FY 2015-16

First Half Results

Earnings Presentation

1

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.

2

Introduction

Performance Overview

Business Overview

3

Overview

Snapshot (As on September 30, 2015)

Total Assets `4,72,725 crores

Net Advances `2,98,066 crores

Total Deposits `3,24,101 crores

Net Profit (Q2FY16) `1,916 crores

Net Profit (H1FY16) `3,894 crores

Shareholders’ Funds `48,892 crores

Diluted EPS (annualised) `32.54

ROA (H1FY16) 1.71%

ROE (H1FY16) 17.37%

Net NPA Ratio 0.48%

Basel III Tier I CAR2 12.21%

Basel III Total CAR2 15.42%

Saving Bank Accounts (No.) 159 lac

Branches3 2,743

International Presence4 8

ATMs 12,352

Banking

Operations

Corporate

Credit

SME1

Retail

Banking

Transaction

Banking

Treasury

1 Small and Medium Enterprises

2 Includes profits for the half year3 Include extension counters4 Includes overseas subsidiary in UK

4

Shareholding Pattern (As on September 30, 2015)

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)

&1 GDR = 5 shares

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

&

SUUTI11.56%

Life Insurance Corporation & its

group entities14.14%

General Insurance Corp & others

3.84%

Foreign Institutional investors42.13%

Indian Institutions9.16%

GDR3.87%

Others15.30%

5

High Shareholder Returns

A strong franchise demonstrating consistent value creation over time

141.50

162.69

188.47

205.61

BVSBook Value Per Share (`)

20.51

18.23 18.57

17.37

Return on Equity (%)Return on Equity (%)

FY13 FY14 FY15 H1FY16

1.701.78

1.83

1.71

Return on Assets (%)Return on Assets (%)

6

Introduction

Performance Overview

Business Overview

7

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

8

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

9

15% YOY

Growing Net Interest Income` crores

19% YOY

Trend in NIIs (` crores)

FY12 8,018

FY13 9,666

FY14 11,952

FY15 14,224

CAGR 21%

3,525

4,062

1Q2FY15 Q2FY16

6,835

8,118

1H1FY15 H1FY16

10

14% YOY

Diversified Fee Income Profile` crores

13% YOY

Q2FY16 H1FY16

Corporate Credit26%

Treasury & DCM10%

SME5%Transaction

Banking19%

Retail Business

40%

Corporate Credit25%

Treasury & DCM12%

SME5%Transaction

Banking19%

Retail Business

39%

1,591

1,813

1Q2FY15 Q2FY16

2,969

3,363

1H1FY15 H1FY16

11 19% YOY

Sustained Profitability Growth: Robust Operating Revenue

21% YOY 15% YOY 19% YOY 26% YOY 17% YOY

` crores

3,277

5,496

9,913

3,894

6,906

11,644

Net Profit Core OperatingProfit

Core OperatingRevenue

H1FY15 H1FY16

1,611

2,861

5,171

1,916

3,460

5,936

Net Profit Core OperatingProfit

Core OperatingRevenue

Q2FY15 Q2FY16

12

Consistent Net Profit Growth

Quarterly Net Profits` crores

CASA and Retail Term Deposits(` crores)

Stable CASA Growth Underpins Low-Cost Deposit Franchise

13

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

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

Growth (%)

As on September 30,

2015End Day

Daily

Average for

the half

year

Savings Bank 12 13

CASA 13 13

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

79,875 79,953 88,292

84,776 89,717

97,307 101,906 106,581

110,054 115,194

223,674 227,492

250,981 241,668

258,602

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

CA Deposits SB Deposits Retail TDs

14

CASA Deposits(` crores)

