Investor Presentation...Investor Presentation Financial Results 2Q FY2019 and 1H FY2019 ended 30...

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Humanising Financial Services

Investor Presentation

Financial Results2Q FY2019 and 1H FY2019 ended 30 June 2019

29 Aug 2019

1

Table of Contents

Executive Summary 2

Results Overview 4

Prospects & Outlook 16

Appendix:

1. Financial Performance 19

2. Community Financial Services 31

3. Global Banking 34

4. Maybank Singapore 37

5. Maybank Indonesia 40

6. Other Segments 43

Financial Results: 2Q FY2019 and 1H FY2019 ended 30 June 2019

2

1H FY2019

Net Profit of

RM3.75 billion;

2Q FY2019 Net

Profit Rises

7.3% QoQ

Maybank Group 1H FY2019 OverviewImproved net operating income of RM11.75 billion supported by loans growth and higher net fee based income

• 1H FY2019 net operating income growth of 1.0% YoY mitigated by slightly higher

overheads and net impairment losses, resulting in net profit of RM3.75 billion

• 2Q FY2019 net profit grew to RM1.94 billion, as stronger investment and trading

income supported net fee based income growth of 10.9% QoQ while overheads

remained flat and net impairment losses reduced QoQ

1

• Robust liquidity risk indicators with Group LCR at 145.4%, Group LDR at 93.4%,

Group LTF at 86.3% and Group LTFE at 75.9% as at 30 June 2019

• Total capital and fully loaded CET1 capital ratios at 17.98% and 14.23% respectively

as at end-Jun’19, after proposed full cash interim dividend

• Full cash interim dividend of 25 sen per share for FY2019 (FY2018: 25 sen per share

interim dividend of which 15 sen cash component)

Strong Liquidity

and Capital

Positions

3

Targeted Balance

Sheet Growth

2• Group loans growth of 4.6% YoY driven by expansion of 4.2% in Malaysia, 2.3% in

Singapore, 6.1% in Indonesia and 3.2% from other markets such as the Philippines,

Greater China and IndoChina

• Group deposits expanded 3.9% YoY on CASA growth in Malaysia and Singapore and

FD growth in Indonesia as part of its liquidity management ahead of the country’s

general elections

3

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








4

P&L Summary: 1H FY2019Net operating income supported by YoY growth in net fund and net fee based income

Note:

* From consolidated 1H FY2019 Group numbers, Insurance and Takaful accounts for 7.3% of net fund based income and 10.1% of net fee based income

¹ Pre-provisioning operating profit (PPOP) is equivalent to operating profit before impairment losses

² Net Profit is equivalent to profit attributable to equity holders of the Bank

More

details

onRM million

1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

s.21 Net fund based income * 8,473.7 8,393.1 1.0% 4,166.8 4,306.9 (3.3)% 4,155.2 0.3%

s.7/

8/21 Net fee based income * 3,276.1 3,241.9 1.1% 1,723.0 1,553.2 10.9% 1,663.2 3.6%

s.19/

20 Net operating income 11,749.8 11,634.9 1.0% 5,889.8 5,860.1 0.5% 5,818.4 1.2%

s.9 Overhead expenses (5,629.3) (5,446.4) 3.4% (2,821.7) (2,807.6) 0.5% (2,678.8) 5.3%

s.20 Pre-provisioning operating profit (PPOP) 1 6,120.5 6,188.5 (1.1)% 3,068.0 3,052.5 0.5% 3,139.6 (2.3)%

Net impairment losses (1,089.6) (1,063.3) 2.5% (452.3) (637.3) (29.0)% (562.5) (19.6)%

Operating profit 5,030.9 5,125.2 (1.8)% 2,615.7 2,415.1 8.3% 2,577.1 1.5%

s.19 Profit before taxation and zakat (PBT) 5,102.0 5,166.2 (1.2)% 2,651.6 2,450.4 8.2% 2,609.6 1.6%

