Anz Group Holdings Limited · ASX:ANZ
Anz — H1 2022 Earnings Presentation
109 slides from Anz's earnings presentation, May 4, 2022
Slide 1: 2022 Half Year Results
2022 HALF YEAR RESULTS HALF YEAR ENDED 31 MARCH 2022 RESULTS PRESENTATION AND INVESTOR DISCUSSION PACK 4 MAY 2022 Approved for distribution by ANZ’s Continuous Disclosure Committee Australia and New Zealand Banking Group Limited 9/833 Collins Street Docklands Victoria 3008 Australia ABN 11 005 357 5
Slide 2: CEO and CFO Results Presentations
CEO and CFO Results Presentations Environment, Social & Governance (ESG) and Corporate Overview Divisional Performance Treasury Risk Management Housing Portfolio
Slide 3: Disclaimer & Important Notice
ANZ 2022 Half Year Results DISCLAIMER & IMPORTANT NOTICE The material in this presentation is general background information about ANZ’s activities current as at the date of the presentation. It is information given in summary form and does not purport to be complete. It is not intended to be and sh
Slide 4: 2022 Half Year Results – CEO
2022 HALF YEAR RESULTS SHAYNE ELLIOTT CHIEF EXECUTIVE OFFICER
Slide 5: Stronger, Better Positioned
‘ANZ 2022 Half Year Results STRONGER, BETTER POSITIONED Strong capital position, better allocation of capital, improved isk profile, i disk CAPITAL STRENGTH RISK INTENSITY TISK proiiie, Increased ris APRA Level 2 CET1 Ratio (%) Credit RWA / EAD! (%) adjusted returns for shareholders 12.4 39 11.5 9.6
Slide 6: Financial Performance Overview
ANZ 2022 Half Year Results FINANCIAL PERFORMANCE OVERVIEW 1H22 vs 2H21 vs 1H21 Statutory Profit ($m) 3,530 +10% +20% Cash Profit (continuing operations)! ($m) 3,113 -3% +4% Return on Equity (%) 10.0 -18bps +33bps Earnings Per Share - Basic (cents) 110.8 -2% +5% Dividend Per Share - 100% fully franke
Slide 7: Continued to Simplify the Bank, Resulting in Lower Run Costs
‘ANZ 2022 Half Year Results CONTINUED TO SIMPLIFY THE BANK, RESULTING IN LOWER RUN COSTS TOTAL EXPENSES ($b) 8.8 = 5.6 PRODUCTIVITY FOCUS . 1.3 {8 More digital customer sales Increased self service 45 46 77 73 0.8 0.9 Higher STP? rates Increased use of Cloud 3.7 3.7 Property rationalisation 1 + FY15
Slide 8: Investment Directed to Future Growth Opportunities
ANZ 2022 Half Year Results INVESTMENT DIRECTED TO FUTURE GROWTH OPPORTUNITIES TOTAL INVESTMENT SPEND ($m) INVESTMENT EXAMPLES * New retail platform ANZ Plus * Sustainable financing capabilities * New Retail FX proposition * Migration of apps to Cloud * Single customer service tool 1H20 1H22 HB Growt
Slide 9: Investing in Sustainability
‘ANZ 2022 Half Year Results INVESTING IN SUSTAINABILITY SUSTAINABLE BOND LEAGUE TABLES! Australian Sustainable Bond Cumulative League Table Bookrunner (Ranking on Market share) Volume No.of deals Market share ANZ (#1) $9.7b 42 16.4% Closest peer (#2) $6.0b 25 10.1% New Zealand Sustainable Bond Cumul
Slide 10: Risk Performance
‘ANZ 2022 Half Year Results RISK PERFORMANCE RESHAPING THE PORTFOLIO SINCE 2016 * Capital towards Retail & Commercial Rebal d emanance + Institutional (88% investment grade at Mar 22) * Unsecured Retail * Unsecured Small Business * Third party Asset Finance Reduced / Restricted * Over 25 businesses
Slide 11: Diversified Customer Franchise
‘ANZ 2022 Half Year Results DIVERSIFIED CUSTOMER FRANCHISE CAPITAL ALLOCATION & 1H22 PERFORMANCE New Zealand + Volume growth * Higher risk adjusted margins Institutional * Customer revenue growth * Higher risk adjusted lending margins % of total capital allocation! Australia — Retail * Home Loans gr
Slide 12: Institutional Platforms