CASA Ratio

Cost of Funds Net Interest Margin

Strong CASA Franchise Supports Margin Stability

3.97% 3.93% 3.81% 3.81% 3.85%

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

6.19% 6.17% 6.26% 6.12% 5.99%

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

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

79,875 79,953 88,292

84,776 89,717

126,367 125,586 144,400

131,614 143,408

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

CA Deposits SB Deposits

45%43%

45%43%

44%

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

15

Stable Asset QualityAsset QualityLoan Mix

(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

Capital Adequacy: Well Positioned for Growth

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

16

12.57% 12.44% 12.07% 12.15% 12.21%

3.33% 3.20%3.02% 2.90% 3.21%

15.90% 15.64%15.09% 15.05%

15.42%

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

Tier 1 CAR Tier 2 CAR Total CAR

17

Introduction

Performance Overview

Business Overview

18

Customer

Touch Points

Call

Centre

ATMs

Mobile BankingPoint of

Sale

Internet Banking

Branches

Traditional Channels Electronic Channels

Well distributed, countrywide network of Branches & ATMs

Expanding footprint across centres

One of the largest ATM networks in the industry

Mar’13 Mar’14 Mar’15 Sep’15

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

Domestic Branch network1

1,947 2,402 2,589 2,743

Multiple channels drive business growth

Extensive use of technology to provide services

19

Retail Liabilities Exhibit Consistent GrowthSavings Bank Deposits

(` crores)

RTD as % of Term DepositsRetail Term Deposits (RTD)(` crores)

* Retail Deposits include Savings Bank and Retail Term Deposits

Retail Deposits* (% of Total Deposits)

12% YOY

18% YOY

79,875

89,717

1Sep '14 Sep '15

97,307

115,194

1Sep '14 Sep '15

62 63

1Sep '14 Sep '15

62 64

1Sep '14 Sep '15

20

Sustained Traction in Retail Assets

Maintained focus on secured

lending with greater emphasis on

mining existing liability customers

Integrated strategy for tapping into

consumer lending opportunity in

rural markets

Retail Advances constitute 40% of

Bank’s Net Advances in September

2015

Secured Loans make up 86% of

Retail Loans

Housing Loans account for 48% of

Retail Loans

Composition of Retail AdvancesKey Highlights

Portfolio Size: `1,19,448 crores

27% YOY

Housing Loans48%

Retail agricultural

loans15%

Auto Loans8%

Personal Loans & Credit Cards

10%

Loan against Property

8%

Non-schematic loans & others

11%

21

Growth in Retail Fees

Focus on cross-selling to existing

customers is the key driver for growth

Third-party products sold include mutual

funds, insurance, on-line broking, portfolio

management services (non-discretionary)

and gold coins

Healthy retail asset growth provides

momentum to asset linked fees

(` crores)Key Highlights

19% YOY

18% YOY

604

718

1Q2FY15 Q2FY16

1,121

1,326

1H1FY15 H1FY16

22

Retail Payments Franchise

Key Highlights

One of the largest issuers of debit cards

Over 19 lac credit cards in circulation

Credit card acquisition focused on large retail

depositor base

Multi Currency Forex Cards in 15 currencies –

USD, Euro, GBP, AUD, CAD, SGD, SEK, CHF,

JPY, AED, SAR, THB, NZD, HKD & ZAR; INR

(for foreign nationals and NRIs)

Prominent player in merchant acquiring

business

Number of Cards(in lacs)

Card Spends

(` crores)

