Investor Presentation

October 10, 2012

2

Disclaimer

Certain statements in these slides are forward-looking statements. These

statements are based on management's current expectations and are subject

to uncertainty and changes in circumstances.

Please also refer to the statement of quarterly financial results required by

Indian regulations that has been filed with the stock exchanges in India where

IndusInd Bank’s equity shares are listed and is available on our website

www.indusind.com.

3

Net Interest Income grew 22% Y-o-Y & 5% Q-o-Q

Non-Interest Income to revenue remains healthy at 39%

Consistent growth in Core Fee Income 40% Y-o-Y & 10% Q-o-Q

Credit growth above industry 31% Y-o-Y & 6% Q-o-Q

Low exposure to stressed / sensitive sectors

Net NPA 0.29%; PCR 72.09%; Restructured Advances 0.19%

Q2 F

Y13 P

ER

FO

RM

AN

CE

HIG

HL

IGH

TS

Steady performance in deteriorating macro economic environment

Credit cost at 11 bps

4

5

Theme for Planning Cycle II - 2011-14 – ‘Invest to grow’ phase

Scale with Profitability

6

Planning Cycle II – Pillars of Growth

Growing

Consumer

Finance book

To grow beyond Rs. 25,000 crs by March 2014

To be funded through CASA

CASA growth CASA to reach > 35% by March 2014

Manage CD

Ratio

CD ratio > 75% < 80%

Deposits to be put to efficient use

Fee GrowthFee growth to exceed Loan Growth

Increased focus on (New) fee enhancers

Loan growthLoan book to grow 25%-30% p.a.;

well above market growth.

Cons. Finance book

Rs. 20,434 crs Growth 45%

Growth-26%

CASA-28%

83%

Fee Growth

40%

31%

Q2-13 outcome

7

Planning Cycle II – Key Initiatives

Used Commercial

Vehicles

Scale up Investment

Banking practiceCredit Cards Launched

Full suite Assets

Portfolio

(LAP / Home Loans)

New Client Acquisition

Ramp-up

Offshore branches,

NRE Deposits

Supply

Chain Products

New Branch rollouts &

Currency Chests CBS rollout

"On Track " performance on all initiatives

8

8

How We Measure Up On Key Metrics

8

Net Interest Margin (NIM) RoA RoE*

Cost to Income Ratio Net NPA

Consistent delivery of strong operating performance

3.35%3.25% 3.29%

3.22% 3.25%

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

18.81% 19.12%20.00% 20.35% 20.45%

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

49.43%49.80% 49.88% 49.68%

49.43%

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

0.31%0.29%

0.27% 0.27%0.29%

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

*on average equity

Revenue/Employee(Rs. Lacs)

32 32 32 31 30

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

1.55% 1.55% 1.60% 1.57% 1.56%

Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

9

Ratings

ICRA AA for Lower Tier II subordinate debt program by ICRA

ICRA AA- for Upper Tier II bond program by ICRA

CRISIL A1+ for certificate of deposit program by CRISIL

CARE AA for Lower Tier II subordinate debt program by CARE

Fitch AA- for Long Term Debt Instruments by Fitch Ratings

Fitch A1+ for Short Term Debt Instruments by Fitch Ratings

Financial Performance

11

Strong Headline Numbers for Q2FY13

Net Interest

IncomeRs 509.73 crs 22%

Other Income Rs 320.49 crs 34%

Revenue Rs 830.23 crs 26%

Operating

ProfitRs 419.82 crs 26%

Net

ProfitRs 250.25 crs 30%

Y-o-Y Growth

5%

1%

3%

4%

6%

Q-o-Q Growth

Core Fee Income Rs 296.10 crs 40% 10%

12

Top line momentum

Advances Rs 39,427 crs 31%

Corporate Advances Rs 18,993 crs 18%

Consumer Finance

AdvancesRs 20,434 crs 45%

CASA Rs 13,365 crs 26%

Y-o-Y Growth

6%

3%

9%

6%

Q-o-Q Growth

Deposits Rs 47,765 crs 25% 6%

13

Balance Sheet

(Rs crs)

Q2FY13 Q2FY12 Y-o-Y (%) Q1FY13 Q-o-Q (%)

