Anz Group Holdings Limited · ASX:ANZ
Anz — FY2024 Earnings Presentation
100 slides from Anz's earnings presentation, Nov 8, 2024
Slide 1: 2024 Full Year Results
2024 Full Year Results Full year ended 30 September 2024 Results Presentation and Investor Discussion Pack 8 November 2024 Approved for distribution by ANZ’s Continuous Disclosure Committee ANZ Group Holdings Limited 9/833 Collins Street Docklands Victoria 3008 Australia ABN 16 659 510 791
Slide 2: Important information
Important information Forward-looking statements The material in this presentation contains general background information about the Group’s activities current as at 7 November 2024. It is information given in summary form and does not purport to be complete. It is not intended to be and should not
Slide 3: Contents
Contents 1 CEO presentation 4 Treasury 2 CFO presentation 5 Risk management & Housing Corporate profile, Group & ESG disclosures & 3 divisional performance 6 shareholder information 3
Slide 4: 2024 Full Year Results - CEO
2024 Full Year Results Shayne Elliott Chief Executive Officer
Slide 5: A pivotal year for ANZ
A pivotal year for ANZ Suncorp Bank acquisition - delivering scale in Aus. Retail & Commercial1 Customers, m Customer deposits, $b Net loans and adv, $b Completed the purchase of Suncorp Bank +17% +19% +18% 8.2 348 468 7.0 293 398 Completed the sale of AmBank shares ANZ R&C ANZ R&C & ANZ R&C ANZ R&C
Slide 6: Dual Platform Future – resilient, low cost, agile
Dual Platform Future – resilient, low cost, agile ANZ Plus ANZ Transactive Global Contemporary digital platform with features designed to Secure, configurable platform offering seamless access to core banking services help customers improve their financial wellbeing such as Cash Mgt, FX, Trade Finan
Slide 7: Financial performance
Financial performance Cash Profit, $m Earnings per share, cents Dividend per share, cents +12% +14 cents +24 cents 7,413 247 162 166 6,921 229 231 6,515 217 142 146 6,198 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22 FY232 FY24 (ex acq. (ex acq. accounting)1 accounting)1 1. Suncorp Bank acquisit
Slide 8: Suncorp Bank - strong growth since 2022 announcement
Suncorp Bank - strong growth since 2022 announcement1 Customer numbers, m Customer deposits, $b Housing lending, $b Business lending, $b Gross impaired assets % of gross credit exposures +16% +5% +14% 1.26 58 55 50 1.20 48 +8% -61% 13 0.18% 12 0.07% Jun 22 Sep 24 Jun 22 Sep 24 Jun 22 Sep 24 Jun 22 S
Slide 9: Our strategy
“Our strategy is to In particular, we want to help customers improve the financial Save for, buy and own a liveable home wellbeing and sustainability of customers Start or buy and sustainably through excellent grow their business services, tools and Move capital and goods around the region and susta
Slide 10: The bank we're building: ANZ Plus
The bank we’re building: ANZ Plus ANZ Plus - rapidly launching new features and propositions Foundation Build Rapid Expansion Future Ready Avg production releases per month1 Increased investment on engaging propositions and Engaging financial wellbeing features customers 799 at scale ANZ Plus 323 Fl
Slide 11: Growing ANZ Plus customers, deepening engagement
Growing ANZ Plus customers, deepening engagement More attractive More engaging (Greater propensity to join) (Higher customer lifetime value) Customers engaged with a FWB feature2 Main bank customer3 848k +89% 660k $16b 399k 58% 58% 58% 462k $13b 308k ~50% new to bank1 211k $9b Sep 23 Mar 24 Sep 24 S
Slide 12: ANZ Plus – Delivering shareholder value
ANZ Plus – Delivering shareholder value More efficient More secure (Faster to deploy, lower cost to onboard, serve & engage) (More resilient systems & services) Cost to acquire1 Cost to serve1 PayID registrations -40% -45% 137k -20% -35% 83k 57k ANZ ANZ Plus ANZ Plus ANZ ANZ Plus ANZ Plus Sep 23 Mar
Slide 13: ANZ My Accounts
ANZ My Accounts Seeing other banks? View your accounts in the ANZ Plus app. My Accounts lets you add and view your eligible accounts from other banks in the ANZ Plus app.1 1. Only eligible accounts shown. Amounts shown may not reflect your personal situation or money available to spend. See ANZ Plus
