Westpac Banking Corporation · ASX:WBC
Westpac Banking — Investor Presentation (March 2025)
45 slides from Westpac Banking's investor presentation, Mar 28, 2025
Slide 1: Westpac Market Update
WESTPAC MARKET UPDATE 28 MARCH 2025 IMPORTANT: This presentation contains a number of 'forward looking statements' which are subject to assumptions, risks and other important information set Westpac Banking Corporation ABN 33 007 457 141 out in the disclaimer at the back of this presentation.
Slide 2: Anthony Miller, Chief Executive Officer
ANTHONY MILLER CHIEF EXECUTIVE OFFICER
Slide 3: CEO Priorities
CEO PRIORITIES PERFORMANCE CUSTOMER Improve ROTE and cost to Whole of bank to whole of income relative to peers customer approach Improve market position Improve customer experience TRANSFORMATION PEOPLE UNITE Attract, retain and invest Innovate to improve Externally focused, customer outcomes and a
Slide 4: Innovation to Support Service Excellence
INNOVATION TO SUPPORT SERVICE EXCELLENCE DIGITAL BANKER WESTPAC ONE • Supports 20,000 employees • Leading transaction banking capability for Institutional clients • Consistent and better customer experiences across all channels • Enhanced digital experience BIZEDGE • Automating business lending orig
Slide 5: One Best Way – The Best of Westpac Delivered Consistently
UNITE: ONE BEST WAY – THE BEST OF WESTPAC DELIVERED CONSISTENTLY OBJECTIVES 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN NPS #1 EMPLOYEE ENGAGEMENT CLOSE CTI RATIO TOP DECILE GLOBALLY GAP TO PEERS FEWER PRODUCTS SIMPLIFY PROCESSES CONSOLIDATE TECHNOLOGY
Slide 6: Mortgages Simplification
UNITE: MORTGAGES SIMPLIFICATION1 Migrating mortgage customers to a single suite of products, processes and applications FY24 FY25 to FY26 FY27 to FY28 FY28 DISCOVERY SIMPLIFY IMPLEMENT DECOMMISSION Understand change Enhance features Migrate loan data 9 origination apps requirements Migrate offset De
Slide 7: Mortgages Simplification – Expected Outcomes
UNITE: MORTGAGES SIMPLIFICATION – EXPECTED OUTCOMES1 PRODUCTS REDUCED PROCESSES APPLICATIONS CONSOLIDATED 17 TO 92 SIMPLIFIED 26 TO 8 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN • Consistent experience for new • Faster to serve customers • Initiative co
Slide 8: UNITE: Project Update
UNITE: PROJECT UPDATE • Group Executive to lead Transformation, including UNITE UNITE INVESTMENT • Refining and optimising delivery plan • 35-40% of total investment1 from FY25 to FY28 – Deposit processor consolidation – new plan for 9 − $107m invested in 1Q25 initiatives − Expect to invest ~$600m i
Slide 9: 3-in-a-Box Risk Management & Governance
UNITE: RISK MANAGEMENT & GOVERNANCE RISK MANAGEMENT GOVERNANCE • Business Led BOARD – Single executive accountability Active director engagement through Directors oversight – 3-in-a-box operating model working group and regular Board reporting at every • Operating cadence, reporting, monitoring and
Slide 10: Peter Herbert, Chief Transformation Officer
PETER HERBERT CHIEF TRANSFORMATION OFFICER
Slide 11: UNITE: Business Led Tech Enabled
UNITE: BUSINESS LED TECH ENABLED Divisional Group Executives Chief Transformation Officer Technology and Data accountable for customer, responsible for UNITE supporting delivery financial and risk outcomes CHIEF TRANSFORMATION OFFICE CONSUMER BUSINESS & WEALTH WIB Initiatives: 25 Initiatives: 10 Ini