Capital & Liabilities

Capital 470 467 1% 469 1%

Reserves and Surplus 4,773 3,962 20% 4,515 6%

Deposits 47,765 38,367 25% 45,076 6%

Borrowings 6,745 5,985 13% 8,705 (23%)

Other Liabilities and Provisions 2,308 1,675 38% 1,947 19%

Total 62,061 50,456 23% 60,712 2%

Assets

Cash and Balances with RBI 2,859 3,216 (11%) 3,062 (7%)

Balances with Banks 1,580 619 155% 1,671 (5%)

Investments 15,609 14,286 9% 16,308 (4%)

Advances 39,427 30,135 31% 37,245 6%

Fixed Assets 695 624 11% 671 4%

Other Assets 1,891 1,576 20% 1,755 8%

Total 62,061 50,456 23% 60,712 2%

Business (Advances + Deposit) 87,192 68,502 27% 82,321 6%

14

Profit and Loss Account (Quarter)

(Rs crs)

Q2FY13 Q2FY12 Y-o-Y (%) Q1FY13 Q-o-Q (%)

Net Interest Income 509.73 419.19 22% 484.10 5%

Other Income 320.49 239.20 34% 318.78 1%

Total Income 830.22 658.40 26% 802.88 3%

Operating Expenses 410.40 325.42 26% 398.85 3%

Operating Profit 419.82 332.98 26% 404.03 4%

Provisions &

Contingencies49.07 46.97 4% 53.50 (8%)

Profit before Tax 370.75 286.01 30% 350.53 6%

Provision for Tax 120.50 92.92 30% 114.27 5%

Profit after Tax 250.25 193.09 30% 236.26 6%

15

Profit and Loss Account (Half year)

(Rs crs)

H1-FY13 H1-FY12 Y-o-Y (%)

Net Interest Income 993.83 809.21 23%

Other Income 639.27 454.61 41%

Total Income 1,633.10 1,263.81 29%

Operating Expenses 809.25 619.11 31%

Operating Profit 823.85 644.70 28%

Provisions & Contingencies 102.57 91.56 12%

Profit before Tax 721.28 553.14 30%

Provision for Tax 234.77 179.87 31%

Profit after Tax 486.51 373.27 30%

Key Financial Indicators

16

Q2FY13 Q2FY12 Q1FY13

Return on Assets 1.56% 1.55% 1.57%

ROE (On average equity) 20.45% 18.81% 20.35%

Cost / Income Ratio 49.43% 49.43% 49.68%

Net Interest Margin 3.25% 3.35% 3.22%

Net NPA 0.29% 0.31% 0.27%

EPS (annualized, Rs. per share) 21.32 16.57 20.20

Net Worth (Rs. in crs) excl Reval Reserve 5,025 4,205 4,766

Book Value (Rs. per share) 106.76 90.23 101.69

Corporate Banking 30 Sep-12

Large Corporates 10,185 26%

Mid size Corporates 5,698 14%

Small Corporates 3,110 8%

Total Advances 18,993 48%

17

40% 44%49% 50% 52%

60%

56%

51%50%

48%

20,551

26,166

35,06437,245

39,427

FY10 FY11 FY12 Jun-12 Sep-12

Consumer Finance Division Corporate & Commercial Banking

Well Diversified Loan Book

Loan Book (Rs crs)

Consumer Finance 30 Sep-12

Comm. Vehicle Loans 9,552 24%

Utility Vehicle Loans 1,602 4%

Small CV 2,124 5%

Two Wheeler Loans 1,660 4%

Car Loans 1,812 5%

Equipment Financing 2,475 6%

Credit Card 303 1%

Loan Against Property 783 2%

Home, PL, etc 123 -

Total Advances 20,434 52%

(Rs crs)

(Rs crs)

Comm. Vehicle Loans 24%

Utility Vehicle Loans

4%

Small CV5%

Two Wheeler Loans

4%

Car Loans5%

Equipment Financing

6%

Credit Card1%

Loan Against Property

2%

Large Corporate26%

Medium Corporate

15%

Small Business

8%

NBFCs (other than HFCs)

Lease Rental

Power

Pharma

Real Estate Developers

Constn related to infra.- EPC

Gems and Jewellery

Steel

Paper

Hosp. & Med. Serv.