ANZ 2022 Half Year Results INSTITUTIONAL PLATFORMS PAYMENTS! Indexed data 192 T 48% | 100 105 0 FY19 FY20_—~FY21 1H22 (annualised) 1. Based on number of payments 2. New Payments Platform NPP AGENCY PAYMENTS2 Indexed data FY19 t61% FY20 8 FY21 1,594 1H22 (annualised) PLATFORM CASH MGT A/C Indexed dat
Slide 13: Improved Australia Home Loan Performance
‘ANZ 2022 Half Year Results IMPROVED AUSTRALIA HOME LOAN PERFORMANCE HOME LOAN GROSS LOANS & ADVANCES! ($b) MEDIAN TIME TO FIRST DECISION? 7 days Complex applications PROCESSING CAPACITY 281 269 265 264 275 278 278 d Simple applications AUTO CREDIT DECISIONED 77% ANZ branch applications? Mar19 Sep19
Slide 14: The Bank We're Building
ANZ 2022 Half Year Results THE BANK WE’RE BUILDING ‘We are the Bank for those in Australia & New Zealand who want to buy and own a home or start, run, and grow a small business and for those larger businesses trading and investing in Asia Pacific’ ‘We work with the best partners to offer competitive
Slide 15: Streams of Work to Deliver the Benefits of Diversification
ANZ 2022 Half Year Results STREAMS OF WORK TO DELIVER THE BENEFITS OF DIVERSIFICATION © Exiting non-core activities to provide capacity and improve focus e Reshaping Institutional to improve sustainable returns and reduce volatility P Strengthening New Zealand to meet regulatory requirements and pre
Slide 16: Exiting Non-Core Activities
ANZ 2022 Half Year Results EXITING NON-CORE ACTIVITIES MAR 2016 MAR 2022 Hl Non-core! ~] 8% ~5% |_| attra Hl Retail & Commercial of capital in non-core activities of capital in non-core activities Agreed the sale of 29 businesses, and reshaped the Institutional business, releasing over $13b in capit
Slide 17: Launched ANZ Plus
ANZ 2022 Half Year Results LAUNCHED ANZ PLUS Purpose-led Mobile-first, propositions human that people love supported to use Simplified, high integrity, highly automated platform Customer centric leading workplace
Slide 18: Launched ANZ Plus
ANZ 2022 Half Year Results LAUNCHED ANZ PLUS oat as Congratulations Its official, welcome to ANZ Plus! Now, let’s set you up with a card. \ eee oat so Total sed © $18,622.38 Savings Jar Rainy Day $3,672.38 Home Deposit = \ ee FEATURES & CAPABILITIES ROLLED OUT Cumulative ~140 ~90 ~50 5 L Launch End
Slide 19: Our Commercial Business
ANZ 2022 Half Year Results OUR COMMERCIAL BUSINESS NET LOANS & ADVANCES! ($b) CUSTOMER DEPOSITS! ($b) y to connect your GoBiz ANZ £> \WORLDLINE Wr, Payment Solutions Hl Business Banking [ll Small Business Banking Basis: Cash Profit, Continuing Operations excluding Large / Notable items 1. Excludes A
Slide 20: Intention to Implement a Non-Operating Holding Company (NOHC)
ANZ 2022 Half Year Results .) Ve INTENTION TO IMPLEMENT A NON-OPERATING HOLDING COMPANY (NOHC) * Intention to lodge a formal application with APRA, the Federal Treasurer & other applicable regulators to establish a NOHC * Should proposed restructure proceed a new listed parent holding company will b
Slide 21: Operating Conditions
ANZ 2022 Half Year Results OPERATING CONDITIONS ‘OLD’ WAYS OF WORKING * Mass market acquisition, limited differentiation * Advice by people through consultation * Dominant role of physical distribution channels * Vertical integration, including product manufacturing * Proprietary, monolithic technol
Slide 22: Priorities for 2022
‘ANZ 2022 Half Year Results PRIORITIES FOR 2022 RESTORE COMPLETE Momentum in Australia Home Loans BS11, recycle capital and improve returns in NZ LAUNCH ANZ Plus: position for a digital Home Loan proposition » CONTINUE Group simplification and productivity 2
Slide 23: 2022 Half Year Results – CFO
2022 HALF YEAR RESULTS FARHAN FARUQUI CHIEF FINANCIAL OFFICER
Slide 24: Overview