Slide 12: UNITE Activity
UNITE ACTIVITY DISCOVERY SIMPLIFY IMPLEMENT DECOMMISSION • Understand change • Enhance and simplify • Plan implementation • Decommission requirements products/processes duplicate systems • Complete testing • Technology • Upgrade and configure • Reduce products architecture impacts systems • Migrate
Slide 13: UNITE: Initiatives Completed
UNITE: INITIATIVES COMPLETED OUTCOMES COST BENEFITS MIDAS MIGRATION & • Migrated WNZL FM platform to the WBC platform DECOMMISSION • Reduces cost and delivers better customer experience $8m ~$5m p.a. ELECTRONIC IDENTITY • Consolidated 20 Consumer identity verification processes to 1 VERIFICATION • B
Slide 14: UNITE: Initiatives – FY25 Focus
UNITE: INITIATIVES – FY25 FOCUS OUTCOMES COST BENEFITS • Migrates mortgage customers to a single suite of MORTGAGE SIMPLIFICATION1 products, processes and applications $450m ~$120m p.a. C. DIGITAL BANKER2 • Extends Digital Banker capability to all bankers $175m C. BANKER PRODUCTIVITY ONE COLLECTIO
Slide 15: Scott Collary, Chief Information Officer
SCOTT COLLARY CHIEF INFORMATION OFFICER
Slide 16: Building Customer-Centred Technology
BUILDING CUSTOMER-CENTRED TECHNOLOGY PRINCIPLES BUILT TO CHANGE EVERGREEN AUTOMATED DIGITAL TO THE CORE OBJECTIVES EXAMPLES • #1 mobile banking app1 – improving customer experience WORLD CLASS EXPERIENCES • BizEdge2 – to support faster business lending decisions & PLATFORMS • Westpac One – to suppor
Slide 17: Technology Foundations Simplified
TECHNOLOGY FOUNDATIONS SIMPLIFIED 6 TO 4 6 TO 1 ONE 9 TO 1 Desktop Developer Private & Networks Public cloud Platforms platform Engineer $18m p.a. $50m p.a. $7m p.a. productivity cost reduction cost reduction cost reduction boosted by ~25% Greater resilience 10x bandwidth Engineers rank Evergreen de
Slide 18: UNITE: Merge Our Technology
UNITE: MERGE OUR TECHNOLOGY FY24 – FY28 From >180 To <60 IN PROGRESS Online Banker platforms to assist EXPERIENCE customer platforms customers >10 <6 PRODUCTS & SERVICES Product originations Product processors >60 <30 Customer Customer Payment Data PLATFORMS masters onboarding captures platforms >60
Slide 19: Intelligent Banking with AI
INTELLIGENT BANKING WITH AI SCALING AI TO ACCELERATE SPEED TO MARKET EXAMPLES OF AI CAPABILITIES Business user Experiences for with idea and At speed employees and data customers RELATIONSHIP BANKER AI ASSISTANT WESTPAC KNOWLEDGE ‘Bring Your Self-serve Built-in World-class AI ASSISTANT Own’ data pat
Slide 20: Anthony Miller, Chief Executive Officer
ANTHONY MILLER CHIEF EXECUTIVE OFFICER
Slide 21: Measuring Progress
MEASURING PROGRESS METRIC SEP-24 BASELINE SEP-29 TARGET Consumer NPS #3 #1 SERVICE Business NPS #3 #1 EXCELLENCE WIB RSI1 n/a #1 Complete UNITE on time On track Complete ONE 35%-40% BEST WAY Complete UNITE on budget $147m of total investment over FY25 to FY28 Employee engagement Top quartile Top dec
Slide 22: Consumer
| ws i CONSUMER
Slide 23: Consumer Priorities
CONSUMER PRIORITIES PERFORMANCE CUSTOMER Grow market share in key Australia’s most advocated segments Consumer Bank Improve ROTE Deeper customer relationships TRANSFORMATION PEOPLE Simplify Consumer Simplify organisation through UNITE with clear accountabilities One Best Way across all channels, pro