Net Profit 2 3,750.1 3,830.0 (2.1)% 1,940.9 1,809.3 7.3% 1,959.0 (0.9)%

EPS - Basic (sen) 33.8 35.2 (3.9)% 17.5 16.4 6.7% 17.9 (2.7)%

5

47.6 41.4

66.3 84.1

Jun 18 Jun 19

+1.6%

351.2

+12.0%+2.4%

22.5 22.9

19.3 19.9

Jun 18 Jun 19

Community Financial Services Global Banking

189.3 195.8

285.2 291.9

65.4 73.2

Jun 18 Jun 19

14.0 14.1

33.0 31.5

Jun 18 Jun 19

CASA FD Others

209.0 222.5

81.6 80.5

Jun 18 Jun 19

98.3 98.4

32.6 40.5

Jun 18 Jun 19

125.4 131.5

145.1 146.5

65.4 73.2

Jun 18 Jun 19

+3.4%

+12.0%

+24.2%

+0.1%+6.5%

(1.3)%

139.2

+3.0%

502.4 525.6

Jun 18 Jun 19

Net Fund Based Income: 1H FY2019 (1/2)Targeted balance sheet growth across home markets in line with Group’s risk posture

290.5

41.9131.2

RM

billion

SG

D b

illion

IDR

tri

llio

n

Gross Loans (YoY)

+4.2% +2.3% +6.1% +4.6%

RM

billion

Group Malaysia Singapore Indonesia

42.9

302.9

Note:

• Industry loans growth for Malaysia is 4.2%, Singapore is 3.9% and Indonesia is 9.9%

• CASA ratio for Group and Malaysia includes investment accounts

• Refer to pages 24-26 for detailed information on loans and deposits growth by country and products.

+0.5%

RM

billion

RM

billion

SG

D b

illion

IDR

tri

llio

n

Group Deposits (YoY)

29.8% 30.8%37.3% 37.5%35.1% 34.9% 41.8% 33.0%CASA

Ratio:

+1.0%

+4.9%(4.4)%

+26.9%

539.8 560.9335.8

47.0 45.6113.9 125.6

+4.6% (3.0)% +10.3% +3.9%

(12.9)%

6

2.31

2.27

2.36

2.33

2.24

FY2015 FY2016 FY2017 FY2018 1H FY2019

Net Interest Margin (%)

5 Year Trend

Net Fund Based Income: 1H FY2019 (2/2)NIM compressed 9 bps YTD ann. on lower Malaysia loan yield from OPR cut and higher deposit cost in overseas markets

2.27 2.30

2.38 2.30

2.19

2Q '18 3Q '18 4Q '18 1Q '19 2Q '19

QoQ Trend

7

3,242 2,759

295 188

3,276

2,561

277 438

Total Other Operating Incomefrom Banking Operations

Fee Income fromIslamic Operations

Net Fee Incomefrom Insurance

1H FY2018

1H FY2019

RM

million

Net Fee Based Income: 1H FY2019YoY growth driven by higher insurance net fee income but mitigated by unrealised losses on financial liabilities

(7.2)% YoY (6.1)% YoY +>100% YoY +1.1% YoY

Notes using Maybank’s 2Q FY2019 Financial Statements:

¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A40(a)]

² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A40(a) with ‘Net insurance benefits and claims incurred, net fee and

commission expenses, change in expense liabilities and taxation of life and takaful fund’ under Note A26