Slide 14: The bank we're building: ANZ Transactive Global
The bank we’re building: ANZ Transactive Global Institutional customer deposits, $b Payment & Cash Management revenue, $m 3% CAGR 28% CAGR 264 1,817 CAGR 243 CAGR Leadership in Payments, underpinned 468 +36% by sustained investment in ANZ 110 flat Transactive Global 110 Best Bank for Payments Global
Slide 15: Payments offering has strengthened
Payments offering has strengthened, underpinned by Transactive Institutional platform performance Payments1, m Direct integration payments1,2, m Real time payments (NPP Agency)1,2, m Client Monies, Accounts3, k +16% CAGR +20% CAGR +35% CAGR +17% CAGR 360 154 27 432 229 268 89 11 2H21 2H24 2H21 2H24
Slide 16: FY24 priorities
FY24 priorities Invest to build and sustain Continue to run the Complete the acquisition contemporary digital Group prudently of Suncorp Bank capabilities Grow ANZ Plus Further improve Invest more in customers, deepen productivity Commercial strategy engagement 16
Slide 17: FY25 priorities
FY25 priorities Maintain a purpose-led Deliver strong and Drive value culture, focus on non- sustainable financial from Suncorp Bank financial risk outcomes Remain focused on Improve platform Make ANZ Plus productivity excellence more successful 17
Slide 18: 2024 Full Year Results - CFO
2024 Full Year Results Farhan Faruqui Chief Financial Officer
Slide 19: Overview
Overview Revenue, $m Profit before provisions, $m Cash profit, $m +19% +20% +12% 20,905 20,809 10,766 7,413 10,104 6,921 18,547 6,515 17,447 8,968 6,198 8,396 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 (ex acq. (ex acq. accounting)1 accounting)2 1. Suncorp Bank acquisition accountin
Slide 20: Suncorp Bank acquisition
Suncorp Bank acquisition FY24 impact on ANZ Group Financials Acquisition completed 31 July 2024 FY24, $m ANZ excluding Suncorp Bank ANZ total Suncorp Bank ANZ total Suncorp Bank (2 months earnings) (ex acq. accounting) acq. accounting1 Group Total income 20,552 257 20,809 - 20,809 Operating expenses
Slide 21: ANZ Group overview
ANZ Group overview ANZ Group Holdings Banking Markets Group Centre Banking (~90% of Group revenue) % of Group ~90% ~10% Not material • Managed to optimise NIM and ROE revenue • Lending, trade, deposits, payments services % of Group ~80% ~10% ~10% expenses % of Group ~70% ~10% ~20% Markets (~10% of G
Slide 22: Financial performance
Financial performance excluding Suncorp Bank FY24 $m Banking1 Markets Group Centre Total Revenue 17,854 2,1842 514 20,552 Profit / (loss) before provisions 9,616 1,010 (627) 9,999 Cash Profit / (loss) after tax 6,686 717 (556) 6,847 Avg balance sheet, $b Interest earning assets 625 336 50 1,011 Cust
Slide 23: Banking performance and metrics
Banking1 performance and metrics excluding Suncorp Bank Revenue, $m Profit before Cash profit, $m Avg. Interest Earning Assets, $b Risk adjusted margins2, % Provisions, $m 1% 607 625 630 5.15 5.17 577 5.10 8,902 8,952 4.44 107 107 0% 1,780 1,762 4,810 4,806 37 39 -1% FY22 FY23 FY24 2H24 FY22 FY23 FY
Slide 24: Net interest margin (NIM)
Net interest margin (NIM) Banking1 net interest income & NIM Group NIM, bps Group ex Group ex 265 Markets Markets 238 244 248 2.33% 2.38% 1 2 158 158 16,061 156 4 15,525 -1 14,053 -1 13,218 -2 -1 +17% FY21 FY22 FY23 FY24 1H24 Assets Deposits Wholesale Assets & Capital & 2H24 ex Impact of Impact of 2
Slide 25: Banking deposit composition and PCM operational efficiency
Banking1 deposit composition and PCM operational efficiency excluding Suncorp Bank Banking customer deposits, $b Payments and Cash Management (PCM) +3% Customer deposits, $b Operational/at-call Digital payments 552 deposits, $b 535 543 9% +51% +129% 8% 9% 153 153 154 701 653 133 106 110 608 29% 29%
Slide 26: Markets income – Customer franchise
Markets income – Customer franchise1 Markets income composition – Customer Franchise, $m Customer franchise income driven by higher customer flow Second Half Performance Indexed data, FY21 = 100 12% CAGR 670 681 FX turnover (short term) Reverse repo volume (Rates) 575 300 300 479 76 120 53 35 45 197
