Commonwealth Bank Of Australia · ASX:CBA
Commonwealth Bank Of Australia — Debt Investor Presentation (August 2025)
65 slides from Commonwealth Bank Of Australia's debt investor presentation, Aug 13, 2025
Slide 1: Fixed Income Investor Discussion Pack
Fixed Income Investor Discussion Pack For the full year ended 30 June 2025 Commonwealth Bank of Australia
Slide 2: Disclaimer
The material in this presentation is general background information about the Group and its activities current as at the date of this presentation, 13 August 2025. It is information given in summary form and does not purport to be complete. It is intended to be read by a professional analyst audienc
Slide 3: RBA rate cutting cycle in full swing
RBA rate cutting cycle in full swing1 As inflation back within target1 Annual economic growth lifting after weak 20242 RBA cash rate Annual growth in inflation Quarterly growth in GDP % % % 5 9 Trimmed Mean CPI 15 4 7 10 3 5 Headline CPI 5 Cash rate 2 3 0 1 1 -5 0 -1 -10 Jun 13 Jun 17 Jun 21 Jun 25
Slide 4: Real per capita consumption weak
Real per capita consumption weak1 Due to scarring from real household disposable Housing debt servicing costs at highs2 Real household consumption quarterly growth per capita income loss1 Share of household disposable income Real household disposable income index and trend % % Index 0.4 Australia 11
Slide 5: Spending and savings by age
Spending1,2 Savings1,3 Year on year change: Apr – Jun 25 Essentials Discretionary Apr – Jun 24 Age, years 5.8% 2.8% 1.9% 20 - 24 6 25 - 34 4.4% 2.6% 0.8% 5 2.9% 4.1% 2.1% 35 - 44 4 2.6% 4.4% 3.3% 45 - 54 3 2.8% 4.4% 4.3% 55 - 64 2 2.6% 2.9% 7.6% 65+ 1 1. On a nominal basis. Per customer. For spendin
Slide 6: Wages growth moderating
Wages growth moderating1 Labour market1 Non-market employment slowing2 Wage Price Index (annual change) Employment change and unemployment rate Annual employment growth by market and non-market sector3 % % 000 % 4 7.0 10 Non-market employment Annual wages growth 350 Thousands 6.0 Unemployment rate (
Slide 7: Global trade uncertainty index
Global trade uncertainty index1 Estimated tariff impact on key economies2 Australia’s national income at risk if commodity Index GDP impact in 2025 from tariff measures prices fall3 Terms of trade index % % Index 20 0.0 120 15 -0.5 100 10 -1.0 80 5 -1.5 60 0 -2.0 40 Jun 10 Jun 15 Jun 20 Jun 25 Aust.
Slide 8: National home price growth rising again
National home price growth rising again1 Moderation in construction costs and rents1 New lending just off its recent highs2 Dwelling prices (8 capital cities) Annual growth in advertised rents and CPI dwelling costs Housing loan approvals (excluding refinancing) % % % $bn 6 20 22 Owner-occupier New
Slide 9: Australian economic forecasts
GDP % Headline CPI % Unemployment rate % Financial year average Year on year, June quarter June quarter average GDP Nominal GDP 6.1 6.0 4.3 4.1 4.2 4.2 11.9 10.0 3.8 3.8 3.4 2.8 3.6 2.2 4.6 2.1 1.4 1.3 4.2 3.8 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024
Slide 10: New Zealand economic forecasts
GDP % CPI % Unemployment rate % June year average Year on year, June quarter June quarter average GDP Nominal GDP 5.2 5.1 7.3 4.7 9.8 6.0 3.3 3.7 6.5 3.3 4.0 4.8 3.9 2.7 2.4 1.8 3.5 0.7 0.6 (0.8) 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 Cash