1 2

RM million1H

FY2018

1H

FY2019YoY

Commission, service charges and fees 1,693 1,579 (6.7)%

Investment & trading income 85 645 >100%

Unrealised gain/ (losses) on financial

assets and investments(520) 1,041 (>100)%

Derivatives and financial liabilities 445 (218) (>100)%

Foreign exchange profit 399 432 8.5%

Other income 208 180 (13.6)%

Total Group’s Other Operating Income 2,310 3,658 58.4%

Of which: Other Operating Income from Insurance (450) 1,097 (>100)%

8

1,663 1,395

165 103

1,553

1,177

143 233

1,723

1,385

134 205

Total Other Operating Incomefrom Banking Operations

Fee Income fromIslamic Operations

Net Fee Incomefrom Insurance

2Q FY2018

1Q FY2019

2Q FY2019

RM

million

Net Fee Based Income: 2Q FY2019Stronger investment and trading income QoQ improved net fee based income

+17.7% QoQ (6.6)% QoQ (12.3)% QoQ +10.9% QoQ

RM million2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Commission, service charges and fees 805 773 4.2% 857 (6.0)%

Investment & trading income 438 206 >100% (24) (>100)%

Unrealised gain/ (losses) on financial

assets and investments476 565 (15.8)% (385) (>100)%

Derivatives and financial liabilities (62) (156) (60.5)% 229 (>100)%

Foreign exchange profit 221 211 4.5% 268 (17.4)%

Other income 101 78 29.1% 64 57.9%

Total Group’s Other Operating Income 1,980 1,678 18.0% 1,008 96.4%

Of which: Other Operating Income from Insurance 595 501 18.7% (387) (>100)%

(0.8)% YoY (18.9)% YoY +98.9% YoY +3.6% YoY

Notes using Maybank’s 2Q FY2019 Financial Statements:

¹ Group’s ‘Other operating income’ [Note A25] less ‘Other operating income’ from Insurance [Note A40(a)]

² Summation of ‘Other Operating Income’ from Insurance and ‘Net earned insurance premiums’ under Note A40(a) with ‘Net insurance benefits and claims incurred, net fee and

commission expenses, change in expense liabilities and taxation of life and takaful fund’ under Note A26

1 2

9

Overheads: 1H FY2019Stable overheads trend QoQ; low growth YoY mainly led by personnel and marketing costs

Note:

¹ Total cost excludes amortisation of intangible assets for Maybank Indonesia and Maybank Kim Eng

RM million1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Personnel Costs 3,343.6 3,141.3 6.4% 1,656.6 1,686.9 (1.8)% 1,550.7 6.8%

Establishment Costs 890.1 873.4 1.9% 448.7 441.4 1.7% 416.1 7.8%

Marketing Expenses 291.8 265.3 10.0% 151.1 140.7 7.3% 122.5 23.4%

Administration & General

Expenses 1,103.9 1,166.4 (5.4)% 565.3 538.6 5.0% 589.6 (4.1)%

Total 5,629.3 5,446.4 3.4% 2,821.7 2,807.6 0.5% 2,678.8 5.3%

%1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Total Cost to Income ¹ 47.9% 46.7% 1.2% 47.9% 47.9% 0.0% 46.0% 1.9%

Group JAWS Position (2.4)% 0.0% (4.1)%

10

582.1

418.5

81.3

604.0

391.6

1,091.5995.6

2QFY2018

3QFY2018

4QFY2018

1QFY2019

2QFY2019

1HFY2018

1HFY2019

Allowances for losses on loans

80.7% 79.6% 83.6% 82.6% 78.0%

93.6% 92.6% 93.6% 94.1% 90.2%

Loan loss coverage incl. Regulatory Reserve

Loan loss coverage

Allowances for losses on loans

Asset QualityAnnualised net credit charge off rate of 38 bps with Group GIL ratio of 2.62%

Note:

Loan loss coverage includes ECL for loans at FVOCI as per Note A11(xii) of the Group’s Financial Statements

RM

million

GIL Ratio ComponentsJun

2019

Mar

2019

Dec

2018

Sep

2018

Jun

2018

Non Performing Loans

(NPL)2.01% 1.72% 1.74% 1.90% 1.81%

Restructured &

Rescheduled (R&R)0.16% 0.15% 0.12% 0.16% 0.22%

Performing Loans

Impaired Due to

Judgmental/ Obligatory

Triggers (IPL)