ANZ 2022 Half Year Results OVERVIEW CASH PROFIT $m 3,208 3,113 2,990 1H20 2H20 1H21 2H21_ 1H22 Basis: Cash Profit, Continuing Operations CASH EPS cents 113 105 83 50 1H20 2H20 1H21 2H21 111 1H22 CASH ROE % 10.2 9.7 76 47 1H20 2H20. 1H21 2H21 10.0 1H22 2B
Slide 25: Financial Performance
‘ANZ 2022 Half Year Results FINANCIAL PERFORMANCE CASH PROFIT (HoH) a $m 3,208 — Lv 3 0% L] 93 3,113 0 2,990 "204 | 212 || 1H22 vs 2H21 118 a | || + -98 CASH PROFIT (PCP) Flat BAU costs FX adj. & excluding * 4 % Cashrewards 2H21 | 1H22 1H22 vs 1H21 1H21 2H21 Large/ Income Markets BAU Investment — Pr
Slide 26: Net Interest Margin
Sep 21 month: 159 Mar 22 month: 158
Slide 27: NIM Considerations
ANZ 2022 Half Year Results NIM CONSIDERATIONS 1 POSITIVES NEGATIVES Higher earnings on capital and replicated Competitive pressures deposit portfolio from rising interest rates = Oo] 2 s @ Zz Impact of higher swap rates on fixed rate Flexibility in a rising rate environment . mortgages (lag impact)
Slide 28: Capital & Replicated Deposit Portfolio
‘ANZ 2022 Half Year Results CAPITAL & REPLICATED DEPOSIT PORTFOLIO SENSITIVITY OF NII ON CAPITAL AND REPLICATING PORTFOLIO - BASED ON ANZ RESEARCH FORECAST? 2:3 MAR 2022 PORTFOLIO ($b) 142 Sensitive to short 37 term interest rates! " Sensitive to longer term interest rates (mainly 3-5 Years)? Mar 22
Slide 29: Australia Retail & Commercial
ANZ 2022 Half Year Results i} Ve AUSTRALIA RETAIL & COMMERCIAL INCOME ($b) RISK ADJUSTED MARGINS? (%) NET LOANS & ADVANCES ($b) 5.99 5.88 5.68 5.84 5.88 1H20. 2H20 1H21 ) 2H21_ 1H22! 1H20 2H20 1H21 2H21_ 1H22 Mar 20 Sep 20 Mar21 Sep21 Mar 22 Hi retail Hl Commercial Hl Home Loans Ml Commercial {| Car
Slide 30: Australia Housing
‘ANZ 2022 Half Year Results AUSTRALIA HOUSING HOME LOAN BALANCE AND FLOWS ($b) HOME LOAN APPLICATIONS & PROCESSING CAPACITY Indexed data! 8 — 150 5 7) = LJ “i 7 278.0 278.4 130 -32 120 110 100 90 + 80 Sep 21 New Refi.In Redraw Refi.Out Repay Mar 22 Sep 20 Mar 21 Sep 21 Mar 22 Sales & Interest / Othe
Slide 31: Institutional ex Markets
‘ANZ 2022 Half Year Results INSTITUTIONAL EX MARKETS INCOME! ($b) RISK ADJUSTED MARGINS? (%) 1.63 2.07 2.03 1H20. 2H20 1H21 2H21_— 1H22 1H20.) 2H20 1H21 2H21_~ 1H22 Micr Mirco [Ml trade [ill other? 1 2 3. Other: 1H20 0.03, 2H20.0.01, 1121 0.02, 2H21 0.02, 1120.01 CF: Corporate Finance; Trade: Trade
Slide 32: Markets Income
‘ANZ 2022 Half Year Results MARKETS INCOME MARKETS INCOME v 13% 1H22 vs 2H21 CUSTOMER FRANCHISE! tT 23% 1H22 vs 2H21 Basis: ash Profit, Continuing Operations excluding Large / Notable items 1,508 131 1,164 24, 468 1,012 $m 940 238 1 930 826 7, 48 402 190 445 902 909 588 589 478 -10 1H19 2H19 1H20 2H
Slide 33: Our Payments and Cash Management (PCM) and Platforms Business
‘ANZ 2022 Half Year Results % OUR PAYMENTS AND CASH MANAGEMENT (PCM) AND PLATFORMS BUSINESS STRONG GROWTH MOMENTUM MARKET LEADING POSITION TARGETED INVESTMENT # of PCM transactions (b) Clearing market share (%) Investment spend ($) 417% cacr 53 59 420% Maud Mi Nnzp - 46 1.3 42 1.1 FY19 FY20 FY21 FY1
Slide 34: Sustainability-led Value Creation in Institutional
‘ANZ 2022 Half Year Results SUSTAINABILITY-LED VALUE CREATION IN INSTITUTIONAL A MAJOR REPONSIBILITY A MAJOR OPPORTUNITY ANZ DIFFERENTIATION 1st Australian bank to join the Net- Zero Banking Alliance of banks committed to aligning their portfolio with net zero by 2050 62% of $50b sustainable funding
Slide 35: New Zealand Division (Excludes Institutional)
‘ANZ 2022 Half Year Results i} Ve NEW ZEALAND DIVISION (EXCLUDES INSTITUTIONAL) INCOME! (NZDb) RISK ADJUSTED MARGINS? (%) NET LOANS & ADVANCES! (NZDb) 1.82 1.85 493 508 5.12 1H20. 2H20. =1H21 9 2H21_—-1H22 1H20 2H20 1H21 2H21_ 1H22 Mar 20 Sep20 Mar21 Sep21 Mar 22 Hl Personal MM Business {/)) Other?