33% YOY

130

15

141

20

Debit Card Credit Card

Sep '14 Sep '15

5,738

7,643

1Q2FY15 Q2FY16

Digital Banking

YOY growth

Note: Based on number of all financial transactions performed by

individual customers

Channel Mix – Q2FY16

Branch Analytics

Sales force tracker

Tablet Applications

Project Pratham

E Sales on Insurance

EmployeesCustomers

ProcessesBranches

Self Service Kiosks

Express Branches

Cash Deposit Machines

Cash Deposit Kiosks,

Recyclers

Axis Mobile 2.0

Ping Pay

Internet Banking

Social

Digital Ecosystem

Digital

47%

ATM

42%

Branch

11%

21%

-5% -6%

6%

Digital ATM Branch Total

Digital

ATM

Total

Branch

Mobile Banking Solutions

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

2.3 Mnusers

414%growth in spends

`21,629 Cr overall spends

For 6 month period ended September 30, 2015 YOY growth as on September 30, 2015

Axis Mobile App

Lime… The first integrated mobile money platform

Seamless shopping experience

Simplified payments & transfers

SHOP

PAY

Completely digitised bankBANK

Multi-purpose walletWALLET

AND MUCH MORE…

Ping Pay – Multi-social payment app

25

Corporate Banking Franchise

End-to-End Player

Transaction

BankingCredit

Investment

BankingSyndication Treasury

Trustee

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

Presence across the Value Chain

26

Transaction Banking

• Strong transaction banking capabilities

• Wide range of products with customised

offerings for various business segments

• Growth aided by “Club 50” and “Channel

One” high-end premium products

• Broad-based sales strategy

• Focused approach for Corporates, Financial

Institutions and Government

15% YOY

Current A/c Deposits (` crores)

FY12 39,754

FY13 48,322

FY14 48,686

FY15 56,108

CAGR 12%

` crores

Key Highlights Current Accounts

46,492

53,691

1Sep '14 Sep '15

27

Transaction Banking

17% YOY

• Collection of Central Govt. taxes on behalf of

CBDT and CBEC, including through e-payments

• Collection of state taxes & collections under E-

governance on behalf of 16 & 5 State Govt. and

Union Territories respectively

• Collections and payments for Central Govt

ministries - Railways, MOF, Urban Development

and Housing & Urban Poverty Alleviation

• NPS Trustee Bank & Collection Bankers for

subscriptions through all Branches

• Appointed as Centralised Clearing House for

Electronic Toll collection based on RFID tags by

a subsidiary of NHAI

• Leverage 50 authorised branches as Hubs and

source PPF accounts from all branches

CMS Accounts

Government Business Cash Management Business

• Leading CMS provider in the country

• Among few banks offering host to host

transaction banking facility

22,749

26,689

1Sep '14 Sep '15

28

Corporate Banking

Advances Fees

25% YOY

(` crores) (` crores)

111,186

138,549

1Sep '14 Sep '15

470 470

1Q2FY15 Q2FY16

806 840

1H1FY15 H1FY16

4% YOY

29

Debt Capital MarketsKey Highlights Placement & Syndication of Debt Issues

Dominant player in placement and

syndication of debt issuances

Ranked No. 1 debt arranger by Prime

Database for quarter ended June 2015

Ranked No. 1 underwriter for ` Denominated

Bonds by Bloomberg for nine months ended

September 2015.

Awarded ‘Best DCM House’ 2015 by Finance

Asia

Awarded ‘Best Debt House in India’ by

Euromoney & Asiamoney for 2015

(` crores)

3% YOY

67,225 64,967

1H1FY15 H1FY16

Overall industry volumes shrunk 7% for half-year ended

September 2015 - Source: Bloomberg

30

SME Banking

Advances

8% YOY

Fees

11% YOY&

(` crores) (` crores)

&SME loans (including non-retail agriculture loans) grew 9% YOY

35,771

39,702

1Sep '14 Sep '15

86 94

1Q2FY15 Q2FY16

136 152

1H1FY15 H1FY16

12% YOY

31

Rating Distribution: Corporate Banking

61% of corporate advances have rating of at least ‘A’ in September 2015

32

Rating Distribution: SME

85% of SME advances have rating of at least ‘SME3’ in September 2015

33

Industry-wise Distribution (Top 10)

Rank Sectors

Outstanding as on September 30, 2015 (%)1

Fund-basedNon-fund

basedTotal

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 segments2 Financing of projects (roads, ports, airports etc)3 Includes Housing Finance Companies and other NBFCs

34

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

35

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

36

Thank You