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Investor Presentation
Financial Results 4Q & Full Year FY2014 ended 31 December 2014
26 February 2015
Humanising Financial Services
1
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
2
Overview Despite a challenging 2014, Maybank stayed focused on its regional strategy and growth of business pillars
Income increased YoY for all business pillars, including stable income
performance in Global Markets and Investment Banking segments 1
Higher fee-based income recorded across most business segments, with Insurance
and Takaful and Corporate Banking growing at 33.8% and 21.5% respectively 2
International recorded the highest YoY income growth of 6.5%
(+RM347 million), resulting in higher contribution to the Group’s income 3
Overheads increased marginally by 2.1% YoY, the slowest in 3 years as
management pursued tighter cost control 4
Asset quality increase confined to specific accounts and remained at
comfortable range versus industry and capital position 6
Loans growth in Malaysia and Singapore performed above industry 5
Well-managed capital position with CET1 at 11.39%* and
attractive dividend yield of 6.2% 7
* After proposed dividend and assumption of 85% reinvestment rate. Fully loaded CET1 ratio is 10.58%
3
FY2014 Headline Key Performance Indicators Maybank ROE at 13.8%, supported by a stronger performance in the second half of 2014
Key Performance Indicators FY2014
Guidance 1H FY2014¹ 2H FY2014¹
FY2014
Achievement
Industry
Average
Headline KPI
Return on Equity 13-14%* 13.5% 14.6% 13.8% -
Other targets
Group Loans Growth 13.0% 7.5% 18.7% 13.4% -
• Malaysia 9.0%- 10.0% 2.5% 15.2% 9.0% 8.7%
• Singapore# 13.0% 14.6% 11.2% 13.3% 5.9%
• Indonesia# 16.0%- 17.0% 9.0% 1.7% 5.4% 11.4%
• Indonesia Community
Financial Services 15.3% 14.8% 15.6% N.A
• Indonesia Global Banking (10.6%) (35.4%) (22.0%) N.A
Group Deposits Growth 10.0%- 12.0% 5.5% 16.3% 11.1% -
Notes:
¹ Annualised
* Last revised ROE guidance announced on 26 November 2014
# in local currency terms
Singapore’s industry loan growth average comprises domestic business unit (DBU) loans
4
Group Community
Financial Services
Busi
ness
Segm
ent
• GCFS serves the
Consumer, SME and
Business Banking
segments of the
Group.
• Established Regional
Centres of Excellence
in 2014 for Cards,
Wealth Management
and Retail SME.
• Standardised private
and premiere wealth
branding across the
region
• Group Insurance and
Takaful complements
Maybank’s growth
internationally while
leveraging on Etiqa’s
expertise in takaful
and bancassurance
• Etiqa is expanding in
the region, with the
introduction of Etiqa
in the Singapore life
insurance market.
• Global Banking
covers investment
and capital market
services for
corporate and
institutional clients
across 20 markets.
• Includes Investment
Banking, Global
Markets, Corporate
Banking, Transaction
Banking and Asset
Management.
• Maybank Kim Eng
(MKE), ASEAN’s
largest brokerage
franchise operates in
10 countries.
• MKE has been in Asia
for more than 40
years, providing
services in corporate
finance, debt
markets, equity
capital markets,
derivatives, retail &
institutional
securities broking
and research.
Desc
ripti
on
% o
f
FY14
PBT²
41.3%
6.5%
46.5%
4.4%
Group Insurance
and Takaful
Group Global
Banking
Group Investment
Banking¹
Islamic Finance
• leverage model utilised to distribute Islamic products across the group
¹ Investment Banking is a subset of the overall Global Banking operations
² Before elimination of Group head office cost
* Associates account for 1.3% of Group PBT
* PBT numbers are management reporting estimates used internally
Maybank’s Regional Strategy (1/7) Regionalisation of business pillars are driving higher income contribution from international operations
5
Note: All data is in RM billion except for Singapore and Indonesia which is in SGD million and IDR billion respectively
Maybank’s Regional Strategy (2/7) We continue to show traction in ASEAN and Greater China, with double digit loans and deposits growth in most markets
Deposits FY2012 FY2013 YoY FY2014 YoY
Malaysia 227.3 259.1 14.0% 278.3 7.4%
Singapore 29.9 34.0 13.7% 39.6 16.5%
Indonesia 86.1 107.5 24.8% 102.8 (4.4)%
Philippines 2.5 3.7 48.9% 4.1 9.6%
Indochina 1.1 1.3 17.7% 1.5 19.2%
- Cambodia 0.9 1.1 16.0% 1.3 22.7%
- Laos 0.00 0.01 58.3% 0.03 260.2%
- Vietnam 0.1 0.2 28.2% 0.1 (14.5)%
Greater China 5.8 7.8 35.2% 9.4 20.9%
- Hong Kong 5.6 7.0 24.6% 7.7 10.0%
- Shanghai 0.2 0.7 351.7% 1.7 142.0%
- Beijing - 0.1 - 0.0 (82.6)%
Gross Loans FY2012 FY2013 YoY FY2014 YoY
Malaysia 199.8 223.6 11.9% 243.6 9.0%
Singapore 27.3 31.0 13.6% 35.1 13.3%
Indonesia 81.1 103.7 27.9% 109.3 5.4%
Philippines 2.4 2.8 17.3% 3.8 38.0%
Indochina 1.1 1.3 15.1% 1.7 31.9%
- Cambodia 0.7 0.9 22.2% 1.2 37.9%
- Laos 0.0 0.0 >100% 0.1 97.0%
- Vietnam 0.4 0.3 (10.3)% 0.4 7.5%
Greater China 8.5 11.9 40.5% 16.0 33.9%
- Hong Kong 7.0 9.1 29.6% 12.9 41.6%
- Shanghai 1.3 2.2 72.4% 2.4 5.5%
- Beijing 0.1 0.5 281.2% 0.7 23.2%
6
Maybank’s Regional Strategy (3/7) Regional CFS on course with the execution of its strategy in Malaysia and ASEAN
First full year of Private Wealth operations:
Breakeven performance in Malaysia and Singapore
Total AUM of RM13 billion, and 31% new-to-bank
Private wealth completes the universal offering
across the region
Regional CFS total income grew by 4.4% YoY, as net
interest income rose 6.8% YoY for FY2014
Double digit growth for regional CFS loan and deposit
growth at 14.4% and 14.0% respectively in FY2014
Strengthened card base across the region, through
Regional Card initiatives in 2014
Similar loan and deposit growth in FY2015 driven by
consumer and retail SME portfolios
Regional CFS an Engine of Growth for Maybank Group
1st Year of Private Wealth Services Delivers Results
Increasing Contribution from High Net Worth and Affluent
Segments for CFS Malaysia
Consumer Asset Quality Remains Strong Despite Softer Market
¹ BB GIL for new loan book, defined as loans approved from July 2010 onward, was 1.1%
²As at Nov 2014. Industry GIL for BB is a proxy figure based on total GIL after deducting
household GIL & SME GIL
High Net Worth &Affluent
Emerging Affluent Mass
2012 2013 2014
YoY change in loan exposure by segment
+2% +2%
+2% +1%
-3% -3%
7
Maybank’s Regional Strategy (4/7) Global Banking has strengthened its regional play through its multiple product and service offerings for corporate clients
Champion borderless coverage
across geographies through
disciplined and consistent
account planning between
Group and in country coverage
and product teams:
Key regional deals increased by
16% compared to 2013 and more
than 500 new accounts secured
Accelerated effort to achieve
regional leadership position:
55 regional awards in 2014
accorded by well-established
financial and regional publications
such as the Asian Banker, Alpha
Southeast Asia and Euromoney
Regionalised Business Models
and Platforms
Improved Coverage Model
Across the Region
2 1 Established Regional
Centres of Excellence for Key
Businesses
3
Key Achievements Key Achievements Key Achievements
Aggressively pursued and
continued to strengthen our
regional business models across
all business lines in the various
countries:
Maybank Kim Eng - Maintained its
position as ASEAN’s largest equities
franchise in 2014
Global Markets - Officially
appointed by People’s Bank of China
as market maker of Renminbi and
completed the first Award Winning
Structured Note Issuance
Transaction Banking - Maybank 2E-
Regional Cash completed its
footprint in ASEAN region with
rollout in Cambodia in Dec 2014
Asset Management Group -
Launched Maybank Global Sukuk
fund targeting high net worth clients
and Singapore regulator approved
distribution of two Maybank funds
under the ASEAN collective
Investment Scheme in 2014
Positioned Singapore as the
Centre of Excellence (COE)
within AEC and established the
regional centres of excellence
and operating model for:
Maybank Kim Eng - Investment
Banking & Advisory (IB&A)
Global Markets - Trading and
Structuring (for derivatives, cross
markets and rates)
Transaction Banking - Structured
Trade and Commodity Financing
Asset Management Group - Regional
Investment Management
8
879
905
976
1,146
1,508
1,596
1,654
1,693
1,855
1,862
3.5%
3.6%
3.9%
4.6%
6.1%
6.4%
6.6%
6.8%
7.5%
7.5%
Bangkok Bank
HSBC
DBS
RHB Capital
BoA Merrill Lynch
UBS
JPMorgan
Credit Suisse
CIMB
Maybank
2,593
2,965
3,194
3,367
3,594
4,687
4,820
5,734
6,728
8,839
3.8%
4.3%
4.7%
4.9%
5.2%
6.8%
7.0%
8.4%
9.8%
12.9%
Krung Thai Bank
Kasikornbank
Siam Commercial Bank
RHB
AmInvestment
Standard Chartered
DBS
HSBC
Maybank
CIMB
Source: 1Dealogic, 2Bloomberg
Maybank’s Regional Strategy (5/7) Maybank Kim Eng maintains its leadership in ASEAN, despite market challenges in 2014
YTD Dec 2014 Equity Brokerage League Table by Country
Country Rank Market Share Trading Value
(USD m)
Thailand 1 10.6% 67,310
Malaysia 4 9.2% 30,509
Indonesia 7 3.9% 9,782
Philippines 4 6.9% 6,743
Singapore N/A* 5.6% 22,380
Hong Kong Tier2 0.2% 10,479
* Ranking is not disclosed in respective exchanges
Note: Maybank Kim Eng represents the combined business of Maybank IB and business
segments under Maybank Kim Eng Holdings
Equity Capital Markets (USD'Mil)1
MKE secured the highest ASEAN ECM deal volume
ASEAN Domestic Bonds (USD'Mil)2
MKE is ASEAN’s largest equity franchise with the highest trade
value in 2014 MKE’s role in the largest China bond issuance by a Malaysian and
South East Asian issuer solidified its Top 2 position
(RM mil) 2011 2012 2013 2014
Total Income 888.1 1,279.0 1,536.3 1,515.3
Income contribution
to Maybank Group 5.5% 6.8% 7.8% 7.4%
PBT 126.4 346.2 461.8 478.8
PBT contribution to
Maybank Group 1.5% 3.5% 4.6% 4.3%
MKE Income and PBT (FY2011 – FY2014) MKE’s PBT continues to grow since FY2011, increasing its contribution to
Group’s PBT from 1.5% in FY2011 to 4.3% in FY2014
Note: Kim Eng was consolidated in May 2011 and PBT Contribution to Maybank Group is
calculated before elimination of Group head office cost
9
Maybank’s Regional Strategy (6/7) Group Insurance & Takaful, a diversified insurance player with a sizable bancassurance model
8.9%
11.2%
12.3%
0.0% 5.0% 10.0% 15.0%
AmGeneral Insurance
Allianz Insurance
Etiqa Ins. & Tak.
