Malayan Banking Bhd. · MYX:MAYBANK
Malayan Banking Bhd — Shareholder Meeting (September 2010)
38 slides from Malayan Banking Bhd's shareholder meeting presentation, Sep 29, 2010
Slide 1: 50th Annual General Meeting
50th Annual ua General Ge e a Meeting eet g Dato’ Sri Abdul Wahid Omar President & CEO 29 September 2010
Slide 2: FY2010: Exceeding our targets
FY2010: Exceeding our targets Headline KPIs Targets Achievements 11% Return on Equity q y 13.6% (revised to 13%) Revenue (net income) 8% 22.4% growth (revised to 15% normalised) (15.7% normalised) Other targets Targets Achievements Gross Loans growth High single digit 10.3% +10 bp Net Interest Margi
Slide 3: We are the leading bank in Malaysia
We are the leading bank in Malaysia … Total Assets (RM bn): 30 June 2010 Net Loans (RM bn): 30 June 2010 MAYBANK Maybank MAYBANK 337 Maybank 206 CIMB 256 CIMB 152 Public… 219 Public Bank 145 RHB Cap 120 RHB Cap 73 AMMB 97 AMMB 65 HL Bank 85 HL Bank 38 EON Cap 49 EON Cap 34 Affin 43 Affin 25 Alliance
Slide 4: … and among the Top 10 Banks in the Region
… and among the Top 10 Banks in the Region T t l Assets Total A t (RM bn): b ) 30 J June 2010 N tL Net d Deposits Loans and D it (RM bn): b ) 30 J June 2010 * SBI 619 789 * SBI 1,052 336 DBS 425 DBS 638 UOB 240 OCBC 492 9 290 UOB 441 OCBC 217 259 * ICICI 355 Maybank 206 237 Net Loans Maybank 337 No.
Slide 5: Share price rose 28% in FY2010
Share price rose 28% in FY2010 Maybank’s M b k’ share h price i rose 28.1% 28 1% during d i FY2010 and d 46.1% from 30 June 2009 to date. 9.00 +46.1% X 8.50 30 Jun 10 RM8.62 30 Sep 09: 8.00 Maybank’s y 49th AGM 7.50 +28.1% X RM RM7.56 7.00 X 6.50 RM6.65 6.00 X RM5 90 RM5.90 5.50 5.00 Jun-09 Sep-09 D
Slide 6: Introduction, Financial Performance, The Way Forward, Prospects
Introduction Fi Financial i l Performance P f The Way Forward Prospects 5
Slide 7: Record PATAMI of RM3.8 billion
Record PATAMI of RM3.8 billion FY10 FY09 YoY 4Q10 3Q10 QoQ RM million 30 Jun 10 30 Jun 09 change 30 Jun 10 31 Mar 10 change Net interest income 6,770.9 5,919.5 14.4% 1,792.2 1,668.0 7.4% Income from Islamic 1,434.7 1,224.3 17.2% 355.8 341.5 4.2% Banking Non‐interest income 4,666.0 3,375.2 38.2% 1,12
Slide 8: Broad-based Growth
Broad‐based Growth Record profits due to improved performance across all business segments 8.3% 302.2% 30.5% 135.1% 34.8% 18.8% on RM millio 7
Slide 9: Strong Profit growth from home markets
Strong Profit growth from home markets 239% Profit Before Tax by Geographical Locations 4,243 (1.3%) RM million (4.4%) 32% 290% International: 1 249 1,249 21.0% R ( 2%) (15.2%) (79.0%) 818 618 238 82 Malaysia Singapore Indonesia (BII) FY09 FY10 8
Slide 10: Consumer Banking: Housing Loans and Auto Loans
Consumer Banking: Housing Loans and Auto Loans Housingg Loans market share stabilisingg Uplift p in new housingg loans 16% FY10: RM2.14 bil. ‐1.0% 700 242% 14.9% uplift 15% ‐0.5% 600 13.9% 500 14% 13.4% on RM millio 400 FY09: RM0.63 bil. 13% 300 12% 200 11% 100 0 10% 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q
Slide 11: Business and Corporate Banking
Business and Corporate Banking Loans growth led by Commercial and Corporate Banking Growth spearheaded by term loans 68.8 Trade Bills ‐1.4% 64.0 FY10 RM billion STRC 2.6% FY09 OD 0.3% Term 17.8% Loans - 10 20 30 40 Diversified loans by economic sector Improvement in Asset Quality (Gross NPL ratio) T
Slide 12: Insurance and takaful
Insurance and takaful Market Share: No. 1 in Life/Family (new business) Market Share: No. 1 in General Source : ISM Report Combined Gross Premium grew 27% YoY Overall Loss Ratio Lower Than Industry 55 3% (Maybank) vs 61.3% 55.3% 61 3% (Industry) Industryy Combined +27% 61.3% Gross Premium Regular Pr
Slide 13: Islamic Banking
Islamic Banking Income and PBT Maybank Islamic financing (YoY growth) +20% +17% FY09 FY10 12.4 10.6 +10% ‐15% +63% RM billion 0 5.5 55 +3% RM million +12% 5.0 5 +59% 4.4 3.5 3.0 2.7 2.1 2.1 0.8 1.2 AITAB House Term Cash Trade Term Financing Financing Line i Line-i Financing Financing Consumer: +16%