Slide 27: Group operating expenses
Group operating expenses excluding Suncorp Bank $m Productivity outcomes, $m Employees (FTE)1 +3% Cumulative savings 291 -2% 1,800 414 106 10,553 40,342 40,262 10,447 39,572 1,500 -397 10,139 incl. 1,200 incl. Cloud Highest restructuring and ANZ annual and Suncorp 900 Plus dual productivity Bank run
Slide 28: Investment spend
Investment spend excluding Suncorp Bank Total spend, $m 2,024 7% FY23 FY24 Investment spend expensed, % 83% 81% 30% Investment spend expensed, $m 1,240 1,243 Capitalised Software balance, $m 919 956 1,529 63% Amortisation expense, $m 320 284 Avg amortisation period (years) 2.8 3.4 FY24 Investment sp
Slide 29: Portfolio quality
Portfolio quality excluding Suncorp Bank Individual Provision loss rate1, bps Risk-intensity (AIRB Corporate, Bank, FI, Retail ex Mortgages)1,2 49% 51% 47% 0.20 41% 0.15 ANZ Peer 2 Peer 3 Peer 1 Consumer portfolio 90+ Days past due3 % of GLAs 0.10 1.2 0.8 0.05 0.4 0.00 0.0 FY20 FY21 FY22 FY23 FY24 S
Slide 30: Portfolio quality
Portfolio quality excluding Suncorp Bank Collective Provision (CP) balance and CP/CRWA coverage, bps Performing loans coverage (Stage 1 & 2 CP/exposures)1 1.39% 0.42% 0.37% 0.41% 0.33% 1.22% 1.21% 5,008 1.16% 1.07% 4,195 4,032 3,999 3,853 Peer 3 ANZ Peer 1 Peer 2 Non-performing loans (Stage 3 CP & I
Slide 31: Capital
Capital ANZBGL - APRA Level 2 Common Equity Tier 1 (CET1) ratio – 2H24 Movement, % Level 1 Level 1 Level 1 13.3% 12.6% 12.7% 0.74 0.12 0.05 13.50 -0.08 -0.58 12.20 0.04 12.24 -1.09 -0.46 Mar 24 Cash Profit Underlying Net dividend Capital Sale of Suncorp Bank Share Buyback Sep 24 Surplus NOHC Sep 24
Slide 32: Continued focus on capital efficiency
Continued focus on capital efficiency FY24 capital efficiency, $b 9.2 8.5 Completed the sale of AmBank 0.9 Buyback • Divested ownership in AmBank 2.0 • $2b announced buy back 2.2 Model updates (including floor) Growth & other usage 1.2 • Australia & NZ mortgages • CRWA & Non CRWA movement • NZ Agri
Slide 33: Suncorp Bank acquisition
Suncorp Bank acquisition Customer deposits, $b Deposit revenue Potential FY25 synergies by category, $ +14% 55 >2x Projects Enablement 48 16 11 16 18 Other Technology 21 21 Core operations Jun 22 Sep 24 FY221 FY24 Transact Savings Term Deposits 1. Based on Suncorp Bank FY22 reporting period ended 30
Slide 34: Summary
Summary Banking1 revenue, $m Markets customer flow Cost and productivity outcomes Credit quality Indexed data, FY21 = 100 Cumulative productivity savings, $b Individual Provision loss rate2, bps +1% FX turnover Reverse repo (short term) 300 volume (Rates) 8,902 8,952 250 0.20 107 107 197 1.8 162 200
Slide 35: Investor Discussion Pack: Corporate profile, Group & divisional performance
2024 Full Year Results Investor Discussion Pack Corporate profile, Group & divisional performance
Slide 36: Our history and corporate profile
Our history and corporate profile ANZ traces its origins to the Bank of Cornwall, which opened in Launceston, Australia in 1828 and commenced operations in New Zealand in 1840. ANZ is one of the top ten largest listed companies in Australia by market capitalisation and one of four major banks in Aus
Slide 37: Our purpose and strategy
Our purpose and strategy We bring our purpose to life through our Our purpose is to shape a world where people and communities thrive. It strategy: to improve the financial wellbeing and sustainability of customers explains ‘why’ we exist and drives everything we do at ANZ, including the through exc
Slide 38: Supporting our stakeholders
Supporting our stakeholders Our customers & debt (fixed income) investors 10% Paying interest to our customers and debt investors, enabling us to provide lending and related services to our customers 7% Our people Employing >42,000 staff, paying salaries and investing in their skills 68% Distributio
Slide 39: Delivering shareholder returns
Delivering shareholder returns Dividend per share (DPS), cents Earnings per share (EPS), cents 175 247 166 229 218 224 142 146 94 120 83 119 106 113 72 74 81 83 128 118 70 72 105 110 FY21 FY22 FY231 FY24 FY21 FY22 FY23 FY24 Interim DPS Final DPS Interim EPS Final EPS 1. The final dividend comprised
