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Page 1: Icici bank 1

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Page 3: Icici bank 1

3“Hum Hai Na”

HISTORY & BACKGROUND 5 YEAR PERFORMANCE AWARDS & RECOGNITION INITIATIVES MISSION, VISION & VALUES FUTURE PLANNING & CHALLENGES MARKETING STRATEGYCONCLUSION

AGENDA

Page 4: Icici bank 1

KEY PERSONS

CHAIRMAN-

K.V. KAMATH

M.D. & CEO-

CHANDA KOCHHAR

“Hum Hai Na” 4

Page 5: Icici bank 1

HISTORY

Founded in 1955.

Incorporated at the initiative of World Bank, GOI & Representatives of Industry. Objective was to provide financial assistance to Business projects.

Earlier known as “Industrial Credit & Investment Corporation of India”.

“Hum Hai Na”5

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6

OVERVIEWOffers a wide range of products & financial services.

ICICI BANK- Second largest bank.

ICICI PRUDENTIAL- Largest private sector insurance company.

ICICI LOBARD- Largest private sector general insurance company.

ICICI SECURITIES- Largest equity house in the country.

ICICI PRU AMC- Third largest mutual fund.

ICICI VENTURE- One of the largest private equity firms.

“Hum Hai Na”

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India’s second largest bank.

Biggest private sector bank.

Introduced the concept of DSA & DST.

Focus on retail banking as a driver for growth.

Introduced the concept of branding in Indian

HQ BANDRA KURLA COMPLEX, MUMBAI

“Hum Hai Na” 7

Banking Industry.

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2006 2007 2008 2009 20100

50000

100000

150000

200000

250000

300000

350000

R & SNet AssetsLoan Funds

“Hum Hai Na”

LAST 5 YEAR PERFORMANCE

Rs. crore

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9“Hum Hai Na”

LAST 5 YEAR PERFORMANCE

2006 2007 2008 2009 20100

5000

10000

15000

20000

25000

30000

35000

40000

45000

IncomeExpensesProfit

Rs. crore

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“Hum Hai Na”10

LoansFixed & other assetsInvestments

Share holder fundsDepositsBorrowings

ICICI HOME FINANCE

Total assets/liabilities: Rs. 128.15bn• Net Profit of Rs. 1.61bn in FY2010 as compared to Rs.1.43bn in FY2009• Capital Adequacy Ratio of 15.3% on March31, 2010• Net NPA ratio: 1.29%

10% 3%

87%

62% 10% 28%

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“Hum Hai Na”11

OverseasRuralDomesticSMERetail

25%

10%

Vehicle

Secured

Personal

Credit card

Home

27%

2%

6% 5%

Composition of Loan book, As on March, 2010

18%4%

43%

60%

Total loan book: Rs.1812bn Total retail loan book: Rs. 790bn

Vehicle loan contains auto loan 10%, commercial business 6% & two wheeler 1%.Retail business group includes builder loan & dealer funding of Rs. 40.26bn.

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“Hum Hai Na”12

Federally insured mortgageIndia liinked investmentsCash & liquid securi-tiesOther assets & investmentsAssets backed se-curitiesLoans to customers

58%

10% 3% 21%

6% 2%

ICICI Bank CANADA assets profile

Total Assets: CAD 5.7bn

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“Hum Hai Na”13

loans & advancescash & liquid securi-tiesother assets & invassets backed secindia linked invbond/notes of fin. Inst.

19% 52% 5% 2% 5%

17%

ICICI Bank UK assets profile

Total assets: USD 7.4bn

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“Hum Hai Na”14

Retail loansOther assets & investments 6%Loans to corporatesCorporate BondsCash & liquid securi-ties

16% 40% 6%

4% 34%

ICICI Bank EURASIA assets profile

Total liabilities: USD 406mn

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15“Hum Hai Na”

AWARDS

It is the only Indian bank to be ranked as the 45th most valuable global brand

ICICI bank won the Asian Banker award for best banking security system

ICICI PRU life ranked as the most trusted pvt. Insurance brand in the brand equity

ICICI LOMBARD was awarded “Most Preferred General Insurance Brand” at CNBC consumer award 2010

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"HUM HAI NA"16

INITIATIVES

ICICI foundation for inclusive growth

ICICI group’s financial inclusive initiatives

Disha counseling Technology finance group

Read to lead campaign

Go Green. Each one for a better earth

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"HUM HAI NA" 17

VISION

To be the leading provider of financial services in India & a global player.

MISSION

“Perfection in Power”

We will leverage our people, technology, speed & financial capital to:

1. Be the banker of first choice for our customers by delivering high quality, world class products & services.

2. Expand the frontiers of our business globally.3. Maintain high standards of governance & ethics.4. Create value for our stake holders.

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"HUM HAI NA" 19

FUTURE PLANNING & CHALLENGES

To revive growth after the sub-prime crisis

To increase its presence across India through mergers.

To restore customer’s faith

To maintain its brand & position of its subsidiaries

To capitalize on its strength i.e. maintain its place globally

To reduce the operating expenses, NPL &NPA.

