 

Suryoday Small Finance Bank Limited
Annexure 22 - Notes forming part of the Restated Summary Statements
{All amounts are in Indian Rupees in million unless otherwise stated)

7. Asset quality
7.4 Non Performing Assets (NPAs)

‘The following table sets forth, for the periods indicated, the details of movement of gross non-performing assets (NPAs), net NPAs and provisions.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Particulars ‘As at December 31, 2020] As at December 31,2019] As at March 31,2020] Asat Marchi, 2019[ Asat Mareh3i, 2018
[i Net NPAs to Net Advances (a) 0.330%] 5 om ae| 180%
[| Movement of NPAs (Gross)
[Gross NPA'S as on April of panicular period! year 1012.50 wear 9621 S659 B20
Additions (fresh NPAs) during the period! year 050 823.44 1,082.95 300.81 517.95
Su Foal (A) 7013.00 1319.65, 1,539.16 896.50 7030.45
Less =
Upgradation 56.00 2a cor 1s Os
Recoveries (excluding Recoveries made from upgraded accounts) 317 22.42, 4173 a2 36.08
Technical Prudential Write offs 26.38 T6082 319.95 = 2
‘write off other than mentioned above 0.02 158.94 15899) Ta ais
Sub Toral (By 713.87 364.07 526.66 400.29 464.76
[Gross NPAs (AB) 299.13 955.58 012.50 496.21 565.69
[Gi Movement of Net NPAS
(2) Opening balance 203.74 12006 12006 292.27 314i
(©) Additions during the period year 12.79) 34,00) 10.59 80.19
(c) Reductions during the period! year 2.81 2787 256.91 252.40 243.37
(Closing balance 10.14 176.19 203 120.06 292.27
(Gs) Movement of provisions for NPAs (excluding provision on
standard assets)
(@) Opening balance ‘0876 wes 37618 Wa 20108
(©) Provision made during the period! year 13.29 739.44 702.36 250,62 193.72
{(@) Wait off write back of excess provision == 51.06 336.20) 269.75 147.89 121.39
(@) Closing balance 170.99 79.39 808.76 376.15 273A

 

* Include floating provision as at yearend to he extent uilised
'=* Provision made on written off account forthe year have been netted off

‘+ Refer note below for classification of NPA during the period ended December 31, 2020, Adkions during the period is adjusted for provision made against GNPA as at March 31, 2020.

The Honourable Supreme Court of India (Hon'ble SC), in a public iterest ligation (Gajendra Sharma Vs. Union of India & Ans), vide an interim order dated September 03, 2020 (“Interim Order”), has directed banks
that accounts which were not declared NPA tll August 31, 2020 shall not be declared as NPA tll further orders. Pending the finality the Bank has not classified any account which was not NPA as of August 31, 2020
sper the RBIIRAC norms, as NPA after August 31, 2020. Further, in ight of the Interim Order, even accounts that would have otherwise been clasifed as NPA post August 31, 2020 have not been and will not be
Classified as NPA till such time thatthe Honble SC res finally on the matter

   

 

However, ifthe Bank had classified borrower accounts as NPA after August 31, 2020, the Bank's proforma Gross NPA ratio and proforma Net NPA ratio would have been 98.28% at December 31, 2020 (at September
30, 2020: 2.58%) and 5.38% at December 31, 2020 (at September 30, 2020: 0.42%) respectively. Pending disposal ofthe case, the Bank, as a matter of prudence has, in respect ofthese accounts made a contingent
provision, which is inchuded in Provisions and Contingencies"

7.2 Technical or prudential write-offs
Technical or prudential write-offs refer to the amount of non-performing assets which are oustanding inthe books ofthe branches, but have been written-off at the head office level. The financial accounting systems
ofthe Bank are integrated and thore are no write-offs done by the Bank which remain outstanding inthe books ofthe branches.

‘The following table sets forth, for the periods indicated, the details of movement in technical/ prudential write-off.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Particulars ‘As at December 31,2020] As at December 31,2019] AsatMarch 31,2020] As at March 31,2019] Asat March 3i, 2018
[Opening balance ey] 7 7 z
[Addl Technical /Pradental write ofe daring the period! year 26.2] Tan] Tam 7 =
Sub otal (A) 94235] 160.82] 319.93 7 =
Less: Recovers made from previously technical prudential wilten Tr.39 7 36] ql =
off accounts during the period year (B)

[Closing balance as at period! year ead (AB) 330.9 Toa] 31657] 1 5
74 Details of Non Performing Financial Assets Purchased / Sold

 

The Bank has not purchased or sold any non performing financial assets during the year ended December 31, 2020, December 31, 2019, March 31, 2020, March 31, 2019 and March 31, 2018,

7.4 Floating provision

 

 

 

 

 

 

 

 

 

 

 

[Particulars ‘As at December 31, 2020] _Asat December 31,2019] Asat March 31,2020] AsatMarch3i, 2019] _Asat Marchi, 2010
[Opening balance 53218 323.15 15 2.58) 62.58
Provision made during the period! year 555 52.90) 209.03 260.57

Drawdown made during the period! year 2 : : z

[Closing balance 33778 376.05 a2 33.15 e258

 

 

Floating provision has been noted off rom Gross NPA To anive at Nat NPA and has ot been considered as Tier 2 capital Tor all reporting periods following the RBT circular "Prudential norns on eration and
utilisation of floating provisions" dated June 22, 2006,

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