Other Industry

1818

Diversified Corporate Loan Book

3.73%

2.90%

2.43%

2.06%

1.81%

1.75%

1.55%

1.54%

1.43%

1.39%

27.57%

1919

Well Rated Corporate Portfolio

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

22%

24%

26%

28%

30%

32%

34%

36%

38%

IB1 (AAA)

IB2+ (AA+)

IB2 (AA)

IB2-(AA-)

IB3+ (A+)

IB3 (A)

IB3-(A-)

IB4+ (BBB+)

IB4 (BBB)

IB4-(BBB-)

IB5+ (BB+)

IB5 (BB)

IB5-(BB-)

IB6 (B)

IB7 (C )

IB8 (C )

NPA (D)

Unsecured NFB %

Secured NFB %

Unsecured FB %

Secured FB %

PERCENT

OF

RA

TED

P

ORTFO

LIO

Investment Grade Sub Investment Grade

Building CASA traction

Expanding branch network

Some leverage from SA rate advantage

Focus on target market segments

Government business

Capital market flows

Key Non Resident markets

Self employed and Emerging Corporate businesses

Differentiated Service Propositions

20

Improving CASA profile

9,946 10,62710,757 11,563 12,557 13,365

28.2% 27.7%26.5% 27.3% 27.9% 28.0%

10%

16%

21%

27%

33%

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

Q1FY12 Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

CASA (Rs.crs) % of Total Deposits

CASA Uptick

Savings Account (SA)

3,2293,294

3,9774,694

5,1395,312

9.2%8.6%

9.8%

11.1%11.4% 11.1%

0%

2%

4%

6%

8%

10%

12%

1

1,001

2,001

3,001

4,001

5,001

6,001

Q1FY12 Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

SA (Rs.crs) % of Total Deposits

Current Account (CA)

6,7177,333 6,780 6,869 7,418

8,053

19.1% 19.1%

16.7% 16.2%16.5% 16.9%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

Q1FY12 Q2FY12 Q3FY12 Q4FY12 Q1FY13 Q2FY13

CA (Rs.crs) % of Total Deposits

21

Other Income

(Rs crs)

Q2FY13 Q2FY12 Y-o-Y (%) Q1FY13 Q-o-Q(%)

Core Fee 296.10 211.87 40% 269.03 10%

Securities/MM/FX Trading 21.75 23.89 (9%) 49.65 (57%)

Others 2.64 3.45 (24%) 0.10 -

Total 320.49 239.21 34% 318.78 1%

22

Diverse Revenues from Core Fee Income

(Rs crs)

Growth momentum continues on regular fee flows

Q2FY13 Q2FY12 Y-o-Y(%) Q1FY13 Q-o-Q(%)

Trade & Remittances 40.28 28.55 41% 37.28 8%

Foreign Exchange Income 65.84 52.30 26% 63.38 4%

Distribution Fees (Insurance,

MF,Credit Card )67.40 57.08 18% 56.44 19%

General Banking Fees 33.11 26.85 23% 29.03 14%

Loan Processing fees 56.64 39.13 45% 51.72 10%

Investment Banking 32.83 7.96 313% 31.18 5%

Total Core Fee Income 296.10 211.87 40% 269.03 10%

23

Yield / Cost Movement

Q2FY13 Q1FY13

Outstanding

(Rs crs)

Yield

(%)

Outstanding

(Rs crs)

Yield

(%)

Corporate Bank 18,993 11.84% 18,484 11.78%

Consumer Finance 20,434 16.11% 18,761 16.34%

Total 39,427 13.94% 37,245 13.95%

Segment-wise Yield

•Yield on Assets/Cost of funds are based

on Total Assets/Liabilities

10.80% 10.84%

13.94% 13.95%

8.68% 8.86%

7.55% 7.62%

Q2FY13 Q1FY13

Yield on Assets

Yield on Advances

Cost of Deposits

Cost of Funds

24

Credit costs

FY09 FY10 FY11 FY12 Q1FY13 Q2FY13 H1FY13

Corporate Bank 78.08 85.86 81.99 61.11 21.41 16.22 37.63

Consumer Finance 82.70 75.77 78.34 81.46 23.85 25.87 49.72

Total Credit Costs 160.78 161.63 160.33 142.57 45.26 42.09 87.35

Credit Costs

(Basis Points on Advances)102 79 61 41 12 11 22

PCR 30% 60% 73% 73% 73% 72% 72%

49% 53% 51%43% 47%

39% 43%

51% 47% 49%57% 53%

61% 57%

FY09 FY10 FY11 FY12 Q1FY13 Q2FY13 H1FY13

Corporate Loan Book Consumer Finance Loan Book

(Rs crs)