Slide 14: Singapore
Singapore PBT rose 36% yoy Diversified Loan Portfolio +8.6% Others 20 17.5 +36% 16.1 Car loans SGD million 15 4.3 4.3 SGD billion 3.3 10 3.2 Housing Loans 4.1 3.7 5 2.2 General 1.8 Commerce 32 3.2 3.6 0 Building & FY09 FY10 Construction Loans Growth exceeds Industry Asset Quality improving Maybank M
Slide 15: Bank Internasional Indonesia: Income Statement
Bank Internasional Indonesia I Income St Statement t t Jul 09-Jun 10 Jul 08-Jun 09 Rp Billion Contribution Contribution I t Interest t income i 6 065 6,065 4 915 4,915 Interest expense (2,753) (2,727) Net interest income 3,312 2,188 Non-interest Non interest income 1 762 1,762 1 187 1,187 Gross Oper
Slide 16: Bank Internasional Indonesia
Bank Internasional Indonesia Gross Loans: Composition (Rp trillion) and growth Asset Quality (+36%) 17.1 4.74% 14.4 (+37%) 12.6 15.9 3.46% 3.49% 13.0 3.20% 2.79% 2.88% 11.6 (+33%) 2.39% 96 9.6 11.3 8.5 2 79% 2.79% (+4%) 2.4 2.1 2.5 (+67%) 2.00% 1.85% 1.90% 1.92% 1.87% 1.56% 0.3 0.4 (+33%) 0.5 Jun 09
Slide 17: Introduction, Financial Performance, The Way Forward, Prospects
Introduction Fi Financial i l Performance P f The Way Forward Prospects 16
Slide 18: Transformation Journey
Transformation Journey 2010 2008 2015 Phase 2 Beyond Phase 1 Converging Aspirations. Transformation LEAP30 Creates Momentum Active Sectoral CEO‐driven agenda g – 1st Participation wave target to deliver PBT Sector driven agenda – impact to Groupwide agenda framed and performance. owned organisat
Slide 19: Reframing our Vision, Mission and Strategic Objectives
Reframing our Vision, Mission and Strategic Objectives B 2015 By Our Vision To be a Regional Financial Services Leader Our Mission Humanising Financial Services from the Heart of ASEAN 1. Undisputed No. 1 Retail Financial Services provider in Strategic Objectives Malaysia by 2015 2 Leading 2. di ASE
Slide 20: Our Mission
Our Mission Humanising Financial Services from the Heart of ASEAN Providing the people with access to financing Fair terms and pricing p g Being at the heart of the community 19
Slide 21: Strategic Objectives: Retail Financial Services
Strategic Objectives: Retail Financial Services 1. Undisputed p No. 1 Retail Financial Services p provider in Malaysia by 2015 Grow market share of individual and non‐retail non retail deposits domestically and leverage on shared distribution synergies Re‐align SME market segment focus. 20
Slide 22: Strategic Objectives: Wholesale Banking
Strategic Objectives: Wholesale Banking 2. Leadingg ASEAN wholesale bank eventuallyy expanding to Middle East, China & India Ramp up universal wholesale banking model growth in core ASEAN markets Strengthen transaction banking franchise Grow investment banking capabilities and deals 21
Slide 23: Strategic Objectives: Insurance and takaful
Strategic Objectives: Insurance and takaful 3. Domestic Insurance Champion and emerging regional player Gain leadership in domestic insurance business Market Share: No. 1 in Life/Family (new business) Market Share: No. 1 in General Source : ISM Report 22
Slide 24: Strategic Objectives: International Operations
Strategic Objectives: International Operations 4. Truly regional organisation, with ~40% off pre‐tax profit f derived from international operations by 2015 FFor Indonesia, I d i achieve hi l d hi in leadership i 5 key k business segments by 2015 Plan to expand into Middle East, China and India a
Slide 25: Strategic Objectives: Islamic Banking
Strategic Objectives: Islamic Banking 5. Largest Islamic bank in ASEAN Maybank Islamic is Malaysia’s largest Islamic financial services provider. Maybank I l i Islamic, Maybank Islamic’s Total Asset grew 17% 28% to RM44.5 bil. in FY10. Others, Public 42% Islamic, Conversion of Bank Maybank y 1
Slide 26: New Group Organisation Structure to support aspirations
