Cimb Group Holdings Bhd · MYX:CIMB
Cimb Group Holdings Bhd — Shareholder Meeting (April 2025)
34 slides from Cimb Group Holdings Bhd's shareholder meeting presentation, Apr 29, 2025
Slide 1: 68th Annual General Meeting
68th Annual General Meeting Novan Amirudin 29 April 2025 STRICTLY PRIVATE & CONFIDENTIAL MOVING FORWARD WITH YOU 1
Slide 2: Agenda
01 Creating value for our shareholders Agenda Approaching the “new world order” from a 02 position of strength 03 Long-term sustainable growth: Forward30
Slide 3: Creating value for our shareholders
Creating value for our shareholders MOVING FORWARD WITH YOU 3
Slide 4: Net profit up 10.7% YoY to RM7.7 bil in FY24; highest dividend payout
Net profit up 10.7% YoY to RM7.7 bil in FY24; highest FY24 dividend payout of RM5.04 bil Net Profit Dividend payout (RM ’bil) (RM ’bil) RM17.7 bil dividends paid across Forward23 and Forward23+ 5.04 4.59 CAGR: 9.0% 7.73 0.75 Special 0.75 6.98 Dividend 2.55 2.75 6.21 10.7% 2.33 YoY Annual 3.84 4.29 5
Slide 5: Shareholder value of >RM50 bil created since January 2019
This translates to significant shareholder value of >RM50 bil created since January 2019 to December 2024 200 CIMB Shareholder Value Creation 180 KLCI 160 FY24 Annualised CIMB FBM KLCI 140 TSR (%)* 120 100 1Y +56.6% +12.9% 80 60 40 3Y +38.1% +1.6% Jan-19 Jan-20 Jan-21 Jan-22 Jan-23 Jan-24 Jan-25 31
Slide 6: Analyst buy and hold calls, April 2025 vs March 2025
17 buy and 3 hold calls in Apr 2025 vs 15 buy and 5 hold calls in Mar 2025 3 hold RM8.78 5 hold calls calls Average consensus price 15 buy 17 buy calls calls 20 International and local March 2025 April 2025 analyst coverage 6
Slide 7: We have achieved Forward23+ despite a challenging environment
We have achieved Forward23+ despite a challenging environment Forward23+ 2019 2020 2021 2022 2023 2024 Ambition ROE, 11.2% • Reallocate 9.3% 8.1% 10.2% 10.7% Top quartile % 2.1% capital 11.5% – 12.5% • New culture Revenue 8.2% 8.2% 8.0% 5.9% 6.1% growth, % -4.5% - (EPICC) CIR, 53.4% • Safeguard the
Slide 8: 11.2% ROE in FY24 with LDR of 88.3%, versus peers
We delivered 11.2% ROE in FY24, with an LDR of 88.3%, as we chose to grow sustainably YoY Income growth (%) YoY Cost growth (%) CIR (%) Bank A 8.1 Bank A 8.0 Bank A 48.9 Bank B 7.0 Bank B 9.4 Bank B 34.5 CIMB 6.1 CIMB 5.6 CIMB 46.7 Bank C 10.7 Bank C 9.0 Bank C 46.7 Bank D 10.5 Bank D 7.8 Bank D 40.