11.0%
13.9%
15.1%
17.3%
0.0% 5.0% 10.0% 15.0% 20.0%
Etiqa Ins. & Tak.
Prudential Ins. & Tak.
GE Ins. & Tak.
AIA Ins. & Tak.
Life / Family (New Business) Market Share
General Insurance and Takaful Market Share
No. 4 in Life/Family (New Business)
No. 1 in General Insurance and Takaful
* Market Share is for period Oct’13 – Sept’14 (Source: LIAM / ISM Statistics)
Life24.8%
General31.0%
Family23.8%
General Takaful
20.4%
INSURANCE & TAKAFUL( against SPLY)
(+2.0%)
(-6.6%)
(+1.3%)
(+3.3%)
Fire12.7%
Motor41.4%
MAT30.0%
Misc15.9%
GENERAL INSURANCE & GENERAL TAKAFUL ( against SPLY)
(+1.7%)
(+0.4%)
(-1.2%)
(-0.9%)
Single Prem/Contr
13.6%
Regular Prem/Contr-
New Business10.0%
Regular Prem/Contr-
Renewal42.4%
Group8.3%
Credit25.7%
LIFE & FAMILY ( against SPLY)
(+1.1%)
(-10.5%)
(+2.9%)
(+2.2%)(+4.3%)
Banca Maybank
33.6%
Banca 3rd Party
0.9%
Agency35.3%
Walk-in Customer
1.9%
Direct Retail Distribution
3.1%
Enterprise Corporate
21.7%
Brunei 0.2%Singapore
2.6%
Reinsurance0.3%
Shareholders0.4%
INSURANCE & TAKAFUL ( against SPLY)
(-6.0%)
(+0.4%)
(+0.0%)
(+0.3%)
(+1.4%)
(+0.0%)
(+0.5%) (0.0%)
(+0.4%)
(+3.0%)
By Line of Business By Channel
By Class
Regular Premium accounts for
52.4% of Life & Family
Life & Family accounts for 48.6% of
our Insurance & Takaful portfolio
General Insurance & General Takaful highest
contributor is motor insurance at 41.4%
Agency and bancassurance are equally strong in
driving our Insurance & Takaful distribution
10
Maybank’s Regional Strategy (7/7) Maybank Islamic, the third largest Islamic bank globally
Global Position FY20131 Amount
(USD billion) Rank
Al Rajhi, Saudi Arabia 74.6 1
KFH, Kuwait 57.2 2
Maybank Islamic 38.7 3
Maybank Islamic Income Maybank Islamic’s total income and PBT have risen from FY2010
to FY2014
Global Position by Asset Size Maybank Islamic ranks third globally with an asset size of
USD38.7 billion
1Source: The Banker Nov-14, excludes Iran
Global Sukuk League Table FY2014 Maybank is ranked third by Bloomberg, having issued 98
sukuks with a combined value of USD4.6 billion
Market Share
(%)
Amount
(USD million) Issues
No.3 Maybank
Islamic 38.7 4,593.6 98
Maybank Islamic FY2014 contribution to
Maybank Domestic Financing Maybank Islamic’s contribution to Maybank Domestic Financing
continues to increase from 31.0% in FY2012 to 43.8% in FY2014
1,319
1,594
1,812
2,268
2,600
FY10 FY11 FY12 FY13 FY14
Maybank Islamic's Total Income (RM mil)
698
953
1,190
1,393 1,558
FY10 FY11 FY12 FY13 FY14
Maybank Islamic's Profit Before Tax (RM mil)
Year Contribution
Dec 2012 31.0%
Dec 2013 38.9%
Dec 2014 43.8%
Maybank Islamic, 43.8%
Maybank Conventional
Domestic, 56.2%
11
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
12
Results Overview (1/2) Full year net profit of RM6.72 billion performing slightly above consensus despite a slower first half
Net profit grew by 2.5% YoY:
• As net fund based income rose 5.9%, supported by a 13.4% growth in loans
• Lower impairment losses by 46.5%
Offset by:
• Weaker net fee based income compared to FY2013, primarily due to lower FX profit
• Marginal increase in overheads due to a rise in personnel costs, administrative/general
expenses and establishment costs
Stable revenue performance across business pillars:
• Community Financial Services +2.7%
• Global Banking +2.0%
• International Banking +6.5%
• Insurance and Takaful +13.5%
Offset by:
• Moderately lower revenue for Investment Banking and Global Markets (Malaysia) due to
slower capital market activity
Compressed by 12 bps YoY due to:
• Higher cost of funding in home markets
• One-time reclassification on BII’s marketing expense done in 9M FY2014
Higher full year net
profit of RM6.72
billion
Higher income
growth in key
businesses
Lower net interest
margin
13
Results Overview (2/2) Loans and deposits growth comes in within management guidance
Group loans growth of 13.4% YoY supported by:
• International loans growth of 20.6% YoY, as Singapore loans grew 13.3%
• Malaysia loans growth of 9.0% YoY, with growth of 11.1% in consumer loans and 13.1% in business
banking and SME loans.
• Indonesia loans growth was behind our guidance but consumer loans grew strongly at 16%
Improved deposit growth performance of 11.1% contributed by:
• Malaysia deposits growth of 7.4%
• Singapore double digit deposit growth of 16.5%
Liquidity position:
• Group LDR at 91.8% (Malaysia: 89.5%, Singapore: 88.4% and Indonesia: 92.7% - bank level)
Slightly higher Group GIL attributed to specific impairments in Malaysia and Indonesia:
• Group 1.52% (Dec 13: 1.48%)
• Malaysia 1.85% (Dec 13: 1.69%)
• Indonesia 3.24% (Dec 13: 2.81%)
Offset by improvement in:
• Singapore GIL at 0.23% from 0.29% the previous year
Stronger capital position:
• Group total capital ratio at 15.89% and CET1 at 11.40% as at 31 December 2014 (assuming 85% DRP
reinvestment rate)
• Gross dividend of 57 sen and a dividend yield of 6.2%
Strong capital
ratios, and dividend
yield of 6.2%
Asset quality shows
slight deterioration
Met revised Group
deposit guidance of
10-12%
Met Group loans
guidance of 13%
14
P&L Summary: 4Q & Full Year FY2014 Fourth quarter net profit rose 11.5% YoY to RM1.93 bil, on higher net fee-based & net fund-based income
¹Fee-based income is the combined value of non-interest income (other operating income) and fee-based income from Islamic Banking operations
²Pre-provisioning operating profit (PPOP) is equivalent to operating profit before impairment losses
³Net profit is equivalent to Profit attributable to equity holders of the Bank
* From consolidated Group numbers, Insurance and Takaful accounts for 7.3% of net fund based income,13.3% of net fee-based income, 10.0% of operating profit and 9.8% of PBT
RM million FY 2014 FY 2013 YoY 4Q 4Q
YoY FY2014 FY2013
Net fund based income * 12,616.0 11,916.9 5.9% 3,137.5 3,088.9 1.6%
Fee-based income¹ 5,899.3 6,360.7 (7.3)% 1,657.2 1,411.8 17.4%
Net earned insurance premiums 3,946.1 3,941.3 0.1% 1,026.9 866.1 18.6%
Fee-based income and net earned insurance
premiums 9,845.4 10,302.0 4.6% 2,684.1 2,277.9 17.8%
Net insurance benefits & claims incurred, net
fee & commission expenses and life & takaful
fund tax
(3,930.8) (3,680.5) 6.8% (743.1) (681.4) 9.1%
Net fee based income * 5,914.6 6,621.5 (10.7)% 1,941.0 1,596.5 21.6%
Net operating income 18,530.6 18,538.4 (0.0)% 5,078.5 4,685.4 8.4%
Overhead expenses (9,111.3) (8,927.9) 2.1% (2,572.9) (2,334.2) 10.2%
Pre-provisioning operating profit (PPOP) ² 9,419.3 9,610.4 (2.0)% 2,505.6 2,351.2 6.6%
Impairment losses (470.8) (880.1) (46.5)% (119.5) (67.3) 77.6%
Operating profit * 8,948.5 8,730.3 2.5% 2,386.1 2,283.9 4.5%
Profit before taxation and zakat (PBT) * 9,111.6 8,869.6 2.7% 2,431.0 2,301.6 5.6%
Profit attributable to equity holders (Net
Profit) ³ 6,716.5 6,552.4 2.5% 1,931.2 1,732.1 11.5%
EPS - Basic (sen) 74.2 75.8 (2.2)% 20.8 19.6 6.0%
15
Unaudited Income Statement for Insurance and Takaful Business Operating profit rose 1.3%, mainly from higher fee income and net interest income
RM million FY2014 FY2013 YoY
Interest income 969.8 937.5 3.4%
Interest expense (28.7) (10.2) 181.6%
Net interest income 941.1 927.3 1.5%
Net earned premiums 3,946.1 3,941.3 0.1%
Other operating income 721.6 291.0 148.0%
Total operating income 5,608.8 5,159.7 8.7%
Net insurance benefits & claims incurred, net fee &