0.45% 0.61% 0.55% 0.59% 0.61%

GIL Ratio 2.62% 2.48% 2.41% 2.65% 2.64%

Group Gross Impaired Loans (GIL) Ratio Composition

2.13% 2.11% 1.88% 1.86% 2.11%

3.68% 3.70% 3.43% 3.49% 3.26%

4.05% 4.13%3.72% 4.00% 4.26%

Jun 2018 Sep 2018 Dec 2018 Mar 2019 Jun 2019

Malaysia Singapore Indonesia

GIL Ratio by Home Markets

11

0.88% 0.85%0.62% 0.63% 0.63%

1.83% 1.84% 1.86% 1.97% 1.66%

1.78% 1.53% 1.41% 1.30% 1.16%


Note:

• In Malaysia, industry GIL ratio for mortgage (purchase of residential property) is 1.1%, 0.8% for auto finance, and 0.9% for credit cards.

• In Singapore, industry GIL figure is only available for mortgage, which was 0.4%.

• In Indonesia, Business Banking includes Commercial, SME and Micro loans. Maybank Indonesia’s GIL ratios are mapped in accordance to its local regulatory reporting requirements and

does not include R&R.

11.40% 10.83%9.88%

10.51% 9.95%

2.61%

2.70% 2.64%

2.38%1.84%

2.73%

2.58% 2.22%

2.98%4.22%


Malaysia Singapore Indonesia

Asset Quality by Line of BusinessMostly stable AQ trends with some uptick in RSME and BB in Indonesia and CB in Malaysia

Mortgage Auto Finance Credit Cards

Retail SME (RSME) Business Banking (BB) Corporate Banking (CB)

Consumer

Business

0.85% 0.90% 0.92% 0.93% 0.90%

0.46% 0.44% 0.44% 0.53% 0.54%

2.59% 2.61% 2.63% 2.73% 2.88%


0.67% 0.71% 0.65% 0.61% 0.66%

0.22% 0.34% 0.34% 0.29% 0.13%

1.42% 1.36% 1.34% 1.33% 1.27%


2.26% 2.33% 2.01% 1.79%2.86%

7.66%7.75%

7.10% 7.26% 6.86%

7.05% 6.90% 6.59%5.55% 5.15%


2.51%

2.64%

2.09%2.21% 2.26%

2.19% 2.15%1.95% 2.10%

2.19%

2.86%

2.56%

2.51%

2.66%

3.20%


12

92.8%94.4%

92.7% 92.4% 93.4%

86.3%87.5%

86.2% 85.4% 86.3%

76.0%77.3%

76.1% 75.2% 75.9%


LDR LTF LTFE

144.9% 130.5% 132.4% 134.2% 145.4%

LCR

Borrowings, 5%

Capital Instruments, 2%

Customer Funding, 76%

FI Deposits, 6%

Equity, 11%

USD, 30%

RM, 23%

JPY, 11%

IDR, 9%

HKD, 9%

CNY, 6%

SGD, 4%

CNH, 4%

Others, 4%

Liquidity Management: 30 June 2019 Well-diversified funding sources with stable Group liquidity risk indicators

RM736.8

billion

RM49.7

billion

Funding Breakdown

Note:

• Customer Funding comprises Deposits from Customers & Investment Accounts of Customers.