25

Loan Portfolio - Movement in NPA and Restructured Advances

Q2FY13 Q1FY13

Corporate Consumer Total Corporate Consumer Total

Opening Balance 153 212 365 110 237 347

Additions 42 71* 113 51 58** 109

Deductions 9 59* 68 8 83** 91

Gross NPA 186 224 410 153 212 365

Net NPA 51 63 114 36 64 100

% of Gross NPA 1.03% 0.97%

% of Net NPA 0.29% 0.27%

Provision Coverage Ratio

(PCR) 72.09% 72.64%

Restructured Advances 0.19% 0.24%

(Rs crs)

* includes sale to ARC Rs.15 crs

** includes sale to ARC Rs. 21 crs

NPA Composition – Consumer Finance - Vehicles

26

(Rs crs)

Q1-FY13Com.

Vehicle Utility

Const.

Equip. Small CV TW Cars

Gross NPA 63 13 23 16 56 12

Net NPA 18 2 7 9 23 3

Gross NPA % 0.71% 0.92% 0.99% 0.81% 3.47% 0.76%

Net NPA % 0.20% 0.15% 0.31% 0.45% 1.44% 0.19%

Q2-FY13Com.

Vehicle Utility

Const.

Equip. Small CV TW Cars

Gross NPA 72 14 21 19 57 13

Net NPA 17 2 2 12 24 3

Gross NPA % 0.75% 0.86% 0.84% 0.90% 3.36% 0.71%

Net NPA % 0.17% 0.14% 0.09% 0.56% 1.43% 0.19%

27

CRAR - Basel II

30 September-12 30 September-11

Risk Weighted Assets

- Credit Risk 40,407 29,828

- Market Risk 1,035 659

- Operational Risk 3,443 2,408

- Total RWA 44,885 32,896

Tier I Capital Funds 4,457 3,761

Tier II Capital Funds 822 949

Total Capital Funds 5,279 4,710

CRAR 11.76% 14.32%

Tier I 9.93% 11.43%

Tier II 1.83% 2.89%

CRAR (with profit) 12.85% 15.45%

Tier I 11.02% 12.56%

Tier II 1.83% 2.89%

(Rs crs)

28

Distribution Expansion to Drive Growth

As at, end FY10 FY11 FY12Sept 30,

2012

Branch Network 210 300 400* 441*

ATMs 497 594 692 796

Strengthening Distribution Infrastructure

Branch/Representative Office

Strategic Alliance

*includes 19 specialized branches

29

Shareholding Pattern

As at September 30, 2012

Promoters19.4%

FIIs34.2%GDR issue

13.8%

NRIs/ Director/ Others1.3%

Private Corporates13.7%

Individuals8.8%

MFs / Banks/ Insurance Co

8.8%

ACCOLADES

30

IBA Banking Technology Awards

2nd Runners-Up- Best Online Bank- Best use of Business Intelligence- Best use of Mobility technology in Banking

1st Runners- Up- Best Risk Management & IT Security- Best Use of Technology in training & e Learning

-The best bank award among small banks for ‘IT for Operational Effectiveness

Institute for Development and Research in Banking Technology (IDRBT).

ACCOLADES

31

Sunday Standard Finwiz 2012 - Best Bankers’ Awards

Best Private Sector Banker(Category- Medium) Romesh Sobti , MD & CEO, IndusInd Bank Ltd.

Best Indian Banker(Category- Medium) Romesh Sobti , MD & CEO, IndusInd Bank Ltd.

32

32

32

CIO Magazine - Top Green IT Enterprise Award 2012

Top 100 CISO (Chief Information Security Officer) Awards 2012

Panasonic Green Globe foundation Award 2012 in the “Business Enterprise Services”

(UNEP/TERI/KPMG)

NASSCOM IT User Award 2012 for “Environmental Sustainability” (Frost & Sullivan)

The CII Environmental Best Practice Award 2012 for the “Most Innovative Project

ACCOLADES

Thank you