Mystate Limited · ASX:MYS
Mystate — Investor Presentation (August 2019)
23 slides from Mystate's investor presentation, Aug 23, 2019
Slide 1: MyState Limited Full Year 2019
MyState Limited Full Year 2019
Slide 2: Highlights & strategy
Highlights & strategy Financial results Strategy & outlook
Slide 3: Key highlights / Results
Melos Sulicich Key highlights Results
Slide 4: Key highlights
MyStateW Full Year Investor Presentation Limited Key highlights Va Strong finish to FY19 as forecast Above system growth in loans and deposits and decade high FUM Increase in customer NPS to +42 Positive operating momentum through leading turnaround times and digital experience Investment in finance
Slide 5: 5,500 100.00 5,000 90.00 4,500 80.00 70.00 4,000 60.00 3,500 50.00 3,000 40.00 2,500
5,500 100.00 5,000 90.00 4,500 80.00 70.00 4,000 60.00 3,500 50.00 3,000 40.00 2,500 30.00 2,000 20.00
Slide 6: Key metrics and performance drivers
Key metrics and performance drivers STRONG 2H PROFIT IN LINE WITH 2H18 as forecast at 1H19 result Total loan book: $5.038b Customer deposits: $3.662b ABOVE SYSTEM LENDING GROWTH driven by superior customer service Proposition and advocacy Total capital ratio: 12.90% WELL CAPITALISED further strength
Slide 7: Financial Results
Financial Results
Slide 8: Quality result in competitive market
MyState¥ Full Year Investor Presentation Quality result in competitive market aN Change 2H v 1H FY19 | FY18 arial tHv19 | 2H19 | Chdige Revenue growth Total operating income ($m)! 120.41 120.92 -0.41% W 59.41 61.00 +2.68% and cost discipline . delivered 2H Operating expenses (excl. BDD) ($m)! 78.00
Slide 9: Funding pressure easing in competitive environment
MyStateW Full Year Investor Presentation Limited Funding pressure easing in competitive environment BBSW ——BBSW1M —=BBSW3M ( > Significant decrease in wholesale funding costs during O4 FY19 alleviating funding pressure TD rates now falling with maturities Net interest margin down -17bp on pcp Lendin
Slide 10: Expenditure breakdown
Expenditure breakdown 1.9 1.9 3.3 3.2 2.7 1.8 2.9 2.9
Slide 11: $ Millions
34 33 $ Millions 32 31 0.2 0.1 0.2 0.6 1.2 30 2.2 0.6 29 0.6 28 27 26 25 24
Slide 12: 2.50 2.00 1.50 2H 1.00 2H 0.50 1H 1H -
2.50 2.00 1.50 2H 1.00 2H 0.50 1H 1H -
Slide 13: Home loan book
MyState¥ Full Year Investor Presentation Limited ( Home loan book — LVR profile ($b) . : 0.20 Focus on lower LVR loans with high 85% -90% | +2.40% asset quality Pete | $0.37 < 5 2 Impairments remain at historic lows ® = c 30 and 90 day arrears well below peers <80% a and stable 5 = AASB 9 in place f
Slide 14: Growth in customer funding
MyStateW Full Year Investor Presentation Limited Growth in customer funding va Stable funding mix enhanced by high growth in customer deposits Customer deposit growth supported by introduction of Bonus Saver and Glide transaction account Programmatic RMBS issuance continues to be well supported by b
Slide 15: Well capitalised to support growth
MyState¥ Limited Full Year Investor Presentation Well capitalised to support growth Capital position supported by organic capital generation Capital base underpinning growth and investment in digital Capital 18% 16% 1.51% ae was, 13.47% 2.29% 12.90%* 0.05% —6:05%— 0.20% 12% 10% 8% MM Tier 1 capital
Slide 16: Wealth business
Wealth business Va Net FUM growth to decade high of $1.17b Wealth revenue declined 3.7% on pcp due to lower trustee fees, partially offset by higher funds revenue Costs increased by $0.15m but included $0.40m investment in product and system development to meet the income needs of retirees Financial
Slide 17: We make a genuine difference to our Tasmanian economy
MyStateW Full Year Investor Presentation Limited We make a genuine difference to our Tasmanian economy customers and communities every day continues to perform well MyState Foundation Hobart Hurricanes State final demand Population growth Empowering youth Partners for the past 4 years : All time hig
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Slide 19: Sector overview
MyStateW Full Year Investor Presentation Limited Sector overview Industry dynamics [J Regulatory dynamics jag l] Banking market increasingly more competitive Regulatory intensity and scrutiny increasing significantly Continued NIM pressure following cash rate cut Competitive landscape still unbalanc
Slide 20: Our strategic priorities
MyStateW Limited Full Year Investor Presentation Our strategic priorities » >) Our GOAL is to be Our STRATEGY is focused on Simpler, more relevant, accessible for our customers and easier to “use” (~N, Building out and operationalising our | wf Evermore digitally enabled so that <> digital bank, dig
Slide 21: Outlook
MyStateW Full Year Investor Presentation Limited Outlook Sf ef? Simplify, automate, re-engineer and Continued above system digitise processes for further operating deposit and loan growth with a efficiencies. heightened focus on margin management Increased use of technology to reduce operating costs
Slide 22: Glossary
Glossary 1H: First half of financial year 2H: Second half of financial year ADI: Authorised deposit-taking institution APRA: Australian Prudential Regulation Authority Avg: Average ASX: Australian Securities Exchange BBSW: Bank Bill Swap Rate BDD: Bad & Doubtful Debt Expense bps: basis points CAGR:
Slide 23: Disclaimer
Disclaimer Summary Information This Presentation contains summary information about MyState and its activities current as at the date of this Presentation. The information is subject to change without notice and does not purport to be complete or comprehensive. It does not purport to summarise all i