Slide 11: Summary
Summary
Slide 12: Market shares, provisioning, capital, returns versus peers
Retail MFI share1 Home lending share2 Household deposits share3 Business MFI share1 Nearest peer Deposit funding Peers as at March 20254 44.8% 40.1% 78% 73% 68% 65% 15.3% 13.2% 33.4% 18-24 25-34 CBA Peer 3 Peer 2 Peer 1 years years 24.6% 26.4% 27.3% 20.0% 20.7% 19.3% 18.4% 16.8% 16.1% 14.0% 11.8% 13
Slide 13: Retail and Business market share
Retail MFI share1 Retail transaction accounts2 Home lending4 Home loans linked to a transaction account Jun 25 #1 vs Jun 24 +4% vs Jun 24 +6% Retail 1 in 3 33.4% 11.2 11.7 442 566 600 >97% Australians 16.8% m 8.7 $bn Nearest peer CBA Jun 19 Jun 24 Jun 25 Jun 19 Jun 24 Jun 25 5 +16.6% gap to nearest
Slide 14: CommBank app, Yello and Bankwest
CommBank app + CommBank Yello Bankwest Simpler & more rewarding Transformed into a digital bank >9 million >90,000 • Relaunched CommBank Yello active app users2 • Reimagined app and website new-to-bank customers acquired in FY25 • Leading AI capability, highly personalised • Simpler digital banking
Slide 15: Business Banking and CommBank Yello
CommBank Yello Auto-decisioned Change in Business MFI share3 Business transaction accounts Business lending4 for Business lending Jun 25 vs Jun 19 +65% +76% 420bpts 1.3 161 0.8 92 m $bn Jun 19 Jun 25 Jun 19 Jun 25 90bpts Business deposits5,6 Cash NPAT +64% +48% (40bpts) 4.1 40% of 185 Group 113 2.8
Slide 16: Supporting customers and protecting communities
• Supporting our customers with ongoing cost-of-living pressures • Provided more than 139,000 tailored payment arrangements for customers most in need of support1 Supporting • Helped more than 140,000 households to buy a home2 and provided support for first home buyers customers • Extended commitmen
Slide 17: Operating income, expenses, pre-provision profit, cash NPAT
Operating income Operating expenses Pre-provision profit Cash NPAT Disciplined approach to volume Inflation and investment Higher operating income and Lower loan growth with stable underlying margin in technology and frontline growth in operating expenses impairment expense +5% +6% +3% +4% 28,465 27
Slide 18: Deposit funding, long-term funding, liquid assets, capital
Deposit funding1 Long-term funding Liquid assets3 Capital % of total funding Weighted average maturity2, yrs Average4, $bn CET1 ratio, Level 2 78% 5.1yrs $184bn 12.3%7 5.1 71% 10.7%6 10.25% 57% 137 APRA 3.5 minimum8 5.0%5 50 Pre- Pre- Pre- Pre- GFC GFC GFC GFC COVID COVID COVID COVID Jun 08 Jun 19 J
Slide 19: Loan impairment expense and arrears
Loan impairment expense Arrears2 Troublesome & non-performing exposures3 Loan loss rate, bpts1 90+ days Corporate, $bn FY23 FY24 FY25 Home loans Personal loans Credit cards % of TCE: 0.85% 0.80% 1.11% 1.01% 0.97% Consumer 11 6 5 Corporate 15 16 14 Total 12 9 7 1.56% 1.51% 6.5 6.2 6.3 1,108 5.3 1.02%
Slide 20: Total credit provisions and scenarios
Total credit provisions Provisions and scenarios $bn Jun 25 TP/CRWA: 1.29% 1.62%2 1.60%2 8.5 $6.4bn $6.4bn 6.2 4.8 ~$2.6bn above 3.2 3.3 Corporate 3.8 central scenario 3.0 3.1 Consumer Pre-COVID $bn $bn Jun 19 Dec 24 Jun 25 Central Recognised Downside scenario3,4 provisions scenario 3,5 1. The Group
Slide 21: Home lending portfolio and new business
