Mystate Limited · ASX:MYS
Mystate — Shareholder Meeting (October 2018)
17 slides from Mystate's shareholder meeting presentation, Oct 18, 2018
Slide 1: Chairman's Address: Operating Performance
ASX release 18 October 2018 MyState Limited Annual General Meeting Best Western Hotel, 156 Bathurst Street, Hobart Address by the Chairman Mr. Miles Hampton Operating Performance Ladies and gentlemen, I am pleased to present my 2018 Chairman’s Address. In a very challenging market the 4.6% increase
Slide 2: Competition, Shadow Banking and the Royal Commission
The Productivity Commission in its report released in June 2018 labelled “Competition in the Australian Financial System” concluded: “The larger financial institutions have the ability to exercise market power over their competitors and consumers.” The report went on to observe that one of the facto
Slide 3: Directors and Concluding Remarks
At MyState, when such issues arise there is detailed and prompt reporting to the relevant regulators, with ongoing dialogue until the matters are fully resolved. Directors As foreshadowed at the last Annual General Meeting we welcomed Andrea Waters and Warren Lee to the Board in October last year. I
Slide 4: Managing Director's Address: Welcome and Heritage
Thank you, Miles. Good morning and welcome, it’s a pleasure to be with you here today. We have been in business in Tasmania for more than 100 years and share the heritage of this wonderful State. We have more than 200,000 customers and some will have entrusted funds and financial services to us thro
Slide 5: FY2018 Results and Digital Bank Progress
Over several years we have invested in technology to take advantage of opportunities created by today’s fast‐moving environment. We are well progressed in becoming a fully functioning digital bank. We have built a modern, highly scalable business and the benefits of the strategic refinement of our b
Slide 6: The MyState Way Strategy
MyState has a clear strategy that is guided and directed by a cultural framework which we call the MyState Way. This articulates our purpose as a company which is to help people achieve their dreams – whether it is a personal loan for a first car, a savings account for a home deposit, a home loan or
Slide 7: Online and Mobile Services
and deliver them through online and mobile services in the way that they want. Our customers have embraced mobile devices, so we support them through new age transaction services including Apple Pay, Google Pay and Samsung Pay and will soon add Garmin Pay and Fitbit Pay. More targeted marketing is a
Slide 8: Growing the Home Loan Book
A central component of our strategy is to grow our loan book, focusing on low‐risk, owner occupied, low loan‐to‐valuation ratio home lending. Our total loan book exceeds $4.5 billion, up about 50% compared to four years ago. In a highly competitive market our home loan book grew by 7% overall in fin
Slide 9: Digital Innovation and Customer Deposits
We are capitalising on digital innovation to provide customers with quality products and services which have been very successful. This includes huge growth in customers opening bank accounts online. Our eSaver and Everyday transaction accounts helped customer deposits increase by over 9% to $3.2 mi
Slide 10: Prudent Credit Risk Management
We maintain a prudent approach to credit risk management and this supports our lending strategy. Our strong risk management practices are based on the three lines of defence model and help ensure the group maintains a conservative and balanced risk profile. Impairment charges remain at historic lows
Slide 11: Wealth Management Performance
Our wealth management business had a good year, achieving more than 10% revenue growth compared to the previous year. Net profit after tax from this business grew 21% to $4.6 million. Funds under management increased $64 million to $1.15 billion. Our funds under management have grown approximately 1
Slide 12: Robust Capital Position
MyState maintains a robust capital position, with a capital adequacy ratio of 13.5% at 30 June 2018. MyState’s Common Equity Tier 1 capital at 30 June 2018 was 11.51%, well above APRA’s ‘unquestionably strong’ Common Equity Tier 1 capital requirements which all banks are required to meet by 1 Januar
Slide 13: Community Support
We believe that our success should be reflected in the communities that we serve. In Tasmania we particularly focus on supporting young people through the MyState Foundation which has to date awarded more than $2 million in grants and helped more than 90 organisations. MyState also supports 135 stud
Slide 14: The Tasmanian Economy
The Tasmanian economy has experienced solid growth in state final demand, which is a key indicator of the health of the local economy, and grew at a rate of 3.6% for the year to June 2018. Tasmania has experienced a boom for housing, tourism and exports. The number of housing finance commitments for
Slide 15: Banking Industry Trends
I’d like to touch on some important industry trends, first covering the impacts on the banking industry. Notwithstanding the strong house price growth in Tasmania, nationally the property market is cooling and credit growth is slowing. We expect credit growth to continue to slow in the near term. Ou
Slide 16: Summary and Outlook
In summary, we have achieved significant successes in our program to become a scalable, digital bank and wealth management business. We have achieved cost efficiencies and are continuing to make process changes that bring productivity improvement and take advantage of our digital platform. Our impro
Slide 17: Thanks to the Team
Finally, I would like to thank all of our team. It is their passion for our customers and community that helps to differentiate us in the market, and I congratulate them on their hard work, commitment and great service. We are building a new digital bank and wealth management business and I hope you