Post on 25-Feb-2021
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Investor Presentation
Financial ResultsThird Quarter and Nine Months FY2020 ended 30 September 2020
27 November 2020
1
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
2
Maybank Group 3Q & 9M FY2020 Overview
3Q FY2020 vs 2Q FY2020 Performance
Income up 7.6%:
As NIM rebounds 9 bps QoQ on lagged re-pricing of
deposit cost following earlier rate cuts and absence of
Day-One net modification (mod) loss impact
Continued growth in Group CASA of 8.3% QoQ across
home markets
Core fees improved QoQ on higher commission and
brokerage fees while investment and trading income
also increased
Provisioning reduces by >50%:
On lower provisioning across the stages. 2Q saw larger
provisioning made for specific borrowers
Flat Cost QoQ:
Revenue-related expenses increased as business
activities resumed mitigated by lower discretionary
staff expenses.
3Q FY2020 CIR of 44.5% with positive JAWs of 7.7%
Net profit of RM1.95 billion, with ROE at 9.7%
9M FY2020 YoY Performance
Income up 1.1%:
On higher realised securities disposal gains under
investment and trading income as well as MTM
derivatives revaluation gains
Offset by NIM compression of 19bps YoY on rate
reductions in home markets and net mod loss impact
As well as reduced core fees on lower business activity
However, Group CASA grew 27.4% driven by all home
markets, with Group CASA ratio at 42.1% from 34.6%
Provisioning increases:
>100% increase YoY to RM3.51 billion on proactive
provisioning through management overlay, forward
looking assumptions for weakening macroeconomic
variables and topping up for existing impaired accounts
Lower Expenses by 2.8%:
On lower marketing expenses on cancelled physical
events and lower business activity-related expenses
9M FY2020 CIR of 45.3% with positive JAWs of 3.9%
Net profit down 14% to RM4.94 billion, with ROE at 8.2%
Strong Liquidity and Capital Positions
Group LCR at 146.6%, Group LDR at 87.8%, Group LTF at 80.3% and Group LTFE at 70.9% as at 30 Sept’20
Total capital and fully loaded CET1 capital ratios at 18.89%* and 15.28%* respectively as at end-Sep’20
Interim dividend of 13.5 sen per share, fully electable under the Dividend Reinvestment Plan
Note: *After proposed dividend and assumption of 85% reinvestment rate.
3
Continued Commitment in Supporting Customers Through the COVID-19 Pandemic
Maybank Group’s Loans Under Repayment Assistance, Relief or R&R Programmes for Three Home Markets
^ Against outstanding total gross loans by each country’s segment @ 31 Jul 2020 & 31 Oct 2020
Maybank Singapore has provided SGD1.0 billion Government
relief loans (i.e., Enterprise Singapore loans) to 2,000 RSME
and Business Banking customers² as at 12 November
% of Outstanding Loan Balance^as at
14 Aug
as at
12 Nov
Mortgage 83.9% 10.0%
Auto Finance 90.1% 4.1%
Unit Trust 92.5% 4.3%
Other Retail Loans 54.9% 6.3%
SME 85.6% 23.8%
Business Banking 77.5% 20.5%
Corporate 25.7% 28.4%
% of Outstanding Loan Balance^as at
14 Aug
as at
12 Nov
Mortgage 10.4% 10.6%
SME 28.2% 35.6%
Business Banking 37.4% 40.5%
Corporate 7.6% 7.2%
Total 10.8%¹ 11.3%
% of Outstanding Loan Balance^as at
14 Aug
as at
10 Nov
Mortgage 12.6% 17.0%
Auto Finance* 20.8% 16.6%
Credit Cards & Personal Loans 9.4% 10.7%
RSME 20.3% 22.2%
SME+ 18.8% 23.7%
Business Banking 12.4% 15.9%
Corporate 21.4% 25.7%
Total 17.7% 20.8%
* Bank-only,
not including
subsidiaries
i.e., WOM and
Maybank
Finance.
• As of 6 Nov, total BNM Special Relief Facility loans disbursed
to SMEs was RM1.7 billion
Continued Repayment Assistance by Maybank, post moratorium
• ~89% of retail customer base continued servicing loans/financing
payments as usual, post-automatic moratorium expiry.
• >93k Repayment Assistance applications received from individual
and SME customers as at 16 Nov. All eligible applicants have been
approved.
• ~43% of approved applicants granted an additional 3 months
repayment deferment up to 31 Dec, mainly due to loss of
employment. Other applicants requested a repayment reduction
due to reduced income.
• Also offering Targeted Repayment Assistance to eligible B40
individual and Microenterprise customers effective 23 Nov 2020 up
to 30 June 2021. Customers may apply for a 3-month deferment of
instalments or a 50% instalment reduction for 6 months.
Malaysia
Singapore Indonesia
¹ Singapore’s Total % as at 14 Aug has been restated due to an error in the previous disclosure
² Based on number of accounts
4
0.70mln
1.59mln
3.22mln
393.40k
819.24k
Sep 2019 Jun 2020 Sep 2020
29.68
48.73
68.35
Sep 2019 Jun 2020 Sep 2020
4.94 5.106.28
Sep 2019 Jun 2020 Sep 2020
Digital Platforms Continue to Boost Consumer Spend and Support SMEs
Maybank2u
Moneta
ry T
ransa
cti
on V
alu
e
(RM
bln
/ID
R t
ln/S
GD
bln
)
119.18138.97
181.70
10.87 12.63 14.88
Mobile App QRPAY
QR
Pay
Tra
nsa
cti
on
Volu
me
4.41 7.839.85
Moneta
ry T
ransa
cti
on V
alu
e
(RM
bln
/ID
R t
ln)
RSME Loan STP
• Application to Approval within 10 minutes
• Available 24/7 on Maybank2u & Maybank2uBiz
• Disbursement within 1 minute for eligible customers upon offer acceptance
• As at mid November, more than 4k applications approved, with over
RM359mil disbursed to almost 2.9k applicants
QoQ: 30.7%
YoY: 52.5%
QoQ: 17.8%
YoY: 36.9%
QoQ: 23.1%
YoY: 27.0%
QoQ: 40.3%
YoY: >100%
QoQ: 25.9%
YoY: >100%
QoQ: >100%
YoY: >100%
QoQ:>100%
Bina Bersama Merdeka Campaign
• Driving a total of RM55.9 billion transaction value and 106.3 million
transaction volume across our digital platforms.
• MAE signups increased to an average of 2,845 accounts per day, up 44%
compared to pre-campaign.
Transaction Volume Growth (QoQ):
MY: 3.1% IND: 17.7%
Transaction Volume Growth (QoQ):
MY: 2.2% IND: 16.1% SG: 33.2%
Sama-Sama Lokal
• Sama-Sama Lokal selected as part
of PENJANA – Maybank is the only
bank selected for this initiative.
• The goal is to digitise our SMEs,
enabling them to operate during
lockdowns and to correspondingly
stimulate consumer spending via
marketing campaigns
• During the campaign, we digitised
~4,000 SMEs and generated sales
for merchants of ~RM2.0 million at
zero cost to SMEs.