Slide 24: UNITE Objectives: Simplifying Consumer – One Best Way
UNITE OBJECTIVES: SIMPLIFYING CONSUMER – ONE BEST WAY CONSUMER BEST CHANNEL BEST PRODUCT BEST TECH #1 193 to 45 ~80 mobile app1 products systems for all customers decommissioned 5 to 1 ~$300m p.a. staff digital expected savings servicing system BEST PROCESS 2 to 1 >90% 1.7x to ~1x reduction in banke
Slide 25: Best Way Delivery Proof Point: Electronic Identity Verification
UNITE: BEST WAY DELIVERY PROOF POINT: ELECTRONIC IDENTITY VERIFICATION CONSUMER CONSOLIDATED BIOMETRICS ENABLED COMPLETED DEC-24 20 PROCESSES TO 1 OUTCOMES 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN • Quicker and easier way to • Faster and easier to on
Slide 26: One Best Channel – #1 Mobile Banking App for All Customers
UNITE: ONE BEST CHANNEL – #1 MOBILE BANKING APP1 FOR ALL CUSTOMERS CONSUMER ~1.8M ADDITIONAL INCREASED STABILITY, INITIATIVE COST ~$120M CUSTOMERS GET THE #1 APP AVAILABILITY AND SECURITY ESTIMATED BENEFITS $30m p.a. MONEY MANAGEMENT FRAUD & SCAMS Financial Wellbeing Verify & SafePay Personal financ
Slide 27: One Best Channel – Digital Banker, Staff Assisted Digital Portal
UNITE: ONE BEST CHANNEL – DIGITAL BANKER, STAFF ASSISTED DIGITAL PORTAL1 CONSUMER SINGLE BANKER PLATFORM MODULAR DESIGN PLANNED from 5 to 1 servicing platforms ARCHITECTURE COMPLETION FY28 EXPECTED OUTCOMES 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN •
Slide 28: Business & Wealth
} BUSINESS & WEALTH
Slide 29: Business & Wealth Priorities
BUSINESS & WEALTH PRIORITIES BUSINESS & WEALTH PERFORMANCE CUSTOMER Balance growth and return Customer at the heart of everything we do Improve market share Improve experience through BizEdge, Digital Banker and Invoice Financing TRANSFORMATION PEOPLE Ten UNITE initiatives Recruit 350 additional bus
Slide 30: Growth Investment: BizEdge
GROWTH INVESTMENT: BIZEDGE BUSINESS & WEALTH FAST, SIMPLE, DIGITAL LENDING ORIGINATION EXPERIENCE WITH A SINGLE VIEW OF CUSTOMER SINGLE DIGITAL GUIDED FASTER CREDIT DIGITISED MANUAL STEPS PLATFORM PATHWAYS DECISIONS DOCUMENTS AUTOMATED Data Intuitive and digitally Simple and convenient Easy and Effi
Slide 31: UNITE Objectives – Business & Wealth
UNITE OBJECTIVES BUSINESS & WEALTH Private Bank BETTER SIMPLIFY ONE Wealth Platform DIGITAL Share Trading Platform TECHNOLOGY Merchants Business EXPERIENCES EXPECTED OUTCOMES Online banking Banker platforms Reduction in platforms consolidated consolidated products & process 4 to 2 >10 to 3 > 50% Pro
Slide 32: UNITE: One Private Bank
UNITE: ONE PRIVATE BANK BUSINESS & WEALTH 3 BRANDS TO SIMPLIFIED 85% OF CUSTOMER 1 DISTINCTIVE BRAND BUSINESS MODEL TRANSITIONS COMPLETED1 EXPECTED OUTCOMES 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN • Enhanced proposition and digital • Processes and s
Slide 33: UNITE: One Wealth Platform
UNITE: ONE WEALTH PLATFORM BUSINESS & WEALTH MIGRATE CUSTOMERS ONE CONTEMPORARY STREAMLINED ADVISER AND FROM ASGARD TO PANORAMA WEALTH PLATFORM CUSTOMER EXPERIENCE BY FY261 EXPECTED OUTCOMES 1 BETTER CUSTOMER EXPERIENCE 2 IMPROVED EMPLOYEE EXPERIENCE 3 INCREASED SHAREHOLDER RETURN • Improved experie
Slide 34: WIB
WIB
Slide 35: WIB Priorities