Slide 40: Total operating income & expenses
Total operating income & expenses including Suncorp Bank Total income, $b Total expenses, $b FTE by geography, ‘000 20.9 20.8 10.7 5.5 0.2 0.3 10.1 0.2 5.2 0.1 0.1 0.4 18.5 1.9 10.3 10.5 9.6 0.2 0.1 42.4 2.3 1.0 39.8 40.3 40.3 0.7 0.2 0.1 0.2 0.3 0.0 0.1 1.7 1.9 39.4 0.9 1.9 1.9 1.0 0.9 1.3 1.6 1.9
Slide 41: Total balance sheet composition
Total balance sheet composition including Suncorp Bank Exposure at default1, EOP $b Risk weighted assets, EOP $b Net loans & advances, EOP $b Customer deposits, EOP $b 1,260 455 803 715 433 447 1,152 1,163 7% 2% 620 647 8% 3% 7% 707 9% 6% 3% 13% 672 0% 1% 1% 0% 7% 5% 0% 11% 16% 0% 15% 15% 14% 12% 12
Slide 42: Suncorp Bank - strong growth since 2022 announcement
Suncorp Bank - strong growth since 2022 announcement Total customer deposits, $b Home Lending, $b Business lending, $b Gross impaired assets as a % of gross credit exposures +14% +16% +8% -61% 55 58 13 0.18% 12 48 50 3 16 18 0.07% 3 11 14 Jun 22 Sep 24 5 16 18 5 90+ days past due (DPD) 36 40 0.75% 0
Slide 43: Full Year 2024 – Overview of financial performance
Full Year 2024 – Overview of financial performance excluding Suncorp Bank Banking1 Markets Group Centre Total FY24, $m vs FY23 FY24, $m vs FY23 FY24, $m vs FY23 FY24, $m vs FY23 Total income 17,854 -3% 2,184 +4% 514 +18% 20,552 -2% Operating expenses 8,238 +4% 1,174 +1% 1,141 +5% 10,553 +4% Profit /
Slide 44: Second Half 2024 – Overview of financial performance
Second Half 2024 – Overview of financial performance excluding Suncorp Bank Banking1 Markets Group Centre Total 2H24, $m vs 1H24 2H24, $m vs 1H24 2H24, $m vs 1H24 2H24, $m vs 1H24 Total income 8,952 +1% 972 -20% 281 +21% 10,205 -1% Operating expenses 4,146 +1% 577 -3% 615 +17% 5,338 +2% Profit / (lo
Slide 45: Full Year 2024 – Banking
Full Year 2024 – Banking1 excluding Suncorp Bank FY24, $m Australia Australia New Zealand (NZD) Institutional Pacific Retail Commercial (Personal and (ex Markets) Business) $ vs FY23 $ vs FY23 $ vs FY23 $ vs FY23 $ vs FY23 Total income 5,887 -8% 3,506 -2% 3,841 0% 4,705 +2% 214 +3% Operating expense
Slide 46: Second Half 2024 – Banking
Second Half 2024 – Banking1 excluding Suncorp Bank 2H24, $m Australia Australia New Zealand (NZD) Institutional Pacific Retail Commercial (Personal and (ex Markets) Business) $ vs 1H24 $ vs 1H24 $ vs 1H24 $ vs 1H24 $ vs 1H24 Total income 2,978 +2% 1,757 0% 1,925 0% 2,348 0% 107 +0% Operating expense
Slide 47: Banking - Net loans and advances
Banking - Net loans and advances excluding Suncorp Bank Australia Retail, $b Australia Commercial1, $b New Zealand, NZDb Institutional, $b +3% +2% +1% +2% 333 64 65 134 210 210 322 62 131 133 208 206 312 6 60 0 0 128 301 6 1 19 20 18 18 6 1 24 24 6 25 25 1 2 2 41 45 45 47 1 34 37 38 32 306 316 327 2
Slide 48: Banking - Customer deposits
Banking - Customer deposits excluding Suncorp Bank Australia Retail, $b Australia Commercial1, $b New Zealand, NZDb Institutional, $b +3% 0% +1% +6% 177 116 116 110 278 172 113 113 106 109 266 264 165 105 1 1 249 1 156 1 47 50 27 30 33 34 45 44 42 46 49 52 128 113 110 98 33 37 37 27 57 57 57 22 43 5
Slide 49: Australia Retail
Australia Retail Sustaining momentum Increasing Digitally active users • ANZ Plus customers increased 84% with over $7bn additional FUM Users, ‘000s • Improved Home Lending capability enabling growth of 1.3x system • Increased personalised messaging supported two-year high in brand consideration 4,2
Slide 50: Australia Retail
Australia Retail Everyday Banking – improved capability driving momentum Attract & seamlessly onboard new customers Engaging customers through personalisation Join ANZ Plus | Join ANZ Plus digitally in ~3mins with Selfie ID. Launched ANZ Circle | rewarding ANZ Visa cardholders with 50%1 of new-to-ba
Slide 51: Australia Retail
Australia Retail Home Loans – ongoing improvement in home buying experience • New tools & training: new CRM for mobile salesforce, launched brokerology training program, new Enhanced experience pricing & serviceability calculators Proposition for customers and brokers • New broker segmentation model