5
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
6
P&L Summary: 9M FY2020Strong net fee based income and reduction in overhead expenses resulted in PPOP growth of 4.6% YoY
Note:
* From consolidated 9M FY2020 Group numbers, Insurance and Takaful accounts for 11.3% of net fund based income and 6.8% 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
9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
s.24 Net fund based income * 12,313.0 12,995.9 (5.3)% 4,128.3 3,840.3 7.5% 4,522.2 (8.7)%
s.9/
10/24 Net fee based income * 6,137.5 5,252.1 16.9% 1,949.5 1,808.3 7.8% 1,976.0 (1.3)%
s.22/
23 Net operating income 18,450.5 18,247.9 1.1% 6,077.8 5,648.5 7.6% 6,498.2 (6.5)%
s.11 Overhead expenses (8,352.8) (8,592.8) (2.8)% (2,704.4) (2,706.3) (0.1)% (2,963.6) (8.7)%
s.23 Pre-provisioning operating profit (PPOP) 1 10,097.7 9,655.1 4.6% 3,373.4 2,942.2 14.7% 3,534.6 (4.6)%
Net impairment losses (3,570.9) (2,024.5) 76.4% (805.9) (1,740.7) (53.7)% (934.9) (13.8)%
Operating profit 6,526.9 7,630.6 (14.5)% 2,567.5 1,201.5 >100% 2,599.7 (1.2)%
s.22 Profit before taxation and zakat (PBT) 6,664.8 7,750.3 (14.0)% 2,611.3 1,255.7 >100% 2,648.3 (1.4)%
Net Profit 2 4,943.8 5,748.9 (14.0)% 1,952.4 941.7 >100% 1,998.8 (2.3)%
EPS - Basic (sen) 44.0 51.6 (14.8)% 17.4 8.4 >100% 17.8 (2.3)%
7
226.1 243.2
81.6 80.8
Sep 19 Sep 20
22.7 21.9
19.0 16.4
Sep 19 Sep 20
Community Financial Services Global Banking
95.4 74.6
38.237.9
Sep 19 Sep 20
(0.7)%
(21.8)%+7.5%
(1.1)%
(13.5)%
(3.5)%
196.0 249.6
293.7274.6
76.5 69.0
Sep 19 Sep 20
13.5 17.8
34.1 34.6
Sep 19 Sep 20
CASA FD Others
133.4 173.1
146.3125.7
76.5 69.0
Sep 19 Sep 20
41.9 46.1
73.8 70.5
Sep 19 Sep 20
367.8
(9..9)%(6.5)%
+27.4%
(9.9)%
112.7525.0 521.8
Sep 19 Sep 20
Net Fund Based Income: 9M FY2020 YoY Trends (1/2)CASA growth momentum continues across the Group, while loans growth in Malaysia supported by franchise strength
308.0
41.8133.8
RM
billion
SG
D b
illion
IDR
tri
llio
n
Gross Loans (YoY)
+5.2% (7.8)% (15.8)% (0.6)%
RM
billion
Group Malaysia Singapore Indonesia
38.6
324.2
Note:
• Industry loans growth for Malaysia is 4.4%, Singapore is -0.2% and Indonesia is -0.4%
• CASA ratio for Group and Malaysia includes investment accounts
• Refer to pages 26-28 for detailed information on loans and deposits growth by country and products.
+31.8%
RM
billion
RM
billion
SG
D b
illion
IDR
tri
llio
n
Group Deposits (YoY)
28.4% 34.0%37.5% 47.1%34.6% 42.1% 36.2% 39.5%CASA
Ratio:
(14.1)%
+29.8% +1.6%(4.4)%
566.2 593.2356.1
47.6 52.5 115.7 116.7
+3.3% +10.2% +0.8% +4.8%
+10.0%
8
2.27
2.36
2.33
2.27
2.08
FY2016 FY2017 FY2018 FY2019 9M FY2020
2.13 Without
mod loss
With mod
loss
Net Interest Margin (%)
5 Year Trend
Net Fund Based Income: 9M FY2020 (2/2)NIM compression of 19 bps for YTD 9M FY2020 with net mod loss impact, while QoQ NIM rebounded by 9 bps
2.32 2.29 2.23
1.96 2.05
3Q '19 4Q '19 1Q '20 2Q '20 3Q '20
QoQ Trend
Rate cuts in 9M’2020:
125bps OPR cut
3-Mth Sibor reduces 130+bps
100bps cut in Indonesia’s Reference Rate
9
5,252 4,213
409 630
6,137 5,065
456 616
Total Other Operating Incomefrom Banking Operations
Fee Income fromIslamic Operations
Net Fee Incomefrom Insurance
9M FY2019
9M FY2020
RM
million
Net Fee Based Income: 9M FY2020 (YoY)Growth driven by realised securities disposal gains and MTM derivatives revaluation gains
+20.2% YoY +11.5% YoY (2.1)% YoY +16.9% YoY
Notes using Maybank’s 3Q FY2020 Financial Statements:
¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A39(a)]
² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A39(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 million9M
FY2019
9M
FY2020YoY
Commission, service charges and fees 2,460 2,285 (7.2)%
Investment & trading income 1,478 1,959 32.5%
Unrealised gain/ (losses) on financial
assets and investments1,359 277 (79.6)%
Derivatives and financial liabilities (325) 830 (>100)%
Foreign exchange profit 564 171 (69.6)%
Other income 270 274 1.8%
Total Group’s Other Operating Income 5,806 5,797 (0.2)%
Of which: Other Operating Income from Insurance 1,593 732 (54.0)%
10
1,976 1,652
132 192
1,808 1,411
109 289
1,949
1,527
160 263
Total Other Operating Incomefrom Banking Operations
Fee Income fromIslamic Operations
Net Fee Incomefrom Insurance
3Q FY2019
2Q FY2020
3Q FY2020
+8.2% QoQ (7.6)% YoY (1.3)% YoY
+7.8% QoQ (8.7)% QoQ
RM
million
Net Fee Based Income: 3Q FY2020 (QoQ)QoQ improvement seen in core fees and investment disposal gains
RM million3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Commission, service charges and fees 771 693 11.2% 882 (12.5)%
Investment & trading income 711 479 48.3% 834 (14.7)%
Unrealised gain/ (losses) on financial
assets and investments249 1,380 (82.0)% 318 (21.7)%
Derivatives and financial liabilities 179 (412) (>100)% (107) (>100)%
Foreign exchange profit 26 197 (87.0)% 132 (80.5)%
Other income 100 90 12.2% 90 11.6%
Total Group’s Other Operating Income 2,037 2,427 (16.1)% 2,149 (5.2)%
Of which: Other Operating Income from Insurance 510 1,017 (49.9)% 497 2.7%
Notes using Maybank’s 3Q FY2020 Financial Statements:
¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A39(a)]
² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A39(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
+37.3% YoY +46.1% QoQ +20.6% YoY
11
Overheads: 9M FY2020 (YoY)Continued cost containment efforts yield CIR of 45.3% and positive JAWs of 3.9% for 9M FY2020
Note:
¹ Total cost excludes amortisation of intangible assets for Maybank Indonesia and Maybank Kim Eng
RM million9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Personnel Costs 4,952.5 5,023.6 (1.4)% 1,581.5 1,644.0 (3.8)% 1,680.0 (5.9)%
Establishment Costs 1,399.0 1,370.8 2.1% 482.5 458.4 5.3% 480.8 0.4%
Marketing Expenses 269.3 449.3 (40.1)% 84.1 76.5 9.9% 157.5 (46.6)%