WIB PRIORITIES WIB PERFORMANCE CUSTOMER Maintain ROTE Deepen customer relationships, RSI #1 Grow market share in core products & segments Deliver market leading digital experience TRANSFORMATION PEOPLE Delivery of Westpac One Maintain top quartile engagement UNITE enablement and deliver tech and pro
Slide 36: UNITE Objectives – WIB
UNITE OBJECTIVES WIB ENHANCED IMPROVE SIMPLIFY CUSTOMER & BANKER DIGITAL & DATA & CONSOLIDATE EXPERIENCE CAPABILITIES TECHNOLOGY EXPECTED OUTCOMES Deal routing and post-trade Trade data integration interface KYC platforms merged systems consolidated consolidation 3 to 1 8 to 2 500 to 1 Payments ecos
Slide 37: Growth Investment: Westpac One
GROWTH INVESTMENT: WESTPAC ONE WIB MODULAR CAPABILITIES Dec FX 2025 EXPECTED OUTCOMES Leading transaction Insights banking capability Dec 2026 Onboarding & Transaction and Servicing Investment Accounts Enhanced digital experience Domestic and Treasury International Payments Balance sheet growth Rece
Slide 38: Investment: Payments
INVESTMENT: PAYMENTS WIB SCOPE EXPECTED OUTCOMES • Simplification & modernisation of payments ecosystem: Domestic and International payments consolidated from 4 to 2 Customer • Planned completion: Dec-28 advocacy • Investment cost: c.$750m from FY22 to FY28 Reduced cost to DOMESTIC PAYMENTS run and
Slide 39: Technology - UNITE
} TECHNOLOGY- UNITE
Slide 40: Technology Discovery Phase Refinements
UNITE: TECHNOLOGY DISCOVERY PHASE REFINEMENTS TECHNOLOGY DISCOVERY REFINED INTEGRATED ROADMAP AND PLAN Governance End-to-end capabilities centralised across Business, Tech & Data Sequencing Focused delivery on core merge & simplify initiatives Resourcing Ensuring adequate resourcing and capability i
Slide 41: UNITE: Discovery Example – 3 to 1 Deposit Processor
UNITE: DISCOVERY EXAMPLE – 3 TO 1 DEPOSIT PROCESSOR TECHNOLOGY RE-EVALUATION OF 3 TO 2 DEPOSIT IMPROVEMENTS SINGLE DEPOSIT PROCESSOR PROCESSORS Moved to a data migration- Integration-led approach Reduced delivery risk led approach Many views of customers Used one best way single Enhanced banker expe
Slide 42: UNITE Approach
UNITE APPROACH TECHNOLOGY SIGNIFICANTLY REDUCED RISK THROUGH FOCUSING ON MERGE AND SIMPLIFY UNITE SPEND BY ACTIVITY MERGE SIMPLIFY 1% 17% • One deposit processor • Remove in stack duplication • One private bank • Electronic Identity • One wealth platform Verification • One customer master file • Con
Slide 43: UNITE: Consolidated 20 Identity Verification Processes to 1
UNITE: CONSOLIDATED 20 IDENTITY VERIFICATION PROCESSES TO 1 TECHNOLOGY FY23 FY24 1Q25 DISCOVERY SIMPLIFY • 20 different verification processes used in Build capability Consumer • Deliver a single digital IDHub based on • Inconsistent customer experience customer needs • New KYC requirements drove mu
Slide 44: Investor Relations Team – Contact Us
INVESTOR RELATIONS TEAM – CONTACT US Justin McCarthy Catherine Garcia General Manager, Investor Relations Head of Investor Relations, Institutional Jacqueline Boddy Lucy Wilson Head of Debt Investor Relations Head of Corporate Reporting and ESG James Wibberley Arthur Petratos Manager, Investor Relat
Slide 45: Disclaimer
DISCLAIMER The material contained in this presentation is general and is supplied in summary form and is therefore not necessarily complete. It is not intended that it be relied upon as advice to investors or potential investors, who should consider seeking independent professional advice depending