investor presentation...investor presentation financial results 2q fy2019 and 1h fy2019 ended 30...
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0www.maybank.com
Humanising Financial Services
Investor Presentation
Financial Results2Q FY2019 and 1H FY2019 ended 30 June 2019
29 Aug 2019
1
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
2
1H FY2019
Net Profit of
RM3.75 billion;
2Q FY2019 Net
Profit Rises
7.3% QoQ
Maybank Group 1H FY2019 OverviewImproved net operating income of RM11.75 billion supported by loans growth and higher net fee based income
• 1H FY2019 net operating income growth of 1.0% YoY mitigated by slightly higher
overheads and net impairment losses, resulting in net profit of RM3.75 billion
• 2Q FY2019 net profit grew to RM1.94 billion, as stronger investment and trading
income supported net fee based income growth of 10.9% QoQ while overheads
remained flat and net impairment losses reduced QoQ
1
• Robust liquidity risk indicators with Group LCR at 145.4%, Group LDR at 93.4%,
Group LTF at 86.3% and Group LTFE at 75.9% as at 30 June 2019
• Total capital and fully loaded CET1 capital ratios at 17.98% and 14.23% respectively
as at end-Jun’19, after proposed full cash interim dividend
• Full cash interim dividend of 25 sen per share for FY2019 (FY2018: 25 sen per share
interim dividend of which 15 sen cash component)
Strong Liquidity
and Capital
Positions
3
Targeted Balance
Sheet Growth
2• Group loans growth of 4.6% YoY driven by expansion of 4.2% in Malaysia, 2.3% in
Singapore, 6.1% in Indonesia and 3.2% from other markets such as the Philippines,
Greater China and IndoChina
• Group deposits expanded 3.9% YoY on CASA growth in Malaysia and Singapore and
FD growth in Indonesia as part of its liquidity management ahead of the country’s
general elections
3
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
4
P&L Summary: 1H FY2019Net operating income supported by YoY growth in net fund and net fee based income
Note:
* From consolidated 1H FY2019 Group numbers, Insurance and Takaful accounts for 7.3% of net fund based income and 10.1% of net fee based income
¹ Pre-provisioning operating profit (PPOP) is equivalent to operating profit before impairment losses
² Net Profit is equivalent to profit attributable to equity holders of the Bank
More
details
onRM million
1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
s.21 Net fund based income * 8,473.7 8,393.1 1.0% 4,166.8 4,306.9 (3.3)% 4,155.2 0.3%
s.7/
8/21 Net fee based income * 3,276.1 3,241.9 1.1% 1,723.0 1,553.2 10.9% 1,663.2 3.6%
s.19/
20 Net operating income 11,749.8 11,634.9 1.0% 5,889.8 5,860.1 0.5% 5,818.4 1.2%
s.9 Overhead expenses (5,629.3) (5,446.4) 3.4% (2,821.7) (2,807.6) 0.5% (2,678.8) 5.3%
s.20 Pre-provisioning operating profit (PPOP) 1 6,120.5 6,188.5 (1.1)% 3,068.0 3,052.5 0.5% 3,139.6 (2.3)%
Net impairment losses (1,089.6) (1,063.3) 2.5% (452.3) (637.3) (29.0)% (562.5) (19.6)%
Operating profit 5,030.9 5,125.2 (1.8)% 2,615.7 2,415.1 8.3% 2,577.1 1.5%
s.19 Profit before taxation and zakat (PBT) 5,102.0 5,166.2 (1.2)% 2,651.6 2,450.4 8.2% 2,609.6 1.6%
Net Profit 2 3,750.1 3,830.0 (2.1)% 1,940.9 1,809.3 7.3% 1,959.0 (0.9)%
EPS - Basic (sen) 33.8 35.2 (3.9)% 17.5 16.4 6.7% 17.9 (2.7)%
5
47.6 41.4
66.3 84.1
Jun 18 Jun 19
+1.6%
351.2
+12.0%+2.4%
22.5 22.9
19.3 19.9
Jun 18 Jun 19
Community Financial Services Global Banking
189.3 195.8
285.2 291.9
65.4 73.2
Jun 18 Jun 19
14.0 14.1
33.0 31.5
Jun 18 Jun 19
CASA FD Others
209.0 222.5
81.6 80.5
Jun 18 Jun 19
98.3 98.4
32.6 40.5
Jun 18 Jun 19
125.4 131.5
145.1 146.5
65.4 73.2
Jun 18 Jun 19
+3.4%
+12.0%
+24.2%
+0.1%+6.5%
(1.3)%
139.2
+3.0%
502.4 525.6
Jun 18 Jun 19
Net Fund Based Income: 1H FY2019 (1/2)Targeted balance sheet growth across home markets in line with Group’s risk posture
290.5
41.9131.2
RM
billion
SG
D b
illion
IDR
tri
llio
n
Gross Loans (YoY)
+4.2% +2.3% +6.1% +4.6%
RM
billion
Group Malaysia Singapore Indonesia
42.9
302.9
Note:
• Industry loans growth for Malaysia is 4.2%, Singapore is 3.9% and Indonesia is 9.9%
• CASA ratio for Group and Malaysia includes investment accounts
• Refer to pages 24-26 for detailed information on loans and deposits growth by country and products.