Slide 52: ANZ Plus
ANZ Plus Capability to deliver compelling customer propositions at pace New Digital Banking Platform- leveraging best-in-class global ANZ Plus is now able to rapidly launch new features and propositions partners Foundation Build Rapid Expansion Future Ready Pricing & Significant Majority of the inve
Slide 53: ANZ Plus
ANZ Plus Rapidly launching new features and propositions Leading ecosystem capabilities Fully digital end-to-end Faster change and delivery More attractive, more engaging Lower cost to acquire & serve More efficient, more secure My Accounts | First major bank to Joint Accounts | A fully digital join
Slide 54: Australia Commercial
Australia Commercial Customer contribution Momentum in digital solution • 24% of total group revenue1 GoBiz applications & drawn FUM, indexed data • ~66% of customers have at least one Retail product Sep 22 = 100 • ~71% of Australian based Transactive Global users are Commercial customers 1,100 Draw
Slide 55: Australia Commercial
Australia Commercial Creating a simpler, more secure and profitable Commercial Bank Australia Commercial - changes to simplify the business and bring the best of ANZ to our customers 2015 / 16 2018 2021 2022 2022 / 2023 2024 Sale of Esanda Ceased Consumer Ceased Stand Alone Established Merchants Sal
Slide 56: Australia Commercial
Australia Commercial Customer Proposition, Experience and Quality Simplifying customer experience Raising quality deposits Digital driving efficiency Deepening customer SME Retail applications via streamlined FUM in digitally opened transaction GoBiz cost to originate relationships processes account
Slide 57: New Zealand
New Zealand Market Strength Market Strength • #1 market position in New Zealand, incl. Home Loans, Agri and KiwiSaver Brand Consideration1, % • #1 Brand Consideration1 among banks in NZ 54 54 • Canstar Bank of the Year in Small Business and Business Credit Cards for the 5th consecutive year, and for
Slide 58: New Zealand division
New Zealand division Balance sheet and financial strength Housing1 Business2 Agri ANZ Performance, NZDb ANZ Performance, NZDb ANZ Performance, NZDb 104.6 107.3 109.5 111.1 15.1 15.1 15.0 15.2 7.3 6.9 6.6 6.6 Mar 23 Sep 23 Mar 24 Sep 24 Mar 23 Sep 23 Mar 24 Sep 24 Mar 23 Sep 23 Mar 24 Sep 24 Owner Oc
Slide 59: Institutional
Institutional Return on Equity Leading Institutional Franchise 13% 14% • #1 Institutional and Corporate Bank across Australia, NZ and Asia1 • Deep, long-term relationships with core customers who value our network and capabilities (~60% 10% 9% customers use multiple products) • We operate in 29 mark
Slide 60: Institutional
Institutional Summary Customer franchise revenue1, $m Core lending2,3, $b Risk intensity (ex Markets) 2.27% 2.36% 2.41% 52% 6,055 6,255 1.94% 42% 40% 40% 41% 4,938 4,946 4,390 1.52% 1.48% 1.50% 1.51% 1.51% 3,198 3,387 2,319 276 271 260 260 2,681 2,046 1.32% 235 2,257 2,344 2,627 2,857 2,868 163 159
Slide 61: Institutional - Payments and cash management
Institutional Payments and cash management PCM deposit volumes & margins1 Change vs Balance by rate sensitivity Zero/low-rate deposits Balance, $b pre-pandemic (excluding Term Deposits) (by currency) 2H24 vs 2H19 110 240 0.87% 0.87% 0.90 220 0.83% Margins 200 0.82% 0.85 +4bps Customer rate 180 0.79%
Slide 62: Institutional - Digital platforms
Institutional Digital platforms- scalable operating leverage, capital light Payments1 Direct integration payments1,2 Real time payments1,2 Client monies m m NPP agency, m Platform cash mgt. accounts3, k 0.4% 112 268 343 430 432 8% 23% 16% 360 27 Deposit Balance4, $b 313 333 154 22 133 4.4 229 115 18
Slide 63: Institutional - Financial metrics
Institutional Financial metrics Total Institutional Aus. & PNG New Zealand International $’m 2H24 Vs. Vs. 2H24 Vs. Vs. 2H23 2H24 Vs. Vs. 2H24 Vs. Vs. Actual 1H24 2H23 Actual 1H24 (PcP) Actual 1H24 2H23 Actual 1H24 2H23 (HoH) (PcP) (HoH) (HoH) (PcP) (HoH) (PcP) Income 3,320 -7% 1% 1,631 -2% 1% 475 -5
Slide 64: Investor Discussion Pack: Group Treasury
2024 Full Year Results Investor Discussion Pack Group Treasury