commission expenses and life & takaful fund tax (4,029.3) (3,770.5) 6.9%
Net operating income 1,579.5 1,389.1 13.7%
Overhead expenses (615.4) (601.3) 2.3%
PPOP 964.1 787.8 22.4%
Impairment losses (172.0) (5.9) 2842.9%
Operating profit 792.1 781.9 1.3%
RM million FY2014 FY2013 YoY
Net insurance benefits & claims incurred, net fee &
commission expenses and life & takaful fund tax (4,029.3) (3,770.5) 6.9%
Less: intercompany elimination 98.5 90.0 9.3%
Total net insurance benefits & claims incurred, net fee &
commission expenses and life & takaful fund tax (3,930.8) (3,680.5) 6.8%
Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses and life & takaful fund tax
16
P&L Summary: FY2014 Individual Quarters Fourth quarter net profit rose 20.1% QoQ, on the back of 47.3% growth in fee-based income
RM million 1Q FY2014 2Q FY2014 QoQ 3Q FY2014 QoQ 4Q FY2014 QoQ
Net fund based income 3,124.3 3,134.6 0.3% 3,219.6 2.7% 3,137.5 (2.6)%
Fee-based income 1,309.0 1,446.9 10.5% 1,486.1 2.7% 1,657.2 11.5%
Net earned insurance premiums 922.3 1,029.4 11.6% 967.5 (6.0)% 1,026.9 6.1%
Fee-based income and net earned
insurance premiums 2,231.3 2,476.3 11.0% 2,453.6 (0.9%) 2,684.1 9.4%
Net insurance benefits & claims incurred,
net fee & commission expenses and life
& takaful fund tax
(920.5) (1,131.6) 22.9% (1,135.6) 0.4% (743.1) (34.6)%
Net fee based income 1,310.8 1,344.7 2.6% 1,318.0 (2.0)% 1,941.0 47.3%
Net operating income 4,435.1 4,479.3 1.0% 4,537.6 1.3% 5,078.5 11.9%
Overhead expenses (2,168.4) (2,086.4) (3.8)% (2,283.6) 9.5% (2,572.9) 12.7%
PPOP 2,266.7 2,392.9 5.6% 2,254.0 (5.8)% 2,505.6 11.2%
Impairment losses (95.4) (183.4) 92.2% (72.5) (60.5)% (119.5) 64.7%
Operating profit 2,171.3 2,209.5 1.8% 2,181.5 (1.3)% 2,386.1 9.4%
Profit before taxation and zakat 2,207.8 2,246.8 1.8% 2,226.0 (0.9)% 2,431.0 9.2%
Net profit 1,601.6 1,575.5 (1.6)% 1,608.1 2.1% 1,931.2 20.1%
EPS - Basic (sen) 18.1 17.5 (3.4)% 17.6 0.9% 20.8 17.8%
17
71.2%
14.4%
3.0%
11.4%
Malaysia Singapore Indonesia Others
RM 9.1bil
69.7%
14.1%
7.4%
8.8%
RM8.9 bil
59.7% 23.3%
7.6%
9.4%
RM 410.5 bil
62.1%
22.8%
7.9% 7.2%
RM361.8 bil
65.6%
14.7%
13.6%
6.1%
RM18.5 bil
International & Malaysia Portfolio Mix FY2014 International loans and revenue contribution to the Group increased
Overseas:
40.3%
FY 2013
Net Income Profit Before Tax
FY 2014
Overseas:
36.1%
Overseas:
34.4%
Overseas:
30.3%
Overseas:
28.8% (Pre-BII Adjustment)
30.3% (Post-BII Adjustment)¹
Gross loans*
Overseas:
37.9%
• Including Islamic loans sold to Cagamas and excludes unwinding of interest & EIR adjustment
• ¹ Excluding provisions made for two large corporate accounts, BII’s normalised FY2014 PBT was IDR1,690 billion
63.9%
16.6%
12.1%
7.4%
RM18.5 bil
18
9,610
3,618
1,852 1,456 476 22
2,567
783
9,419
3,800
1,837 1,445 464 6
2,828
1,068
Total CommunityFinancial Services
Corporate Banking Global Markets Investment Banking Asset Management InternationalBanking
Insurance andTakaful
FY2013
FY2014
18,538
7,318
2,270 1,696 1,536 73
5,330
1,479
18,531
7,515
2,382 1,691 1,515 100
5,677
1,679
Total CommunityFinancial Services
Corporate Banking Global Markets Investment Banking Asset Management InternationalBanking
Insurance andTakaful
FY2013
FY2014
Net Operating Income
Business Segment Performance: FY2014 (1/2) Higher revenue for all business pillars, with moderately lower revenue for global markets and investment banking
Note: Net income & PPOP for group includes expenditures of Head Office & Others of RM2.03 billion for FY2014 and RM1.16 billion for FY2013.
RM
million
PPOP
RM
million
Global Banking (GB)
-0.0%
+2.0%
+2.7% +6.5% +13.5%
Global Banking (GB)
-2.0%
-1.4%
+5.0% +10.2% +36.4%
+4.9% -0.3% -1.4%
-0.8% -0.7% -2.6% -71.6%
+38.2%
19
6,622
1,713 667 930
1,344
69
1,648
552
5,915
1,721
810 964 1,349
97
1,645 738
Total CommunityFinancial Services
Corporate Banking Global Markets Investment Banking Asset Management InternationalBanking
Insurance andTakaful
FY2013
FY2014
11,917
5,606
1,603 766 193 4
3,682
927
12,616
5,794
1,572 727
167 3
4,032
941
Total CommunityFinancial Services
Corporate Banking Global Markets Investment Banking Asset Management InternationalBanking
Insurance andTakaful
FY2013
FY2014
Net Fund Based Income
Business Segment Performance: FY2014 (2/2) Fund-based income grew 5.9%, supported by loans growth in CFS (Malaysia) and international banking
Note: Net fund based income includes expenditures of Head Office & Others of RM619.1 million for FY2014 and RM863.7 million for FY2013. Net Fee Based income includes
expenditures of Head Office & Others of RM1,410.0 million for FY2014 and RM300.2 million for FY2013
RM
million
Net Fee Based Income
RM
million
Global Banking (GB)
Global Banking (GB)
+5.9%
-3.8%
+3.4% +9.5% +1.5%
-10.7%
+7.0%
+0.5% -2.0% +33.8%
-2.0% -5.2% -13.4%
+21.5% +3.7% +0.4%
-22.3%
+41.7%
20
5,882
3,544
1,292
-943
1,732
257
3,941
-3,681 479
5,540
3,711
1,012
-57
588 287
3,946
-3,931 359
Other operatingincome
Commission,service charges
and fees
Investment &trading income
Unrealised gain/(losses) on
securities &derivatives
Foreign exchangeprofit
Other income Net earnedinsurancepremiums
Net insurancebenefits & claimsincurred, net fee
& commissionexpenses and life& takaful fund tax
Fee income fromIslamic operations
FY2013
FY2014
+11.8%
RM
million
Non-interest Income: FY2014 While other operating income was lower by 5.8%, commission, service charges and fees continued to grow at 4.7%
-5.8% +4.7% -21.6% -6.8% -25.0% +0.1% +93.9% -66.1%
21
Group Loans Growth: 31 Dec 2014 Group loans growth of 13.4% was supported by international markets and Malaysia
¹ Including Islamic loans sold to Cagamas and excludes unwinding of interest
² Takes into account others portion - Dec 14: 0.0 vs Dec 13: 0.0
³ Rebased loan growth figures are based on adjusted 31 Dec 2013 position in line with migration of clients account, implemented on 1 January 2014
31 Dec 2014 31 Dec 2013 YoY
Group Gross Loans ¹ 410.5 361.8 13.4%
Malaysia (RM billion)² 243.6 223.6 9.0%
Community Financial Services 168.8 151.4³ 11.5%
Global Banking 74.8 72.1³ 3.7%
International (RM billion) 162.4 134.7 20.6%
Singapore (SGD billion) 35.1 31.0 13.3%
Consumer 12.2 10.6 15.3%
Commercial 22.9 20.4 12.3%
Indonesia (Rupiah trillion) 109.3 103.7 5.4%
Consumer 41.0 35.3 16.0%
Non-consumer 68.4 68.4 (0.1)%
Other markets (RM billion) 38.8 26.3 47.5%
Investment Banking(RM billion) 4.4 3.5 24.6%
22
Malaysia Loans Growth: 31 Dec 2014 All business segments recorded higher YoY growth, with corporate loans picking up momentum in 4Q
¹ Re-based loan growth figures are based on adjusted 31 Dec 2013 position in line with migration of client accounts, implemented on 1 January 2014
² Rebased loan growth figures include CB loans centred in Labuan and unrated bonds which is captured by Global Markets
³ Including Islamic loans sold to Cagamas and excludes unwinding of interest and takes into accounts others portion – Dec 14: 0.0 vs Dec 13: 0.0
RM billion 31 Dec 2014 31 Dec 2013 YoY
Community Financial Services (Reported) 168.8 151.9 11.1%
Community Financial Services (Re-based¹) 168.8 151.4 11.5%
Consumer (Reported) 135.7 121.9 11.3%
Consumer (Re-based¹) 135.7 122.2 11.1%
Total Mortgage 60.9 53.8 13.3%
Auto Finance 38.6 35.0 10.5%
Credit Cards 5.8 5.6 4.5%