Slide 9: Our digital investments have provided valuable insights
Our digital investments have provided valuable insights, guiding the Group as we accelerate towards digitalisation and growth TNG and TNGD Key learnings TNG: 35+ mil active cards TNGD: 29+ mil users Reimagine customer experience: Holistic leader in the mobility technology and Simplify journeys with
Slide 10: CIMB's biggest asset – our people
We continuously invest in our human capital transformation to elevate CIMB’s biggest asset – our people Increased Regional Mobility Enhanced Learning Approach 2022 2023 2024 Employees trained across the Group in >1,400 Digital & Data programmes 46 104 118 ~550 Employees undergoing formal coaching •
Slide 11: Organizational Health Index improvement to Top Quartile
This led to an improvement in our Organizational Health Index (OHI) from 3rd Quartile in 2021 to Top Quartile in 2023 and 2024 3rd Quartile 2nd Quartile 1st Quartile 1st Quartile 75 77 83 84 2021 2022 2023 2024 COUNTRY SCORES 2024 2023 2024 2023 2024 2023 92 91 82 83 73 76 Indonesia Thailand Philipp
Slide 12: Committed to driving sustainable impact
We are committed to driving sustainable impact to future-proof our organization and support our clients in their transition Futureproofing our organization Raising the floor #1 88th >RM120mil Globally amongst financial Percentile in the S&P Global In community investments from institutions by the Wo
Slide 13: Notable awards in 2024 across ASEAN
Notable awards in 2024 across ASEAN Investment Bank of Recognized across Trusted Choice ASEAN sustainable partner • Best Bank for Investment • Service Innovation of the • Best Corporate & Solutions (Rates, Credit, FX, Year Institutional Adviser, M&A Commodities) Adviser, Primary Placement, • SME Fin
Slide 14: Approaching the "new world order" from a position of strength
Approaching the “new world order” from a position of strength MOVING FORWARD WITH YOU 14
Slide 15: Liberation Day has led to increased uncertainty and complexity
Liberation Day has led to increased uncertainty and complexity Short-term Impact Medium to long-term Impact Trade Interest rate Bifurcation in Increase in intra- disruption cuts trade blocks regional trade GDP slowdown Asset quality Uneven economic concerns growth 15
Slide 16: Forward23+ has made us stronger to navigate these volatilities
Forward23+ has made us stronger to navigate these volatilities Successfully reshaped portfolio, reduced exposure in high-risk SME businesses in IST1 Introduced EPICC culture and risk management framework Invested in technology to increase resiliency, enhance CX and drive customer stickiness Integrat
Slide 17: We reshaped our portfolio, reducing high-risk SME exposure in IST
1: We have successfully reshaped our portfolio, reduced exposure in high-risk SME businesses in IST Asset composition Country Year Consumer Commercial Wholesale Dec-19 59% 14% 27% Malaysia 2% ▲ 2% ▲ 4% ▼ Dec-24 61% 16% 23% Dec-19 25% 14% 61% Singapore 5% ▲ 2% ▼ 3% ▼ Dec-24 30% 12% 58% Dec-19 27% 35%
Slide 18: Safeguarding the Bank
2: We embrace EPICC culture and introduced risk management framework Safeguarding the Bank 18
Slide 19: We doubled our technology investments
3: We doubled our technology investments to increase resiliency, enhance CX and drive customer stickiness Technology & Operational Digital Platform Incidences Octo and Octo Biz Investments Technology Capex Clicks RM ’mil 19 ~2x 9 2 5 1 853 BizChannel 433 5 Nil 1 FY15-FY19 FY20-FY24 FY20 FY21 FY22 FY
Slide 20: Present in 10 countries – positioned to capture ASEAN
4: Present in 10 countries – we are well positioned to capture ASEAN Network business ASEAN corporate network income of 10% >RM300 billion1 Wealth AUM across ASEAN 28 million 33K+ 600+ FX income 15% customers people branches YoY 1. Preferred and Private banking 20
Slide 21: Improved asset quality – allowance coverage ratio increased to 105%