Slide 36: Expenses
‘ANZ 2022 Half Year Results EXPENSES TOTAL (FX ADJ) t 2% 1H22 vs 2H21 BAU (FX ADJ) 0% 1H22 vs 2H21 Basis: Cash Profit, Continuing Operations excluding Large / Notable items Flat‘Run the bank’ costs (ex. Cashrewards) sm 67 14 97 4,423 22 4,445 10 7 | -95 { ms 760 t Investment Inline with expensed rat
Slide 37: Investment
ANZ 2022 Half Year Results INVESTMENT TOTAL INVESTMENT SPEND ($m) 1,058 811 752 15% 19% 20% 1,043 CAPITALISED SOFTWARE BALANCE ($m) 2,893 25% 46% 5% 1H20 2H20 1H21 2H21 72% expensed 79% expensed Hl Asset Lifecycle Mgmt Ml Regulatory, Compliance & Risk Basis: Continuing Operations 1H22 88% expensed S
Slide 38: Benefits of Our Investments
ANZ 2022 Half Year Results BENEFITS OF OUR INVESTMENTS VALUE DRIVER KEY INITIATIVES (EXAMPLES) SG ©@ ® © MODERN DIGITAL EXPERIENCES Better customer & employee experience and engagement 18351 Digital CX Banker experience Markets digitisation ACTIONABLE Better business decisions & customer insight Dat
Slide 39: Provisions
ANZ 2022 Half Year Results PROVISIONS TOTAL PROVISION CHARGE ($m) 1,674 1,048 1,064 669 402 187 ys nl -678 7 -284 -491 2H19 1H20 2H20 1H21 2H21 1H22 HP charge MMICP charge / (release) Basis: ash Profit, ContinuingOperations 1. Internal Expected loss 2. Collective Provision Balance as a % of Credit R
Slide 40: Capital
‘ANZ 2022 Half Year Results CAPITAL APRA LEVEL 2 CET1 RATIO (%) 0.76 | 1 “0.48 zs 11.53 -0.19 7 t 0.13 Timing impact of higher term rates on the capital and replicated deposits Sep 21 Cash Profit cRWA Non cRWA Capital 2021 Final Share Other? Mar 22 (ex L/N)! (ex FX) (ex FX) Deduction Dividend Buy Ba
Slide 41: Priorities for 2022
‘ANZ 2022 Half Year Results PRIORITIES FOR 2022 >) HOME LOANS [ia SIMPLIFICATION G CAPITAL & INVESTMENT ALLOCATION be RISK ADJUSTED RETURNS
Slide 42: ESG & Corporate Overview
2022 HALF YEAR RESULTS ENVIRONMENT, SOCIAL & GOVERNANCE (ESG) & CORPORATE OVERVIEW INVESTOR DISCUSSION PACK
Slide 43: Our ESG Related Disclosures
ANZ 2022 Half Year Results OUR ESG RELATED DISCLOSURES Business Institutional ‘ommun patticipation and diversity About us / ESG / Our approach @ Find ANZ 2 Support Centre SG Investor date on information & Ea “e ssewasonwane | Annual event to Climate Our ESG approach roms bre nvestorson Change Each y
Slide 44: Snapshot of Half Year ESG Target Performance
ANZ 2022 Half Year Results SNAPSHOT OF HALF YEAR ESG TARGET PERFORMANCE ESG target ENVIRONMENTAL SUSTAINABILITY Fund and facilitate at least AUSSO billion by 2025 towards sustainable solutions for our customers, including initiatives that help improve environmental sustainability, support disaster r
Slide 45: Our Resources Portfolio
ANZ 2022 Half Year Results OUR RESOURCES PORTFOLIO RESOURCES PORTFOLIO (EAD! $b) THERMAL COAL MINING (EAD! $b) 2.0 15 1.0 05 0.0 Sep 15Sep 16Sep 17Sep 18 Mar Sep 19 Mar Sep20 Mar Sep 21 Mar 19 20 21 22 * Since 2015 our exposure to thermal coal mining reduced by ~75% + ANZ’s exposure to thermal coal
Slide 46: Corporate Profile
‘ANZ 2022 Half Year Results CORPORATE PROFILE 9 Founded in 1835 and headquartered in Melbourne Top 7 listed corporate in Australia and the largest bank in New Zealand by bank market share Consumer and corporate offerings in our core markets, and regional trade and capital flows across the region Mar