Administration & General
Expenses 1,732.0 1,749.2 (1.0)% 556.2 527.4 5.5% 645.3 (13.8)%
Total 8,352.8 8,592.8 (2.8)% 2,704.4 2,706.3 (0.1)% 2,963.6 (8.7)%
%9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Total Cost to Income ¹ 45.3% 47.1% (1.8)% 44.5% 47.9% (3.4)% 45.6% (1.1)%
Group JAWS Position 3.9% 7.7% 2.3%
12
76.7%77.3% 81.5%
90.5%97.6%
89.1% 90.8% 89.5%99.2%
106.8%
Loan loss coverageincl. RegulatoryReserve
Loan loss coverage
Allowances for losses on loans
Asset Quality (1/2)Provisioning increased on top-ups for existing impaired accounts and additional overlays from 1H’20
Note: Loan loss coverage includes ECL for loans at FVOCI as per Note A11(xii) of the Group’s Financial Statements
9M FY2020 ECL includes:
• ~RM580 million additional
provisioning on MEV
adjustments
• ~RM1.5 billion in
management overlays
ECL (RM million) 3Q FY2019 4Q FY2019 1Q FY2020 2Q FY2020 3Q FY2020 9M FY2019 9M FY2020
Stage 1, net (84) (218) (133) 102 (63) (547) (95)
Stage 2, net 58 (235) 550 906 295 (24) 1,750
Stage 3, net 1,070 877 598 761 642 2,758 2,001
Write-offs 13 26 19 12 38 72 68
Recoveries (111) (107) (73) (41) (115) (323) (230)
Other debts 12 (8) 1 1 8 18 10
Total 958 334 962 1,739 804 1,954 3,505
Of which, represented by: Group Community Financial Services (GCFS) (3) 1,298
Group Global Banking (GGB) 1,947 2,201
Group Insurance & Takaful (Etiqa) 10 6
Net Charge Off Rate (YTD annualised) (50) bps (89) bps
13
Asset Quality (2/2)GIL for Group and by Home Markets trending down on slower formation of newly impaired loans and write-offs
2.07% 1.95% 1.96%1.68% 1.57%
3.39%3.87% 4.04%
3.41% 3.36%
5.05%4.48%
4.93%
6.17%
5.59%
Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020
Malaysia Singapore Indonesia
GIL Ratio Components Sep 2020 Jun 2020 Mar 2020 Dec 2019 Sep 2019
Non Performing Loans (NPL) 1.93% 2.03% 2.20% 2.20% 2.12%
Restructured & Rescheduled (R&R) 0.09% 0.09% 0.06% 0.05% 0.13%
Performing Loans Impaired Due to Judgmental/
Obligatory Triggers (IPL)0.33% 0.37% 0.45% 0.40% 0.42%
GIL Ratio 2.35% 2.49% 2.71% 2.65% 2.67%
Group Gross Impaired Loans (GIL) Ratio Composition
GIL Ratio by Home Markets
14
MBI GIL normalised to
include IFRS 9 impact
0.58% 0.55% 0.64% 0.50% 0.28%
1.71% 1.77% 1.88%2.44% 2.35%
1.06% 1.05%1.66%
3.12% 3.11%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Note:
• In Malaysia, industry GIL ratio for mortgage (purchase of residential property) is 0.9%, 0.4% for auto finance and 0.9% for credit cards.
• In Singapore, industry GIL figure is only available for mortgage, which was 0.5%.
• Maybank Indonesia’s GIL ratios are mapped in accordance to its local regulatory reporting requirements. It has fully adopted IFRS 9 effective 1Q FY2020 reporting.
9.76% 9.40% 9.63%
7.60% 7.34%
1.75% 1.76% 1.58% 1.89%2.44%
4.30%6.39%
7.92%
10.30%
8.25%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Malaysia Singapore Indonesia
Asset Quality by Line of Business in Home MarketsConsumer lines records QoQ improvement across the markets, with slight uptick seen in some business lines
Mortgage Auto Finance Credit Cards
Retail SME (RSME) Business Banking (BB) Corporate Banking (CB)
Consumer
Business
0.91% 0.87% 0.92% 0.85% 0.77%
0.59% 0.62% 0.56% 0.65% 0.59%
2.90% 2.97%
7.98% 7.16%
4.65% 4.70%5.39%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
0.67%
0.65%
0.71%0.53%
0.40%0.11% 0.09%
0.13% 0.27%0.16%
1.05%0.88%
0.98%
2.38%2.22%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
2.79% 2.49% 2.37% 2.20% 2.16%
7.61%8.70% 9.18%
7.43% 7.56%
6.21%
4.37% 4.58%3.95% 4.08%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
2.27%
2.26% 2.35% 2.02%1.67%
2.23%
2.37% 2.42% 2.23%2.02%
4.21%4.51%
6.49%8.38% 8.85%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
15
31% 30% 39%
Upstream Midstream Downstream
66% 16% 2% 16%
Normal Watchlist Special Mention Account GIL
Exposure to Oil & Gas and Real Estate Sectors: 30 September 2020Reduction in O&G exposure size
Group Exposure to Direct & Indirect Oil & Gas Borrowers
Borrowers’ Status:
Segmental Exposure:
Note:
Midstream refers to the transportation (i.e. pipeline, rail, barge, oil tanker or truck),
storage and wholesale marketing services of crude or refined petroleum products.
Of GIL breakdown:
• 76% is from midstream
Maybank Group Malaysia Singapore Indonesia Others
2.57% 1.71% 0.62% 0.07% 0.17%
Note:
Funded-only loans exposure is 2.11% for Group
4.40%3.54% 3.68%
2.87% 2.57%
FY2016 FY2017 FY2018 FY2019 9M FY2020
5-Year trend (Group exposure):
High Rise Residential,
29.5%
Landed Residential,
16.5%Malls, 9.3%
Offices, 3.7%
Hotels, 6.2%
Others, 34.8%
Real Estate Exposure to
Non-Retail Malaysian Borrowers
RM36.07 bil(or 11.13% of Malaysia
Gross Loans)
Note:
Funded-only loans exposure is 9.92%
‘Others’ include Land, Industrial Buildings & Factories,
Other Residential, Other Commercial and REITs
73% 24% 1% 2%
Normal Watchlist Special Mention Account GIL
Borrowers’ Status:
Of GIL breakdown:
• 41% is from combined exposure
to malls and hotels
• 6% is from high rise residential
Of Watchlist breakdown:
• 19% is from high rise residential
• 30% is from combined exposure
to malls, hotels and offices
16
15.31% 15.71% 15.61%
16.12% 16.52% 16.42%
19.39% 19.13% 19.02%
Dec 19 Sep 20 Sep 20
15.73% 15.34% 15.28%
16.49% 16.09% 16.04%
19.39% 18.95% 18.89%
Dec 19 Sep 20 Sep 20
Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio
Group
Bank
Strong Liquidity & Capital Positions: 30 September 2020Strong LCR of 146.6%, while Group CET1 capital ratio at 15.28% (assuming 85% reinvestment rate)
After proposed dividend,
assuming 85%
reinvestment rateBefore proposed dividend
Regulatory Requirement:
• Min. CET 1 Capital Ratio + Capital Conservation Buffer (CCB) is 7.0%,
min. Tier 1 Capital Ratio + CCB is 8.5% and min. Total Capital Ratio +
CCB is 10.5%.