+0.5%
RM
billion
RM
billion
SG
D b
illion
IDR
tri
llio
n
Group Deposits (YoY)
29.8% 30.8%37.3% 37.5%35.1% 34.9% 41.8% 33.0%CASA
Ratio:
+1.0%
+4.9%(4.4)%
+26.9%
539.8 560.9335.8
47.0 45.6113.9 125.6
+4.6% (3.0)% +10.3% +3.9%
(12.9)%
6
2.31
2.27
2.36
2.33
2.24
FY2015 FY2016 FY2017 FY2018 1H FY2019
Net Interest Margin (%)
5 Year Trend
Net Fund Based Income: 1H FY2019 (2/2)NIM compressed 9 bps YTD ann. on lower Malaysia loan yield from OPR cut and higher deposit cost in overseas markets
2.27 2.30
2.38 2.30
2.19
2Q '18 3Q '18 4Q '18 1Q '19 2Q '19
QoQ Trend
7
3,242 2,759
295 188
3,276
2,561
277 438
Total Other Operating Incomefrom Banking Operations
Fee Income fromIslamic Operations
Net Fee Incomefrom Insurance
1H FY2018
1H FY2019
RM
million
Net Fee Based Income: 1H FY2019YoY growth driven by higher insurance net fee income but mitigated by unrealised losses on financial liabilities
(7.2)% YoY (6.1)% YoY +>100% YoY +1.1% YoY
Notes using Maybank’s 2Q FY2019 Financial Statements:
¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A40(a)]
² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A40(a) with ‘Net insurance benefits and claims incurred, net fee and
commission expenses, change in expense liabilities and taxation of life and takaful fund’ under Note A26
1 2
RM million1H
FY2018
1H
FY2019YoY
Commission, service charges and fees 1,693 1,579 (6.7)%
Investment & trading income 85 645 >100%
Unrealised gain/ (losses) on financial
assets and investments(520) 1,041 (>100)%
Derivatives and financial liabilities 445 (218) (>100)%
Foreign exchange profit 399 432 8.5%
Other income 208 180 (13.6)%
Total Group’s Other Operating Income 2,310 3,658 58.4%
Of which: Other Operating Income from Insurance (450) 1,097 (>100)%
8
1,663 1,395
165 103
1,553
1,177
143 233
1,723
1,385
134 205
Total Other Operating Incomefrom Banking Operations
Fee Income fromIslamic Operations
Net Fee Incomefrom Insurance
2Q FY2018
1Q FY2019
2Q FY2019
RM
million
Net Fee Based Income: 2Q FY2019Stronger investment and trading income QoQ improved net fee based income
+17.7% QoQ (6.6)% QoQ (12.3)% QoQ +10.9% QoQ
RM million2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Commission, service charges and fees 805 773 4.2% 857 (6.0)%
Investment & trading income 438 206 >100% (24) (>100)%
Unrealised gain/ (losses) on financial
assets and investments476 565 (15.8)% (385) (>100)%
Derivatives and financial liabilities (62) (156) (60.5)% 229 (>100)%
Foreign exchange profit 221 211 4.5% 268 (17.4)%
Other income 101 78 29.1% 64 57.9%
Total Group’s Other Operating Income 1,980 1,678 18.0% 1,008 96.4%
Of which: Other Operating Income from Insurance 595 501 18.7% (387) (>100)%
(0.8)% YoY (18.9)% YoY +98.9% YoY +3.6% YoY
Notes using Maybank’s 2Q FY2019 Financial Statements:
¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A40(a)]
² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A40(a) with ‘Net insurance benefits and claims incurred, net fee and
commission expenses, change in expense liabilities and taxation of life and takaful fund’ under Note A26
1 2
9
Overheads: 1H FY2019Stable overheads trend QoQ; low growth YoY mainly led by personnel and marketing costs
Note:
¹ Total cost excludes amortisation of intangible assets for Maybank Indonesia and Maybank Kim Eng
RM million1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Personnel Costs 3,343.6 3,141.3 6.4% 1,656.6 1,686.9 (1.8)% 1,550.7 6.8%
Establishment Costs 890.1 873.4 1.9% 448.7 441.4 1.7% 416.1 7.8%
Marketing Expenses 291.8 265.3 10.0% 151.1 140.7 7.3% 122.5 23.4%
Administration & General
Expenses 1,103.9 1,166.4 (5.4)% 565.3 538.6 5.0% 589.6 (4.1)%
Total 5,629.3 5,446.4 3.4% 2,821.7 2,807.6 0.5% 2,678.8 5.3%
%1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Total Cost to Income ¹ 47.9% 46.7% 1.2% 47.9% 47.9% 0.0% 46.0% 1.9%
Group JAWS Position (2.4)% 0.0% (4.1)%
10
582.1
418.5
81.3
604.0
391.6
1,091.5995.6
2QFY2018
3QFY2018
4QFY2018
1QFY2019
2QFY2019
1HFY2018
1HFY2019
Allowances for losses on loans
80.7% 79.6% 83.6% 82.6% 78.0%
93.6% 92.6% 93.6% 94.1% 90.2%
Loan loss coverage incl. Regulatory Reserve
Loan loss coverage
Allowances for losses on loans
Asset QualityAnnualised net credit charge off rate of 38 bps with Group GIL ratio of 2.62%
Note:
Loan loss coverage includes ECL for loans at FVOCI as per Note A11(xii) of the Group’s Financial Statements
RM
million
GIL Ratio ComponentsJun
2019
Mar
2019
Dec
2018
Sep
2018
Jun
2018
Non Performing Loans
(NPL)2.01% 1.72% 1.74% 1.90% 1.81%
Restructured &
Rescheduled (R&R)0.16% 0.15% 0.12% 0.16% 0.22%
Performing Loans
Impaired Due to
Judgmental/ Obligatory
Triggers (IPL)
0.45% 0.61% 0.55% 0.59% 0.61%
GIL Ratio 2.62% 2.48% 2.41% 2.65% 2.64%
Group Gross Impaired Loans (GIL) Ratio Composition
2.13% 2.11% 1.88% 1.86% 2.11%
3.68% 3.70% 3.43% 3.49% 3.26%
4.05% 4.13%3.72% 4.00% 4.26%
Jun 2018 Sep 2018 Dec 2018 Mar 2019 Jun 2019
Malaysia Singapore Indonesia
GIL Ratio by Home Markets
11
0.88% 0.85%0.62% 0.63% 0.63%
1.83% 1.84% 1.86% 1.97% 1.66%
1.78% 1.53% 1.41% 1.30% 1.16%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Note:
• In Malaysia, industry GIL ratio for mortgage (purchase of residential property) is 1.1%, 0.8% for auto finance, and 0.9% for credit cards.
• In Singapore, industry GIL figure is only available for mortgage, which was 0.4%.
• In Indonesia, Business Banking includes Commercial, SME and Micro loans. Maybank Indonesia’s GIL ratios are mapped in accordance to its local regulatory reporting requirements and
does not include R&R.
11.40% 10.83%9.88%
10.51% 9.95%
2.61%
2.70% 2.64%
2.38%1.84%
2.73%
2.58% 2.22%
2.98%4.22%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Malaysia Singapore Indonesia
Asset Quality by Line of BusinessMostly stable AQ trends with some uptick in RSME and BB in Indonesia and CB in Malaysia
Mortgage Auto Finance Credit Cards
Retail SME (RSME) Business Banking (BB) Corporate Banking (CB)
Consumer
Business
0.85% 0.90% 0.92% 0.93% 0.90%
0.46% 0.44% 0.44% 0.53% 0.54%
2.59% 2.61% 2.63% 2.73% 2.88%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
0.67% 0.71% 0.65% 0.61% 0.66%
0.22% 0.34% 0.34% 0.29% 0.13%
1.42% 1.36% 1.34% 1.33% 1.27%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
2.26% 2.33% 2.01% 1.79%2.86%
7.66%7.75%
7.10% 7.26% 6.86%
7.05% 6.90% 6.59%5.55% 5.15%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
2.51%
2.64%
2.09%2.21% 2.26%
2.19% 2.15%1.95% 2.10%
2.19%
2.86%
2.56%
2.51%
2.66%
3.20%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
12
92.8%94.4%
92.7% 92.4% 93.4%
86.3%87.5%
86.2% 85.4% 86.3%
76.0%77.3%
76.1% 75.2% 75.9%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
LDR LTF LTFE
144.9% 130.5% 132.4% 134.2% 145.4%
LCR
Borrowings, 5%
Capital Instruments, 2%
Customer Funding, 76%
FI Deposits, 6%
Equity, 11%
USD, 30%
RM, 23%
JPY, 11%
IDR, 9%
HKD, 9%
CNY, 6%
SGD, 4%
CNH, 4%
Others, 4%
Liquidity Management: 30 June 2019 Well-diversified funding sources with stable Group liquidity risk indicators
RM736.8
billion
RM49.7
billion
Funding Breakdown
Note:
• Customer Funding comprises Deposits from Customers & Investment Accounts of Customers.