Slide 47: The Bank We're Building
ANZ 2022 Half Year Results THE BANK WE’RE BUILDING Better customer propositions: ‘purposeful; engaging, efficient and ‘safe’ Better access to capital and talent, driving greater capacity to invest Better financial outcomes Customers will have better Better financial wellbeing & financial wellbeing,
Slide 48: Shareholder Returns
‘ANZ 2022 Half Year Results SHAREHOLDER RETURNS DIVIDEND PER SHARE (cents) 160 142 FYI8 FY19 FY21 WM interim Ml Final 1. Asteported 2. Basis: Cash Profit FY22 SHARE PRICE ($) 28.2 2 28.2 276 : | i 7 [J | ff 2018 2019 I Share price close (last trading day in September of the financial year) 2020 2021
Slide 49: Balance Sheet Composition
‘ANZ 2022 Half Year Results BALANCE SHEET COMPOSITION EXPOSURE AT DEFAULT! EOP $b 1,103 103s eo = ce Mar 21 Sep 21 Mar 22 Basis: Continuing Operations 1. EADexcludes amounts for ‘Securitisation’ and ‘Other Assets’ Basel classes, as per APS330. Data providedis on a Post CRM basis, net of credit risk
Slide 50: Total Operating Income
‘ANZ 2022 Half Year Results TOTAL OPERATING INCOME TOTAL INCOME BY DIVISION ($b) NET INTEREST INCOME BY DIVISION ($b) 9.0 89 70 7.2 71 84 bn O-3 I O.2 al ie ie ‘6 7 18 14 15 15 121 SHI Hoo 1H21 2H21 1H22 Hl Australia R&C [lll] New Zealand Hl Australia R&C [lll] New Zealand Hl institutional Ml Other
Slide 51: Expense Management
‘ANZ 2022 Half Year Results EXPENSE MANAGEMENT TOTAL EXPENSES BY DIVISION ($b) 45 46 07 1H21 2H21 1H22 HM Australia R&C [Ml New Zealand Hl institutional Ml Other Basis: Continuing Operations TOTAL EXPENSES BY CATEGORY ($b) FULL TIME EQUIVALENT STAFF (000s) 1H21 2H21 1H22 Mar 21 Sep 21 Mar 22 Hl Pers
Slide 52: Effective as at 28 April 2022 Upper limit
1. Effective as at 28 April 2022 2. Upper limit
Slide 53: Risk Adjusted Performance
‘ANZ 2022 Half Year Results RISK ADJUSTED PERFORMANCE GROUP! NET INTEREST INCOME / AVERAGE CREDIT RISK WEIGHTED ASSETS (%) 4.18 430 4.22 5.75 5.95 5.88 1H21 2H21 1H22 AUSTRALIA R&C 1H21 2H21 AVERAGE CREDIT RISK WEIGHTED ASSETS ($b) 316 312 318 will a O Oo 1H21 2H21 Basis: Continuing Operations 1. Ex
Slide 54: Risk Adjusted Return
‘ANZ 2022 Half Year Results RISK ADJUSTED RETURN GROUP AUSTRALIA R&C INSTITUTIONAL NEW ZEALAND PROFIT BEFORE PROVISIONS / AVERAGE TOTAL RISK WEIGHTED ASSETS (%) 2.16 3.17 149 3.04 2 3.01 1.87 1.95 275 295 os 1.29 ° 1H21 2H21 1H22 1H21 2H21 1H22 1H21 2H21 1H22 1H21 2H21 1H22 AVERAGE TOTAL RISK WEIGHT
Slide 55: Large / Notable Items
ANZ 2022 Half Year Results LARGE / NOTABLE ITEMS CUSTOMER REMEDIATION Continuing Operations Pre-Tax $m 485 352 $853m provisions 86 ‘on Balance Sheet 1H18 2H18 1H19 2H19 1H20 2H20 1H21 2H21 1H22 Net Interest Income [ll Other Operating Income Ill Expenses LARGE / NOTABLE ITEMS sm Cash Profit Divestmen
Slide 56: Divisional Performance
2022 HALF YEAR RESULTS DIVISIONAL PERFORMANCE INVESTOR DISCUSSION PACK
Slide 57: Australia & New Zealand
ANZ 2022 Half Year Results AUSTRALIA & NEW ZEALAND USTRALIA GROSS NEW HOME LOAN ACCOUNTS - AUS! REGISTERED ANZ APP CUSTOMERS DIGITAL SALES - AUS. 000s m % of total retail sales 170 179 4.0 49% 51% 35 119 87 31 40% FY19 FY20 FY21 1H22 Mar 20 Mar 21 Mar 22 FY19 FY20 FY21 1H22 Min 2H NEW ZEALAND GROSS
Slide 58: Australia Retail & Commercial - Financial Performance