By maturity:

≤ 1 Year 28%

> 1 Year 72%

Borrowings and

Capital Instruments

by Currency

Note: 1) BNM’s minimum LCR requirement is 100%

2) LTF is gross loans divided by (deposits + borrowings +

subdebt) while LTFE’s denominator is (deposits +

borrowings + subdebt + equity + capital securities)

3) LDR, LTF & LTFE excludes loans to banks and FIs

Liquidity Risk Indicators

13

13.76% 14.42% 13.20%

14.87% 15.50% 14.28%

18.27% 18.69%17.47%

Dec 18 Jun 19 Jun 19

Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio

15.03% 14.95% 14.23%

15.98% 15.87% 15.14%

19.02% 18.71% 17.98%

Dec 18 Jun 19 Jun 19

Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio

Group

Bank

Strong Capital Position: 30 June 2019Total capital ratio of 17.98% and CET1 capital ratio of 14.23%, after proposed full cash interim dividend payout

Regulatory RequirementsJan 2019

Onwards

Minimum Common Equity Tier 1

Capital + Capital Conservation Buffer7.0%

Minimum Tier 1 Capital + Capital

Conservation Buffer8.5%

Minimum Total Capital + Capital

Conservation Buffer10.5%

Pending Finalisation of Other

Capital Buffers:

D-SIB Buffer Between 0.5% - 1.0%

Countercyclical Capital Buffer Between 0% - 2.5%

After proposed

full cash dividend

Before proposed

dividend

14

11

28 3222.5 24

2420 23 25 25

44

32

36

33

3133 30

3232 32

FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Final

Interim

76.5% 74.9%79.9%

74.7%71.9%

78.5% 76.3% 78.1% 78.5% 77.3% 74.9%

27% 13% 11% 12% 20% 25% 19% 27%67% 53%

100%

Dividend (sen), Payout Ratio (%) and Cash Component (%)

85.9%*

85.7%*

88.2%*85.9%*

88.5%*91.1%*

86.1%*

88.6%*

#

82.6%*

55.060.0

36.0

65.0

53.557.0

84.0%*

Dividend Payout Ratio

83.7%*

54.0

87.5%*

89.1%*

52.0

83.5%*

55.0

Cash Component of Total Dividend

FY08 FY09 FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Effective Cash

Dividend Paid Out

from Net Profit

Dividend: 1H FY2019Single-tier interim cash dividend of 25 sen per share

60.4% 61.4% 26.2% 17.2% 17.0% 19.0% 22.0% 29.0% 23.2% 28.6% 57.2% 47.1% 74.9%

85.7%*

Note:

* Actual Reinvestment Rate for Dividend Reinvestment Plan.

+ The Final Dividend for FY2017 was paid fully in cash.

# The Net Dividend is 28.5 sen of which 15 sen is single-tier dividend. Maybank adopted the single-tier dividend regime with effect from FY2012.

84.0%*

57.0

+

81.7%*

15

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








16

Key Indicators Industry Outlook

Indonesia

• GDP: 0.6% (2019F) vs 3.1% (2018)

• System loan: 4.3% (2019F) vs 5.3% (2018)

• 3M SIBOR: 1.70% (2019F) vs 1.89% (2018)

• USD/SGD average: 1.37 (2019F) vs 1.36 (2018)

• Inflation: 0.7% (2019F) vs 0.4% (2018)

• GDP: 5.0% (2019F) vs 5.2% (2018)

• System loan: 10.5% (2019F) vs 11.8% (2018)

• Reference Rate: 5.50% (2019F) vs 6.00% (2018)

• USD/IDR average: 14,210 (2019F) vs 14,267 (2018)

• Inflation average: 3.3% (2019F) vs 3.2% (2018)

Singapore

Market OutlookFY2019 Industry outlook for our home markets

• GDP: 4.4% (2019F) vs 4.7% (2018)

• System loan: 4.7% (2019F) vs 5.6% (2018)

• OPR: 2.75% (2019F) vs 3.25% (2018)

• USD/MYR average: 4.14 (2019F) vs 4.11 (2018)

• Inflation: 1.0% (2019F) vs 1.0% (2018)Malaysia

• Economic growth to be supported by

consumption boosted by a minimum wage

increase, stable inflation rate and fiscal

stimulus programmes

• Loan growth to be supported by consumption

and working capital needs while liquidity

conditions could ease with foreign inflows

• Economic growth could be affected by

reduced pace of expansion in China and EU,

and effects from the US-China trade war

• Potentially slower loans growth arising from

cautious business sentiment

• Growth supported by recovery in the mining

and agriculture sectors as well as stimulus to

domestic demand from rate cut and the

revival of major infrastructure projects and

Government development spending

• Potential deposit competition could place

pressure on net interest margins (NIMs)

