FY 2015-16

First Half Results

Earnings Presentation
 Safe Harbor
Except for the historical information contained herein, statements in this release
which contain words or phrases such as “will”, “aim”, “will likely result”, “would”,
“believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “plan”,
“contemplate”, “seek to”, “future”, “objective”, “goal”, “strategy”, “philosophy”,
“project”, “should”, “will pursue” and similar expressions or variations of such
expressions may constitute "forward-looking statements". These forward-looking
statements involve a number of risks, uncertainties and other factors that could
cause actual results to differ materially from those suggested by the forward-looking
statements. These risks and uncertainties include, but are not limited to our ability to
successfully implement our strategy, future levels of non-performing loans, our
growth and expansion, the adequacy of our allowance for credit losses, our
provisioning policies, technological changes, investment income, cash flow
projections, our exposure to market risks as well as other risks. Axis Bank Limited
undertakes no obligation to update forward-looking statements to reflect events or
circumstances after the date thereof.

1
Introduction

Performance Overview

Business Overview

2
 Overview
Snapshot (As on September 30, 2015)
Total Assets `4,72,725 crores
Net Advances `2,98,066 crores
Banking Treasury Total Deposits `3,24,101 crores
Operations
Net Profit (Q2FY16) `1,916 crores
Net Profit (H1FY16) `3,894 crores
Corporate
Credit
Shareholders’ Funds `48,892 crores
Diluted EPS (annualised) `32.54
Transaction ROA (H1FY16) 1.71%
Banking
ROE (H1FY16) 17.37%
Net NPA Ratio 0.48%
SME1
Basel III Tier I CAR2 12.21%
Basel III Total CAR2 15.42%
Retail Saving Bank Accounts (No.) 159 lac
Banking
Branches3 2,743
International Presence4 8
1 Small and Medium Enterprises
2 Includes profits for the half year ATMs 12,352
3 Include extension counters

4 Includes overseas subsidiary in UK

3
 Shareholding Pattern (As on September 30, 2015)

Others SUUTI
15.30% 11.56%
& Life Insurance
GDR Corporation & its
3.87% group entities
14.14%
Indian Institutions
9.16% General Insurance
Corp & others
3.84%

Foreign Institutional
investors
42.13%

 Share Capital `475.59 crores

 Shareholders’ Funds `48,892 crores

 Book Value Per Share `205.61

 Diluted EPS (annualised) `32.54

 Market Capitalisation `1,23,909 crores (as on October 26, 2015)

As on September 30, 2015, against GDR& issuance of 62.7 mn, outstanding GDRs stood at 18.4 mn

&1 GDR = 5 shares 4

 High Shareholder Returns
20.51
205.61 1.83
1.78
18.23 18.57 1.70 1.71
188.47 17.37
162.69

141.50

BVS Return onon

Equity (%) (%) Return on on
Assets (%)
Book Value Per Share (`) Return Equity Return Assets (%)
FY13 FY14 FY15 H1FY16

A strong franchise demonstrating consistent value creation over time

5
 Introduction

Performance Overview

Business Overview

6
 Performance Highlights
Q2FY16 H1FY16

Net Profit 19% YOY 19% YOY

Net Interest Income 15% YOY 19% YOY

Fee Income 14% YOY 13% YOY

Core Operating Revenue 15% YOY 17% YOY

Core Operating Profit 21% YOY 26% YOY

CASA1 13% YOY

CASA (Daily Average) 14% YOY

Total Deposits1 14% YOY

Total Advances1 23% YOY

1 As on 30th September 2015

7
 Key Financial Highlights
Retail Franchise continues to show traction
• Daily Average CASA Deposits in Q2FY16 grew 14% YOY and constituted 40% of Total
Deposits
• Retail Term Deposits grew 18% YOY and constituted 64% of Term Deposits
• CASA and Retail Term Deposits constituted 80% of Total Deposits
• Retail Advances grew 27% YOY and accounts for 40% of Net Advances
• Retail Fee Income in Q2FY16 grew 19% YOY and constituted 40% of Total Fee Income

Stable Earnings Profile

• Core Operating Revenue in Q2FY16 grew 15% YOY and stood at `5,936 crores
• Core Operating Profit in Q2FY16 rose to `3,460 crores, registered growth of 21% YOY
• Return on Assets & Return on Equity for Q2FY16 stood at 1.64% and 16.62% respectively