ANZ 2022 Half Year Results AUSTRALIA RETAIL & COMMERCIAL - FINANCIAL PERFORMANCE Balance Sheet Expenses / FTE Credit Quality / RWAs Profit and Returns NLAst (Sb) & NIM NI/OOI Contribution ($m) Total Provision Charge ($m) Cash Profit ($m) 342 340 341 4,553 4,607 4319 1,857 1,918 1,974 2,155 1911 1,80
Slide 59: Australia Retail
ANZ 2022 Half Year Results AUSTRALIA RETAIL CONTRIBUTION (MAR 22 $b) 341 263 116 285 147 30 Net Loans & Advances! Customer Deposits Total Income (1 commercial & Private Bank Ill Retail Income 8% 8% Expenses +11% +6% Profit Before Provisions “19% 16% Cash Profit 22% “10% Net Loans & Advances (NLA) “1
Slide 60: Australia Retail - Loans & Deposits
‘ANZ 2022 Half Year Results AUSTRALIA RETAIL - LOANS & DEPOSITS LENDING COMPOSITION ($b) 272 | 285 \ Mar 20 Mar 21 Hl Home Loans Il Cards, Personal Loans & Other MARKET SHARE! (%) 1 Housing Lending Credit Cards 0 Mar20 MM Mar 21 Ml Mar 22 Source: APRA Monthly Authorised Deposit taking institution St
Slide 61: Australia Commercial & Private Bank (C&PB)
ANZ 2022 Half Year Results AUSTRALIA COMMERCIAL & PRIVATE BANK (C&PB) CONTRIBUTION (MAR 22 $b) 341 263 285 147 43 116 56 13 Net Loans & Advances! Customer Deposits Total Income Hl Commercial & Private Bank [] Retail Expenses 1% 2% Profit Before Provisions +5% 4% Cash Profit Flat +7% Net Loans & Adva
Slide 62: Australia C&PB - Loans & Deposits
‘ANZ 2022 Half Year Results AUSTRALIA C&PB- LOANS & DEPOSITS LENDING COMPOSITION ($b) 55 55 56 13 12 12 39 40 41 Mar 20 Mar 21 Mar 22 I Business Banking’ [Il Small Business Banking Private Bank & Advice BUSINESS BANKING!2 ($b) 39 40 4 23 26 21 Mar 20 Mar 21 Mar 22 Hl Net Loans & Advances Ill Custome
Slide 63: Australia C&PB - Book Composition & Risk Weight Intensity
‘ANZ 2022 Half Year Results AUSTRALIA C&PB - BOOK COMPOSITION & RISK WEIGHT INTENSITY DIVERSIFIED PORTFOLIO - GEOGRAPHICAL VIEW Mar 22 % of Exposure at Default (EAD)! Mi victas QLD Ml ANT MM Nsw/act HWA Ml Other DIVERSIFIED PORTFOLIO - INDUSTRY VIEW Mar 22 % of Exposure at Default (EAD)" Hl comm. Pr
Slide 64: New Zealand Division - Financial Performance
ANZ 2022 Half Year Results NEW ZEALAND DIVISION - FINANCIAL PERFORMANCE Balance Sheet Expenses / FTE Credit Quality / RWAs Profit and Returns NLAs! (NZDb) & NIM NII/OOI Contribution (NZDm) Expenses (NZDm) Total Provision Charge (NZDm) Cash Profit (NZDm) 135 139 13 1,731 1,819 1,854 657 734 m1 819 79
Slide 65: New Zealand Division - Contribution & Profit Drivers
ANZ 2022 Half Year Results NEW ZEALAND DIVISION - CONTRIBUTION & PROFIT DRIVERS CONTRIBUTION (MAR 22 NZDb) 139 101 1.85 Net Loans & Advances ‘Customer Deposits CL Business [Ml Personal [ll Other Total Income Income +7% +2% Expenses +8% 3% Profit before provisions +6% +5% Cash Profit +2% +6% Net Loan
Slide 66: New Zealand Division - Balance Sheet
‘ANZ 2022 Half Year Results NEW ZEALAND DIVISION - HOUSING! ANZ Performance (NZDb) 150 100 87.6 95.4 oa 50 ° Mar 20 Mar 21 Mar 22 HM owner Occupied MM RIL Relative to system growth? 30.7% 30.6% 6.4% 6.8% 3.5% 3.7% 1H20 1H21 1H22 Hil system growth MM ANZ growth —®- Market share 1. Housing includes bu
Slide 67: Australia & New Zealand 90+ Days Past Due (DPD)