Portfolio1 Jun 24 Dec 24 Jun 25 New business1 Jun 24 Dec 24 Jun 25 Total balances – spot ($bn) 596 616 634 Total funding ($bn)8 69 87 85 9 Total balances – average ($bn) 587 605 623 Average funding size ($’000) 457 490 490 10 Total accounts (m) 1.9 1.9 1.9 Serviceability buffer (%) 3.0 3.0 3.0 Varia
Slide 22: Total committed exposures by industry
TCE ($bn) TNPE ($bn) TNPE % of TCE Provisions % of TCE Jun 24 Dec 24 Jun 25 Jun 24 Dec 24 Jun 25 Jun 24 Dec 24 Jun 25 Jun 24 Dec 24 Jun 25 Government Administration & Defence 174.5 175.6 185.4 0.0 0.0 0.0 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Finance & Insurance 98.9 111.2 115.6 0.1 0.0 0.0 0.1% 0.0% 0.0% 0
Slide 23: Funding, liquidity & capital
Funding, liquidity & capital
Slide 24: Funding composition and profile
Funding composition Wholesale funding2 Funding profile % of total funding Long-term as % of total wholesale funding $bn FY25 Maturity4 66% 68% 69% Issuance Short-term 8% 8% 7% 42 wholesale1 24% 14% 15% 15% 38 Long-term 19% 43% 30 30 30 wholesale2 5.2 5.1 5.1 23 WAM3 WAM3 19 78% 77% 78% 3.5 WAM3 Depo
Slide 25: Customer deposits vs peers and by segment
Customer deposits vs peers1 Customer deposits by segment4 $bn $bn 874 909 % of total funding 70% 78% 65% 73% 68% 852 ASB & Other 100 106 12% 98 6 yr 909 158 17% 758 IB&M 154 149 CAGR 193 697 581 1% 638 218 227 25% 103 262 164 BB 216 21% 173 Other deposits 178 100 76 Operational deposits1 9% 92 33 61
Slide 26: Europe, US and CBA balance sheet comparison
Europe2 US3 CBA Assets – CBA has a stable, high quality asset profile: • High proportion of well-secured home lending assets Assets Liab + Equity Assets Liab + Equity Assets Liab + Equity 4% • Very low proportion of higher risk unsecured consumer 11% finance/personal lending 17% 20% 18% 21% 15% • HQ
Slide 27: Portfolio mix and funding by product
Portfolio mix Short-term funding by product1,4 Jun 25 31% 69% Short-term funding 1 Certificates of deposits 52% 2 Long-term funding Dec 24 32% 68% Term Funding Facility (TFF) Commercial paper 33% Jun 24 34% 66% MTN 15% Dec 23 26% 61% 13% Long-term funding by currency Long-term funding by product4 Se
Slide 28: Total Capital ratio of 20.9% as at 30 Jun 25
• Total Capital ratio of 20.9% as at 30 Jun 25, $13.2bn above 1 Jan 26 requirement of 18.25%. • With 7.0% of Tier 2 as at 30 Jun 25, CBA is well positioned to meet the upcoming increases to the LAC requirement. • Strong Tier 2 credit rating – A-/A2/A- per S&P / Moody’s / Fitch at 30 Jun 25. 1 Jan 20
Slide 29: APRA requirements effective 1 Jan 2026
APRA Requirements • APRA released a consultation package on 8 Jul 2025 outlining proposed amendments to prudential and reporting standards to implement and manage the impacts of removing Additional Tier 1 Capital (AT1) from the prudential framework Total Capital Changes • For advanced banks, the exi
Slide 30: Regulatory change implementation details
Change Implementation Details • Targeted revisions to ensure ADIs have strong crisis preparedness, prudently value their liquid assets and minimise potential contagion ADI Liquidity and APS 210 and APS 111 risks. Capital Standards (1 Jul 2025) • These revisions are not expected to result in any mate
Slide 31: CET1 international adjustments