New Group Organisation Structure to support aspirations Maybank Group CEO + Support (CFO CRO,GHC, (CFO, CRO GHC Legal, L l Compliance, C li Communications) C i ti ) Community Global Wholesale Insurance & E ISLAMIC Financial Banking Takaful INSPIRED N Services A Leveraging Regaining Being the B share
Slide 27: Expanded Group Executive Committee with key divisions represented
Expanded Group Executive Committee with key divisions represented 26
Slide 28: Introduction, Financial Performance, The Way Forward, Prospects
Introduction Fi Financial i l Performance P f The Way Forward Prospects 27
Slide 29: Malaysia: Economic Rebound
Malaysia: Economic Rebound GDP to rebound with 7.5% ggrowth in 2010;; 6.1% in 2011 Inflation expected p to rise to 2.0% in 2010 (2009: ( 0.6%)) 150 Quarterly GDP and annual growth rate 12 CPI and components (% YoY) 140 9 6 130 3 120 0 110 (3) 100 (6) 90 (9) 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q
Slide 30: Economic Transformation Plan (ETP): Economic targets
Economic Transformation Plan (ETP): Economic targets ■ Sets S t the th key k economic i ttargets t ffor th the nextt 10 years ■ Malaysia’s real GDP needs to grow by 6% p.a. ■ Lifting per capita income to USD15,000 (2020) from USD6,700 (2009) Malaysia: Increase in GNI Between 2009 and 2020 via 6% p.a
Slide 31: Economic Transformation Plan (ETP): Banks to benefit
Economic Transformation Plan (ETP): Banks to benefit ■ Banks to benefit from the filtering down of a larger domestic economic activity base ■ Potential loan base of RM1.29 trillion ■ Based on RM1.4 trillion investment requirement under the ETP (2011‐2020) ■ Of which 92% is targeted to come from the
Slide 32: Prospects for FY2011
Prospects for FY2011 ■ Recovering regional economies to spur demand with loans growth of 12% in Malaysia, 24% at BII and 5% in Singapore. ■ International contribution is expected to increase mainly from 2 key home markets off Singapore and d Indonesia d and d lleveraging on Global Wholesale Banking
Slide 33: Prospects for FY2011
Prospects for FY2011 ■ The reframed vision and mission supported by new organisation structure is expected to drive growth. ■ Investment in people, technology and processes to realise vision and strategic objectives, bj ti with ith efforts ff t tto reduce d costs t through synergies and centre of ex
Slide 34: Basel III: Maybank able to comply
Basel III: Maybank able to comply L t t Proposals Latest P l I Impact t on M Maybank b k (B (Bankk llevel) l) 1. Minimum Core Equity Ratio (CER) of 1. Proforma CER as at 30 June 2010 above 4.5% byy 2015. Staggered gg 10%. Going forward, expect to meet implementation of capital minimum CER of 7% with
Slide 35: Key Performance Indicators (KPI) for FY2011
Key Performance Indicators (KPI) for FY2011 Headline KPIs R t Return on Equity E it 14% Loans and Debt Securities 12% Growth O h targets Other Loans Growth • Malaysia 12% • Singapore 5% • BII 24% Net Interest Margin Stable Dividend Payout Ratio 40%‐60% Note: Loans growth for Singapore and BII are in
Slide 36: As we celebrate our 50th anniversary in 2010
As we celebrate our 50th a iv r ar in anniversary i 2010, 2010 Maybank Ma ba k has proven its worth as a bank b l on an unshakeable built h k bl foundation capable of withstanding crises, and alwaysy deliveringg on its promise. 35
Slide 37: Maybank at a glance: Total assets, profit, people, network
DOr of Growth Total Assets >USD 100 BILLION Profit After Tax >USD 1 BILLION Human Capital >40,000 MAYBANKERS WORLDWIDE Global Network >1,750 OFFICES IN 14 COUNTRIES Customers >18 MILLION CUSTOMERS
Slide 38: Thank You
Thank You Disclaimer. This presentation has been prepared by Malayan Banking Berhad (the “Company”) for information purposes only and does not purport to contain all the information that may be required to evaluate the Company or its financial position. No representation or warranty, express or impl
Malayan Banking Berhad (Maybank) — Shareholder Meeting (September 2010) on 6ix