ANZ 2022 Half Year Results AUSTRALIA & NEW ZEALAND 90+ DAYS PAST DUE (DPD) CUSTOMER PORTFOLIO!23 % of Total Portfolio Balances 5.0 AS 40 3.5 3.0 25 2.0 15 : a 0.5 0.0 Mar Sep Mar Sep Mar Sep Mar Sep Mar Sep Mar 17 17 18 18 19 19 20 20 21 21 22 — Australia Home Loans — Australia Consumer Cards Austra
Slide 68: Digital Platforms - Scalable Operating Leverage, Capital Light
ANZ 2022 Half Year Results DIGITAL PLATFORMS - SCALABLE OPERATING LEVERAGE, CAPITAL LIGHT PAYMENTS! Pr 192 @ Y 130 100 105 Fy19-FY20.—FY21 FY22 (annualised) + Payments made by customers to their suppliers and employees through our digital channels, + Covers payments initiated via Web & Mobile, direc
Slide 69: Institutional - Financial Performance
ANZ 2022 Half Year Results INSTITUTIONAL - FINANCIAL PERFORMANCE Balance Sheet Expenses / FTE Credit Quality / RWAs Profit and Returns 2,478 2,432 a 387 147 158 175 18: a 1171 1,149 1,210 a : a ae “all Mar21 Sep21. Mar 22 1H21 2H21 1H22 1H21 2H21 1H22 1H21 2H21 1H22 1H21 2H21 1H22 NLAs CF [Markets =
Slide 70: Institutional - Income & Asset Composition
‘ANZ 2022 Half Year Results INSTITUTIONAL - INCOME & ASSET COMPOSITION INCOME COMPOSITION! ($m) 2,387 14 927 1H20 2H20 1H21 2H21 1H22 HM Markets MM Pcm Trade MCF Mill Other Basis: Continuing Operations Excluding Large / Notable items 1. CF: Corporate Finance; Trade: Trade & Supply Chain; PCM: Paymen
Slide 71: Institutional Margins
‘ANZ 2022 Half Year Results INSTITUTIONAL MARGINS! RISK ADJUSTED NIM DRIVERS (bps) RISK ADJUSTED NIM (bps) - BY GEOGRAPHY f =1bp, see et y Institutional AUS / PNG 203 5 202 257225 222 230222 203 2H21 Funding Mix &FX Deposit Margins Asset Margins 1H20 2H20 1H21) 2H21_—-1H22 1H20 2H20) 1H21) 2H21_—-1H
Slide 72: Institutional - Credit Risk Weighted Assets (CRWA)
‘ANZ 2022 Half Year Results INSTITUTIONAL - CREDIT RISK WEIGHTED ASSETS (CRWA) CRWA AVERAGE! ($b) 167 159 mn 149 104 1H20 2H20 1H21 2H21 1H22 HM Markets MM Trade (cr Hl Other CRWA INTENSITY (EOP $b) 51.3% 52.0% 50.8% 48.5% 49.1% i - Mar 20 Sep 20 Mar 21 Sep 21 Mar 22 TM CRWA -— CRWA/EAD (ex Markets)
Slide 73: Institutional - Markets Income Composition
ANZ 2022 Half Year Results INSTITUTIONAL - MARKETS INCOME COMPOSITION MARKETS INCOME COMPOSITION ($m) MARKETS AVG VALUE AT RISK (99% VaR $m) 100 Non-tradedVak increased in FY20 with 80 COVID-elated volatility and then 30 higher HOLA, and since has continued toflatten to 1H22 60 20 21 40 19 940 ‘Trad
Slide 74: Treasury
2022 HALF YEAR RESULTS TREASURY INVESTOR DISCUSSION PACK
Slide 75: Regulatory Capital
‘ANZ 2022 Half Year Results REGULATORY CAPITAL CAPITAL UPDATE © Level 2 CET1 ratio of 11.5% and 18.0% on an Internationally Comparable basis', above APRA’s ‘Unquestionably Strong’ benchmark2, CET1 reduction in the half mainly driven by: o Higher underlying CRWA from core lending growth in Institutio
Slide 76: Regulatory Capital
ANZ 2022 Half Year Results REGULATORY CAPITAL Capital Level 2 CET1 capital ratio 12.4 11.5 Level 2 CET1 HoH mvmt 110 bps -10 bps -81 bps Additional Tier 1 capital ratio 19 2.0 17 Tier 1 capital ratio 14.3 14.3 13.2 Tier 2 capital ratio 4.0 41 3.4 Total regulatory capital ratio 18.3 18.4 16.6 Leverag
Slide 77: Internationally Comparable Regulatory Capital Position
ANZ 2022 Half Year Results INTERNATIONALLY COMPARABLE! REGULATORY CAPITAL POSITION LEVEL 2 CAPITAL RATIO (APRA VS INTERNATIONALLY COMPARABLE)? (%) 25.7 263 249 5.2 54 24 16.6 34 17 18.1 115 Int. Comparable APRA Int. Comparable APRA Int. Comparable Mar 21 Sep 21 Hl common Equity Tier 1 Il Additional