By maturity:
≤ 1 Year 28%
> 1 Year 72%
Borrowings and
Capital Instruments
by Currency
Note: 1) BNM’s minimum LCR requirement is 100%
2) LTF is gross loans divided by (deposits + borrowings +
subdebt) while LTFE’s denominator is (deposits +
borrowings + subdebt + equity + capital securities)
3) LDR, LTF & LTFE excludes loans to banks and FIs
Liquidity Risk Indicators
13
13.76% 14.42% 13.20%
14.87% 15.50% 14.28%
18.27% 18.69%17.47%
Dec 18 Jun 19 Jun 19
Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio
15.03% 14.95% 14.23%
15.98% 15.87% 15.14%
19.02% 18.71% 17.98%
Dec 18 Jun 19 Jun 19
Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio
Group
Bank
Strong Capital Position: 30 June 2019Total capital ratio of 17.98% and CET1 capital ratio of 14.23%, after proposed full cash interim dividend payout
Regulatory RequirementsJan 2019
Onwards
Minimum Common Equity Tier 1
Capital + Capital Conservation Buffer7.0%
Minimum Tier 1 Capital + Capital
Conservation Buffer8.5%
Minimum Total Capital + Capital
Conservation Buffer10.5%
Pending Finalisation of Other
Capital Buffers:
D-SIB Buffer Between 0.5% - 1.0%
Countercyclical Capital Buffer Between 0% - 2.5%
After proposed
full cash dividend
Before proposed
dividend
14
11
28 3222.5 24
2420 23 25 25
44
32
36
33
3133 30
3232 32
FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19
Final
Interim
76.5% 74.9%79.9%
74.7%71.9%
78.5% 76.3% 78.1% 78.5% 77.3% 74.9%
27% 13% 11% 12% 20% 25% 19% 27%67% 53%
100%
Dividend (sen), Payout Ratio (%) and Cash Component (%)
85.9%*
85.7%*
88.2%*85.9%*
88.5%*91.1%*
86.1%*
88.6%*
#
82.6%*
55.060.0
36.0
65.0
53.557.0
84.0%*
Dividend Payout Ratio
83.7%*
54.0
87.5%*
89.1%*
52.0
83.5%*
55.0
Cash Component of Total Dividend
FY08 FY09 FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19
Effective Cash
Dividend Paid Out
from Net Profit
Dividend: 1H FY2019Single-tier interim cash dividend of 25 sen per share
60.4% 61.4% 26.2% 17.2% 17.0% 19.0% 22.0% 29.0% 23.2% 28.6% 57.2% 47.1% 74.9%
85.7%*
Note:
* Actual Reinvestment Rate for Dividend Reinvestment Plan.
+ The Final Dividend for FY2017 was paid fully in cash.
# The Net Dividend is 28.5 sen of which 15 sen is single-tier dividend. Maybank adopted the single-tier dividend regime with effect from FY2012.
84.0%*
57.0
+
81.7%*
15
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
16
Key Indicators Industry Outlook
Indonesia
• GDP: 0.6% (2019F) vs 3.1% (2018)
• System loan: 4.3% (2019F) vs 5.3% (2018)
• 3M SIBOR: 1.70% (2019F) vs 1.89% (2018)
• USD/SGD average: 1.37 (2019F) vs 1.36 (2018)
• Inflation: 0.7% (2019F) vs 0.4% (2018)
• GDP: 5.0% (2019F) vs 5.2% (2018)
• System loan: 10.5% (2019F) vs 11.8% (2018)
• Reference Rate: 5.50% (2019F) vs 6.00% (2018)
• USD/IDR average: 14,210 (2019F) vs 14,267 (2018)
• Inflation average: 3.3% (2019F) vs 3.2% (2018)
Singapore
Market OutlookFY2019 Industry outlook for our home markets
• GDP: 4.4% (2019F) vs 4.7% (2018)
• System loan: 4.7% (2019F) vs 5.6% (2018)
• OPR: 2.75% (2019F) vs 3.25% (2018)
• USD/MYR average: 4.14 (2019F) vs 4.11 (2018)
• Inflation: 1.0% (2019F) vs 1.0% (2018)Malaysia
• Economic growth to be supported by
consumption boosted by a minimum wage
increase, stable inflation rate and fiscal
stimulus programmes
• Loan growth to be supported by consumption
and working capital needs while liquidity
conditions could ease with foreign inflows
• Economic growth could be affected by
reduced pace of expansion in China and EU,
and effects from the US-China trade war
• Potentially slower loans growth arising from
cautious business sentiment
• Growth supported by recovery in the mining
and agriculture sectors as well as stimulus to
domestic demand from rate cut and the
revival of major infrastructure projects and
Government development spending
• Potential deposit competition could place
pressure on net interest margins (NIMs)
17
Driving positive JAWs across business segments
Managed Group cost growth with CIR ~47%
Continued emphasis on employee up-skilling for digital economy
Maybank Performance OutlookGroup guidance for FY2019
Expand revenue streams through cross business collaborations
Measured balance sheet expansion in line with economic growth of home markets and Group’s conservative risk
posture
Group ROE guidance of 10.0% to 10.5%, on slower economic growth and a lower interest rate environment
Income Growth
Disciplined asset quality management in slowing economic growth environment and continued recovery efforts
Maintain stable liquidity risk indicators ahead of NSFR adoption in 2020
Maintain robust capital positions, while rewarding shareholders with strong effective cash dividend payout as
seen with interim dividend
Conservative investment spend focused on improving customer experience with rollout of product/services
Enhancing data driven analytics
Digitalisation
Liquidity and Capital Management
Asset Quality Management
Better Productivity
1
2
3
4
5
18
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
19
85.6%
3.0%6.8%
4.6%
Malaysia Singapore Indonesia Others
Overseas:
14.4%
62.3%18.5%
12.2%
7.0%
58.1%25.7%
7.7%
8.5%
70.1%
11.5%
7.1%
11.3%
61.2%18.9%
12.2%
7.7%
58.5%25.6%
7.3%8.6%
International & Malaysia Portfolio Mix 1H FY2019
Overseas:
41.5%
1H FY2018
Net Operating Income Profit Before Tax
1H FY2019
Overseas:
38.8%
Overseas:
29.9%
Gross loans*
(Jan 18 – Jun 18)
Overseas:
41.9%
Overseas:
37.7%
(Jan 19 – Jun 19)
RM5.17
billion
RM502.4
billion
RM11.63
billion
RM5.10
billionRM525.6
billionRM11.75
billion
Note:
* Including Islamic loans sold to Cagamas and excludes unwinding of interest
20
6,189
3,186 2,846
197 (12)237
6,121
3,002 3,047
15 29 474
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
1H FY2018
1H FY2019
11,635
6,679
3,831
712 45 632
11,750
6,652
3,963
527 118 936
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
1H FY2018
1H FY2019
Segmental Performance of Businesses: 1H FY2019 (1/2)
Net Operating Income
+1.0%
RM
million
PPOP
(0.4)% (26.0)% +3.4%
(1.1)%
+>100%
Group Global Banking +2.0%
Group Global Banking +0.4%
1H FY2018: 4,588 1H FY2019: 4,608
1H FY2018: 3,030 1H FY2019: 3,091
Note:
Net income & PPOP for Group includes “Head Office & Others” expenditure of RM265.0 million for 1H FY2018 and RM446.5 million for 1H FY2019.