CET1 International adjustments1 Level 2 Definition of Risk weighting equity investments, deferred tax assets, capitalised expenses which are fully deducted from CET1 1.5% capital under APRA rules 18.7% IRRBB 1.4% Removal of IRRBB RWA from APRA’s minimum Pillar 1 capital requirements International RW
Slide 32: Financial overview
Financial overview
Slide 33: Financial, balance sheet, capital & funding
Financial Balance sheet, capital & funding Statutory NPAT ($m) 10,133 +6.9% Capital – CET12,5 (Int’l) 18.7% (40bpts) Cash NPAT ($m) 10,252 +4.2% Capital – CET12 (APRA) 12.3% Flat ROE (cash) 13.5% (10bpts) Total assets ($bn) +8.0% 1,354 EPS cents (cash) 613 +25c Total liabilities ($bn) 1,275 +8.0% 2
Slide 34: Net interest income
• Underlying margin2 +1bpt • Lending volume growth3 +3.7% • Higher Markets trading income (partly offset in NII); partly offset by • 3 fewer days ($195m) • Lower Merchants income from higher net scheme fees +1.9% 155 116 14,368 14,097 Avg. Volume Growth Home loans 2% 4 Business loans 5% 3 Insto. loa
Slide 35: Net interest margin movement
(1) 1 (1) (4) 5 - 208 208 $7bn increase in Replicating portfolio hedge 3 average liquid assets Equity hedge 2 Deposit competition (2) Impact on deposit margins of lower cash rate (1) Basis risk (1) bpts 1H25 Liquids Asset Funding Interest rate risk Portfolio Other 2H25 pricing costs hedging mix
Slide 36: Operating expenses and investment in technology
Underlying cost to income 45.2% 45.2% Contribution to mvt: +2.5% +1.1% (0.2%) (1.5%) +1.9% 163 70 (15) (96) 6,494 6,372 Cumulative cost savings realised (last 7 years): • 2H25: $1,082m • 1H25: $986m • Investment in infrastructure modernisation and AI capabilities • Higher software licensing and clou
Slide 37: Cost reduction and investment spend
Cost reduction Investment spend Increase in infrastructure spend – accelerated technology refresh Cumulative savings1 Examples Capitalised software ($bn) Additional investment spend to 1.9 1.9 2.1 2.6 1.8 1.7 • AI-powered messaging solutions accelerate refresh of technology 1.3 1.4 1.4 streamlining
Slide 38: Investment spend
Investment spend $bn Focus of increased FY25 investment Delivered in FY25 2.3 Accelerate refresh of tech infrastructure: • 35% more tech changes deployed1 ~$300m increased • Faster delivery of change investment • 30% reduction in critical incidents with recovery time from critical • Improved securit
Slide 39: CET1 movements
Movements in bpts Level 1 12.4% +12.3% (78) 103 (31) 20 (5) 12.2% 10.25% APRA minimum6 Credit Risk4 (32) Sale of HZB 17 Capitalised software (6) IRRBB 5 Sale of VIB 3 Other 1 Market Risk (4) Operational Risk - Dec 24 1H25 dividend Cash NPAT 3 RWA Divestment 5 Other Jun 25 2 Level 2 (DRP neturalised)
Slide 40: Loan loss rate
Loan loss rate1 Loan loss rate by business unit1,2 bpts bpts 7 8 16 13 Consumer Corporate 3 6 FY24 FY25 1H25 2H25 41 18 33 25 14 76 21 20 19 50 9 16 16 7 43 15 15 16 7 12 9 6 5 6 6 5 24 23 13 20 7 11 8 10 14 15 26 17 19 17 18 18 18 18 18 17 26 16 4 11 16 14 - 4 (7) 6 5 (4) RBS BB IB&M ASB Group FY10
Slide 41: Group lending and deposits
Group lending Jun 25 vs Jun 25 vs $bn Jun 24 Dec 24 Jun 25 Dec 24 Jun 24 +6.9% Home loans 664.7 685.3 707.9 3.3% 6.5% +3.9% 1.3% 1.9% Consumer finance 16.8 16.9 17.1 1,013.3 Business loans2 177.9 185.3 195.8 5.7% 10.1% 947.5 974.8 Institutional loans 88.2 87.4 92.5 5.9% 4.9% Total Group lending 947.