Slide 78: CET1 Ratios and Leverage
ANZ 2022 Half Year Results e Ve CET1 RATIOS! LEVERAGE!23 0% 5% 10% 15% 20% 25% 0% 1% 2% 3% 4% 5% 6% 7% 8% SEB Bi Svenska Handelsbanken oss Swedbank Nordea UOB pantt2twest intesatabonank anske Ban r Credit Agricole Group mes San AES Rabobank Raiffeisen Bank Intl Morgan Stanley Credit Suisse ‘ABN Amro
Slide 79: Balance Sheet Structure
BALANCE SHEET STRUCTURE! Pro forma NSFR is ~119% once RSF benefit associated with TFF and CLF? is removed NSFR MOVEMENT (%) 42 oo i 01 123.1 Retail/ Loans Capital& + LTDebt —FI/Bank = Othe?’ = Mar 22 Corp/ Hybrids &Repo Operational Deposits NSFR COMPOSITION (Mar-22 $b) Sep 21 583 Non-Financial Corpo
Slide 80: Liquidity Coverage Ratio (LCR) Summary
‘ANZ 2022 Half Year Results LIQUIDITY COVERAGE RATIO (LCR) SUMMARY! MOVEMENT IN AVERAGE LCR SURPLUS? ($b) LCR COMPOSITION (AVERAGE 1H22, $b) (oH | rtH22 | LAVG LCR 13690 | 1“ LAWG LER 13200 | eral RNS other ALAS Co — 58 1 a a4 ale fund mer deposits &othert 2H21 cP Liquid — Retail/SME Corp/Fl/ Wholes
Slide 81: Term Wholesale Funding Portfolio
‘ANZ 2022 Half Year Results i} Ve TERM WHOLESALE FUNDING PORTFOLIO! ISSUANCE ($b) MATURITIES ($b) 32 : 31 24 25 : -" LI Zz = | : : : i 4 a || So FYI6 FYI7 FYI8 FYI9 FY20 Fy21 1H22 2H22 FY23 FY24 FY25 FY26 FY27 FY28+ TM senior Unsecured Ml Covered Bonds [ll Tier'2 MM aves Miter MMB NZFLP/TLF PORTFOLI
Slide 82: ANZ's Tier Capital Profile
‘ANZ 2022 Half Year Results Ve 3 ANZ’S TIER 2 CAPITAL PROFILE! ANZ’S TIER 2 CAPITAL REQUIREMENT TO PROGRESSIVELY TIER 2 CAPITAL (NOTIONAL AMOUNT) INCREASE TO MEET TLAC REQUIREMENT + ANZ.BGL issued $11.4b since July 2019 across AUD, EUR, GBP, and USD muso + Future 2 issuance needs expected to be appr
Slide 83: Capital & Replicating Deposits Portfolio
Slide 84: Capital & Liquidity Framework
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Slide 85: 2022 Half Year Results – Risk Management
Slide 86: Long Run Provisions & Loss Rates
Slide 87: Individual Provision (IP) Charge
Slide 88: Collective Provision (CP) Balance & Charge
Slide 89: Collective Provision (CP) Balance
Slide 90: Portfolio Composition and Coverage Ratios
Slide 91: Expected Credit Loss – Economic Scenarios
Slide 92: Impaired Assets
Slide 93: Risk Weighted Asset (RWA)
Slide 94: Risk Weighted Assets & Exposure at Default Composition
Slide 95: Total Portfolio Composition
Slide 96: ANZ Institutional Portfolio
Slide 97: ANZ Institutional Portfolio
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Slide 98: ANZ Asian Institutional Portfolio (Market of Incorporation)
Slide 99: 2022 Half Year Results – Housing Portfolio
Slide 100: Australia Home Loans – Portfolio Overview
Slide 101: Australia Home Loans – Portfolio Composition
Slide 102: Slide 102
Slide 103: Australia Home Loans – Repayment Profile
Portfolio Flow3,4 Flow3,4 Portfolio Flow3,4 Portfolio Flow3,4
Slide 104: Slide 104
Slide 105: Australia Home Loans – Portfolio Performance
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Slide 106: New Zealand Home Loans – Portfolio Overview
Slide 107: New Zealand Loans – Home Lending & Arrears Trends
Slide 108: Further Information
Slide 109: Slide 109