RM
million
+7.0% (5.8)% (92.2)% (>100)% +>100%
+48.1%
21
3,242
1,581 1,292
540
40 73
3,276
1,610 1,403
400 110
302
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
1H FY2018
1H FY2019
8,393
5,098
2,540
171 5 559
8,474
5,043
2,559
127 8 635
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
1H FY2018
1H FY2019
Net Fund Based Income
Group Global Banking (0.8)%
Net Fee Based Income
(25.8)% +61.3% (1.1)% +0.8% +13.5%
1H FY2018: 2,716 1H FY2019: 2,695
Group Global Banking +2.2%
1H FY2018: 1,872 1H FY2019: 1,913
Segmental Performance of Businesses: 1H FY2019 (2/2)
Note:
Net fund based income includes “Head Office & Others” income of RM 20.1 million for 1H FY2018 and RM 101.9 million for 1H FY2019.
Net fee based income includes “Head Office & Others” expenditure of RM 285.1 million for 1H FY2018 and RM 548.4 million for 1H FY2019.
+8.6% +1.8%
RM
million
RM
million
+1.1%
+1.0%
(26.1)% +>100% +>100%
22
Unaudited Income Statement for Insurance and Takaful Business
RM million1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Net interest income 634.3 559.0 13.5% 322.0 312.3 3.1% 280.8 14.7%
Net earned premiums 3,250.4 3,001.4 8.3% 1,623.8 1,626.5 (0.2)% 1,490.0 9.0%
Other operating income 1,096.5 (449.6) (>100)% 595.2 501.4 18.7% (387.5) (>100)%
Total operating income 4,981.2 3,110.9 60.1% 2,541.0 2,440.2 4.1% 1,383.4 83.7%
Net insurance benefits & claims incurred, net fee
& commission expenses, change in expense
liabilities and life & takaful fund tax
(4,052.6) (2,486.4) 63.0% (2,086.9) (1,965.7) 6.2% (1,058.2) 97.2%
Net operating income 928.6 624.5 48.7% 454.1 474.5 (4.3)% 325.2 39.6%
Overhead expenses (459.7) (395.7) 16.2% (239.9) (219.7) 9.2% (200.4) 19.7%
PPOP 468.9 228.8 >100% 214.2 254.8 (15.9)% 124.8 71.6%
Net impairment losses (16.9) 8.0 (>100)% (7.4) (9.5) (21.9)% 3.4 (>100)%
Operating profit 452.1 236.8 90.9% 206.8 245.3 (15.7)% 128.2 61.3%
RM million1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Net insurance benefits & claims incurred, net fee
& commission expenses, change in expense
liabilities and life & takaful fund tax
(4,052.6) (2,486.4) 63.0% (2,086.9) (1,965.7) 6.2% (1,058.2) 97.2%
Less: intercompany elimination 143.7 122.3 17.5% 72.5 71.2 1.9% 58.4 24.1%
Total net insurance benefits & claims incurred,
net fee & commission expenses, change in
expense liabilities and life & takaful fund tax
(3,908.9) (2,364.2) 65.3% (2,014.4) (1,894.5) 6.3% (999.7) >100%
Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities
and life & takaful fund tax
23
84% 12% 1%3%
Normal Watchlist Special Mention Account GIL
65% 19% 1% 15%
Normal Watchlist Special Mention Account GIL
High Rise Residential,
30.4%
Landed Residential,
17.4%Malls, 10.1%
Offices, 5.7%
Hotels, 5.7%
Others, 30.7%
Exposure to Oil & Gas and Real Estate Sectors: 30 June 2019
Group Exposure to Direct & Indirect Oil & Gas Borrowers Real Estate Exposure to Non-Retail Malaysian Borrowers
Borrowers’ Status:
Segmental Exposure:
Note:
Midstream refers to the transportation (i.e. pipeline, barge, oil tanker or truck),
storage and wholesale marketing services of crude or refined petroleum products.
Of GIL breakdown:
• 93% is from midstream
Maybank Group Malaysia Singapore Indonesia Others
3.08% 1.75% 0.99% 0.09% 0.25%
Note:
Funded-only exposure is 2.27% for GroupRM32.33 bil
(or 10.67% of Malaysia
Gross Loans)
Borrowers’ Status:
Note:
Funded-only exposure is 10.12%
‘Others’ include Land, Industrial Buildings & Factories, Other Residential
and Other Commercial
Of GIL breakdown:
• 40% is from combined exposure
to malls and hotels
• 14% is from high rise residential
Of Watchlist breakdown:
• 31% is from high rise residential
• 31% is from combined exposure
to malls, hotels and offices
27% 48% 25%
Upstream Midstream Downstream
24
Group Gross Loans Growth: 30 June 2019
Note:
¹ Rebased loan growth figures are based on adjusted 31 December 2018 position in line with migration of client accounts, effective 1 January 2019
% of
Portfolio
30 Jun
2019
31 Mar
2019QoQ
31 Dec
2018
YTD
Ann.