• 1.0% D-SIB Buffer effective 31 January 2021
• Pending finalisation of Countercyclical Capital Buffer (0%-2.5%)
92.5% 92.4%
95.2%
90.6%
87.8%
85.0% 84.8%86.5%
83.0%
80.3%
75.0% 74.6%76.2%
73.1%70.9%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
LDR LTF LTFE
141.5% 141.0% 138.2% 140.5% 146.6%
LCR
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
17
11
28 3222.5 24
2420 23 25
25
13.5
44
32
36
33
3133 30
3232 32
39
FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20
Final
Interim
76.5% 74.9% 79.9% 74.7% 71.9%78.5% 76.3% 78.1% 78.5% 77.3%
87.8%
30.7%
27% 13% 11% 12% 20% 25% 19% 27% 67% 53% 100%0%
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 FY20
Effective Cash
Dividend Paid Out
from Net Profit
Dividend: 9M FY2020Single-tier interim dividend of 13.5 sen per share, fully electable under the Dividend Reinvestment Plan
60.4% 61.4% 26.2% 17.2% 17.0% 19.0% 22.0% 29.0% 23.2% 28.6% 57.2% 47.1% 87.8%
85.7%*
Note:
* Actual Reinvestment Rate for Dividend Reinvestment Plan. Effective Cash Dividend Paid Out for Interim dividend FY2020 is based on an 85% reinvestment rate assumption.
+ The Final Dividend for FY2017, Interim and Second Interim Dividend for FY2019 are 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.
• Dividend Payout ratio and Effective cash paid out for Interim dividend FY2020 is divided against Group’s 9M FY2020 Net Profit
84.0%*
57.0
+
81.7%*
64.0
+
+
4.6%
18
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
19
Maybank Performance OutlookGroup guidance for remainder of FY2020
• NIM compression guidance of 20 bps for FY2020, incorporating 2Q net mod loss impact and on
assumption of no further rate cuts across home markets.
• To maintain good quality deposits in local currencies, with strong CASA growth in home markets.
• Continued cost management discipline as done over the years, with added emphasis in reducing
discretionary expenses. CIR target of below 48% for FY2020.
• Maintaining group net credit charge off (NCC) ratio guidance for FY2020 of between 75 bps to 100 bps.
NCC to remain elevated into FY2021. Ongoing bottom-up borrower assessments to determine AQ impact.
• Group ROE guidance of circa 7.5%, arising from COVID-19 impact to the Group’s income and provisioning.
• Key priority is to conserve capital and liquidity strength in this uncertain environment.
• Final dividend consideration will be dependent on full year FY2020 profit and subject to regulatory
approvals.
• Growth in Malaysia supported by retail and non-retail disbursements. Expected slowdown in key overseas
markets, but offset by slower repayments given relief measures.
• We have continued engaging borrowers even before the expiry of automatic repayment deferments to
ascertain business viability and monitor borrowers’ evolving cash flow considerations. Arising from these
engagements, we have been offering targeted repayment, rescheduling and refinancing assistance to
borrowers tailored to their specific needs and will continue to do so.
• As part of our risk and asset quality management, we will maintain ongoing engagement with all
customer segments.
Key Guidance
Loan Growth
& Relief
Measures
20
Key Indicators Outlook
Indonesia
• GDP: -5.7% (2020F) vs 0.7% (2019)
• System loan: -2.0 to 1.0% (2020F) vs 4.2% (2019)
• 3M SIBOR: 0.40% (2020F) vs 1.77% (2019)
• USD/SGD average: 1.38 (2020F) vs 1.36 (2019)
• Inflation: -0.3% (2020F) vs 0.6% (2019)
• GDP: -1.6% (2020F) vs 5.0% (2019)
• System loan: 0.2% (2020F) vs 6.1% (2019)
• Reference Rate: 3.75% (2020F) vs 5.00% (2019)
• USD/IDR average: 14,690 (2020F) vs 14,313 (2019)
• Inflation: 2.0% (2020F) vs 2.8% (2019)
Singapore
Market Outlook2020 industry outlook for our home markets
• GDP: -5.4% (2020F) vs 4.3% (2019)
• System loan: 2.5% (2020F) vs 3.9% (2019)
• OPR: 1.75% (2020F) vs 3.00% (2019)
• USD/MYR average: 4.20 (2020F) vs 4.14 (2019)
• Inflation: -1.0% (2020F) vs 0.7% (2019)Malaysia
• Slower growth arising from the COVID-19 pandemic
will come from domestic demand activities,
especially private consumption, through the
realisation of government incentive programmes.
• OJK policy giving leniency for loan restructuring
might help prevent NPL spikes. However, likely to
have a negative impact on NIM.
• Recovery in 2H will be sluggish and choppy,
dampened by the slow reopening of businesses,
border controls, strict social distancing rules and
foreign worker shortages.
• Aggressive policy measures that focus largely on
ensuring cash flow for affected corporates and
households might assist in managing NPL risk better
than past cycles.
• The economy is expected to shrink, reflecting the
impact of the COVID-19 pandemic, domestic
Movement Control Order (MCO) and drop in crude
oil prices.
• Stable NIMs moving forward amid expectations of no
further OPR cuts and as deposits reprice. Credit cost
to remain elevated as pre-emptive provisioning
continues.
21
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
22
86.7%
0.8%8.3%
4.2%
Malaysia Singapore Indonesia Others
Overseas:
13.3%
62.6%
23.5%
6.0%7.9%Overseas:
37.4%
65.6%
16.7%
11.2%
6.5%
86.2%
0.8%6.0%
7.0%
62.3%18.4%
12.1%
7.2%
59.1%25.0%
7.5%8.4%
International & Malaysia Portfolio Mix 9M FY2020
Overseas:
40.9%
9M FY2019
Net Operating Income Profit Before Tax
9M FY2020
Overseas:
37.7%
Overseas:
13.8%
Gross Loans*
(Jan 19 – Sep 19)
Overseas:
34.4%
(Jan 20 – Sep 20)
RM7.75
billion
RM525.0
billion
RM18.25
billion
RM6.66
billionRM521.8
billionRM18.45
billion
Note:
* Including Islamic loans sold to Cagamas and excludes unwinding of interest
23
9,655
4,598 4,955
2 41 642
10,098
4,138 5,276
295 1 635
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
9M FY2019
9M FY2020
18,248
10,187
6,339
814 130 1,361
18,451
9,594
6,659
1,031 85
1,328
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
9M FY2019
9M FY2020
Segmental Performance of Businesses: 9M FY2020 (1/2)
Net Operating Income
+1.1%
RM
million
PPOP
(5.8)% +5.0%
Group Global Banking +11.5%
Group Global Banking +6.7%
9M FY2019: 7,284 9M FY2020: 7,775
9M FY2019: 4,998 9M FY2020: 5,572
Note:
Net income & PPOP for Group includes “Head Office & Others” expenditure of RM583.3 million for 9M FY2019 and RM246.8 million for 9M FY2020.
RM
million
+6.5% (10.0)%
+26.6% (34.7)% (2.4)%
+4.6%
+>100% (98.0%) (1.1)%
24
5,252
2,486 2,375
616 119
398
6,137
2,215 2,624
852
83 386
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
9M FY2019
9M FY2020
12,996
7,701
3,964
198 11 962
12,313
7,379
4,035
179 2 942
Total Group CommunityFinancial Services
Group CorporateBanking & Global
Markets
Group InvestmentBanking
Group AssetManagement
Group Insurance& Takaful
9M FY2019
9M FY2020
Net Fund Based Income
Group Global Banking +1.0%
Net Fee Based Income
(9.7)% (82.8)% (4.2)% +1.8% (2.1)%
9M FY2019: 4,173 9M FY2020: 4,216
Group Global Banking +14.4%
9M FY2019: 3,111 9M FY2020: 3,559
Segmental Performance of Businesses: 9M FY2020 (2/2)
Note:
Net fund based income includes “Head Office & Others” income of RM159.9 million for 9M FY2019 and expenditure of RM224.1 million for 9M FY2020.
Net fee based income includes “Head Office & Others” expenditure of RM743.2 million for 9M FY2019 and RM22.7 million for 9M FY2020.