Slide 42: Lending and deposit growth vs system
Home lending1,2 Business lending1,2,3 Household deposits1,4 Business deposits1,5 CBA CBA (excl. IB&M) CBA CBA System CBA (incl. IB&M) System System System (incl. Institutional lending) 9.1% 9.4% 10.2% 12.2%8.6% 6.1% 5.8% 5.3% 2.8% 3.0% 5.6% 6.2% 3.6% 3.8% 3.8% 2.0% 2.3% 2.5% 6 months 12 months 6 mon
Slide 43: Market share by product
% Jun 24 Dec 24 Jun 25 Home lending2,9 Household deposits3,9 Home loans – RBA2 24.5 24.6 24.6 CBA Peers CBA Peers Break in series 40% Break in series Home loans – APRA 3 25.2 25.4 25.3 40% Break in series from Jun 21 Break in series from Mar 19 from Jun 21 from Jul 19 30% 30% 26% Credit cards – APRA
Slide 44: Asset quality
Asset quality
Slide 45: Commercial property exposure
• Commercial property market conditions overall have continued to improve Group exposure Jun 24 generating sales activity at both individual asset and portfolio levels. Dec 24 105.4 Jun 25 • Over the half, exposure grew 7%. Growth was diversified across counterparties and 94.9 98.4 sectors. Modest i
Slide 46: Agriculture exposure
• The Agricultural sector remains resilient, supported by strong commodity Group exposure Jun 24 prices and farm values. Though crop production will likely be down after a Dec 24 Jun 25 strong FY24, it remains above long run averages. 32.5 33.6 35.0 • Seasonal conditions are mixed. Drought persists
Slide 47: Entertainment, leisure and tourism exposure
• CommBank Household Spending Index shows resilience in the sector Group exposure Jun 24 despite cost-of-living challenges. Dec 24 Jun 25 20.1 20.7 • Hospitality spending increased 6.5% over the year, with increased spending 18.2 on restaurants, pubs, taverns and bars. • Tourism benefited from a rec
Slide 48: Wholesale trade exposure
• Wholesale trade continues to manage risks of supply chain disruption, rising Group exposure Jun 24 input costs and a challenging retail environment. Dec 24 Jun 25 • Operators balancing need for stock availability with risks of obsolete stock 30.1 30.4 27.8 and over ordering. • Supply chain issues
Slide 49: Retail trade exposure
• The Australian consumer has displayed caution in retail spend decisions, Group exposure Jun 24 prioritising savings and debt repayments given uncertain global conditions. Dec 24 Jun 25 • Consumers have prioritised retail spend on energy, rent and food, resulting 23.0 21.5 24.7 in reduced spend on
Slide 50: Construction exposure
• The construction industry is stabilising after a challenging period marked by Group exposure Jun 24 high costs, labour shortages and insolvencies, particularly among smaller Dec 24 Jun 25 firms. 14.4 15.3 14.2 • A degree of optimism is returning to the sector, with investments in housing, 13.1 13.
