Mystate Limited · ASX:MYS

Mystate — Shareholder Meeting (October 2012)

20 slides from Mystate's shareholder meeting presentation, Oct 22, 2012

  1. Slide 1: Annual General Meeting 23 October 2012

    For personal use only Annual General Meeting 23 October 2012

  2. Slide 2: MyState Limited Annual General Meeting

    For personal use only MyState Limited Annual General Meeting 23 October 2012 John Gilbert - Managing Director 2

  3. Slide 3: Disclaimer

    Disclaimer For personal use only This presentation contains certain forward-looking statements with respect to the financial condition, results of operations, business plans and objectives of management. All such forward-looking statements involve known and unknown risks, significant uncertainties,

  4. Slide 4: Our Current Group Structure

    Our Current Group Structure For personal use only 4

  5. Slide 5: Result Highlights FY 2012

    Result Highlights FY 2012 For personal use only • Record profit despite challenging market conditions • Regional diversification strategy on track • Acquisition of The Rock completed • Group asset footprint now $5.3bn* • Strong performance from MSF – above system loan & deposit growth • Solid perfor

  6. Slide 6: MYS June 2012 'Snapshot'

    MYS 30 June 2012 ‘Snapshot’ For personal use only June 12 v June 11 Other Key Metrics 30 June 2012 30 June 2011 (movements) Group Capital Adequacy – Tier 1 14.20% 15.38% 1.18 Net Interest Margin - MSF (%) 2.99% 3.23% 0.24 Net Interest Margin - ROK (%) 1.87% 1.60% (1) 0.27 Underlying Cost to Income R

  7. Slide 7: MYS Group ADI assets and liabilities mix

    MYS Group ADI assets and liabilities mix For personal use only Interest Bearing Asset Portfolio Interest Bearing Liability Portfolio At Call Savings Personal Loans Accounts 3% 24% Retail Term Deposits 13% Housing Loans 3% 6% 1% 6% Corporate Term Business Banking loans 30% Deposits 80% 34% Negotiable

  8. Slide 8: Group Underlying Cost-to-Income

    Group Underlying Cost-to-Income For personal use only MYS cost to income ratio* 80.00% 70.30% 68.94% 70.34% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% Jun-10 Jun-11 Jun-12 * Includes The Rock for 7 months to 30 June 2012. 8

  9. Slide 9: MYS Cost Review Project

    MYS Cost Review Project For personal use only • Cost to income ratio flat, mainly due to net interest income pressures • MYS response to this “flat” outcome in YEJ 12 – external benchmarking review undertaken May/June 2012 • Implementation of initiatives underway, full year annualised operational co

  10. Slide 10: MSF Home Lending as at June 2012

    MSF Home Lending as at 30 June 2012 For personal use only Lending - Balance Growth 10.91% 10.04% 5.53% 5.03% 6 Months 12 Months MSF Household System • System data source : RBA, Lending and Credit aggregates, published on 30 June 2012. • Six month growth is to 30 June 2012 annualised. 10

  11. Slide 11: MSF Household Deposits

    MSF Household Deposits For personal use only MSF $(m) 12.43% 11.85% 895 8.99% 761 7.51% 572 604 6 Months 12 Months MSF Household System Jun-11 Jun-12 Transaction Deposits Term Deposits • System data source: APRA - Licensed bank deposit data published on 30 June 2012; • Six month growth is to 30 June

  12. Slide 12: MSF Customer Satisfaction

    MSF Customer Satisfaction For personal use only • MSF has the most satisfied customers of any FI operating in Tasmania. • 96% of our customers are either satisfied, very satisfied, or extremely satisfied with 75% ‘very’ or ‘extremely satisfied’ 12

  13. Slide 13: MSF Brand dynamics

    MSF Brand dynamics For personal use only • MyState second most considered ‘brand’ in the market behind CBA – brand seen as “secure” • consumers are far more likely to place their term deposits with MyState than with CBA (42% vs 27%). 13

  14. Slide 14: The Rock acquisition

    The Rock acquisition For personal use only • Acquisition completed 1 December 2011 • Acquisition costs of $2.1 million after tax • Management restructure and new CEO appointed • Cost synergy benefits are flowing as planned • Revenue synergy benefits in FY 2013 • Business model re-configuration under

  15. Slide 15: The Rock Financial Performance

    The Rock Financial Performance For personal use only • 7 months contribution to NPAT $3.2M • Excludes Rock initiated merger costs • Includes contribution from interest management associated with fixed rate book • NIM stabilised and improving after initial pressure from wholesale funding costs (wareh

  16. Slide 16: The Rock Synergy Analysis

    The Rock Synergy Analysis “ The Boards of MyState and The Rock anticipate that the combination of cost and revenue synergies For personal use only will, on an annualised basis, result in potential pre-tax synergies for the Merged Entity of between $7.5 and $8.5 million per annum, within a three year

  17. Slide 17: TPT Wealth Management FUM & FUA

    TPT Wealth Management FUM & FUA For personal use only 2,500 2,000 547 879 567 1,500 ($ Millions) 766 743 737 698 1,000 1,379 1,307 1,211 500 1,006 934 930 931 0 2006 2007 2008 2009 2010 2011 2012 TPT - FUM TPT - FUA 17

  18. Slide 18: MYS Group Strategy

    MYS Group Strategy For personal use only • Strong presence in Tasmania • Banking and Wealth Management • Rural and commercial/SME growth • ADI presence in Queensland – The Rock • Extract ROK synergies • • Successful integration Further consolidation of smaller ADI’s • Rural and commercial/SME commen

  19. Slide 19: MYS Group Outlook

    MYS Group Outlook For personal use only • Market conditions remain challenging  Subdued demand for credit – record consumer savings  Competitive pressures – major banks and regionals  Falling interest rate environment impacts all ADI’s • Maintain discipline in both asset and liability generation

  20. Slide 20: Annual General Meeting October 2012

    For personal use only Annual General Meeting 23 October 2012

MyState — Shareholder Meeting (October 2012) on 6ix