+10.4% (10.9)%
RM
million
RM
million
+16.9%
(5.3)%
+38.3% (30.3)% (3.1)%
25
Unaudited Income Statement for Insurance and Takaful Business
RM million9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Net interest income 942.1 961.8 (2.0)% 310.7 315.9 (1.6)% 327.4 (5.1)%
Net earned premiums 6,676.1 4,999.5 33.5% 2,990.3 1,740.9 71.8% 1,749.1 71.0%
Other operating income 732.1 1,593.2 (54.0)% 509.9 1,016.9 (49.9)% 496.7 2.7%
Total operating income 8,350.3 7,554.4 10.5% 3,810.9 3,073.7 24.0% 2,573.2 48.1%
Net insurance benefits & claims incurred, net fee
& commission expenses, change in expense
liabilities and life & takaful fund tax
(7,032.5) (6,204.4) 13.3% (3,344.5) (2,519.9) 32.7% (2,151.8) 55.4%
Net operating income 1,317.8 1,350.0 (2.4)% 466.4 553.8 (15.8)% 421.4 10.7%
Overhead expenses (687.0) (707.9) (2.9)% (224.8) (222.2) 1.2% (248.2) (9.5)%
PPOP 630.8 642.1 (1.8)% 241.6 331.6 (27.1)% 173.2 39.5%
Net impairment losses (21.9) (25.5) (14.4)% (9.0) (6.1) 48.4% (8.7) 3.6%
Operating profit 608.9 616.6 (1.2)% 232.6 325.6 (28.6)% 164.5 41.4%
RM million9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Net insurance benefits & claims incurred, net fee
& commission expenses, change in expense
liabilities and life & takaful fund tax
(7,032.5) (6,204.4) 13.3% (3,344.5) (2,519.9) 32.7% (2,151.8) 55.4%
Less: intercompany elimination 240.5 241.5 (0.4)% 107.7 50.6 >100% 97.8 10.1%
Total net insurance benefits & claims incurred,
net fee & commission expenses, change in
expense liabilities and life & takaful fund tax
(6,791.9) (5,962.9) 13.9% (3,236.9) (2,469.2) 31.1% (2,054.0) 57.6%
Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities
and life & takaful fund tax
26
Group Gross Loans Growth: 30 September 2020
Note:
¹ Rebased loan growth figures are based on adjusted 31 December 2019 position in line with migration of client accounts, effective 1 January 2020
% of
Portfolio
30 Sep
2020
30 Jun
2020QoQ
31 Mar
2020
31 Dec
2019
YTD
Ann.
30 Sep
2019YoY
Group Gross Loans 521.8 520.2 0.3% 518.4 523.5 (0.4)% 525.0 (0.6)%
Malaysia (RM billion) 62% 324.2 316.1 2.5% 314.3 314.1 4.3% 308.0 5.2%
Community Financial Services (reported) 75% 243.2 234.6 3.7% 231.7 231.3 6.8% 226.1 7.5%
Community Financial Services (rebased)¹ 75% 243.2 234.6 3.7% 231.7 231.0 7.0% 226.1 7.5%
Global Banking (reported) 25% 80.8 81.0 (0.3)% 82.4 82.7 (3.0)% 81.6 (1.1)%
Global Banking (rebased)¹ 25% 80.8 81.0 (0.3)% 82.4 82.9 (3.5)% 81.6 (1.1)%
International (RM billion) 36% 189.8 198.1 (4.2)% 199.1 203.0 (8.7)% 210.4 (9.8)%
Singapore (SGD billion) 62% 38.6 38.9 (1.0)% 40.2 40.7 (7.1)% 41.8 (7.8)%
Community Financial Services 57% 21.9 21.8 0.6% 21.9 22.1 (1.4)% 22.7 (3.5)%
Global Banking 43% 16.4 17.0 (3.1)% 18.2 18.5 (14.7)% 19.0 (13.5)%
Indonesia (IDR trillion) 16% 112.7 119.5 (5.7)% 128.1 127.0 (15.0)% 133.8 (15.8)%
Community Financial Services 66% 74.6 80.9 (7.8)% 88.6 91.3 (24.4)% 95.4 (21.8)%
Global Banking 34% 37.9 38.4 (1.3)% 39.3 35.5 8.8% 38.2 (0.7)%
Other markets (RM billion) 22% 41.3 42.7 (3.3)% 43.6 41.7 (1.4)% 44.1 (6.3)%
Investment banking (RM billion) 2% 7.8 6.0 30.8% 5.0 6.4 28.8% 6.7 17.5%
27
Note:
¹ Rebased loan growth figures are based on adjusted 31 December 2019 position in line with migration of client accounts, effective 1 January 2020
Malaysia Loans Growth: 30 September 2020
RM billion% of
Portfolio
30 Sep
2020
30 Jun
2020QoQ
31 Mar
2020
31 Dec
2019
YTD
Ann.
30 Sep
2019YoY
Community Financial Services (reported) 75% 243.2 234.6 3.7% 231.7 231.3 6.8% 226.1 7.5%
Community Financial Services (rebased)¹ 75% 243.2 234.6 3.7% 231.7 231.0 7.0% 226.1 7.5%
Consumer 61% 196.4 189.3 3.7% 187.9 186.9 6.8% 182.9 7.4%
Total Mortgage 33% 105.6 102.4 3.2% 100.5 97.7 10.9% 94.1 12.2%
Auto Finance 16% 52.3 49.4 5.9% 49.4 49.6 7.1% 49.1 6.5%
Credit Cards 2% 7.1 6.7 5.9% 7.2 7.8 (11.7)% 7.5 (5.8)%
Unit Trust 9% 29.2 28.7 1.7% 28.5 29.5 (1.5)% 29.8 (2.2)%
Other Retail Loans 1% 2.2 2.2 (0.8)% 2.3 2.3 (6.9)% 2.3 (5.5)%
Business Banking + SME (reported) 14% 46.8 45.3 3.4% 43.8 44.4 7.2% 43.2 8.3%
Business Banking + SME (rebased)¹ 14% 46.8 45.3 3.4% 43.8 44.1 8.0% 43.2 8.3%
SME (reported) 6% 20.9 20.0 4.6% 19.0 19.1 12.9% 18.4 13.9%
SME (rebased)¹ 6% 20.9 20.0 4.6% 19.0 18.8 15.5% 18.4 13.9%
Business Banking (reported) 8% 25.9 25.2 2.5% 24.8 25.3 2.9% 24.8 4.1%
Business Banking (rebased)¹ 8% 25.9 25.2 2.5% 24.8 25.4 2.5% 24.8 4.1%
Global Banking (Corporate) (reported) 25% 80.8 81.0 (0.3)% 82.4 82.7 (3.0)% 81.6 (1.1)%
Global Banking (Corporate) (rebased)¹ 25% 80.8 81.0 (0.3)% 82.4 82.9 (3.5)% 81.6 (1.1)%
Total Malaysia 324.2 316.1 2.5% 314.3 314.1 4.3% 308.0 5.2%
28
Group Deposits Growth: 30 September 2020
% of
Portfolio
30 Sep
2020
30 Jun
2020QoQ
31 Mar
2020
31 Dec
2019
YTD
Ann.