5: Improved asset quality – Allowance coverage ratio increased to 105% in FY24, while loan loss charge improved to 25bps Allowance Coverage Ratio* Loan Loss Charge and Gross Impaired Loans (%) Loan Loss Charge (bps) Gross Impaired Loans (%) 105.3 151 100.2 97.0 91.6 93.1 73 80.7 45 51 32 25 3.1 3.6
Slide 22: Delivering sustainable long-term growth: Forward30
Delivering sustainable long-term growth: Forward30 MOVING FORWARD WITH YOU 22
Slide 23: CIMB's current performance vs weighted average MIST peers
CIMB’s current performance vs weighted average MIST peers shows there is more to be done MIST peers1 FY24 50th percentile 75th percentile Best-in-class ROE, % 11.2 11.0 13.0 15.0 CASA Ratio, % 43.1 45.0 51.0 53.0 NOII Ratio, % 31.0 26.0 30.0 32.0 CIR, % 46.7 44.0 38.0 34.0 1. MIST = Malaysia, Indone
Slide 24: Allocation of capital vs returns in FY24
Allocation of capital vs returns in FY24 % of RWA % of PBT ROE 54% 57% 11.0% 19% 25% 14.6% 12% 13% 19.9% 12% 4% 5.9% 2% 1% 8.4% Others 1% 0% - Group 11.2% 24
Slide 25: We want to embed ourselves into our customers' lives
We want to embed ourselves into our customers’ lives x Currently present through TNGD How customers are thinking of banking How we are Work doing banking Home Working capital CASA We are committed to reimagining banking Travel FX Loans Shop by shifting towards a customer-centric Insurance Wealth mod
Slide 26: ASEAN Network: opportunity to grow cross-border income
ASEAN Network: Opportunity to grow ASEAN cross-border income along with increasing focus on intra-ASEAN trade Corporate example: Cross-border income contributes to 10% of total corporate segment income 10.0% Whereas, intra- ASEAN trade 7.5% amounts to ~25% of total regional trade, and growing 1.8% 0
Slide 27: Key questions to chart the next phase of growth
To chart the next phase of growth, we reflected on some key questions What are the core reasons behind CIMB’s existence? What role does CIMB want to play within our society? 27
Slide 28: Our purpose: Advancing Customers & Society
Our purpose is to advance customers and society by making lives Simpler, Better, Faster CIMB’s purpose: Advancing Customers & Society 33K+ People ~30 Mil Customers Simpler, better, faster Simpler, better, faster operations while advancing products and services customers and society 28
Slide 29: Bringing to life the power of Simpler, Better, Faster in CIMB
Bringing to life the power of Simpler, Better, Faster in CIMB 29
Slide 30: OCTO: Simpler, better, faster banking experience
OCTO: Simpler, better, faster banking experience Regional Account Apply Products – CC, QR Payment Increase Card Limit Linkage CPL, CASA 4 steps To transfer funds to your “favourite” account 5 steps Wealth Portal To place funds Credit Card Control Malware Monitoring Flexi Payment Plan Integration1 in
Slide 31: TNG Digital: Simpler, better, faster digital solution
TNG Digital: Simpler, better, faster digital solution Enhanced TnG Card SOS Balance Payment + Wealth & PayDirect Remittance • NFC technology •• Automatically Automatically • Accepted at 1.6 •• Higher Higherreturn returnrate rate • Auto-reload covers covers toll toll charges charges mil+ merchants mi
Slide 32: Forward30: CIMB's new 6 year strategic plan
Forward30: CIMB’s new 6 year strategic plan Purpose Advancing Customers and Society Society & Priorities People & Culture Customers Sustainability 1 Capital and resources: Reallocate and optimise Strategic 2 3 Cash: Build deposit Cross-sell: Increase moves – the 4Cs franchise returns 4 Capabilities:
Slide 33: Our goal is to be the top-of-mind ASEAN bank
Our goal is to be the top-of-mind ASEAN bank, which will drive our ROE growth Key Metrics 2024 2027 2030 NPS 12th 1st 5th Top 3 Reduce cost of CASA ratio, % 43.1 45 funds by 10-20 bps NOII ratio, % 31.0 33 – 34 ~75% client franchise income vs 65% today CIR, % 46.7 Below 45 Low 40s Credit cost, bps 2
Slide 34: Thank you
Thank you MOVING FORWARD WITH YOU 34
CIMB Group Holdings Berhad — Shareholder Meeting (April 2025) on 6ix