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ICICI LIFE

FY2011: NON BANKING SUBSIDIARY

ICICI LOMBARD

ICICI AMC

ICICI SECURITIES

Maintained position as the largest private sector life insurer with continued focus on profitability

Focus on maintaining leadership, while improving underwriting profitability

Maintain market position among top three mutual fund

Capitalize on retail broking platform & market opportunities to increase revenues & profitability

“Hum Hai Na”

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“Hum Hai Na” 21

Growth then & now

OPERATING ENVIRONMENT

•High volatility•Economic slowdown•Weak Business sentiment

•Revival in growth

• Strong growth momentum• Policy tightening

•Countered by monetary & fiscal measures

•Abundant liquidity, low yield & price competition

• Credit demand expected to increase in retail & infrastructure sectors

FY2009 FY2010 FY2011

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STRATEGY

FY2010 FY2011

• Position the balance sheet for growth

• Resume balance sheet growth

• 4Cs: CASA, Credit quality, cost & capital

• While continuing focus on 4 Cs, leverage economic recovery, expanded branch network & rebalanced funding mix to grow the balance sheet

“Hum Hai Na”

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Other Subsidiaries

Profit after Tax FY2009 FY2010

ICICI Securities ltd 0.04 1.23

ICICI Venture 1.48 .51

ICICI Prudential Asset Mgt Company

.01 1.28

ICICI General .24 1.48

“Hum Hai Na”

Continued market leadership in private sector

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CAPITAL ADEQUACY RATIO

“Hum Hai Na”

TIER-1 14%

TIER-2 5.4%

TOTAL (CAR) IS 19.4% = Rs.571.2bn

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25“Hum Hai Na”

MARCH 09 MARCH 10

ICICI PRU 34 35

ICICI HOME FIN 11.12 11.12

ICICI LOMBARD

10.96 10.96

ICICI BANK EURASIA

3.00 3.00

ICICI BANK CANADA

33.50 33.50

ICICI BANK UK 23.25 23.25

ICICI SEC .87 .87

ICICI SEC LTD 1.58 1.58

ICICI VENTURE .05 .05

OTHERS .14 .14

TOTAL 120.97 122

EQUITY INVESTMENTS IN SUBSIDIARIES

Rs. In bn

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COMPOSITION OF BORROWING

“Hum Hai Na”

Domestic March 2009 March 2010

Capital instruments 241 318

Other borrowings 138 14

Overseas March 2009 March 2010

Capital instruments 17.16 15.20

Other borrowings 534 461

Rs. In bn

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BRANCH AS PRIMARY CHANNEL

FY2011: Reorganizing for customer centrity

FROM “PRODUCT FOCUS” TO

“CONSUMER FOCUS”

• Retail business reorganized around geographies & customer segments• Enhanced decision making ability at branches• Sales & service orientation

• Segment-specific strategies & value proposition encompassing both asset & liability relationship

2006 2007 2008 2009 2010

Branches 614 755 1262 1419 2029

“Hum Hai Na”

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FY-06 FY-07 FY-08 FY-09 FY-100

0.5

1

1.5

2

2.5

3

Cos

t/A

vera

ge a

sset

s

Rs.bn FY-06 FY-07 FY-08 FY-09 FY-10

Operating& DMA*expenses

45.25 65.02 79.72 68.85 57.18

*DMA- Direct Marketing Agency

• 16.1% YOY reduction in operating expenses in FY2010

Stringent cost reduction

“Hum Hai Na”

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0

100

200

300

400

500

600

Mar- Mar- Mar- Mar- Mar- Mar- Mar- Mar-03 04 05 06 07 08 09 10

CAGR- 46%

Sav

ing

dep

osit

s(R

s.b

n)

Mar-03

Mar-04

Mar-05

Mar-06

Mar-07

Mar-08

Mar-09

Mar-10

CASAratio

15.5% 23% 24.3% 22.7% 21.8% 26.1% 28% 48%

“Hum Hai Na”

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“Hum Hai Na” 30

Whole sale Banking

Infrastructure & other project finance Commercial Banking Mid-Corporate & SME segments.

Retail Banking

Leverage expanded branch infrastructureSecured Retail loans(mortgage & vehicle

loans) Selective growth in personal loans and

credit cards

FY- 2011 GROWTH STRATEGY

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TARGETS ON 4C ACHIEVED

PROGRESS IN EXECUTION OF STRATEGY

• Robust growth in CASA deposit

• Reduction in operating expenses

•Sharp reduction in retail NPL formation

• Well capitalized for sustained growth

Well positioned to participate in emerging opportunities

“Hum Hai Na”

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"HUM HAI NA" 32

MARKETING STRATEGY

To make its presence more prominent

Focus on credit quality

To create awareness about products through advertisement

To maintain its brand of a global bank

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"HUM HAI NA"

BASIS FOR SEGMENTATION OCCUPATION Different products for different occupation identifiedINCOME Minimum balance serves as income barrierGEOGRAPHICAL Concentrated on tier-1 & tier-2 cities, extending its reach

33

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"HUM HAI NA"34

A man strolls down a beach, "Zindagi naam hai,mushkil ko aasaan banaane ka. Z A man strolls down a beach, "Zindagi naam hai,mushkil ko aasaan banaane ka

Cut to a house, a man addresses the members,”I am Ajay Sharma from ICICI. Ma'am your home has been sanctioned.”

Amitabh Bacchan turns to face the camera, "Bas. Ek bharosemand saathi hona chahiye."

MVO: "Saathi jo zindagi ko aasan banaaye." Super: 'ICICI Group. Saral. Surakshit. Samajhdar

ADVERTISING

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ADVERTISING

A couple enter ICICI Bank and areserved coffee as they wait toopen an account

Super: How long does it take to open an account with ICICI Bank?

The man takes a swig from his cup... Super: Before your coffee goes cold. The executive smiles at their

... disbelief and hands over the documents.VO: Have you opened an ICICI Bankaccount as yet?

“Hum Hai Na”

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39“Hum Hai Na”

CONCLUSION

To be more costumer oriented

Keep innovating with its products

To play a prominent role in the development of India