30 Sep
2019YoY
Group Gross Deposits 593.2 573.3 3.5% 543.8 565.3 6.6% 566.2 4.8%
Malaysia (RM billion) 62% 367.8 355.4 3.5% 336.7 351.5 6.2% 356.1 3.3%
Savings Deposits 15% 56.0 54.5 2.9% 48.8 45.0 32.6% 44.5 25.9%
Current Accounts 32% 117.1 103.0 13.7% 97.8 91.0 38.2% 88.9 31.8%
Fixed Deposits 34% 125.7 125.2 0.4% 129.9 133.8 (8.1)% 146.3 (14.1)%
Others 19% 69.0 72.7 (5.2)% 60.2 81.7 (20.8)% 76.5 (9.9)%
International 38% 226.8 219.3 3.4% 210.0 214.7 7.5% 211.0 7.5%
Singapore (SGD billion) 70% 52.5 48.8 7.6% 47.2 48.3 11.5% 47.6 10.2%
Savings Deposits 16% 8.3 8.9 (6.6)% 7.8 7.9 5.7% 7.4 12.1%
Current Accounts 18% 9.6 7.7 24.3% 6.6 6.1 75.5% 6.2 55.5%
Fixed Deposits 66% 34.6 32.2 7.5% 32.8 34.3 1.4% 34.1 1.6%
Indonesia (IDR trillion) 14% 116.7 105.9 10.1% 117.4 110.9 7.0% 115.7 0.8%
Savings Deposits 18% 21.3 21.5 (0.7)% 21.9 21.0 2.4% 20.1 6.0%
Current Accounts 21% 24.8 20.8 19.3% 21.7 19.5 36.3% 21.8 13.8%
Fixed Deposits 61% 70.5 63.7 10.8% 73.7 70.4 0.3% 73.8 (4.4)%
29
92.5% 92.4%95.2%
90.6%87.8%
34.6% 35.5%38.4% 40.2% 42.1%
32.5% 33.2%35.1%
37.3%39.1%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
LDR CASA CASA (without IA)
87.1% 90.0% 93.9% 89.4% 88.7%
37.5% 38.7%43.6% 44.3% 47.1%
34.0% 34.9%38.2% 39.7% 42.3%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
LDR and CASA Ratio
Singapore Indonesia
Group Malaysia
112.2% 111.3% 106.3% 109.9%
94.1%
36.2% 36.5% 37.2% 39.9% 39.5%
96.3% 94.1%89.7% 94.2%
80.7%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
LDR (Bank Level)
87.9% 84.3% 85.2%79.9%
73.5%
28.4% 29.1% 30.5% 34.0% 34.0%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Note:
• Group and Indonesia LDR excludes loans to banks and FIs
• Group and Malaysia LDR include investment accounts totaling RM23.48 billion for 30 Sep 2020, RM22.54 billion for 30 Jun 2020, RM24.50 billion for 31 Mar 2020, RM20.74 billion for 31
Dec 2019, RM20.14 billion for 30 Sep 2019.
30
525.0 523.5 521.8
Sep 19 Dec 19 Sep 20
318.4 310.3 315.0
23.427.3 26.2
42.7 42.9 43.4
Operational RWA Market RWA
Credit RWA Gross Loans
USD, 33%
RM, 30%
JPY, 10%
HKD, 9%
IDR, 6%
SGD, 4%CNH, 2%
Others, 6%
Borrowings, 6%
Capital Instruments, 2%
Customer Funding, 77%
FI Deposits, 4%
Equity, 11%
RWA Optimisation and Funding Management
Group Gross Loans & Group RWA
RM
billion
RM765.4
billion
RM57.9
billion
Funding Breakdown
Note:
• Customer Funding comprises Deposits from Customers & Investment Accounts of Customers.
By maturity:
≤ 1 Year 18%
> 1 Year 82%
Borrowings and
Capital Instruments
by Currency
Growth (%) YoY YTD Ann.
Group Gross Loans (0.6)% (0.4)%
Total Group RWA (0.0)% 1.5%
- Group Credit RWA (1.1)% 2.0%
384.5 380.4 384.6
31
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 3Q & 9M FY2020 capital ratios are after proposed Interim dividend for FY2020 and assumption of 85% reinvestment rate, 3Q & 9M FY2019 capital ratios are based on full cash payment
of Interim dividend for FY2019, while 2Q FY2020 capital ratios are without any dividend assumptions.
%9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
3Q
FY2019YoY
Return on Equity 8.2 10.1 (1.9)% 9.7 4.7 5.0% 10.5 (0.8)%
Net Interest Margin 2.08 2.27 (19) bps 2.05 1.96 9 bps 2.32 (27) bps
Fee to Income Ratio 33.3 28.8 4.5% 32.1 32.0 0.1% 30.4 1.7%
Loans-to-Deposit Ratio 1 87.8 92.5 (4.7)% 87.8 90.6 (2.8)% 92.5 (4.7)%
Cost to Income Ratio 2 45.3 47.1 (1.8)% 44.5 47.9 (3.4)% 45.6 (1.1)%
Asset Quality
Gross Impaired Loans Ratio 2.35 2.67 (32) bps 2.35 2.49 (14) bps 2.67 (32) bps
Loans Loss Coverage 97.6 76.7 20.9% 97.6 90.5 7.1% 76.7 20.9%
Net Charge off rate (bps) (89) (50) (39) bps (61) (133) 72 bps (74) 13 bps
Capital Adequacy ³
CET1 Capital Ratio 15.28 14.44 84 bps 15.28 15.43 (15) bps 14.44 84 bps
Total Capital Ratio 18.89 18.07 82 bps 18.89 19.04 (15) bps 18.07 82 bps
32
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
33
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”)∑∑ Industry numbers as at Jun-20
^ Without IA. With IA, the market share as at Sep’20 for Total Core Retail Deposits , Retail
CASA, Retail Savings, Demand Deposits and Retail Fixed Deposits are 17.9%, 26.6%,
28.5%, 23.2% and 13.8% respectively (against MBB retail IA)
^^ Excluding non-financial transactions as per BNM guidelines
Loans
Total consumer (Household) 17.6% 17.7% 17.8% 17.9% 18.1%
Auto (Hire Purchase + Block Discounting + Floor Stocking) 29.3% 29.6% 29.7% 30.3% 30.4%
Total mortgage * 13.7% 14.0% 14.2% 14.3% 14.4%
Credit cards ** 18.7% 18.6% 18.6% 18.5% 19.3%
Unit trust 48.7% 48.5% 49.8% 49.7% 49.2%
Deposits
Total deposits *** 18.0% 17.8% 17.5% 17.6% 17.4%
Total core retail deposits ^ 16.7% 16.5% 16.9% 17.4% 17.5%
Retail CASA ^ 24.7% 24.3% 25.3% 25.7% 25.3%
Retail savings ^ 27.9% 27.8% 28.1% 28.7% 28.4%
Demand deposits ^ 18.8% 18.2% 19.9% 19.8% 19.3%
Retail fixed deposits ^ 12.9% 12.8% 12.7% 12.9% 13.0%
Channels
Internet banking - Subscriber base 40.1% 39.6% 39.1% 40.3% 39.9%
Mobile banking - Subscriber base 31.5% 31.3% 32.6% 31.9% 31.4%
Internet banking - Transaction Volume ^^ 50.9% 51.0% 50.5% 50.1% 50.0%
Mobile banking - Transaction Volume 62.9% 63.0% 62.9% 62.7% 61.9%
Branch network ∑∑ 19.3% 19.4% 19.4% 19.4% 19.4%
Jun-20Sep-19Market share Sep-20Mar-20Dec-19
34
210.3 215.5234.5
Sep 19 Dec 19 Sep 20
5.78
6.58
Sep 19 Sep 20
3.444.55
Sep 19 Sep 20
137.9 138.9 153.3
62.1 65.4 66.3
Sep 19 Dec 19 Sep 20
Consumer BB + RSME
Community Financial Services: Overview of Malaysia Portfolio
Note:
• TFA: Total Financial Assets (Deposits, Investments, Financing & Protection).