Unit Trust 28.3 26.3 7.4%
Other Retail Loans (Reported) 2.1 1.3 60.6%
Other Retail Loans (Re-based¹) 2.1 1.6 35.2%
Business Banking + SME (Reported) 33.1 29.9 10.5%
Business Banking + SME (Re-based¹) 33.1 29.2 13.1%
SME (Reported) 7.5 6.0 24.4%
SME (Re-based¹) 7.5 5.3 43.2%
Business Banking (Reported) 25.5 23.9 6.9%
Business Banking (Re-based¹) 25.5 24.0 6.5%
Global Banking (Corporate)
-Reported 74.8 71.7 4.4%
-Re-based¹ 74.8 72.1 3.7%
-Re-based² 86.2 75.4 14.3%
Total Malaysia³ 243.6 223.6 9.0%
23
Group Deposits Growth: 31 Dec 2014 Group deposits grew 11.1% supported by growth in international markets and Malaysia
31 Dec 2014 31 Dec 2013 YoY
Group Gross Deposits 439.6 395.6 11.1%
Malaysia (RM billion) 278.3 259.1 7.4%
Savings Deposits 38.5 37.6 2.4%
Current Accounts 72.8 65.8 10.6%
Fixed Deposits 140.8 138.3 1.8%
Others 26.2 17.4 50.4%
International 162.9 138.6 17.5%
Singapore (SGD billion) 39.6 34.0 16.5%
Savings Deposits 4.5 4.1 9.7%
Current Accounts 5.3 4.7 14.2%
Fixed Deposits 29.0 24.7 17.2%
Others 0.8 0.5 64.4%
Indonesia (Rupiah trillion) 102.8¹ 107.5 (4.4)%
Savings Deposits 23.5 24.7 (5.0)%
Current Accounts 16.3 17.7 (7.6)%
Fixed Deposits 62.4 65.1 (4.1)%
¹ Includes Others of Rupiah 0.6 trillion
24
LDR and CASA Ratio: 31 Dec 2014 Stronger QoQ Group CASA ratio, on higher CASA ratio in Malaysia and Indonesia
Singapore BII Group
Group Malaysia
87.8% 87.9% 86.8% 83.9% 89.5%
39.9% 40.0% 39.9% 38.1% 39.9%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
95.7% 98.3% 101.1% 102.7% 105.3%
39.4% 37.8% 38.3% 38.4% 38.7%
87.0% 88.9% 90.8% 91.1% 92.7%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
LDR (Bank Level)
89.9% 91.0% 90.6% 90.6% 91.8%
36.1% 35.8% 35.7% 34.5% 35.3%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
LDR CASA
90.9% 93.5% 94.7% 95.8% 88.4%
25.9% 25.8% 25.8% 25.2% 24.9%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
25
Overheads: FY2014 Managed overheads growth with CIR within internal threshold, despite flat income growth
(RM’ mil) FY2014 FY2013 YoY 1Q
FY2014
2Q
FY2014
3Q
FY2014
4Q
FY2014 QoQ
Personnel costs 5,019.3 4,943.9 1.5% 1,237.3 1,142.8 1,287.5 1,351.8 5.0%
IT Expenses 545.9 633.9 (13.9)% 105.9 154.4 116.1 169.5 45.9%
Marketing Expenses 589.4¹ 710.6 (17.1)% 135.3 192.6 84.0 177.5 111.2%
Admin, general expenses,
fees & brokerage and
establishment costs
2,956.7 2,639.5 12.0% 689.9 596.6 796.0 874.2 9.8%
Total 9,111.3 8,927.9 2.1% 2,168.4 2,086.4 2,283.6 2,572.9 12.7%
Group overheads composition
% FY2014 FY2013 FY2012
Total Cost to Income 48.9 47.8 48.6
Group JAW Position (2.1) 2.1 2.6
¹ The drop in marketing expenses was from one-time readjustment done in 9M FY2014 of BII’s operating expenditure from marketing expense to interest expense
26
Key Operating Ratios Stable operating ratios, despite slower industry trends
(%) FY 2014 FY 2013 YoY FY 2012 CY 2011
Return on Equity 13.8 15.1 (1.3)% 16.0 15.7
Net Interest Margin 2.31 2.43 (12 bps) 2.48 2.53
Fee to Income Ratio 31.9 35.7 (3.8)% 34.4 38.0
Loans-to-Deposit Ratio 91.8 89.9 1.9% 89.8 87.5
Cost to Income Ratio¹ 48.9 47.8 1.1% 48.6 49.9
Asset Quality
Gross Impaired Loans Ratio 1.52 1.48 4 bps 1.78 2.84
Net Impaired Loans Ratio 1.04 0.95 9 bps 1.09 1.86
Loans Loss Coverage 95.6 107.5 (11.9)% 105.6 86.9
Net Charge off rate (bps) (11) (23) 12 bps (23) (25)
Capital Adequacy (Group)²
CET1 Capital Ratio 11.39 11.02 37 bps 10.22 11.57
Total Capital Ratio 15.88 15.43 45 bps 15.85 16.29
¹ Total cost excludes amortisation of intangibles for BII and Kim Eng
² The capital ratios for CY 2011 and FY2012 are adjusted for dividend payment and reinvestment made under the Dividend Reinvestment Plan (DRP) and
capital ratios for FY 2013 and FY 2014 are on the assumption of 85% reinvestment rate under the DRP
27
-54.5
210.1 154.4
70.5
-34.6
729.6
400.4
4QFY2013
1QFY2014
2QFY2014
3QFY2014
4QFY2014
FY2013 FY2014
Allowances for losses on loans
107.5% 107.2% 107.7%
95.4% 95.6%*
Loan loss coverage
Asset Quality: FY2014 Improved Group GIL from last quarter, with stable loan loss coverage at 95.6%
Group Impaired Loans Ratio Allowance for losses on loans
1.09 1.18
1.09 1.06 0.95 0.99 0.97
1.13 1.04
1.78
1.89 1.86 1.83
1.48 1.52 1.50
1.65
1.52
Dec2012
Mar2013
Jun2013
Sep2013
Dec2013
Mar2014
Jun2014
Sep2014
Dec2014
Gross Impaired Loans Ratio (%)
Net Impaired Loans Ratio (%)
(RM
million)
*Loan loss coverage including Regulatory Reserve is 99.9%
28
0.29 0.29
0.26
0.24 0.23
0.22 0.21
0.20
0.18 0.18
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
Gross Impaired Loans Ratio (%)
Net Impaired Loans Ratio (%)
1.69 1.77
1.71
2.04
1.85
1.06 1.12
1.05
1.37 1.25
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
Asset Quality by Market GIL recorded a YoY uptick primarily due to specific sectors management has indicated for Malaysia & Indonesia
Malaysia Singapore BII Group
2.81 2.98
3.53 3.32 3.24*
2.46 2.53
2.95 2.82
2.63*
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
*BII reported gross NPL (2.23%) and net NPL (1.48%) whereas the chart above represents BII Group’s gross impaired loans ratio and net impaired loans ratio
29
Commodities Exposure Maybank Group’s loan exposure for selected commodity clusters as at 31 December 2014
Commodities
Agriculture Energy Metals & Mining
Note: *Home Markets include outstanding loan exposure as at 31 December 2014 for Malaysia, Singapore and Indonesia only.
Country exposure is calculated based on respective domestic gross loans figures while Group exposure is based on total Group gross loans
Refer to slide 72 for further breakdown of clusters by production and manufacturing
Malaysia Malaysia Malaysia
Singapore Singapore Singapore
Indonesia Indonesia Indonesia
30
Group Capital Adequacy: 31 Dec 2014 Total capital ratio at 15.88% (assuming 85% dividend reinvestment rate) and CET1 at 11.39%
11.75% 11.39% 11.33% 11.02%
13.54% 13.18% 13.12% 12.83%
16.24% 15.88% 15.81% 15.43%
Dec 14 Dec 14 Dec 14 Dec 13
Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio
After proposed
dividend, assuming
85% reinvestment
rate
Group
Bank
Before
proposed
dividend
After proposed
dividend,
assuming 85%
reinvestment rate
After proposed
dividend, based on
BNM’s
Implementation
Guideline*
16.28%
15.78% 15.69% 15.61%
Dec 14 Dec 14 Dec 14 Dec 13
CET1 Capital Ratio, Tier 1 and Total Capital Ratio
Note:
• CET1, Tier 1 and Total Capital Ratio are computed in accordance with Capital Adequacy Framework (Capital Components) issued by BNM in November 2012.
• Based on 85% reinvestment rate under the DRP, fully loaded, the CET1 Ratio would be at 10.58% (Group) and 9.23% (Bank) respectively.
* Capital ratios computed based on BNM’s implementation Guidelines on Capital Adequacy Framework (Capital Components) issued on 8th May 2013.
31
Dividend Gross dividend for 2014 at 57 sen, with a stable dividend yield of 6.2%
60.0% 61.0%
76.5% 74.9% 79.9% 74.7% 71.9% 78.5%
26
11
28 32 22.5 24
18
8
44
32
36
33
31 33
FY08** FY09 FY10 FY11 FP11 FY12 FY13 FY14
Final
Interim
● For the Final Dividend of FY2014, the Board has recommended a single-tier final dividend of 33 sen
consisting of 10 sen cash portion and 23 sen electable portion for the Dividend Reinvestment Plan.
● Dividend payout ratio for 2014 at 78.5% continues to be above policy rate of 40% - 60%