30 Jun
2018YoY
Group Gross Loans 525.6 516.9 1.7% 517.3 3.2% 502.4 4.6%
Malaysia (RM billion) 58% 302.9 299.5 1.1% 299.2 2.4% 290.5 4.2%
Community Financial Services (reported) 73% 222.5 218.3 1.9% 216.0 6.1% 209.0 6.5%
Community Financial Services (rebased)¹ 73% 222.5 218.3 1.9% 215.9 6.1% 209.0 6.5%
Global Banking (reported) 27% 80.5 81.2 (0.9)% 83.3 (6.7)% 81.6 (1.3)%
Global Banking (rebased)¹ 27% 80.5 81.2 (0.9)% 83.4 (6.9)% 81.6 (1.3)%
International (RM billion) 41% 216.4 211.0 2.5% 211.8 4.3% 204.3 5.9%
Singapore (SGD billion) 61% 42.9 42.6 0.6% 42.4 2.4% 41.9 2.3%
Community Financial Services 54% 22.9 22.8 0.2% 22.6 2.7% 22.5 1.6%
Global Banking 46% 19.9 19.7 1.0% 19.7 1.9% 19.3 3.0%
Indonesia (IDR trillion) 19% 139.2 140.5 (0.9)% 138.3 1.3% 131.2 6.1%
Community Financial Services 71% 98.4 101.1 (2.6)% 103.3 (9.5)% 98.3 0.1%
Global Banking 29% 40.5 39.1 3.5% 34.7 33.2% 32.6 24.2%
Other markets (RM billion) 20% 44.5 42.2 5.4% 43.8 3.3% 43.1 3.2%
Investment banking (RM billion) 1% 6.4 6.3 0.3% 6.3 2.4% 7.6 (16.1)%
25
Note:
¹ Rebased loan growth figures are based on adjusted 31 December 2018 position in line with migration of client accounts, effective 1 January 2019
Malaysia Loans Growth: 30 June 2019
RM billion% of
Portfolio
30 Jun
2019
31 Mar
2019QoQ
31 Dec
2018
YTD
Ann.
30 Jun
2018YoY
Community Financial Services (reported) 73% 222.5 218.3 1.9% 216.0 6.1% 209.0 6.5%
Community Financial Services (rebased)¹ 73% 222.5 218.3 1.9% 215.9 6.1% 209.0 6.5%
Consumer 59% 179.7 176.8 1.6% 174.4 6.1% 168.2 6.9%
Total Mortgage 30% 91.5 89.5 2.3% 87.5 9.2% 83.9 9.0%
Auto Finance 16% 48.9 48.3 1.3% 47.9 4.3% 46.8 4.5%
Credit Cards 2% 7.4 7.3 0.2% 7.6 (5.4)% 7.2 2.4%
Unit Trust 10% 29.6 29.3 0.9% 29.0 4.0% 27.7 6.7%
Other Retail Loans 1% 2.4 2.4 (0.5)% 2.5 (13.0)% 2.6 (6.8)%
Business Banking + SME (reported) 14% 42.8 41.5 3.1% 41.5 6.1% 40.9 4.7%
Business Banking + SME (rebased)¹ 14% 42.8 41.5 3.1% 41.5 6.5% 40.9 4.7%
SME (reported) 6% 17.8 17.2 3.5% 17.1 8.4% 15.9 11.9%
SME (rebased)¹ 6% 17.8 17.2 3.5% 16.8 12.6% 15.9 11.9%
Business Banking (reported) 8% 25.0 24.3 2.9% 24.4 4.5% 25.0 0.1%
Business Banking (rebased)¹ 8% 25.0 24.3 2.9% 24.7 2.3% 25.0 0.1%
Global Banking (Corporate) (reported) 27% 80.5 81.2 (0.9)% 83.3 (6.7)% 81.6 (1.3)%
Global Banking (Corporate) (rebased)¹ 27% 80.5 81.2 (0.9)% 83.4 (6.9)% 81.6 (1.3)%
Total Malaysia 302.9 299.5 1.1% 299.2 2.4% 290.5 4.2%
26
Group Deposits Growth: 30 June 2019
% of
Portfolio
30 Jun
2019
31 Mar
2019QoQ
31 Dec
2018
YTD
Ann.
30 Jun
2018YoY
Group Gross Deposits 560.9 557.6 0.6% 556.3 1.7% 539.8 3.9%
Malaysia (RM billion) 62% 351.2 343.9 2.1% 343.8 4.3% 335.8 4.6%
Savings Deposits 13% 44.5 43.9 1.3% 42.8 7.9% 42.8 3.9%
Current Accounts 25% 87.0 84.9 2.5% 90.3 (7.4)% 82.5 5.4%
Fixed Deposits 42% 146.5 131.4 11.4% 125.8 32.8% 145.1 1.0%
Others 20% 73.2 83.7 (12.5)% 84.8 (27.5)% 65.4 12.0%
International 38% 211.3 215.2 (1.8)% 214.1 (2.7)% 205.8 2.7%
Singapore (SGD billion) 66% 45.6 46.7 (2.4)% 46.2 (2.5)% 47.0 (3.0)%
Savings Deposits 16% 7.1 7.0 1.9% 7.0 1.3% 6.2 14.5%
Current Accounts 15% 7.0 7.3 (5.0)% 7.6 (16.9)% 7.8 (10.6)%
Fixed Deposits 69% 31.5 32.4 (2.8)% 31.5 0.1% 33.0 (4.4)%
Indonesia (IDR trillion) 17% 125.6 128.7 (2.5)% 117.0 14.6% 113.9 10.3%
Savings Deposits 16% 19.6 18.6 5.3% 19.9 (3.5)% 23.7 (17.4)%
Current Accounts 17% 21.9 22.1 (1.0)% 24.4 (21.2)% 23.9 (8.5)%
Fixed Deposits 67% 84.1 88.1 (4.5)% 72.7 31.6% 66.3 26.9%
27
+7.4%
320.9 315.3327.0
21.217.5
20.4
41.341.8
42.1
Jun 18 Dec 18 Jun 19
Operational RWA
Market RWA
Credit RWA
+33.4%
+1.6%
502.4517.3
525.6
Jun 18 Dec 18 Jun 19
+3.2% YTD Ann.
Continued RWA Optimisation
Group Gross Loans
RM
billion
Total Group RWA
RM
billion
+8.0% YTD Ann.
374.6
389.5
+4.6% YoY
383.3
+1.6% YoY
28
92.8% 94.4% 92.7% 92.4% 93.4%
35.1% 35.1% 35.9%34.5% 34.9%
33.2% 33.2% 33.6%32.4% 32.6%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
LDR CASA CASA (without IA)
87.8% 89.5% 87.9% 88.0% 87.2%
37.3% 37.9% 38.7% 37.5% 37.5%
34.3% 34.9% 34.9% 34.0% 33.8%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
LDR and CASA Ratio
Singapore Indonesia
Group Malaysia
111.8%119.2% 113.8%
105.4% 107.0%
41.8% 41.3% 37.9%31.6% 33.0%
94.0% 100.6% 96.5% 90.1% 92.3%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
LDR (Bank Level)
89.2% 93.2% 91.8% 91.2% 94.0%
29.8% 30.1% 31.7% 30.6% 30.8%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Note:
• Group and Indonesia LDR excludes loans to banks and FIs
• Group and Malaysia LDR include investment accounts totaling RM21.65 billion for 30 Jun 2019, RM22.80 billion for 31 Mar 2019, RM23.57 billion for 31 Dec 2018, RM18.77 billion for 30
Sep 2018 and RM19.18 billion for 30 June 2018.