Well positioned for future growth with Tier I CAR& of 12.21% & Total CAR& of 15.42%
under Basel III

Overall, a well capitalised Bank achieving consistently superior returns

& Includes profits for the half year 8
 Growing Net Interest Income
` crores

4,062 8,118

3,525 6,835

 15% YOY  19% YOY

Q2FY15 1 Q2FY16 H1FY151 H1FY16

Trend in NIIs (` crores)

FY12 8,018
FY13 9,666
FY14 11,952
FY15 14,224
CAGR 21%

9
 Diversified Fee Income Profile
` crores
1,813 3,363
1,591 2,969

 14% YOY  13% YOY

Q2FY151 Q2FY16 H1FY151 H1FY16

Q2FY16 H1FY16

Retail Corporate Corporate

Business Credit Retail Credit
40% 26% Business 25%
39%

Treasury & Treasury &

DCM DCM
10% 12%
SME SME
Transaction 5% Transaction 5%
Banking Banking
19% 19%

10
Sustained Profitability Growth: Robust Operating Revenue

` crores

5,936 11,644

5,171
9,913

3,460 6,906

2,861 5,496

1,916 3,894
1,611 3,277

Net Profit Core Operating Core Operating Net Profit Core Operating Core Operating
Profit Revenue Profit Revenue

Q2FY15 Q2FY16 H1FY15 H1FY16

 19% YOY  21% YOY  15% YOY  19% YOY  26% YOY  17% YOY
11
Consistent Net Profit Growth
Quarterly Net Profits
` crores

12
Stable CASA Growth Underpins Low-Cost Deposit Franchise

CASA and Retail Term Deposits

(` crores)

Growth (%)

258,602 Daily
250,981
241,668 As on September 30, Average for
223,674 227,492 End Day
2015 the half
year

106,581 115,194 Savings Bank 12 13

97,307 101,906 110,054

88,292 89,717 CASA 13 13

79,875 79,953 84,776

46,492 45,633 56,108 46,838 53,691

Sep-14 Dec-14 Mar-15 Jun-15 Sep-15

CA Deposits SB Deposits Retail TDs

• Share of Retail Term Deposits to Total Term Deposits stood at 64%

• CASA + Retail Term Deposits constitutes 80% of Total Deposits

13
 Strong CASA Franchise Supports Margin Stability
CASA Deposits CASA Ratio
(` crores)
45% 45% 44%
43% 43%
144,400 143,408
126,367 125,586 131,614

88,292 89,717
79,875 79,953 84,776

46,492 45,633 56,108 46,838 53,691

Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15
CA Deposits SB Deposits

Cost of Funds Net Interest Margin

6.19% 6.17% 6.26% 6.12% 3.97% 3.93% 3.85%
5.99% 3.81% 3.81%

Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15
14
 Stable Asset Quality
Loan Mix Asset Quality
(As on September 30, 2015)

NPA trend

 Provision coverage of 78% as on 30th September 2015

including prudential write-offs (87% before accumulated
write-offs)

 Net Cumulative restructured advances were `8,426 crores

(2.65% of net customer assets) as on 30th September
2015

15
 Capital Adequacy: Well Positioned for Growth

15.90% 15.64% 15.42%

15.09% 15.05%
3.33% 3.20% 3.21%
3.02% 2.90%

12.57% 12.44% 12.07% 12.15% 12.21%

Sep-14* Dec-14* Mar-15 Jun '15* Sep '15*

Tier 1 CAR Tier 2 CAR Total CAR

* Considering unaudited Net Profit for the quarter / half year / nine-months
16
 Introduction

Performance Overview

Business Overview

17
 Well distributed, countrywide network of Branches & ATMs
 Multiple channels drive business growth  Expanding footprint across centres

 Extensive use of technology to provide services  One of the largest ATM networks in the industry

Branches
Domestic Branch network1
1,947 2,402 2,589 2,743

Call ATMs
Centre

Customer
Touch Points

Point of Mobile Banking

Sale

Internet Banking
Mar’13 Mar’14 Mar’15 Sep’15

Traditional Channels Electronic Channels ATMs 11,245 12,922 12,355 12,352

Centres Covered 1,263 1,636 1,714 1,796
Employees 37,901 42,420 42,230 46,366
1 Including extension counters 18
 Retail Liabilities Exhibit Consistent Growth
Savings Bank Deposits Retail Deposits* (% of Total Deposits)
(` crores) 62 63
89,717
79,875