* Reinvestment rate for the Dividend Reinvestment Plan
** Adjusted for 1:4 Bonus Issue in February 2008 and 9:20 Rights Issue at RM2.74 in March 2009
# The Net Dividend is 28.5 sen of which 15 sen is single-tier dividend.
Gross Dividend (sen) and Payout Ratio (%)
85.9%*
85.7%*
88.2%* 85.9%* 88.5%*
91.1%*
86.1%*
88.6%*
#
N.A.*
44.0
8.0
55.0
60.0
36.0
65.0
53.5 57.0
84.0%*
Dividend Payout Ratio
32
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
33
Market Outlook 2015 outlook for our home markets
Key Indicators Outlook
Singapore
Malaysia
Indonesia
• GDP(f) 4.5% (2014: 6%)
• System loan(f) 7-8%
• System deposit(f) 6-7%
• OPR 3.25% (2014: 3.25%)
• USD/MYR (f) 3.61 (2014: 3.27)
• Inflation (f) 4.0% (2014: 3.2%)
• GDP(f) 2.5% (2014: 2.9%)
• System loan(f) 8%-9%
• System deposit(f) 5%-6%
• USD/SGD (f) 1.35 (2014: 1.28)
• Inflation (f) 1.0% (2014: 1.0%)
• GDP(f) 5.5% (2014: 5.02%)
• System loan(f) 15%
• System deposit(f) 15%
• Reference Rate (f) 8.00% (2014: 7.75%)
• USD/IDR average (f) 12514 (2014: 11885)
• Inflation average (f) 7.25% (2014: 6.42%)
• Government infrastructure spending likely to increase,
supporting loan growth in 2H FY2015
• Funding to remain tight, leading to margin pressure as
LDR remains elevated
• Weaker commodity prices could adversely impact asset
quality and domestic demand
• Government expected to maintain property cooling
measures to prevent speculative activity
• Asset quality to remain stable
• Consumer lending expected to moderate
• Top line for banks to be challenging with subdued
capital markets and soft loan demand
• Competition for deposits to remain keen amid on-going
liquidity pressure
• Cost and capital management will remain key priorities
34
Outlook and guidance for FY2015
Outlook for FY2015
• Some pressure on corporates depending on how long price weakness in commodities persist
• Continued deposit cost pressure resulting in NIM compression
• Tighter consumer spending with GST implementation on 1 April 2015
ROE
Group Loans Growth
Malaysia Loans
Growth
Singapore Loans
Growth
Indonesia Loans
Growth Group Deposits
Growth
13.0% - 14.0%
9.0% - 10.0%
8.0% - 9.0%
8.0% - 9.0%
13.0% - 15.0%
9.0% - 10.0%
Our 2015 guidance reflects the softer outlook for the year
35
FY2015 Group Strategic Priorities
Strengthen the Group’s revenue growth 1
Continue focus on productivity Group wide 2
Deploy capital efficient strategy 3
Continue with international market performance 4
Solidify our position in ASEAN for AEC opportunities
e.g.: Qualified ASEAN bank 5
36
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
37 37
* Refers to Housing & Shophouse Loans
# The above market share for Cards refers to Receivables. Credit card industry figure for commercial banks.
^ Based on latest available data
CFS Malaysia Market Share (1/4) Growing above market and advancing our market share
Deposits
Total Deposits 17.4% 17.1% 18.5% 19.0% 0.0 1
Total Core Retail Deposits 18.1% 18.3% 19.0% 19.4% 0.0 1
Retail CASA 23.3% 23.6% 24.8% 24.8% 0.0 1
Retail Savings 28.1% 28.2% 29.8% 29.9% 0 1
Retail Fixed Deposits (FD) 15.2% 15.2% 15.7% 16.5% 0.0 2
Loans
Total Consumer/Household 16.4% 17.0% 17.2% 17.4% 0.0 2
Auto (Purchase of transport vehicles) 19.2% 20.2% 21.5% 23.1% 0.0 2
Total Mortgage* 13.2% 13.4% 13.1% 13.1% 0.0 2
Credit Cards # 15.9% 15.9% 15.7% 16.2% 0.0 2
Unit Trust 64.0% 60.2% 55.8% 52.7% 0.0 1
Internet Banking – 3 months Active Users^ 35.7% 34.1% 33.9% 34.7% ### 1
Mobile Banking – 1 month Active Users^ 87.0% 80.5% 75.4% 72.6% ### 1
Branch Network^ 19.0% 20.0% 20.0% 20.0% ### 1
Dec-14
Dec-14
vs
Dec-13
Market
PositionDec-14
Dec-14
vs
Dec-13
Market
PositionDec-11 Dec-12 Dec-13
Dec-11 Dec-12 Dec-13
38 38
29.9 29.6
31.0
31.4
33.1
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
Loan Balance RM billion
29.2*
Note: Customer classification: HNW (IA > RM250K, TFA > RM1M); Affluent (IA between RM 50K to RM250K, TFA between RM250K to < RM1M)
TFA: Total Financial Assets (Deposits, Investments, Financing & Protection), IA: Investable Assets (Deposits & Investments)
*Re-based loan growth figures are based on adjusted 31 Dec 2013 position in line with migration of client accounts which are implemented on 1 January 2014.
HNW & Affluent Customer TFA grew 12.7% YoY with
higher product cross sell ratio
Mass Customer TFA grew 5.4% YoY with focus on
increasing customer’s share of wallet
133.5
137.3 141.6
145.3 150.4
6.37 6.48
6.54 6.59
6.65
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
TFA RM billion Product per customer
101.0
103.2 104.7
105.5 106.4
2.99 3.04
3.08 3.11
3.12
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
TFA RM billion Product per customer
Community Financial Services (2/4) Growth in HNW and Affluent customer segments sustained with continued refinement of segment-led business model
Overall loans for CFS grew 11.5% YoY to RM168.8
billion
Retail SME and Business Banking loans grew by 13.1%
YoY to RM33.1 billion
151.9 154.5
159.4
162.7
168.8
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
CFS Loan Balance RM billion
151.4*
39
Community Financial Services (3/4) CFS deposit grew by 12.3%, driven by SME and BB deposits
CFS Deposits grew 12.3% YoY driven by consumer,
SME and BB deposit growth
Sustained double digit growth in CFS deposits, supported
by strong growth in SME and BB.
Portfolio growth aided by enhanced relationship
programmes with HNW and Mass Affluent customer
segments as well as initiatives to attract new funds
through tactical and payroll campaigns. Growth in
consumer deposits continued to be driven by FD and
demand deposits.
Retail SME and Business Banking deposits saw strong
growth of 18.0% YoY
Consumer Deposits grew at 9.1% YoY
172.9
169.6
174.2
178.7
186.6
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
Deposit Balance RM billion
166.2*
65.5
58.5
61.8
64.6
69.7
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
Deposit Balance RM billion
59.1*
107.5
111.0
112.4
114.1
116.9
19.0% 19.0% 19.2% 19.2%
19.4%
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
Deposit Balance RM billion Market Share %
107.2*
*Re-based loan growth figures are based on adjusted 31 Dec 2013 position in line with
migration of client accounts which are implemented on 1 January 2014.
The YoY growth is computed based on re-based position.
40
2,838 2,872 2,813
3,658 3,457
1.9% 1.9% 1.8% 2.2% 2.0%
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
GIL RM million GIL %
Community Financial Services (4/4) CFS GIL remains within the internal threshold with consumer GIL at 0.5%, less than half of industry
CFS GIL steady at 2.0% YoY
Retail SME & BB GIL improved to 8.5% from Q3 2014 CFS GIL trending down to 2.0% from Q3 2014
Consumer GIL maintained at 0.5% YoY, lowest in the industry
*Note: Increase in BB FY14 GIL is due to an impairment of a legacy loan, originated prior to
the BB transformation undertaken in FY2010 to improve its asset quality position. Improved
GIL in Q4 2014 attributed to better recovery efforts.
GIL % 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14
CFS 1.9 1.9 1.8 2.2 2.0
Consumer 0.5 0.5 0.5 0.5 0.5
Mortgage 0.7 0.8 0.7 0.7 0.6
Auto 0.4 0.5 0.5 0.5 0.5
Credit Cards 0.9 1.0 0.8 0.8 0.7
Unit Trust Loan 0.04 0.04 0.1 0.1 0.1
Retail SME/ BB 7.4 7.5 7.0 9.6 8.5
SME 3.5 3.5 3.0 2.7 2.4
BB 8.4 8.4 8.0 11.5 10.3
620
667 670 659 654
0.5% 0.5% 0.5% 0.5% 0.5%
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
GIL RM million GIL %
2,217 2,205 2,143
2,999 2,803
7.4% 7.5% 7.0%
9.6% 8.5%
3.5% 3.5% 3.0% 2.7% 2.4%
4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014
GIL RM million GIL % for SME & BB GIL % for SME
41
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
42
Global Banking (1/4) Corporate banking loans higher by 4.4% YoY
2.7
34.1
34.9
2.4
32.1
34.7
2.3
37.5
35.0
Dec 14 Sep 14 Dec 13
Trade Finance and Others
Overdraft
Trade Finance market share ¹
Corporate Banking GIL ratio at 1.43%
Total GB loans higher by 4.4% YoY from RM71.7
billion to RM74.8 billion
+9.9% (YoY)
-14.8% (YoY)
RM billion
1Market share of total trade products (On Balance Sheet items, Contingent Liabilities
and Others)
+0.3% (YoY)
1.36%
1.62% 1.59%
1.57%
1.43%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
Term Loan
27.1%
25.5%
24.8% 25.4%
25.8%
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
43
52.8% 25.8%
18.7%
0.2%
0.8%
1.7% A
RM19.9
billion
<A
SA (Govt.
Guaranteed)
1,323
1,396
1,080
1,213
FY2013 FY2014
Net interest incomeNon-interest income
2,609
+8.6%
2,007
2,187
FY2013 FY2014
Global Banking (2/4) Global Markets’ business regionally saw PBT growth of 9.0% YoY for FY2014
46.3% 31.4%
20.2%
0.3% 0.1%
1.7%
<A
28.0%
20.7% 26.0%
16.5%
8.8%
Government
Securities
-Foreign
25.8%
23.7% 23.7%
17.3%
9.5%
PDS/Corp
Bonds
-Malaysia
Commercial
Papers
47.7 50.8 50.9 51.5 50.9
39.6 40.9 41.4 44.5 44.5
9.2 10.6 8.7
11.8 9.2
Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
Others
PDS/CorpBonds
Govt.Securities
Group Securities Portfolio grew 8.5% YoY
+8.5% YoY
96.5 101.0 107.8
102.3
PBT and Revenue grew by 9.0% and 8.6% YoY respectively
2,403
PBT Revenue
RM
million
Note: PBT & Revenue includes regional performance
Group Securities Portfolio: 37.2% Foreign Securities as at
FY2014
RM 104.6
billion
FY2014
44.5% of GM PDS (Maybank Conventional Malaysia) rated
“AA” or above as at Dec FY2014
RM16.8
billion
RM
billion
FY2014 FY2013
Government
Securities
-Malaysia
PDS/Corp
Bonds
-Malaysia
PDS –
Foreign
Others (NIDs,
BA, etc)
RM96.5
billion
Government
Securities
-Malaysia
Government
Securities
-Foreign
PDS –
Foreign
Others (NIDs,
BA, etc)
FY2013
AAA
AA
SA (Govt.