29
Key Operating Ratios
Note:1 LDR excludes loans to banks and FIs.2 Total cost excludes amortisation of intangibles for Maybank Indonesia and Maybank Kim Eng.3 The capital ratios are adjusted based on the assumption of 85% reinvestment rate under the DRP for the period. 2Q & 1H FY2019 capital ratios are based on full cash payment of
interim dividend for FY2019.
%1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
2Q
FY2018YoY
Return on Equity 9.8 10.8 (1.0)% 10.2 9.7 0.5% 11.1 (0.9)%
Net Interest Margin 2.24 2.33 (9) bps 2.19 2.30 (11) bps 2.27 (8) bps
Fee to Income Ratio 27.9 27.9 0.0% 29.3 26.5 2.8% 28.6 0.7%
Loans-to-Deposit Ratio 1 93.4 92.8 0.6% 93.4 92.4 1.0% 92.8 0.6%
Cost to Income Ratio 2 47.9 46.7 1.2% 47.9 47.9 0.0% 46.0 1.9%
Asset Quality
Gross Impaired Loans Ratio 2.62 2.64 (2) bps 2.62 2.48 14 bps 2.64 (2) bps
Loans Loss Coverage 78.0 80.7 (2.7)% 78.0 82.6 (4.6)% 80.7 (2.7)%
Net Charge off rate (bps) (38) (44) 6 bps (30) (47) 17 bps (47) 17 bps
Capital Adequacy ³
CET1 Capital Ratio 14.23 13.16 107 bps 14.23 14.55 (32) bps 13.16 107 bps
Total Capital Ratio 17.98 17.78 20 bps 17.98 19.00 (102) bps 17.78 20 bps
30
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
31
Community Financial Services: Overview of Market Share for Malaysia
Note:
* Refers to housing, shophouse and other mortgage loans
** Credit cards market share refer to receivables for commercial banks
*** Total bank deposits inclusive of investment asset (“IA”)
^ Without IA. With IA, the market share as at June’19 for Total Core Retail Deposits, Retail
CASA, Retail Savings, Demand Deposits and Retail Fixed Deposits are 17.4%, 26.0%,
28.3%, 22.0% and 14.1% respectively (against MBB retail IA).
^^ Excluding non-financial transactions as per BNM guidelines
Loans
Total consumer (Household) 17.6% 17.7% 17.7% 17.8% 17.5% 2
Auto (Purchase of transport vehicles) 27.1% 27.3% 27.7% 28.0% 28.3% 2
Total mortgage * 13.3% 13.4% 13.5% 13.6% 13.6% 2
Credit cards ** 19.0% 19.1% 19.2% 19.1% 19.0% 1
Unit trust 50.4% 50.1% 49.6% 49.5% 49.2% 1
Deposits
Total deposits *** 18.6% 18.3% 18.4% 18.2% 17.8% 1
Total core retail deposits ^ 17.9% 17.8% 17.2% 16.9% 16.8% 2
Retail CASA ^ 25.0% 24.9% 25.0% 25.1% 24.9% 1
Retail savings ^ 28.6% 28.2% 28.5% 28.4% 28.3% 1
Demand deposits ^ 19.0% 19.1% 18.9% 19.0% 18.9% 1
Retail fixed deposits ^ 14.4% 14.4% 13.5% 13.0% 12.9% 2
Channels
Internet banking - Subscriber base 41.0% 40.2% 39.7% 39.6% 40.6% 1
Mobile banking - Subscriber base 31.4% 30.9% 30.7% 31.3% 31.8% 1
Internet banking - Transaction Volume ^^ 53.8% 53.3% 52.8% 50.7% 50.7% 1
Mobile banking - Transaction Volume 65.9% 65.4% 66.7% 62.9% 62.6% 1
Branch network 18.6% 19.0% 19.2% 19.2% 19.3% 1
Jun-19
vs
Mar-19
Market
positionJun-18 Sep-18 Dec-18 Mar-19 Jun-19Market share
32
Jun 18 Dec 18 Jun 19 Jun 18 Jun 19 Jun 18 Jun 19
139.0 137.1 138.9
66.8 63.5 60.2
Jun 18 Dec 18 Jun 19
Consumer BB + RSME
Community Financial Services: Overview of Malaysia Portfolio
Note:
• TFA: Total Financial Assets (Deposits, Investments, Financing & Protection).
• TFA for Individual customers amounted to RM319.2 billion as at Jun’19, RM313.7
billion as at Dec’18 and RM307.9 billion in Jun’18.
Wealth Management segment’s TFA grew 3.5% YoY to
RM208.6 billion
Total CFS loans on an upward trend of 6.5% YoY and 6.1%
YTD annualised.R
M b
illion
(1.5)% YTD Ann.
Total CFS deposits decreased by 3.3% YoY, due to reduction
in high cost deposits, mitigated by CASA growth of 2.7%
(3.3)% YoY
+14.3% YoY
Maybank2u 1-month active users grew 14.3% YoY driven
by growth in mobile users
168.2 174.4 179.7
40.9 41.5 42.8
Jun 18 Dec 18 Jun 19
Consumer BB + RSME
+6.1% YTD Ann.
+6.5% YoY
+3.5% YoY
+3.3% YTD Ann.
+42.9% YoY
Maybank2u 1-month active users
of which Mobile 1-month
active users4.89
RM
billion
RM
billion
In m
illion
5.59
2.243.20
209.0 216.0
201.5
205.8 200.6222.5199.1
205.3 208.6
33
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
34
11.1
27.4
43.2
11.3
26.9
45.1
10.8
23.9
45.7
Jun 19 Dec 18 Jun 18
RM billion
Note:
- ‘Term Loan’ includes foreign currency denominated accounts, while ‘Trade Finance
and Others’ is combined with ‘Overdraft’
- Trade Finance market share as at Jun’19 is 21.9%
Term Loan
Global Banking: Overview of Malaysia Corporate Banking and Group Securities Portfolio
Group Securities Portfolio¹ grew 13.1% YoYTotal Corporate Banking loans in Malaysia decreased 1.3%
YoY to RM80.5 billion
Short Term
Revolving
Credit
Trade
Finance
and Others (2.3)% YoY
+6.0% YoY
(12.5)% YoY
Note: ¹ Group Securities Portfolio is inclusive of Financial assets designated upon
initial recognition (part of FVTPL)
45.7 49.6 51.5 51.9 51.7
33.941.0 40.6 45.8 50.1
54.255.8 56.6
58.1 58.5
29.425.7 22.7
24.0 26.29.16.9 6.6
6.68.4
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Govt. Securities - Domestic Govt. Securities - Foreign
PDS/Corp Bonds - Domestic PDS/Corp Bonds - Foreign
Others
+13.1% YoY
RM
billion
172.3179.0 178.0
186.5194.9
35
Malaysia45%
Singapore24%
Thailand14%
Indonesia5%
Philippines2%
Hong Kong5%
Others5%
Global Banking: Overview of Group Investment Banking Portfolio
1H FY2019 Fee-based Income for Malaysia
Brokerage Fees43%
Arranger Fees27% Underwriting &
Placement Fees11%
Advisory Fees10%
Agency/ Guarantee Fees
3%
Other Fee Income6%
1H FY2019 Total Income Breakdown by Country
RM526.6
million
Note:
¹ Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings.