• TFA for total Individual customers (excl. NPL) amounted to RM352.8 billion as at
Sep’20, RM327.7 billion as at Dec’19 and RM321.9 billion as at Sep’19.
Wealth Management segment’s TFA grew 11.5% YoY to
RM234.5 billion
Total CFS loans on an upward trend of 7.5% YoY and 6.8%
YTD Ann.R
M b
illion
+10.0% YTD Ann.
Total CFS deposits increased by 9.8% YoY driven by CASA
growth of 23.6%
+9.8% YoY
+13.7% YoY
Maybank2u 1-month active users grew 13.7% YoY driven
by mobile users growth
182.9 186.9 196.4
43.2 44.4 46.8
Sep 19 Dec 19 Sep 20
Consumer BB + RSME
+6.8% YTD Ann.
+7.5% YoY
+11.5% YoY
+11.8% YTD Ann.
+32.3% YoY
M2u 1-month active users of which Mobile 1-month
active users
RM
billion
RM
billion
In m
illion
226.1 231.3200.0 204.3
243.2219.6
35
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
36
11.3
25.3
45.1
10.8
25.1
46.7
9.8
21.6
49.3
Sep 20 Dec 19 Sep 19
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 Sep 2020 is 21.9%
Term Loan
Global Banking: Overview of Malaysia Corporate Banking and Group Securities Portfolio
Group Securities Portfolio¹ grew 5.8% YoY Total Corporate Banking loans in Malaysia decreased 1.1%
YoY to RM80.8 billion
Short Term
Revolving
Credit
Trade
Finance
and Others(12.9)% YoY
+9.4%YoY
(14.4)% YoY
Note: ¹ Group Securities Portfolio is inclusive of Financial assets designated upon
initial recognition (part of FVTPL)
52.1 51.1 52.9 63.2 60.7
61.952.5 51.4
54.0 59.3
59.360.0 55.1
57.2 58.5
21.220.7 24.2
23.828.3
7.98.5 5.9
5.97.3
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Govt. Securities - Domestic
Govt. Securities - Foreign
PDS/Corp Bonds - Domestic
PDS/Corp Bonds - Foreign
+5.8% YoY
RM
billion
202.4192.8 189.5
204.1214.1
37
Global Banking: Overview of Group Investment Banking Portfolio
9M FY2020 Fee-based Income for Malaysia9M FY2020 Total Income Breakdown by Country
Note:
¹ Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings.
9M FY2020 Brokerage Market Share by Country
Country Rank Market ShareTrading Value
(USD billion)
Malaysia 5 8.5% 30.5
Singapore 10 3.8% 15.2
Thailand 3 6.2% 41.8
Indonesia 5 4.9% 9.5
Philippines 9 4.1% 2.5
Hong Kong Tier 3 0.1% 7.4
Vietnam 9 2.5% 2.6
Malaysia54%
Singapore22%
Indonesia4%
Philippines1%
Thailand12%
HongKong3%
Others4%
RM1,031.2
million
Arranger's Fees20%
Underwriting & Placements Fees
3%
Brokerage Fee58%
Agency/Guarantee Fees4%
Advisory Fee2%
Other Fee Income
13%
38
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
39
Maybank Singapore: P&L Summary
SGD million 9M FY2020 9M FY2019 YoY 3Q FY2020 2Q FY2020 QoQ
Net fund based income 429.63 576.88 (25.5)% 116.40 142.84 (18.5)%
Net fee based income 290.31 280.54 3.5% 100.38 85.48 17.4%
Net income 719.94 857.42 (16.0)% 216.78 228.32 (5.1)%
Overhead expenses (348.25) (351.12) (0.8)% (111.57) (115.53) (3.4)%
Operating profit 371.69 506.30 (26.6)% 105.21 112.78 (6.7)%
Profit/ (Loss) before taxation 103.36 (26.69) (>100)% 17.54 8.52 >100%
Net fund based income was 25.5% lower YoY, affected by contraction in loans and lower interest margins.
Net fee based income improved 3.5% YoY, supported by higher wealth management, credit related and other
non operating income, but mitigated by lower contribution from trade, treasury and cards related sources.
Overheads were relatively stable at SGD348.3 million, with less marketing spend on reduced promotional
activities and lower establishment costs due to rental rebates received.
9M FY2020 profit before taxation of SGD103.36 million improved from 9M FY2019’s loss before taxation of
SGD26.69 million, due to lower loan loss allowances.
40
5.4 5.3 8.2
15.8 15.918.2
8.1 8.89.7
18.2 18.3 16.5
Sep 19 Dec 19 Sep 20
Consumer -Time Deposits
Consumer CASA
Business TimeDeposits
Business CASA
52.5
7.4 7.9 8.3
6.2 6.1 9.6
34.1 34.3 34.6
Sep 19 Dec 19 Sep 20
Time Deposits
Demand Deposits
Savings
Diversified Loan Portfolio
-0.1% -3.9% -5.6%-9.1% -7.8%
4.7% 4.2% 8.3% 2.1% -0.2%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Maybank Singapore Growth Industry Growth
Maybank Singapore: Overview of Loans and Deposits Portfolio
% YoY change
Consumer
49.8%
Corporate
50.2%
SG
D b
illion
Consumer deposits on par with business deposits
CASA Ratio:
34.0%SG
D b
illion
CASA ratio lifted to 34.0% from 29.1% in December 2019
and from 28.4% September last year, on expanded
individual savings and demand deposits.
Business deposits expanded SGD5.2 billion YoY, contributed mainly by
demand and fixed deposits growth.
Consumer CASA deposits grew, offsetting fixed deposits decline.
47.6 48.3
The pandemic situation impacted lending activities, with
declines in Maybank Singapore’s loans portfolio.
+10.2% YoYSGD Billion
% of
Portfolio
30 Sep
2020
31 Dec
2019
YTD
Ann.