Slide 51: Credit cards and personal loans arrears
Credit cards Portfolio Group Portfolio By year Group 2020 Group 30+ days BWA Group 90+ days Group 90+ days 2021 BWA ASB 2022 6.0% 2.0% ASB 1.5% CBA 2023 5.0% CBA 2024 1.5% 4.0% 1.0% 2025 3.0% 1.0% 2.0% 0.5% 0.5% 1.0% 0.0% 0.0% 0.0% Jun 19 Jun 20 Jun 21 Jun 22 Jun 23 Jun 24 Jun 25 Jun 19 Jun 20 Jun 2
Slide 52: Home lending
Home lending
Slide 53: Market share and proprietary distribution
Consistent market share performance1 Fundings weighted towards proprietary distribution 25% 25% Fundings mix2 Fundings mix2 Fundings mix3 Broker 22% 1% 1% 1% originated home Fixed loans 21% 20% 20% Broker ~20-30% less IHL 40% 42% 41% 35% 34% 33% profitable than proprietary4 14% 14% Variable 99% 99%
Slide 54: Serviceability changes and new loan assessment
Key serviceability changes by year2 New loan assessment (from FY16)3 • Increased serviceability buffer and buffers on existing debts • Removed Low doc and EQFS products • All income used in application to assess serviceability is verified FY16-19 • Tightened lending requirements for non-residents an
Slide 55: Borrowing capacity and serviceability buffer
Borrowing capacity3 Application gross income band7 % of applicants with Change in maximum borrowing capacity3 – indexed Dec 16 additional capacity to borrow4 6 months to Jun 25 – Funding $ Owner occupied (OO) Investor home loans (IHL) 91% 89% 89% 90% 60% 120% Jun 22 Jun 23 Jun 24 Jun 25 50% 100% 40%
Slide 56: Repayment buffers
Repayment buffers Repayment buffers Payments in advance1, % of accounts Payments on time1, % of accounts Residual Jun 24 Structural: e.g. fixed rate loans Dec 24 New accounts: <1 year on book Jun 25 Investment loans: negative gearing/tax benefits 35% 33% 34% 20% 19% 6% 6% 14% 19% 20% 19% 3% 2% 16% 5
Slide 57: Dynamic LVR bands and negative equity
Dynamic LVR bands2 Average dynamic LVR3 Jun 24 Negative equity4 Dec 24 % of total portfolio balances Jun 25 Proportion of balances in negative equity Jun 24 43% • 72% of customers ahead of repayments 70% Dec 24 42% • 12% of home loans in negative equity have Lenders Mortgage Insurance 60% 85% Jun 25
Slide 58: Non-performing home loans and losses
Australian non-performing home loans2 Australian non-performing, not well-secured home loans2,3 Increase in non-performing home loans driven by 90+ arrears and well-secured restructures. % by state NSW Non-performing, not well-secured home loans increased modestly, mainly in Victoria. VIC QLD Non-pe
Slide 59: Home loan arrears by product, state and vintage
Portfolio Product Repayment and interest type 90+ days Group 90+ days1 Owner occupied 90+ days1 Principal & interest Variable BWA Investment Interest only Portfolio 1.0% ASB Fixed CBA 0.8% 1.0% 0.8% 0.6% 0.8% 0.6% 0.6% 0.4% 0.4% 0.4% 0.2% 0.2% 0.2% 0.0% 0.0% 0.0% Jun 19 Jun 20 Jun 21 Jun 22 Jun 23 J
Slide 60: Sources, glossary & notes
Sources, glossary & notes
Slide 61: Sources and notes
Slide 13 1. Refer to glossary at the back of this presentation for further details. 2. Total retail transaction accounts, excluding offset accounts. Includes Bankwest. 3. Source: APRA Monthly Authorised Deposit-taking Institution Statistics (MADIS). 4. Source: RBA Lending and Credit Aggregates. 5. E
Slide 62: Sources and notes
Slide 24 1. Includes other short-term liabilities. 2. Represents long-term wholesale funding as a percentage of total funding which includes RBNZ term lending facilities drawdowns where applicable. 3. Represents the Weighted Average Maturity of outstanding long-term wholesale debt with a residual ma
Slide 63: Sources and notes
Slide 43 1. Comparatives have been updated to reflect market restatements. 2. CBA source: RBA Lending and Credit Aggregates. Home lending peer source: Peer APRA Monthly Authorised Deposit-taking Institution Statistics (MADIS) balance divided by RBA Lending and Credit Aggregates system balance. 3. S
Slide 64: Glossary
Term Description Term Description Cash Profit The Profit Announcement (PA) discloses the net profit after tax on both a statutory and cash basis. The statutory basis is prepared NPS – RFI Global Atlas Consumer MFI NPS. Based on Australian population aged 14+ years old rating their likelihood to reco
Slide 65: Further information and reports
Annual Report Corporate Governance Profit Announcement Pillar 3 Report Statement Investor Discussion Pack Sustainability Performance Metrics UN PRB, GRI and SASB reporting Modern Slavery and Human Trafficking Statement
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