1H FY2019 Brokerage Market Share by Country
Country Rank Market ShareTrading Value
(USD billion)
Malaysia 4 7.96% 10.7
Singapore 14 3.80% 7.2
Thailand 3 6.05% 20.5
Indonesia 14 2.13% 3.5
Philippines 6 5.25% 2.7
Hong Kong Tier 3 0.14% 4.1
Vietnam >10 2.52% 1.2
36
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
37
Maybank Singapore: P&L Summary
SGD million 1H FY2019 1H FY2018 YoY
Net fund based income 383.01 371.08 3.2%
Net fee based income 161.76 201.39 (19.7%)
Net income 544.76 572.47 (4.8%)
Overhead expenses (233.99) (211.48) 10.6%
Operating profit 310.77 360.99 (13.9%)
Profit before taxation 17.15 176.63 (90.3%)
Net fund based income registered a 3.2% growth, driven by loans, investment and placement income, though offset by
higher interest costs.
Fee based income reduced 19.7% YoY. Maybank’s fee income fell on lower treasury related fee. Comparatively, fee based
income was higher last year due to one-off property disposal gains.
Overhead expenses increased 10.6% arising from higher personnel and depreciation costs, partly mitigated by lower
information technology and establishment spend.
1H FY2019 profit before tax of SGD17.15 million was lower than the prior year, mainly due to higher impairment
allowances.
38
7.0 6.9 6.3
16.5 15.5 15.2
7.0 7.8 7.8
16.5 15.9 16.2
Jun 18 Dec 18 Jun 19
Consumer -Time Deposits
Consumer CASA
Business TimeDeposits
Business CASA
45.6
6.2 7.0 7.1
7.8 7.6 7.0
33.0 31.5 31.5
Jun 18 Dec 18 Jun 19
Time Deposits
Demand Deposits
Savings
Maybank Singapore loans rose 2.3% YoY
Diversified Loan Portfolio
8.9%7.1% 4.5% 3.4%
2.3%
9.9% 7.8% 5.3% 3.8% 3.9%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Maybank Singapore Growth Industry Growth
Maybank Singapore: Overview of Loans and Deposits Portfolio
% YoY change
Consumer
53 %
Corporate
47 %SG
D b
illion
Consumer deposits’ composition rose to 53% of total deposits
CASA Ratio:
30.8%SG
D b
illion
Growth in consumer CASA led to higher overall CASA ratio from
29.8% to 30.8% YoY
Deposits fell 3.0% YoY largely due to lower business time and
CASA deposit. Share of consumer deposit improved from 50%
to 53% YoY
47.0
(3.0)% YoY
46.2
SGD Billion% of
Portfolio
30 Jun
2019
31 Dec
2018
YTD
Ann.
30 Jun
2018YoY
CFS 54% 22.9 22.6 2.7% 22.5 1.6%
Consumer 39% 16.6 16.4 3.0% 16.4 1.5%
Housing Loan 25% 10.9 10.9 0.7% 10.9 (0.1)%
Auto Loan 6% 2.5 2.4 10.6% 2.3 8.0%
Cards 1% 0.4 0.4 (6.0)% 0.4 (0.2)%
Others 7% 2.8 2.7 7.2% 2.7 2.7%
Non-Individuals 15% 6.3 6.2 1.8% 6.2 1.8%
RSME 3% 1.5 1.4 9.2% 1.3 14.6%
Business Banking 8% 3.4 3.4 (1.4)% 3.4 (1.8)%
Others 3% 1.5 1.4 1.9% 1.5 (0.8)%
Global Banking 46% 19.9 19.7 1.9% 19.3 3.0%
Total 100% 42.9 42.4 2.4% 41.9 2.3%
39
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
40
Maybank Indonesia: P&L Summary
IDR billion 1H
FY2019
1H
FY2018YoY
2Q
FY2019
1Q
FY2019QoQ
Net Fund Based income 4,024 3,932 2.4% 1,987 2,037 (2.4)%
Net Fee Based income 1,167 1,022 14.1% 652 515 26.6%
Net income 5,191 4,954 4.8% 2,639 2,552 3.4%
Overhead expenses (3,183) (2,988) 6.5% (1,598) (1,585) 0.8%
Personnel (1,265) (1,287) (1.8)% (631) (633) (0.3)%
General and Administrative (1,918) (1,701) 12.8% (967) (952) 1.5%
Operating profit 2,008 1,966 2.1% 1,041 966 7.8%
Provisions Expenses (975) (666) 46.3% (574) (401) 43.4%
Non Operating Income/(Expense) 9 (3) >100% 4 5 (29.8)%
Profit Before Tax and Non-Controlling Interest 1,042 1,296 (19.6)% 471 571 (17.6)%
Tax and Non-Controlling Interest (285) (364) (21.6)% (129) (156) (17.5)%
Profit After Tax and Non-Controlling Interest 757 933 (18.9)% 342 415 (17.6)%
EPS - Basic (IDR) 9.93 13.74 (27.7)% 4.93 5.00 (1.4)%
41
Maybank Indonesia: Financial Ratios and Loans Portfolio Breakdown
Key Operating Ratios Loans Portfolio Breakdown
Note: Maybank Indonesia’s loans breakdown is mapped in accordance to its local
regulatory reporting requirements.
