Malayan Banking Bhd. · MYX:MAYBANK
Malayan Banking Bhd — Shareholder Meeting (April 2018)
19 slides from Malayan Banking Bhd's shareholder meeting presentation, Apr 12, 2018
Slide 1: 58th Annual General Meeting Presentation to Shareholders
12 April 2018 58th Annual General Meeting Presentation to Shareholders by Datuk Abdul Farid Alias, Group President & CEO 00
Slide 2: Humanising Financial Services: building trusted relationships
To know what is “right” for our stakeholders, we draw from our own sense of purpose by... Building trusted relationships Treating Advising Making stakeholders based on needs financial solutions fairly and capacity simpler ‘HUMANISING FINANCIAL SERVICES’ 11
Slide 3: Many new highs in FY2017
This helped us achieve many new highs in FY2017, including… NET INCOME RM23.27 4.9% YoY billion PPOP RM11.91 1.9% YoY billion PBT RM10.10 14.2% YoY billion NET PROFIT RM7.52 11.5% YoY billion 22
Slide 4: Net income growth on 10.3% rise in net fund based income
Net income growth was on the back of a 10.3% YoY rise in net fund based income as net interest margin expanded 9 bps… Net Interest Margin Net Fund Based Income 9 bps 10.3% 16,628 2.36% 15,074 2.27% RM million FY 2016 FY 2017 FY 2016 FY 2017 …led by disciplined loan pricing, better securities yield p
Slide 5: Group loan growth for FY2017 was 1.7%
Our Group loan growth for FY2017 was 1.7% or 4.0% if normalised for currency conversion effects... GROUP MALAYSIA SINGAPORE INDONESIA 1.7%* 4.0%^ 5.0% 4.3% 3.6% 493.8 485.7 285.5 272.0 40.6 129.2 38.9 124.7 IDR trillion SGD billion RM billion RM billion FY2017 FY2017 FY2017 FY2017 FY2016 FY2016 FY20
Slide 6: Loan growth funded by strong CASA growth of 5.4%
Our loan growth was funded by strong CASA growth of 5.4% YoY or 7.2% if normalised… GROUP MALAYSIA SINGAPORE INDONESIA 5.4%* 7.2%^ 4.9% 16.6% 5.2% 196.4 186.3 127.8 48.4 121.9 14.6 46.0 12.5 IDR trillion SGD billion RM billion RM billion FY2017 FY2017 FY2017 FY2017 Note: FY2016 FY2016 FY2016 FY2016
Slide 7: Income growth and cost management: record PPOP
Our income growth and continued cost management practises... Cost to Income Ratio 48.9% 48.7% 47.8% 48.2% 47.1% PPOP 11.69 11.91 10.95 9.61 9.42 RM billion FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 …resulted in a record pre-provisioning operating profit (PPOP) of RM11.91 billion. 66
Slide 8: Net impairment losses reduced by a third
Our net impairment losses reduced by a third as the formation of impaired loans slowed on stabilising asset quality trends. Group GIL volume 29.2% YoY 4.5% YoY Net Impairment Losses 3.02 RM billion 8.56 11.06 11.55 2.03 Dec 2015 Dec 2016 Dec 2017 2.53% 2.50% 2.40% 2.34% GIL 2.28% Ratio 5.4% QoQ 4.3%
Slide 9: PBT and Net Profit rose 14.2% and 11.5% YoY
As a result, our PBT and Net Profit rose by 14.2% YoY and 11.5% YoY respectively,… Profit before tax (PBT) & Net Profit RM billion RM billion RM billion RM billion RM billion 8.87 9.11 9.15 8.84 10.10 6.55 6.72 6.84 6.74 7.52 PBT PBT PBT PBT PBT Net Profit Net Profit Net Profit Net Profit Net Profit
Slide 10: ROE of 10.9% and EPS rising 6.2%
As such, our return on equity (ROE) was 10.9%, within the Group guidance of 10% to 11% for FY2017... ROE EPS - Basic 6.2% 10.9% 10.6% 72.0 sen 67.8 sen FY 2016 FY 2017 FY 2016 FY 2017 …with our earnings per share (EPS) rising 6.2% YoY. 99
Slide 11: Credit RWA movement and capital adequacy
We remained mindful of credit RWA movement as we expanded our loans portfolio... Group Gross Loans Group Credit RWA Group Capital Adequacy 1.7% -2.7% 493.8 Total 485.7 Capital 19.29% 19.38% Ratio 329.5 320.7 Tier 1 Capital 15.66% 16.46% Ratio RM billion RM billion CET1 Capital 13.99% 14.77% Ratio FY
Slide 12: Some key highlights of FY2017 include…
Some key highlights of FY2017 include… 1111
Slide 13: Delivering value by enhancing customer experience
We delivered value by enhancing customer experience… …through product and service innovation that promotes convenience, efficiency and ensures security… First bank in Malaysia to launch cashless mobile payment option using QR code …as well as by providing solutions for To provide an alternative solu
Slide 14: Delivering value through transforming and upskilling the workforce
We delivered value through our people by transforming and upskilling the workforce… …by accelerating Maybankers’ readiness to compete in this new digital age… ...so that we remain relevant to our customers and create the ideal customer experience, for now and the future. 1313
Slide 15: Upskilling the workforce (cont'd): leadership appointments
We delivered value through our people by transforming and upskilling the workforce (cont’d)… …by continuing to strengthen the senior leadership team to ensure sustainability of the organisation’s growth. NEW APPOINTMENT GILBERT KOHNKE Group Chief Risk Officer ROTATION DR. JOHN LEE HIN HOCK Chief Exe
Slide 16: Integrated approach in annual report disclosures
We deliver value by adopting an integrated approach in our annual report disclosures… …by demonstrating links in our ability to create value over time through our strategy, governance, performance and outlook, within our operating environment. We use these five identified capitals to create Our iden
Slide 17: In FY2018, we will deliver value by… (guidance)
In FY2018, we will deliver value by… 1 Effective net interest margin management in a rising rate environment Maintaining pricing discipline of loans under the new 2 MFRS 9 environment Maintaining stable liquidity risk indicators ahead of net Group 3 stable funding ratio adoption in 2019 Performance
Slide 18: Thank You
THANK YOU Humanising Financial Services 1717
Slide 19: Malayan Banking Berhad contact details and Investor Relations
Humanising Financial Services MALAYAN BANKING BERHAD 14th Floor, Menara Maybank 100, Jalan Tun Perak 50050 Kuala Lumpur, Malaysia Tel : (6)03-2070 8833 www.maybank.com Investor Relations Contact Dato’ Amirul Feisal Wan Zahir Group Chief Financial Officer Contact: (6)03-2074 7703 Email: feisal.zahir@
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