Slide 65: ANZ Group capital
ANZ Group capital ANZ Group capital composition, $b ANZ Bank Group key capital ratios (%) Sep 23 Mar 24 Sep 24 95.8 93.71 Level 2 CET1 capital ratio 13.3 13.5 12.2 90.6 91.9 Level 2 CET1 HoH mvmt +16 bps +16 bps -130 bps Additional Tier 1 capital ratio 1.9 1.9 1.8 Tier 1 capital ratio 15.2 15.4 14.0
Slide 66: Regulatory capital
Regulatory capital ANZ Bank Group capital • Level 2 CET1 ratio of 12.2% (Level 1 (L1) CET1 ratio of 12.6%). This is above APRA’s expectation of an 11% - 11.5% operating range • Underlying RWA growth primarily driven by lending growth in the Australia Retail and Institutional divisions, partially off
Slide 67: Regulatory capital – risk weighted assets
Regulatory capital – risk weighted assets Risk weighted assets – Level 2, $b Total Credit RWA increase +$12.7b 30.6 3.4 5.0 447 6.4 2.7 433 430 -7.3 -2.8 -24.2 Mar 24 CRWA FX Mar 24 Divisional Lending Risk Impacts Other CRWA Suncorp CRWA Suncorp Market Risk & Other (Additional 2H24 impacts FX adjust
Slide 68: Capital ratios on a Basel Harmonised basis
Capital ratios on a Basel Harmonised basis Level 2 capital ratio (APRA vs Basel Harmonised)1, % APRA Level 2 CET1 ratio – 30 September 2024 12.2% Australia APRA requires cohort specific multipliers (i.e. 1.4x for Owner Occupier 30.7 Residential Principal and Interest & 1.7x for all Other mortgage ty
Slide 69: Regulatory capital update: APRA's AT1 discussion paper
Regulatory capital update: APRA’s Additional Tier 1 (AT1) discussion paper Proposed changes to simplify the capital framework Updated minimum APRA capital requirements including buffers • APRA released a discussion paper in September 2024, Total Capital Ratio proposing changes to phase out AT1 18.25
Slide 70: Balance sheet structure
Balance sheet structure1 NSFR movement, % Balance sheet composition, Sep 24 Offshore Short Term W’sale Debt 5% Domestic Short Term 3.1 2.6 Wholesale Debt and 116.3 116.1 Liquid and Other Assets Other Funding5 -3.7 -1.0 -0.6 -0.3 -0.3 35% 19% Sep 23 Deposits Wholesale Loans TFF Securities FX & Suncor
Slide 71: Liquidity coverage ratio summary
Liquidity coverage ratio (LCR) summary1 Offshore short-dated Financial Institution (FI) deposits are Movement in average LCR surplus2, $b LCR composition5, Average FY24 $b typically placed with Central Banks. 274 Whilst this has no effect on FY23 FY24 Other LCR Liquids6 LCR $ surplus, the LCR ratio
Slide 72: Term wholesale funding
Term wholesale funding1 ANZ has access to a diverse range of wholesale funding Term funding profile by product (including Suncorp Bank)1, $b • FY24 term funding issuance of $42b2, with a further $3b issued in FY24 by Issuance 44 45 Maturities4 Suncorp Bank pre-acquisition 36 35 • Expected FY25 term
Slide 73: Suncorp Bank term wholesale funding
Suncorp Bank term wholesale funding Suncorp Bank funding requirements are consistent with prior years Post the Suncorp Bank acquisition, ANZ Group continues to have the lowest term portfolio of peers1 • Post the acquisition in July, Suncorp Bank’s credit ratings were equalised to that of Term Fundin
Slide 74: Tier 2 capital
Tier 2 capital1 ANZ is well placed to meet APRA and RBNZ Tier 2 requirements Tier 2 capital, Notional amount % • APRA Level 2 Total Capital ratio is 20.6%. On a Basel Harmonised basis, total capital ratio is 28.2% USD • Current APRA Level 2 Tier 2 ratio is 6.5% (in line with the January 2026 require
Slide 75: Capital and Replicating Deposits Portfolio
Capital and Replicating Deposits Portfolio1 Includes unhedged component Australia, % Portfolio earnings rate, Average % 5 Australia New Zealand 4 2H21 0.85% 0.99% 3 1H22 0.84% 1.13% 2 2H22 1.32% 1.53% 1 1H23 1.90% 1.93% 0 2H23 2.16% 2.43% Sep Nov Jan Mar May Jul Sep Nov Jan Mar May Jul Sep 22 22 23
Slide 76: Capital & liquidity prudential outlook
Capital & liquidity prudential outlook1 Quarter 4 CY2024 CY2025 CY2026 Implementation Date Consultation following APRA Additional Tier 1 Discussion Paper 2027 (TBC) feedback Loss-Absorbing Capacity (LAC) Transition 2026 Comprehensive review of APS210 (Liquidity) Consultation Implementation (TBC) 202