^ LCR is disclosed on a quarter-end basis
IDR Trillion% of
Portfolio
30 Jun
2019
31 Mar
2019QoQ
30 Jun
2018YoY
CFS 72% 97.6 100.0 (2.3)% 97.0 0.7%
CFS Retail 32% 43.0 43.5 (1.1)% 43.2 (0.4)%
Auto Loan 18% 24.0 24.4 (1.5)% 24.4 (1.7)%
Mortgage 11% 15.5 15.6 (1.1)% 15.4 0.5%
CC + Personal
Loan2% 3.1 3.1 1.0% 2.9 5.2%
Other loans 1% 0.4 0.4 0.3% 0.4 (0.1)%
CFS Non-Retail 40% 54.6 56.5 (3.3)% 53.8 1.6%
Business Banking 22% 30.7 32.1 (4.7)% 31.3 (2.0)%
RSME 18% 24.0 24.3 (1.5)% 22.5 6.6%
Global Banking 28% 37.8 35.9 5.4% 30.1 25.6%
Total 135.4 135.8 (0.3)% 127.1 6.6%
Key Operating Ratio Jun-19 Dec-18 Jun-18 YoY
Profitability & Efficiency
Return On Assets 1.12% 1.74% 1.49% (0.37)%
Return On Equity (Tier 1) 6.50% 10.21% 9.16% (2.66)%
Net Interest Margin 4.83% 5.24% 5.11% (0.28)%
Cost to Income Ratio 61.32% 58.10% 60.32% 1.00%
Asset Quality
NPL – Gross 3.06% 2.59% 2.79% 0.27%
Liquidity & Capital Adequacy
LCR^ 166.38% 124.94% 151.48% 14.90%
CET 1 17.12% 16.85% 16.27% 0.85%
CAR 19.07% 19.04% 18.77% 0.30%
42
Table of Contents
Executive Summary 2
Results Overview 4
Prospects & Outlook 16
Appendix:
1. Financial Performance 19
2. Community Financial Services 31
3. Global Banking 34
4. Maybank Singapore 37
5. Maybank Indonesia 40
6. Other Segments 43
Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019
43
Maybank Islamic, 60.2%
Maybank Conventional,
Malaysia, 39.8%
Year Contribution
Jun 2018 58.5%
Sep 2018 58.3%
Dec 2018 58.7%
Mar 2019 59.7%
Jun 2019 60.2%
Islamic Banking: Performance Overview
Group Islamic Banking Financial Performance Maybank Islamic: Total Gross Financing grew to RM183.7
billion
Maybank Islamic Contribution to Maybank Malaysia Loans
and Financing as at June 2019
Note: Figures are as per latest segmentation breakdown
Group Islamic Banking’s performance includes key markets in Malaysia, Indonesia and
Singapore
RM million 1H FY2019 1H FY2018 YoY
Total Income 2,521.0 2,797.6 (9.9)%
Profit Before Tax 1,671.8 1,184.5 41.1%
Financing & Advances 196,253.9 183,123.0 7.2%
Deposits & Investment Account: 188,173.8 169,473.6 11.0%
Deposits from Customers 166,521.0 150,297.4 10.8%
Investment Account 21,652.8 19,176.2 12.9%
RM
billion
Maybank Islamic: Key Financial Ratios
Key Financial Ratios 1H FY2019 1H FY2018
Total Capital Ratio (TCR) 21.74% 19.05%
Net Profit Margin (YTD) 1.79% 1.86%
Cost to Income Ratio (CIR) 36.10% 33.59%
Direct FDR1 93.1% 95.9%
Note:
¹ Direct Financing to Deposits Ratio (FDR) comprising gross financing against deposit
and Unrestricted Investment Account (exc. RPSIA assets and liabilities)
32.8
45.0
37.2
6.3
26.9 22.9
35.0
50.3
40.9
7.1
29.0
21.3
AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB)
Jun-18
Jun-1912%
10%7%
13%
7%
(7%)
CFS:10% GB:1%
44
Key Products Jun 19 Jun 18
Automobile Financing 46.5% 44.1%
Home 26.3% 26.1%
Term financing 28.3% 28.0%
Maybank Islamic ranks No.1 by Asset Market Share
in Malaysia
Islamic Banking: Market Share
Market Share by Product (Malaysia) Maybank Islamic Market Share
31.1%30.7% 30.9% 31.0% 31.0%
28.8% 28.8%28.4%
27.8%28.3%
Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
Financing Deposits & Investment Accounts
MalaysiaAsset Market Share
Mar 19Rank
Maybank Islamic 31% 1
CIMB Islamic 14% 2
RHB Islamic 9% 3
Source for industry numbers: Latest BNM Monthly Statistical Bulletin
Sukuk League Table Ranking June 2019
Source for industry numbers: Latest BNM Monthly Statistical Bulletin
Source: Bloomberg
Source: Latest BNM monthly statistical bulletin & respective Bank’s Financial
Statements
Global Sukuk League
Table Ranking
Market
Share (%)
Amount
(USD million)Issues
#2 Maybank 13.03% 3,965 66
MYR Sukuk League
Table Ranking
Market
Share (%)
Amount
(USD million)Issues
#2 Maybank 25.98% 3,568 57
45
0 500 1,000 1,500 2,000 2,500
Total Life/Family…
Total General
Misc
Personal Accident
MAT
Motor
Fire
Total Life/Family
Group Premium
Credit Premium
Regular Premium
Single Premium
1H FY2019
1H FY2018
14.2% 7.9% 8.0% 7.3% 7.6%
8.2% 8.0% 7.9% 7.6%
10.7% 10.6% 10.6% 10.2%
12.8% 12.1% 11.5% 12.2%
2016 2017 2018 2019
Etiqa Allianz HL-MSIG AmGeneralRM Million
Total Life/Family &
General
156.7250.7
120.0
110.823.2
166.7
1H FY2018 1H FY2019
Life/Family General Shareholder's Fund
35.538.8
Jun 18 Jun 19
Insurance and Takaful: Performance Overview
Total Assets
Net Adjusted Premium/ Contribution
Profit Before Tax
Life / Family (New Business) Market Share (Malaysia)
No. 1 in General
Insurance and
Takaful
(Gross Premium)
General Insurance and Takaful Market Share (Malaysia)
+76.1% YoY +9.5% YoY
Note: Market Share is for period Apr – Mar of every year (Source: LIAM / ISM Statistics)
299.9
RM
million
RM
billion
528.2
(6.3)%
8.5%
(3.0)%
29.3%
8.1%
22.6%
7.1%
59.6%
30.4%
3.9%
14.7%
No. 4 in
Life/Family
(New Business)
8.6% 7.6% 10.5% 11.1%
14.2% 14.2% 13.0% 13.8%
14.9% 14.8% 13.9% 16.5%
20.1% 22.1% 21.9% 18.6%
2016 2017 2018 2019
AIA Prudential GE Etiqa
*Net Adjusted Premium (NAP) = Life/Family Adjusted Premium (100% Regular Premium
+10% Single Premium/Credit/Group)+ Net Written Premium (General)
Note: Net Adjusted Premium, Profit Before Tax and Total Assets are presented at EIH Group level
46
MALAYAN BANKING BERHAD
14th Floor, Menara Maybank
100, Jalan Tun Perak
50050 Kuala Lumpur, Malaysia
Tel : (6)03-2070 8833
www.maybank.com
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 implied, is given by or on behalf of the
Company as to the accuracy or completeness of the information or opinions contained in this presentation.
The presentation does not constitute or form part of an offer, solicitation or invitation of any offer, to buy or subscribe for any securities, nor should it or any part of
it form the basis of, or be relied in any connection with, any contract, investment decision or commitment whatsoever.
The Company does not accept any liability whatsoever for any loss howsoever arising from any use of this presentation or their contents or otherwise arising in
connection therewith.
Humanising Financial Services