Dec-12 Mar-13

Shareholder Funds

- Equity capital 38.0 38.0 38.0

- Preference Capital 154.0 165.7 197.0

- Reserves & Surplus 1454.4 1221.9 1359.4

- Fair value change account 0.0 0.0 0.0

- Share application money pending allotment 0.0 0.0 0.0

Net Worth 1492.5 1259.9 1397.4

Minority Interest 29.5 24.0 25.5

Non Current Liabilities 3379.0 3221.4 4006.7

Current Liabilities 8861.2 6876.5 7487.2

Total Liabilities 13916.2 11547.5 13113.8

Non Current Assets

- Fixed assets 192.1 173.5 190.2

- Non Current Investments 258.2 176.8 199.6

- Other Non Current Assets/ Long term Loans & Advances 8223.0 6114.1 7431.9

Current Assets

- Cash & Bank balances 481.9 959.4 1217.8

- Current Investments 100.5 4.5 67.3

- Other Current Assets/ Short term Loans & Advances etc. 4660.4 4119.3 4006.9

Total Assets 13916.2 11547.5 13113.8



Magma Fin Report Inv Pres

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