Slide 77: Investor Discussion Pack: Risk Management & Housing
2024 Full Year Results Investor Discussion Pack Risk Management & Housing Risk Management disclosures for September 2024 period are presented both including and excluding Suncorp Bank unless otherwise stated
Slide 78: De-risked through portfolio reshaping
De-risked through portfolio reshaping Total exposures, EAD $b Regulatory expected loss (REL)4,5 % of EAD defaulted5 REL/IRB EAD, 2H24 Wholesale portfolio, 2H24 894 1,173 1,260 0.41% 0.68% 1% 2% 1% Historical loss rates1, bps 0.35% 0.58% Other 14% 0.28% Sovereigns 21% 21% Sovereign ~0 0.31% Banks & F
Slide 79: Long run provisions & loss rates
Long run provisions & loss rates Total credit impairment charge, $m 1,800 Consumer Individual Provision 1,500 Commercial Individual Provision 1,200 Institutional Individual Provision 900 Collective Provision charge / (release) 600 300 0 -300 -600 -900 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20 2H2
Slide 80: Individual and Collective Credit Impairment charge
Individual and Collective Credit Impairment (provision) charge Individual provision (IP) charge / (release), $m Collective provision (CP) charge, $m 123 107 106 38 1H23 2H23 1H24 2H24 2H241 201 217 223 224 164 Total CP charge 163 -11 32 -14 230 36 22 -30 37 40 40 -116 -163 -156 -158 -267 Volume/Mix
Slide 81: Collective provision (CP) balance
Collective provision (CP) balance Provision balance by stage, Sep 241 $b Portfolio composition and coverage, Sep 241 % 1.97 CP coverage 0.53% 1.18% 0.34% 0.48% 2.0 1.81 $807b $361b $1,260b $886b 1.5 100% 1.0 0.78 0.78 50% 0.5 0.0 0% Stage 1 Stage 2 Stage 3 Stage 3 Gross Loans Credit RWA Exposure at
Slide 82: Expected credit loss – Economic scenarios
Expected credit loss – Economic scenarios and modelled outcomes Economic scenarios Actual Base case 2 Sep 241, $m 30 September 2024 CY2022A CY2023A CY2024F CY2025F CY2026F Weightings to scenarios to determine CP balance Additional overlays Australia 0.7% 46.0% 40.5% 12.8% Scenario & weights GDP chan
Slide 83: Impaired Assets
Impaired Assets Gross impaired assets, $b New impaired assets, $b Gross impaired assets, $b Control list, Indexed data By division By division By size of exposure Sep 20=100 120 3 2.0 3 0.21% 0.21% 0.22% 0.21% 0.17% 1.6 90 2 2 1.63 1.69 1.2 1.63 1.69 1.52 1.52 1.52 1.52 60 0.83 0.86 0.86 1.21 1.21 0
Slide 84: Australia & New Zealand 90+ days past due
Australia1 & New Zealand 90+ days past due (DPD) Consumer portfolio1 90+ DPD as a % of total portfolio balances 1.50 1.25 1.00 0.75 0.50 0.25 0.00 Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep 18 18 19 19 19 19 20 20 20 20 21 21 21 21 22 22 22 22
Slide 85: Risk Weighted Assets and Exposure at Default
Risk Weighted Assets (RWAs) and Exposure at Default Exposure at Default1, $b Total Risk Weighted Assets, $b Credit Risk Weighted Asset drivers3, $b 1,260 436 433 432 447 1,193 1,163 1,151 1,173 413 5 55 38 4 3 50 14.1 2.8 30.6 361.2 47 38 42 42 43 5 48 38 48 38 55 38 42 47 31 349.0 244 44 38 251 249
Slide 86: Total portfolio composition
Total portfolio composition Gross Exposure at Default (EAD) distribution Category % of Group EAD2 % of Impaired Assets Impaired to EAD2 Assets3 Sep 23 Mar 24 Sep 241 Sep 23 Mar 24 Sep 241 Sep 241 4.1% 0.9% Consumer Lending 40.3% 41.4% 43.6% 0.1% 0.2% 0.2% $950m 5.7% 1.3% Finance, Investment & Insura
Slide 87: Commercial Property
Commercial Property Outstandings by region, GLA $b Outstandings by sector, % Commercial property collateral2,3, % 79% of portfolio well secured 7.6% 7.5% 7.4% 7.3% 44% 9% 8% 8% 8% 58.6 53.4 54.8 2.0 34% 50.9 2.0 18% 19% 20% 19% 1.7 9.6 2.3 9.6 10.6 10.9 30% 29% 28% 27% 47.1 12% 41.1 43.3 18% 19% 20%
Slide 88: ANZ Institutional portfolio
ANZ Institutional portfolio Size & tenor by market of EAD1 Industry composition, EAD1 Product composition, EAD1 Market of incorporation, EAD1 By market of incorporation, $b Sep 24 3% 13% 9% 1% 3% 539 3% 5% 4% 34% 3% 3% 13% 7% 2% 38% 44% 7% 2% 9% 50% 9% 23% 18% 17% 30% 270 30% Finance, Investment & I
Slide 89: Institutional Asia portfolio