Guaranteed)
AAA
AA
A Commercial
Papers
Note: Group PDS (Maybank Malaysia) FY2013 and FY2014 are RM19.5 billion
and RM23.4 billion respectively
104.6
+9.0%
44
Arrangers' Fees 22%
Brokerage 43%
Other Fee Income
23%
Agency/ Guarantee Fees
2%
Advisory Fees 3%
Placement Fees 4%
Primary Subscriber's Fees
1% Underwriting Fees 2%
Global Banking (3/4) Maybank Kim Eng recorded total income of RM1,515.3mil for FY2014, despite slower market activity
Malaysia, 566.8 (37%)
Singapore, 376.8 (25%)
Thailand, 359.5 (24%)
Indonesia, 17.2 (1%)
Philippines, 71.3 (5%)
Hong Kong, 57.0 (4%)
Others, 66.8 (4%)
Note: Maybank Kim Eng represents the combined business of Maybank IB and business
segments under Maybank Kim Eng Holdings
12M ended 31 Dec 2014 Total Income (RM’Mil)
RM1,515.3mil
12M ended 31 Dec 2014 Fee-based Income for Malaysia
1,932
2,025
2,042
2,110
3,134
3,295
3,468
4,150
4,760
6,031
3.6%
3.7%
3.8%
3.9%
5.8%
6.1%
6.4%
7.6%
8.8%
11.1%
ANZ Banking Group
UOB
CIMB
BNP Paribas
OCBC
Deutsche Bank
Sumitomo Mitsui
Maybank
DBS
Standard Chartered
ASEAN Loans Book Runner (USD'Mil)¹
1,344
1,707
1,870
2,071
2,611
2,718
3,602
4,594
5,769
7,142
2.9%
3.7%
4.0%
4.5%
5.6%
5.9%
7.8%
9.9%
12.4%
15.4%
JP Morgan
Emirates
Deutsche Bank
National Bank of Abu Dhabi
RHB
AmInvestment
Standard Chartered
Maybank
HSBC
CIMB
Global Sukuk League Table (USD'Mil)¹
Source: ¹Bloomberg
45
Global Banking (4/4) Notable deals completed in 2014 by Maybank Kim Eng
RM 3 billion
Apr 2014
Malaysia
Midciti Sukuk Berhad
Sukuk Murabahah
Programme
Joint Principal Adviser
Joint Lead Arranger
Joint Lead Manager
Joint Bookrunner
RM 834 million
May 2014
Malaysia
7-Eleven Malaysia
Holdings Berhad
Initial Public Offering
(“IPO”) Joint Principal Adviser
Joint Global Coordinator
Joint Bookrunner
Joint Managing Underwriter
Joint Underwriter
CNH 1.5 billion
Sept 2014
Cagamas Global P.L.C.
Malaysia
Multi-Currency Sukuk
Issuance
Joint Lead Manager
Joint Bookrunner
Dealer
Sep 2014
Singapore
Frasers Centrepoint
Limited
SGD 600 million
Perpetual Capital
Securities
Joint Global Coordinator and
Lead Manager
RM 989 million
Apr 2014
Malaysia
Seadrill Ltd
Placement of Secondary
Shares
Sole Placement Agent
Sept 2014
Thailand
Impact Growth REIT
USD 488 million
Initial Public Offering
(“IPO”)
Sole Financial Adviser
Joint Bookrunner
Joint Lead Underwriter
Sept 2014
Thailand
True Corporation
USD 1.98 million
Rights Offering and
Private Placement
Joint Financial Adviser
Sept 2014
Saudi Arabia
The Islamic Development
Bank
USD 1.5 billion
Trust Certificates
(“Sukuk”)
Joint Lead Manager
Joint Bookrunner
GBP 750 million
Oct 2014
United Kingdom
Battersea Project Phase 2
Holding Company LTD
Syndicated Term Loan &
Revolving Facilities
Joint Coordinator
Joint Mandated Lead Arranger
Joint Bookrunner
USD 659.7 million
Oct 2014
Malaysia
Nov 2014
Bumi Armada Berhad
Rights Issue
Joint Principal Adviser
Joint Global Coordinator
Joint Underwriter
46
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
47
7.8 8.5
4.3 4.2
4.0 4.4
4.2 5.6
6.1 7.5
2.6 2.1 2.6
Dec 13 Dec 14
Other (Consumer)
Car Loan
Housing Loan
Others (Corporate)
Non-Bank financialInstGeneral Commerce
Building & Const
Maybank Singapore (1/3) Loans increased 13.4%, spurred by stronger lending to consumers (+15.4%)
Asset Quality unchanged YoY in Dec 2014 Maybank Singapore loans growth of 13.4 YoY
Diversified Loan Portfolio
13.4%
30.9 35.0
Consumer
35%
Corporate
65%
SG
D b
illion
Loans portfolio expanded by 13.4% to reach
S$35.0 billion as at December 2014
Business loans grew 12.3% to S$12.2 billion as of
December 2014. Growth was mainly driven by
syndicated, term and revolving credit.
Consumer loans grew 15.4% to reach S$22.8
billion as of December 2014. Housing and other
personal loans continued to register strong
growth. However, car loans continued to decline
due to the tighter regulatory financing limits
1.9
48
4.3 4.8
9.8 12.1
4.5 5.1
15.4 17.6
Dec 13 Dec 14
Consumer - TimeDeposits
Consumer CASA
Business TimeDeposits
Business CASA
Maybank Singapore (2/3) Deposits up 16.5% as at December 2014, driven by funds placed by businesses
Maybank Singapore deposit growth of 16.5%
Consumers accounted for the bulk of deposits
16.5%
34.0 39.6
Consumer
57%
Corporate
43%
SG
D b
illion
4.1 4.5
4.7 5.3
25.2 29.7
Dec 13 Dec 14
TimeDeposits
DemandDeposits
Savings
CASA
Growth
12.1%
CASA Ratio:
25%
CASA growth of 12.1%
20.9%
16.3% 13.7%
4.1% 3.3%
7.3%
16.5%
8.6%
10.0% 8.5%
7.0% 5.2%
3.8%
7.1%
Jun 13 Sep 13 Dec 13 Mar 14 Jun 14 Sep 14 Dec 14
Maybank Singapore Growth Industry Growth
Total deposits grew 16.5% YoY to reach S$39.6b as at
December 2014.
Fixed deposits rose 18.1% while CASA expanded by
12.1% as at December 2014
Growth was driven by business deposits, which rose
20.5% YoY to reach S$16.9b as at December 2014.
Meanwhile, consumer deposits gained 13.7% to reach
S$22.7b
Note: Industry loan growth average comprises both DBU and Asian currency unit (ACU) loans
49 49
Maybank Singapore (3/3) PBT rose 4.4% YoY to S$433 million as fund-based income improved 21%
(SGD mil) FY2014 FY2013 YoY
Net Fund Based income 511.74 423.85 20.7%
Net Fee Based income 283.08 274.05 3.3%
Net income 794.82 697.90 13.9%
Overhead expenses 339.75 300.50 13.1%
Operating profit 455.07 397.40 14.5%
Profit before taxation 432.73 414.43 4.4%
• PBT grew 4.4% YoY or S$18.3 million to S$432.73 million in FY 2014, led by higher fund-based income.
• Fund-based income jumped 20.7% YoY on the back of expanded loan base and improved investment return.
• Fee-based income rose 3.3% YoY largely led by growth in areas of wealth management, cards and treasury.
• Overhead expenses increased by 13.1% YoY due to greater human capital and technological investments to
drive business growth.
50
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
51
Note: Published results based on Bank Indonesia classification
(IDR bil) FY14 FY13 YoY 4Q14 3Q14 QoQ
Net Fund Based income 5,931 5,515 8% 1,603 1,543 4%
Net Fee Based income 1,942 2,287 -15% 420 473 -11%
Net income 7,873 7,802 1% 2,022 2,016 0%
Overhead expenses (5,004) (4,906) 2% (1,199) (1,278) -6%
Personnel (2,156) (2,356) -9% (523) (538) -3%
General & Administrative (2,849) (2,550) 12% (676) (740) -9%
Operating profit 2,868 2,896 -1% 823 738 12%
Provisions Expenses (1,789) (791) 126% (326) (761) -57%
Non Operating Income/ Expenses (119) 79 -250% (16) (10) 58%
Profit Before Tax before Minority
Interest 960 2,184 56% 482 (33) 1565%
Profit after Tax and Minority
Interest 699 1,545 -55% 359 4 9537%
EPS - Basic (IDR) 11.43 26.32 -57%
Bank Internasional Indonesia (1/4) Overall operating profit was flat but lower net profit mainly due to higher provisioning from a few
corporate customers
N.A N.A N.A
-
52
25.5 30.9 24.0
27.1 35.3 40.8
28.3
35.8 41.5
Dec-12 Dec-13 Dec-14
Global Banking Business Banking Retail Banking
14.7 17.7 16.3
18.8 24.7 23.5
52.5
64.9 62.7
Dec-12 Dec-13 Dec-14
Current Account Saving Account Time Deposit
IDR trillion -4.4% (YoY)
IDR trillion
85.9
107.2 102.5
+4.2% (YoY)
80.9
102.0 106.3
2.19%
2.85%
3.34%
1.26%
2.24%
2.44%
Dec-12 Dec-13 Dec-14
Impaired Loan Gross Impaired Loan Net
5.73%
4.94% 4.76%
Dec-12 Dec-13 Dec-14
Net Interest Margin
*
Loans composition (Consolidated) Net Interest Margin (Consolidated)
Deposits Growth (Consolidated) Asset Quality (Consolidated)
Bank Internasional Indonesia (2/4) Increase in impaired loans due to a few corporate debtors in GB, while business banking and retail banking
asset quality was stable. Lower NIMs attributed to higher cost of funds
53
2.85%3.05% 3.08% 3.03%
2.75%
1.63%1.30% 1.47%
1.24% 1.07%
Dec'13 Mar'14 Jun'14 Sep'14 Dec'14
NPL Gross (%) NPL Net (%)
3,379
4,287
YTD Dec'13 YTD Dec'14
394
142
536
428
167
595
New Used Total
YTD Dec'13 YTD Dec'14