Sep '141 Sep '15 Sep '141 Sep '15

 12% YOY
Retail Term Deposits (RTD) RTD as % of Term Deposits
(` crores)
115,194 64
62
97,307

Sep '14 1 Sep '15 Sep '141 Sep '15

 18% YOY

* Retail Deposits include Savings Bank and Retail Term Deposits 19

 Sustained Traction in Retail Assets
Key Highlights Composition of Retail Advances

 Maintained focus on secured Non-schematic

loans & others
lending with greater emphasis on Loan against 11%
Property
mining existing liability customers 8%

Personal Loans
 Integrated strategy for tapping into & Credit Cards Housing Loans
10% 48%
consumer lending opportunity in
Auto Loans
rural markets 8%

 Retail Advances constitute 40% of

Bank’s Net Advances in September
Retail
2015 agricultural
loans
15%
 Secured Loans make up 86% of
Retail Loans
Portfolio Size: `1,19,448 crores
 Housing Loans account for 48% of  27% YOY
Retail Loans
20
 Growth in Retail Fees
Key Highlights (` crores)
718
604
 Focus on cross-selling to existing
customers is the key driver for growth  19% YOY

 Third-party products sold include mutual

Q2FY151 Q2FY16
funds, insurance, on-line broking, portfolio
management services (non-discretionary)
1,326
and gold coins
1,121

 Healthy retail asset growth provides

 18% YOY
momentum to asset linked fees

H1FY151 H1FY16

21
 Retail Payments Franchise
Key Highlights Number of Cards
141 (in lacs)
130
 One of the largest issuers of debit cards

 Over 19 lac credit cards in circulation

15 20
 Credit card acquisition focused on large retail
depositor base Debit Card Credit Card
Sep '14 Sep '15

 Multi Currency Forex Cards in 15 currencies – Card Spends

(` crores)
USD, Euro, GBP, AUD, CAD, SGD, SEK, CHF, 7,643
JPY, AED, SAR, THB, NZD, HKD & ZAR; INR 5,738

(for foreign nationals and NRIs)

 Prominent player in merchant acquiring

business Q2FY15
1
Q2FY16
22
 33% YOY
 Digital Banking
Channel Mix – Q2FY16

Digital Ecosystem Branch

11%

 Axis Mobile 2.0  Branch Analytics Digital

 Ping Pay  Sales force tracker
 Internet Banking 47%
 Tablet Applications
 Social ATM
42%

Customers Employees

YOY growth
21%
Branches Processes
 Self Service Kiosks
 Express Branches  Project Pratham
 Cash Deposit Machines  E Sales on Insurance
 Cash Deposit Kiosks,
6%
 Recyclers
ATM Branch
Digital Total
-5% -6%
Digital ATM Branch Total
Note: Based on number of all financial transactions performed by
individual customers
 Mobile Banking Solutions
Axis Mobile App

Our Mobile App is smarter with 60+ features Locker on Mobile Instant Personal Loan Conversion to EMI

2.3 Mn `21,629 Cr 414%

users overall spends growth in spends
For 6 month period ended September 30, 2015 YOY growth as on September 30, 2015

Lime… The first integrated mobile money platform Ping Pay – Multi-social payment app
SHOP Seamless shopping experience

PAY Simplified payments & transfers

W ALLET Multi-purpose wallet

BANK Completely digitised bank

AND MUCH MORE…

 Corporate Banking Franchise
Presence across the Value Chain
End-to-End Player

Transaction Investment Trustee

Credit Syndication Treasury
Banking Banking Services

• Strong franchise spread across liability and asset businesses

• Adopted value generating Originate and Distribute Model

• Dominant player in placement and syndication of debt / loans

• Focus on building out a high quality portfolio of credit assets

• Rigorous and regular risk assessment of accounts

25
 Transaction Banking
Key Highlights Current Accounts
` crores
53,691
• Strong transaction banking capabilities 46,492

• Wide range of products with customised  15% YOY

offerings for various business segments

Sep '141 Sep '15
• Growth aided by “Club 50” and “Channel

One” high-end premium products Current A/c Deposits (` crores)