Institutional Asia portfolio Asia portfolio composition, % of EAD1 Asia industry composition, EAD1 Asia product composition, EAD1 Asia China Asia Asia $125b 4% 5% 3% 8% 10% 3% 15% 4% 4% 8% 2% 34% 13% 11% 12% 69% 67% 13% 54% Investment China 27% grade 96% $19.4b Finance, Investment & Insurance 8% Net
Slide 90: Australia home loans – portfolio overview
Australia home loans – portfolio overview excluding Suncorp Bank Portfolio1 Flow Portfolio1 Sep 22 Sep 23 Sep 24 FY23 FY24 Sep 22 Sep 23 Sep 24 Number of Home Loan accounts 968k 958k 944k 193k2 177k2 Average LVR at Origination9,10 68% 65% 66% Average Dynamic LVR (excl. offset)10,11 49% 49% 48% Total
Slide 91: Australia home loans – portfolio composition
Australia home loans – portfolio composition Home loan balance composition1,2, $b Home loan balance & lending flow 1, $b 324 26 314 52 5 304 3 324 293 3 27 304 283 3 25 3 25 3 -63 4 24 3 23 3 3 3 71 74 68 63 65 Sep-23 New Sales Net OFI Refi. Redraw & Repay Sep-24 excl. Refi-In Interest / Other Home
Slide 92: Australia home loans – portfolio composition & flow
Australia home loans – portfolio composition & flow By purpose, % of total balances By Location, % of total balances Portfolio1,2 Portfolio1 1% 1% 1% 6% 6% 6% 31% 31% 31% 10% 10% 10% 15% 15% 16% 34% 33% 33% 68% 68% 68% VIC/TAS 35% 36% 35% Owner Occupied NSW/ACT Sep 22 Sep 23 Sep 24 Investor Sep 22 S
Slide 93: Australia home loans – portfolio composition & flow
Australia home loans – portfolio composition & flow LVR profile1, % of total balances By channel, % of total balances Dynamic LVR – Portfolio2,3 Portfolio2,6 16% 18% 16% 45% 43% 41% 0% 0% 0% 84% 82% 84% 55% 57% 59% >80% LVR Proprietary Sep 22 Sep 23 Sep 24 80% LVR Sep 22 Sep 23 Sep 24 Broker Origina
Slide 94: Australia home loans – portfolio resilience
Australia home loans- portfolio resilience Home Loans repayment profile1,2 Home Loans on time and <1 month ahead profile 2,3 % of accounts ahead of repayments % composition of accounts 40 36% 36% 38% 20 22% 17% 6% 13% 19% 16% 23% 31% 43% 0 Overdue On Time <1 month 1-3 3-6 6-12 1-2 years >2 years Sep
Slide 95: Australia home loans - portfolio origination and attributes
Australia home loans - portfolio origination and attributes Home loans portfolio, Sep 24 ANZ Interest rate buffer & floor Total Portfolio ($b) With the rising rate environment, 23% of Home loan applications are assessed at the greater of the customers are now on interest rates higher customer intere
Slide 96: Australia home loans – portfolio performance
Australia home loans – portfolio performance Home loans 90+ DPD ( by state) 1,2 Home loans delinquencies1,2,3,4 % of portfolio segment balances % of portfolio segment balances 1.5 3 1.0 2 1 0.5 0 0.0 Sep Mar Sep Mar Sep Mar Sep Mar Sep Mar Sep VIC & TAS NSW & ACT QLD WA SA & NT Portfolio 19 20 20 21
Slide 97: Lenders mortgage insurance
Lenders mortgage insurance excluding Suncorp Bank September full year 2024 results LMI & Reinsurance structure Australian Home Loan portfolio LMI and Reinsurance structure at 30 Sep 24 Gross Written Premium ($m) $89.1m (% New Business FUM Oct 23 to Sep 24) Not LMI Insured 94% Net Claims Paid ($m) $3
Slide 98: New Zealand home loans – portfolio overview
New Zealand home loans – portfolio overview Portfolio Flow Portfolio Flow FY22 FY23 FY24 FY23 FY24 FY22 FY23 FY24 FY23 FY24 Number of Home Loan Accounts 538k 545k 555k 50k 56k % Paying Interest Only 13% 11% 11% 17% 16% Total FUM (NZD) 104b 107b 111b 19b 21b % Paying Principal & Interest 87% 89% 89%
Slide 99: Our ESG approach and related disclosures
Our ESG approach and related disclosures Environmental, Social and Governance (ESG) ESG Shareholder Centre | ANZ At ANZ, our purpose is to shape a world where people and reporting | ANZ communities thrive. Integrating ESG and purpose into our strategy has created an opportunity for us to better serv
Slide 100: Shareholder centre and investor relations contacts
Shareholder centre and investor relations contacts Group Investor Relations Retail investors Debt investors Jill Campbell Cameron Davis Pavita Sivakumar Michelle Weerakoon David Goode Steve Aquilina Group General Manager Executive Manager Senior Manager Manager Head of Associate Director Investor Re