30 Sep
2019YoY
CFS 57% 21.9 22.1 (1.4)% 22.7 (3.5%
Consumer 41% 15.8 16.0 (2.0)% 16.4 (3.9)%
Housing Loan 27% 10.5 10.6 (1.6)% 10.9 (4.2)%
Auto Loan 6% 2.3 2.4 (8.5)% 2.5 (8.3)%
Cards 1% 0.3 0.4 (27.0)% 0.4 (18.0)%
Others 7% 2.7 2.6 6.5% 2.6 3.8%
Non-Individuals 16% 6.1 6.1 0.0% 6.3 (2.7)%
RSME 4% 1.7 1.5 17.9% 1.5 13.6%
Business Banking 8% 3.2 3.2 0.3% 3.4 (5.4)%
Others 4% 1.3 1.5 (18.4)% 1.5 (12.8)%
Global Banking 43% 16.4 18.5 (14.7)% 19.0 (13.5)%
Total 100% 38.6 40.7 (7.1)% 41.8 (7.8)%
41
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
42
Maybank Indonesia: P&L Summary
IDR billion 9M
FY2020
9M
FY2019YoY
3Q
FY2020
2Q
FY2020QoQ
Net Fund Based income 5,613 6,125 (8.4)% 1,677 1,912 (12.3)%
Net Fee Based income 1,730 1,862 (7.1)% 546 586 (6.8)%
Net income 7,343 7,988 (8.1)% 2,223 2,498 (11.0)%
Overhead expenses (4,417) (4,856) (9.0)% (1,381) (1,432) (3.6)%
Personnel (1,940) (1,924) 0.9% (622) (660) (5.7)%
General and Administrative (2,477) (2,933) (15.5)% (758) (772) (1.8)%
Operating profit 2,925 3,131 (6.6)% 842 1,066 (21.0)%
Provisions Expenses (1,446) (1,593) (9.3)% (435) (731) (40.5)%
Non Operating Income/(Expense) (26) 11 (>100)% (19) (4) >100%
Profit Before Tax and Non-Controlling Interest 1,453 1,549 (6.1)% 388 330 17.5%
Tax and Non-Controlling Interest (354) (439) (19.3)% (99) (59) 67.6%
Profit After Tax and Non-Controlling Interest 1,099 1,109 (0.9)% 289 272 6.6%
EPS - Basic (IDR) 14.42 14.56 (1.0)% 3.80 3.56 6.8%
43
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
Key Operating Ratio Sep-20 Dec-19 Sep-19 YoY
Profitability & Efficiency
Return On Assets 1.11% 1.45% 1.13% (0.01)%
Return On Equity (Tier 1) 6.00% 7.73% 6.26% (0.26)%
Net Interest Margin 4.69% 5.07% 4.97% (0.28)%
Cost to Income Ratio 60.16% 59.48% 60.80% (0.64)%
Asset Quality
NPL - Gross 4.34% 3.33% 2.63% 1.71%
Liquidity & Capital Adequacy
LCR 184.60% 146.49% 173.84% 10.76%
CET 1 21.85% 19.54% 18.24% 3.61%
CAR 23.47% 21.38% 20.09% 3.38%
IDR Trillion% of
Portfolio
30 Sep
2020
30 Jun
2020QoQ
30 Sep
2019YoY
CFS 68% 73.9 79.9 (7.6)% 94.4 (21.8)%
CFS Retail 32% 35.1 37.5 (6.3)% 42.5 (17.4)%
Auto Loan 16% 18.0 20.0 (9.9)% 23.7 (23.8)%
Mortgage 13% 14.0 14.3 (1.7)% 15.3 (8.2)%
CC + Personal
Loan2% 2.6 2.8 (6.2)% 3.1 (17.3)%
Other loans 1% 0.5 0.4 7.7% 0.4 9.6%
CFS Non-Retail 36% 38.7 42.4 (8.7)% 51.9 (25.4)%
Business Banking 18% 19.0 21.8 (12.9)% 28.7 (34.0)%
SME+ 4% 4.2 4.6 (7.7)% 4.9 (15.0)%
RSME 14% 15.6 16.1 (3.2)% 18.2 (14.5)%
Global Banking 32% 35.6 35.8 (0.6)% 35.4 0.5%
Total 109.4 115.7 (5.4)% 129.8 (15.7)%
44
Table of Contents
Executive Summary 2
3Q & 9M FY2020 Financial Performance 6
Prospects & Outlook 19
Appendix:
1. Financial Performance 22
2. Community Financial Services 33
3. Global Banking 36
4. Maybank Singapore 39
5. Maybank Indonesia 42
6. Other Segments 45
45
35.8
51.9
41.8
7.4
29.8
22.1
40.8
59.7
44.9
7.4
31.6
19.2
AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB)
Sep-19
Sep-20
7%
Maybank Islamic, 62.2%
Maybank Conventional,
Malaysia, 37.8%
Year Contribution
Sep 2019 60.9%
Dec 2019 60.7%
Mar 2020 61.3%
Jun 2020 61.7%
Sep 2020 62.2%
Islamic Banking: Performance Overview
Group Islamic Banking Financial Performance Maybank Islamic: Total Gross Financing grew to RM203.6
billion
Maybank Islamic Contribution to Maybank Malaysia Loans
and Financing as at September 2020
Note: Figures are as per latest segmentation breakdown
Group Islamic Banking’s performance includes key markets in Malaysia, Indonesia and
Singapore
RM million 9M FY2020 9M FY2019 YoY
Total Income 3,652.7 3,694.2 (1.1%)
Profit Before Tax 1,690.5 2,473.8 (31.7%)
Financing & Advances 215,897.4 202,319.4 6.7%
Deposits & Investment Account: 211,561.8 196,775.0 7.5%
Deposits from Customers 175,618.5 166,290.4 5.6%
Investment Account 23,475.7 20,138.5 16.6%
RM
billion
Maybank Islamic: Key Financial Ratios
Key Financial Ratios 9M FY2020 9M FY2019
Total Capital Ratio (TCR) 17.90% 17.50%
Net Profit Margin (YTD) 1.63% 1.72%
Cost to Income Ratio (CIR) 35.77% 34.16%
Direct FDR1 88.68% 92.35%
Note:
¹ Direct Financing to Deposits Ratio (FDR) comprising gross financing against deposit
and Unrestricted Investment Account (exc. RPSIA assets and liabilities)
6%
(13)%
CFS:12%
15%
14%
GB: (2)%
1%
46
Key Products Sep 20 Sep 19
Automobile Financing 48.6% 47.1%
Home 26.9% 26.3%
Term financing 28.0% 28.4%
Maybank Islamic ranks No.1 by Asset Market Share
in Malaysia
Islamic Banking: Market Share
Market Share by Product (Malaysia) Maybank Islamic Market Share
31.2% 31.1% 30.9% 30.7% 30.8%
28.7%
27.8% 27.6% 27.9%
28.9%
Sep 19 Dec 19 Mar 20 Jun 20 Sep 20
Financing Deposits & Investment Accounts
MalaysiaAsset Market Share
Jun 20Rank
Maybank Islamic 29% 1
CIMB Islamic 13% 2
RHB Islamic 9% 3
Source: Latest BNM Monthly Statistical Bulletin
Sukuk League Table Ranking September 2020
Source : Latest BNM Monthly Statistical Bulletin
Source: BloombergSource: Respective Bank’s Financial Statements
Global Sukuk League
Table Ranking
Market
Share (%)
Amount
(USD million)Issues
#4 Maybank 7.25% 3,465 92
MYR Sukuk League
Table Ranking
Market
Share (%)
Amount
(USD million)Issues
#2 Maybank 21.15% 2,315 79
47
40.0
47.3
Sep 19 Sep 20
8.1% 7.8% 7.4% 6.8%
7.9% 7.3% 7.5% 7.6%
10.6% 10.4% 10.0% 10.9%
12.0% 11.5% 13.3% 14.3%
2017 2018 2019 2020
Etiqa Allianz AmGeneral HL-MSIG
309.8 245.5
165.5 233.7
256.9 235.4
9M FY2019 9M FY2020
Life/Family General Shareholder's Fund
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)
(2.4)% YoY
+18.4% YoY
Note: Market Share is for period Jul – Jun of every year (Source: LIAM / ISM Statistics)
732.3
RM
million
RM
billion
714.6
No. 4 in
Life/Family
(New Business)
8.4% 11.2% 10.8% 10.9%
14.5% 13.7% 13.4% 13.1%
14.2% 13.1% 16.7% 17.9%
21.8% 21.4% 19.3% 19.1%
2017 2018 2019 2020
AIA GE Prudential 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 as presented at EIH Group level
0 1,000 2,000 3,000 4,000 5,000
Total Net…
Total General
Misc
Personal Accident
MAT
Motor
Fire
Total Life & Family
Group Premium
Credit Premium
Regular Premium
Single Premium
RM Million
9M FY20
9M FY19
46.2%
(3.7)%
(9.9)%
(6.8)%
3.3%
(1.9)%
8.2%
9.9%
311.1%
(29.6)%
16.5%
21.0%
Total Net Adjusted
Premium
48
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