1,586 1,694
89 50
YTD Dec'13 YTD Dec'14
Total Revenue Prof it Before Tax
Revenue and PBT (IDR billion) (Stand alone)
+6.8%
+17.1%
+26.9%
+8.7%
+11.0%
Unit Financing (‘000 unit) (Consolidated)
Consumer Financing (IDR billion) (Stand alone)
Asset Quality (Consolidated)
WOM Finance (3/4) Loan quality was stable while revenue was impacted by new insurance regulation
54
3,347
3,804
YTD Dec'13 YTD Dec'14
47,938
1,881
49,819 49,168
1,237
50,405
-
10,000
20,000
30,000
40,000
50,000
60,000
New Car Used Car Total
YTD Dec 2013 YTD Dec 2014
604.73
753.51
277.25
353.41
-
100
200
300
400
500
600
700
800
YTD Dec'13 YTD Dec'14
Total Revenue
Profit Before Tax1,586 1,694
89 50
YTD Dec'13 YTD Dec'14
Total Revenue Prof it Before Tax
604.73
753.51
277.25
353.41
-
100
200
300
400
500
600
700
800
YTD Dec'13 YTD Dec'14
Total Revenue
Profit Before Tax
+24.6%
0.10%
0.12%0.14%
0.23%
0.18%
0.08%0.10%
0.12%
0.19%
0.15%
Dec-13 Mar-14 Jun-14 Sept-14 Dec-14
NPL Gross NPL Net
Revenue and PBT (IDR billion) (Stand alone)
Unit Financing (unit) (Stand alone)
Consumer Financing (IDR billion) (Stand alone)
Asset Quality (Stand alone)
BII Finance (4/4) Higher revenue by 24.6% and increased profit before tax by 27.5%
55
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
56
22.50
17.68
21.28
4.44
9.77 11.21
27.61
24.48 25.93
4.70
10.70
15.13
AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB)
RM
bil
lio
n
Dec-13 Dec-14
Islamic Banking (1/2)
Group Islamic Banking Income
Maybank Islamic: Improving key ratios
* Group Islamic Banking includes Maybank Islamic and the Group’s
other Islamic operations
Maybank Islamic: Total Gross Financing grew by 25%
to RM108.5 billion
Dec-14 Dec-13
Gross Impaired Financing ratio 0.68% 0.66%
Cost to Income ratio 36.9% 38.5%
Total Capital ratio 16.088% 13.711%
RM million FY14 FY13 YoY
Growth
Total Income 3,271.2 2,810.2 16.4%
Profit Before Tax 1,610.3 1,474.1 9.2%
GB: +23% CFS: +25%
23%
38% 22%
10%
35%
6%
57
Maybank Islamic Market Share (Malaysia)
Maybank ranks No.1 by Asset Market Share in Malaysia
Dec-14 Dec-13
Automobile financing 39.7% 34.9%
Home Financing 25.8% 23.1%
Term financing 30.1% 29.8%
CASA Deposits 32.2% 29.9%
Source: BNM monthly statistical bulletin Sep-14
28.9%30.6% 30.7% 31.1% 31.6%
32.7%
22.5%23.8% 24.1%
25.1% 24.7% 24.9%
15.0%
20.0%
25.0%
30.0%
35.0%
Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 Dec-14
Financing Deposit
Underwriter Mkt Share(%) Amount
(RM mill) Issues
#2 Maybank 22.7 14,047.88 94
Malaysia Asset Market Share
Q3FY14 Rank
Maybank Islamic 29.3% 1
CIMB Islamic 10.9% 2
Bank Islam 9.3% 3
MYR Sukuk League Table as at FY2014
Source: Bloomberg
Market Share by Product
Islamic Banking (2/2)
58
733.2 766.4
Dec 2013 Dec 2014
Insurance and Takaful – Etiqa Maintained market leadership in General Insurance and Takaful
Total Assets (RM billion)
Gross Premium
+4.5% YoY
Profit Before Tax (RM million)
26.73 27.33
Dec 2013 Dec 2014
+2.3%
0 1,000 2,000 3,000 4,000 5,000 6,000
Total Life/Family & General
Total General
Misc
MAT
Motor
Fire
Total Life/Family
Group Premium
Credit Premium
Regular Premium
Single Premium
RM Million
YTD: December 2014
YTD: December 2013-31.2%
12.4%
42.1%
-0.6%
7.3%
23.2%
12.1%
4.7%
10.4%
3.0%
12.0%
* Market ranking in the bracket.
** Market Share & ranking data is for period Jan – Dec, except for 2014 (which is
based on rolling 12 months ending Sept’14). (Source: LIAM / ISM Statistics)
Insurance & Takaful – Market Share
59
37,257.5
48,670.6 50,587.3 52,483.0
As at 31 Dec 13 As at 31 Dec 14
Gross Loans
CustomerDeposits
3,505.9
4,206.3
677.9 750.8
12 mths ended Dec 13 12 mths ended Dec 14
Revenue
PBT
Maybank Philippines Higher PBT driven by increase in NII, in tandem with the growth in loan base
PBT rose by 10.8% or PESO72.9 million contributed by
higher net interest income (NII)
NII increased 38.7% YoY, as a result of higher yields.
NIM improved by 67 bps to 5.79%
Gross loans expanded 30.6% or PESO11.4 billion with
both consumer and business loans growing at double-
digit pace
Customer deposits grew by 3.7% with emphasis on low
cost peso CASA generation to manage cost of funds
Gross impaired loans ratio increased by 27 bps to
3.05%. Higher impaired loans by PESO445.1 million
mainly from auto, cards and commercial segments
+20.0% YoY
+10.8% YoY
+30.6%
+3.7%
Key Ratios FY14 FY13
Return on assets 0.95% 1.09%
Return on equity 7.31% 5.41%
Cost-to-income ratio 72.82% 73.47%
Loans-to-deposit ratio 92.74% 73.65%
Gross Impaired Loans Ratio 3.05% 2.78%
Net Interest Margin 5.79% 5.12%
No. of branches 79 77
Revenue and PBT
Gross Loans and Deposits
Key Highlights
PESO
Mil
PESO
Mil
60
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
61
37,558.4 42,633.1
40,794.3 45,401.0
As at 31 Dec 13 As at 31 Dec 14
Gross Loans
CustomerDeposits
1,585.8 1,602.9
190.8 182.1
12 mths ended Dec 13 12 mths ended Dec 14
Revenue
PBT
An Binh Bank Lower PBT due to drop in NOII, loans and deposits expanded at double-digit growth
Revenue and PBT
Gross Loans and Deposits
PBT declined by 4.6% impacted by lower non-interest
income (NOII), mainly due to losses on trading
securities
Revenue was slightly higher by VND17.1 billion or 1.1%
YoY, as the increase in net interest income (NII)
compensated the decline in NOII. Improved NII was
mainly attributed to lower interest expenses
Overheads increased by 4.3% mainly due to higher
personnel cost
Gross loans grew by 13.5% or VND5,074.7 billion
mainly attributed to growth in Corporate and FI
segments
Deposits expanded by 11.3% driven by Fixed Deposits
and CASA
Gross NPL ratio dropped to 2.75%
Key Highlights
+1.1% YoY
-4.6% YoY
+13.5%
+11.3%
VN
D B
il
VN
D B
il
Key Ratios FY14 FY13
Return on assets 0.30% 0.30%
Return on equity 3.10% 3.20%
Cost-to-income ratio 68.47% 66.36%
Loans to deposit ratio 93.90% 92.07%
Gross NPL Ratio 2.75% 3.91%
Net Interest Margin 2.43% 2.98%
62
MCB Bank Better performance on the back of higher income
Revenue and PBT
Gross Loans and Deposits
Key Highlights
PKR B
il
PKR B
il
Key Ratios FY14 FY13
Return on assets 2.81% 2.76%
Return on equity 23.45% 22.81%
Cost-to-income ratio 38.46% 40.40%
Loans to deposit ratio 47.75% 43.27%
Gross NPL Ratio 6.79% 8.67%
Net Interest Margin 5.58% 5.45%
PBT ended at PKR37.4 billion, higher by 13.7% or
PKR4.5 billion YoY on the back of topline growth
Net interest income increased by PKR5.7 billion while
non interest income rose by PKR2.3 billion
However, higher overheads by PKR2.1 billion and
lower write-backs by PKR1.4 billion have partly offset
the increase in PBT
Gross loans rose 20.2% driven by the growth in
domestic lending
Customer deposits expanded 9.0%, with focus on
increasing CASA deposit base and tapering off high
cost fixed deposits
Gross NPL ratio improved by 188 bps
268.5 322.8
620.4 676.0
As at 31 Dec 13 As at 31 Dec 14
Gross Loans
CustomerDeposits
49.4
57.4
32.9 37.4
12 mths ended Dec 13 12 mths ended Dec 14
Revenue
PBT
+20.2%
+9.0%
+13.7% YoY
+16.2% YoY
63
Executive Summary 2
Financial Performance 12
Prospects & Outlook 33
Appendix : Business Sector Review
1. Community Financial Services 37
2. Global Banking 42
3. Maybank Singapore 47
4. Bank Internasional Indonesia 51
5. Other Segments 56
6. Affiliates 61
7. Quarterly Financial Results 64
Table of Contents
Financial Results: 4Q FY2014 & Full Year FY2014 ended 31 December 2014
64
FY2014 Group Targets
Key Performance
Indicators
FY2014
Targets 1Q FY2014* 2Q FY2014* 3Q FY2014* 4Q FY2014* FY2013
Headline KPI
Return on Equity Est.14.0% 13.8% 13.4% 13.5% 15.9% 15.1%
Other targets
Group Loans Growth 13.0% 5.3% 9.5% 13.6% 23.0% 14.0%
• Malaysia 9.0%- 10.0% (0.7)% 5.8% 9.9% 20.0% 11.9%
• Singapore# 13.0% 5.1% 23.7% 14.6% 7.7% 13.6%
• Indonesia# 16.0%- 17.0% (1.3)% 19.4% (2.5)% 5.9% 27.9%