FY12 39,754
• Broad-based sales strategy
FY13 48,322
FY14 48,686
• Focused approach for Corporates, Financial
FY15 56,108
Institutions and Government CAGR 12%

26
 Transaction Banking
Government Business Cash Management Business
• Collection of Central Govt. taxes on behalf of
• Leading CMS provider in the country
CBDT and CBEC, including through e-payments
• Among few banks offering host to host
• Collection of state taxes & collections under E- transaction banking facility
governance on behalf of 16 & 5 State Govt. and
Union Territories respectively 26,689

• Collections and payments for Central Govt 22,749

ministries - Railways, MOF, Urban Development

and Housing & Urban Poverty Alleviation
 17% YOY
• NPS Trustee Bank & Collection Bankers for
subscriptions through all Branches

• Appointed as Centralised Clearing House for

1
Electronic Toll collection based on RFID tags by Sep '14 Sep '15

a subsidiary of NHAI CMS Accounts

• Leverage 50 authorised branches as Hubs and
source PPF accounts from all branches 27
 Corporate Banking
Advances Fees
(` crores) (` crores)

470 470
138,549

111,186

1
Q2FY15 Q2FY16

806 840
1
Sep '14 Sep '15

 25% YOY
 4% YOY

1
H1FY15 H1FY16

28
 Debt Capital Markets
Key Highlights Placement & Syndication of Debt Issues
 Dominant player in placement and
syndication of debt issuances (` crores)

 Ranked No. 1 debt arranger by Prime

67,225 64,967
Database for quarter ended June 2015

 Ranked No. 1 underwriter for ` Denominated 

3% YOY
Bonds by Bloomberg for nine months ended
September 2015.

 Awarded ‘Best DCM House’ 2015 by Finance

H1FY15 1 H1FY16
Asia

 Awarded ‘Best Debt House in India’ by

Euromoney & Asiamoney for 2015
Overall industry volumes shrunk 7% for half-year ended
September 2015 - Source: Bloomberg

29
 SME Banking
Advances Fees
(` crores) (` crores)
94
86

39,702  8% YOY
35,771

1
Q2FY15 Q2FY16
 11% YOY &

152
136
Sep '14 1 Sep '15
 12% YOY

1
H1FY15 H1FY16

&
SME loans (including non-retail agriculture loans) grew 9% YOY
30
 Rating Distribution: Corporate Banking
61% of corporate advances have rating of at least ‘A’ in September 2015

31
 Rating Distribution: SME
85% of SME advances have rating of at least ‘SME3’ in September 2015

32
 Industry-wise Distribution (Top 10)
Outstanding as on September 30, 2015 (%)1
Rank Sectors Non-fund
Fund-based Total
based
1. Infrastructure2 7.20 10.23 7.95
2. Engineering & Electronics 3.25 16.96 6.67
3. Metal & Metal Products 6.18 6.10 6.16
4. Financial Companies3 4.80 10.51 6.22
5. Power Generation & Distribution 5.90 6.24 5.98
6. Trade 3.09 5.70 3.74
7. Real Estate 3.12 2.06 2.85
8. Food Processing 2.83 2.33 2.70
9. Petroleum & Petroleum Products 0.49 7.60 2.27
10. Telecommunication Services 1.03 4.78 1.96
1 Percentages stated above are on the total fund and non-fund based outstanding across all loan segments
2 Financing of projects (roads, ports, airports etc)
3 Includes Housing Finance Companies and other NBFCs

33
 International Presence

Branches at Singapore, Hong Kong, DIFC – Dubai, Colombo & Shanghai

Representative offices at Dubai & Abu Dhabi

Axis Bank UK Limited (a wholly-owned subsidiary of the Bank)

Business offerings include Corporate Loans, Trade Finance Products, Debt

Syndication and Liability Business

Total Assets overseas stood at USD 7.51 billion

34
 Some Awards & Recognition
Ranked amongst the Top 75 safest banks in the world by The Banker

Axis Bank brand awarded title of Superbrand 2014-2015

Best Smartphone Mobile Banking App in India by Forrester Research

Mobile Banking Initiative of the Year - India, Asian Banking and Finance
(ABF) Retail Banking Awards 2015

Best Corporate Payment Project- The Asian Banker Technology

Implementation Award 2015

35
Thank You

36