Group Deposits Growth 10.0%- 12.0% 0.0% 11.0% 13.5% 18.4% 14.0%
Notes:
# In local currency terms
* Annualised
65
1,232
785
279
(58) 190
37
922
(920) 77
1,365
902
212 257
(79) 73
1,029
(1,132) 82
1,396
958
226
(18)
174 57
968
(1,136) 90
1,547
1,066
295
(238)
302
120
1,027
(743)
110
Other operatingincome
Commission,service charges
and fees
Investment &trading Income
Unrealised gain/(losses) on
securities &derivatives
Foreign exchangeprofit
Other income Net earnedinsurancepremiums
Net insurancebenefits & claimsincurred, net fee
& commissionexpenses, and life& takaful fund tax
Fee income fromIslamic operations
1Q FY2014
2Q FY2014
3Q FY2014
4Q FY2014
22.1% 6.6%
Non-interest Income
6.2%
-22.6% 9.6%
2.3%
(RM
million)
10.8% 14.9%
97.2%
1Q
FY2014
2Q
FY2014
3Q
FY2014
4Q
FY2014
Commission &
service charges 541 572 622 760
Brokerage income &
underwriting fees 149 214 214 213
Loan related fees 95 116 122 93
785 902 958 1,066
6.8% -24.0%
10.8% 11.3%
30.5% 114.5%
11.6% 6.1% -5.9%
23.0% -34.6% 0.4%
66
1,311
414
167 239 211
24
397
80
1,345
431
192 189
301
16
374
141
1,318
415
223 298 323
16
373
125
1,941
461
228 239
514
41
500
392
Total CommunityFinancial Services
Corporate Banking Global Markets Investment Banking Asset Management InternationalBanking
Insurance & Takaful
1Q FY2014
2Q FY2014
3Q FY2014
4Q FY2014
Global Banking (GB)
Business Segment Performance
Net Fee Based Income
(RM
million)
Note: Fee-based income includes expenditures of Head Office & Others of RM221.8million for 1Q FY14, RM299.4million for 2Q FY14, RM455.8million for 3Q FY14 and RM432.9
million for 4Q FY2014
2.6%
-5.8%
-2.0% 47.3%
11.0% -3.8% -0.3% 33.9% -11.1% 76.3% 213.0%
23.3% 18.7% 8.8%
4.2% 42.5% -20.9% 58.9% 14.7% 16.1% 2.2% -19.8% 7.5% 57.7% -32.6% 149.0% 0.1%
67
Unaudited Income Statement for Insurance and Takaful Business
RM million 1Q
FY2014
2Q
FY2014
3Q
FY2014
4Q
FY2014 QoQ
4Q
FY2013 YoY
Interest income 233.2 254.3 236.3 246.1 4.1% 255.3 (3.6%)
Interest expense (5.1) (6.3) (8.6) (8.6) 0.9% (5.2) 65.7%
Net interest income 228.1 247.9 227.7 237.5 4.3% 250.1 (5.1%)
Net earned premiums 922.3 1,029.4 967.5 1,026.9 6.1% 866.1 18.6%
Other operating income 78.1 243.1 293.4 107.0 (63.5%) (23.8) (548.5%)
Total operating income 1,228.5 1,520.4 1,488.6 1,371.4 (7.9%) 1,092.4 25.5%
Net insurance benefits & claims
incurred, net fee & commission
expenses and life & takaful fund tax
(944.0) (1,157.4) (1,158.9) (769.0) 33.7% (705.5) 9.0%
Net operating income 284.5 363.0 329.7 602.4 82.7% 386.9 55.7%
Overhead expenses (144.1) (162.2) (147.4) (161.7) 9.7% (175.4) (7.8%)
PPOP 140.4 200.8 182.3 440.7 141.7% 211.5 108.4%
Impairment losses (0.3) (13.3) (0.5) (157.8) 31483.0% (2.0) 7907.0%
Operating profit 140.1 187.5 181.7 282.8 55.7% 209.5 35.0%
68
Key Operating Ratios
(%) 1Q
FY2014
2Q
FY2014
3Q
FY2014
4Q
FY2014
Variance
QoQ
4Q
FY2013
Variance
YoY
Return on Equity 13.8 13.4 13.5 15.9 2.4% 15.9 0
Net Interest Margin 2.37 2.35 2.31 2.20 (11 bps) 2.38 (18 bps)
Fee to Income Ratio 29.6 30.0 29.0 38.2 9.2% 34.1 4.1%
Loans-to-Deposit Ratio 91.0 90.6 90.6 91.8 1.2% 89.9 1.9%
Cost to Income Ratio¹ 48.6 46.3 50.1 50.4 0.3% 49.5 0.9%
Asset Quality
Gross Impaired Loans Ratio 1.52 1.50 1.65 1.52 (13 bps) 1.48 4 bps
Net Impaired Loans Ratio 0.99 0.97 1.13 1.04 (9 bps) 0.95 9 bps
Loans Loss Coverage 107.2 107.7 95.4 95.6 0.2% 107.5 (11.9%)
Net Charge off rate (bps) (23) (17) (8) 5 13 bps 8 (3 bps)
Capital Adequacy (Group)²
CET1 Capital Ratio 10.76 11.44 11.33 11.39 6 bps 11.02 37 bps
Total Capital Ratio 15.11 15.96 16.08 15.88 (20 bps) 15.43 45 bps
¹ Total cost excludes amortisation of intangibles for BII and Kim Eng
² The capital ratios are adjusted based on the assumption of 85% reinvestment rate under the DRP
69
Group Gross Loans
¹ Including Islamic loans sold to Cagamas and excludes unwinding of interest
² Takes into account others portion - Dec 14: 0.0 vs Sept 14: 0.0
31 Mar 2014 30 Jun 2014 30 Sep 2014 31 Dec 2014 QoQ
Group Gross Loans ¹ 366.6 375.3 388.1 410.5 5.8%
Malaysia (RM billion)² 223.2 226.4 232.0 243.6 5.0%
Community Financial Services 154.5 159.4 162.7 168.8 3.8%
Global Banking 68.6 67.0 69.3 74.8 8.0%
International (RM billion) 139.9 144.7 151.7 162.4 7.1%
Singapore (SGD billion) 31.4 33.2 34.5 35.1 1.9%
Consumer 10.7 11.1 11.7 12.2 4.7%
Commercial 20.7 22.1 22.8 22.9 0.5%
Indonesia (Rupiah trillion) 103.4 108.4 107.7 109.3 1.5%
Consumer 36.2 37.8 39.3 41.0 4.3%
Non-consumer 67.2 70.6 68.5 68.4 (0.1%)
Other markets (RM billion) 28.7 29.8 34.2 38.8 13.5%
Investment Banking (RM billion) 3.6 4.2 4.4 4.4 (0.3%)
70
Malaysia Gross Loans
¹ Rebased loan growth figures include CB loans centred in Labuan and unrated bonds which is captured by Global Markets
² Including Islamic loans sold to Cagamas and excludes unwinding of interest and takes into accounts others portion – Dec 14: 0.0 vs Sept 14: 0.0
RM billion % of
Portfolio 31 Mar 2014 30 Jun 2014 30 Sep 2014 31 Dec 2014 QoQ
Community Financial Services 69% 154.5 159.4 162.7 168.8 3.7%
Consumer 80% 124.9 128.4 131.3 135.7 3.4%
Total Mortgage 45% 55.0 56.8 58.5 60.9 4.1%
Auto Finance 28% 35.9 37.0 37.8 38.6 2.3%
Credit Cards 4% 5.4 5.5 5.5 5.8 6.4%
Unit Trust 21% 26.9 27.3 27.6 28.3 2.4%
Other Retail Loans 2% 1.7 1.8 1.9 2.1 9.7%
Business Banking + SME 20% 29.6 31.0 31.4 33.1 5.3%
SME 23% 5.7 6.4 6.8 7.5 9.9%
Business Banking 77% 23.9 24.6 24.6 25.5 4.0%
Global Banking (Corporate)
-Reported 31% 68.6 67.0 69.3 74.8 8.0%
-Re-based¹ 74.6 74.1 79.0 86.2 9.1%
Total Malaysia² 223.2 226.4 232.0 243.6 5.0%
71
Group Deposits
% of Portfolio 31 Mar 2014 30 Jun 2014 30 Sep 2014 31 Dec 2014 QoQ
Group Gross Deposits 395.7 406.5 420.2 439.6 4.6%
Malaysia (RM billion) 63% 258.2 265.1 277.7 278.3 0.2%
Savings Deposits 14% 39.1 38.7 38.0 38.5 1.3%
Current Accounts 26% 64.0 67.1 67.9 72.8 7.3%
Fixed Deposits 51% 136.6 137.4 139.7 140.8 0.8%
Others 9% 18.5 21.8 32.2 26.2 (18.6%)
International 37% 139.4 143.3 143.9 162.9 13.2%
Singapore (SGD billion) 33.5 35.0 35.9 39.6 10.4%
Savings Deposits 12% 4.3 4.3 4.3 4.5 5.9%
Current Accounts 13% 4.3 4.8 4.8 5.3 11.3%
Fixed Deposits 73% 24.2 25.3 26.3 29.0 10.1%
Others 2% 0.6 0.7 0.5 0.8 57.1%
Indonesia (Rupiah trillion) 104.3 106.2 103.9 102.8¹ (1.1%)
Savings Deposits 23% 24.0 24.3 24.1 23.5 (2.9%)
Current Accounts 16% 15.4 16.4 15.8 16.3 3.5%
Fixed Deposits 61% 64.8 65.5 64.0 62.4 (2.4%)
¹ Includes Others of Rupiah 0.6 trillion
72
Commodities Exposure Maybank Group’s loan exposure to agriculture, energy and metals and mining in our three home markets
Commodities
Agriculture Energy Metals & Mining
Producers Manufacturers Producers Manufacturers Producers Manufacturers
Malaysia Malaysia Malaysia Malaysia Malaysia Malaysia
Singapore Singapore Singapore Singapore Singapore Singapore
Indonesia Indonesia Indonesia Indonesia Indonesia Indonesia
Note: Soft commodities covered under agriculture producers and manufacturers are rubber, oil palm and cocoa
Energy producers and manufacturers include loan exposure to crude oil, natural gas, electricity, steam and nuclear fuel
Hard commodities covered under metals and mining producers and manufacturers are coal, lignite, peat, metal ores, tin, iron, steel and non-ferrous metal
73
Mohamed Rafique Merican
Group Chief Financial Officer
Contact: (6)03-2074 7878
Email: rafique@maybank.com.my
MALAYAN BANKING BERHAD
14th Floor, Menara Maybank
100, Jalan Tun Perak
50050 Kuala Lumpur, Malaysia
Tel : (6)03-2070 8833
www.maybank.com
Narita Naziree
Head, Group Performance Reporting & Investor Relations
Contact: (6)03-2074 8017
Email: naritanaziree.a@maybank.com.my
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.
Investor Relations Contact
Humanising Financial Services
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