17

Driving positive JAWs across business segments

Managed Group cost growth with CIR ~47%

Continued emphasis on employee up-skilling for digital economy

Maybank Performance OutlookGroup guidance for FY2019

Expand revenue streams through cross business collaborations

Measured balance sheet expansion in line with economic growth of home markets and Group’s conservative risk

posture

Group ROE guidance of 10.0% to 10.5%, on slower economic growth and a lower interest rate environment

Income Growth

Disciplined asset quality management in slowing economic growth environment and continued recovery efforts

Maintain stable liquidity risk indicators ahead of NSFR adoption in 2020

Maintain robust capital positions, while rewarding shareholders with strong effective cash dividend payout as

seen with interim dividend

Conservative investment spend focused on improving customer experience with rollout of product/services

Enhancing data driven analytics

Digitalisation

Liquidity and Capital Management

Asset Quality Management

Better Productivity

1

2

3

4

5

18

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








19

85.6%

3.0%6.8%

4.6%

Malaysia Singapore Indonesia Others

Overseas:

14.4%

62.3%18.5%

12.2%

7.0%

58.1%25.7%

7.7%

8.5%

70.1%

11.5%

7.1%

11.3%

61.2%18.9%

12.2%

7.7%

58.5%25.6%

7.3%8.6%

International & Malaysia Portfolio Mix 1H FY2019

Overseas:

41.5%

1H FY2018

Net Operating Income Profit Before Tax

1H FY2019

Overseas:

38.8%

Overseas:

29.9%

Gross loans*

(Jan 18 – Jun 18)

Overseas:

41.9%

Overseas:

37.7%

(Jan 19 – Jun 19)

RM5.17

billion

RM502.4

billion

RM11.63

billion

RM5.10

billionRM525.6

billionRM11.75

billion

Note:

* Including Islamic loans sold to Cagamas and excludes unwinding of interest

20

6,189

3,186 2,846

197 (12)237

6,121

3,002 3,047

15 29 474

Total Group CommunityFinancial Services

Group CorporateBanking & Global

Markets

Group InvestmentBanking

Group AssetManagement

Group Insurance& Takaful

1H FY2018

1H FY2019

11,635

6,679

3,831

712 45 632

11,750

6,652

3,963

527 118 936



Markets




1H FY2018

1H FY2019

Segmental Performance of Businesses: 1H FY2019 (1/2)

Net Operating Income

+1.0%

RM

million

PPOP

(0.4)% (26.0)% +3.4%

(1.1)%

+>100%

Group Global Banking +2.0%


1H FY2018: 4,588 1H FY2019: 4,608

1H FY2018: 3,030 1H FY2019: 3,091

Note:

Net income & PPOP for Group includes “Head Office & Others” expenditure of RM265.0 million for 1H FY2018 and RM446.5 million for 1H FY2019.

RM

million

+7.0% (5.8)% (92.2)% (>100)% +>100%

+48.1%

21

3,242

1,581 1,292

540

40 73

3,276

1,610 1,403

400 110

302



Markets




1H FY2018

1H FY2019

8,393

5,098

2,540

171 5 559

8,474

5,043

2,559

127 8 635



Markets




1H FY2018

1H FY2019

Net Fund Based Income

Group Global Banking (0.8)%

Net Fee Based Income

(25.8)% +61.3% (1.1)% +0.8% +13.5%

1H FY2018: 2,716 1H FY2019: 2,695


1H FY2018: 1,872 1H FY2019: 1,913

Segmental Performance of Businesses: 1H FY2019 (2/2)

Note:

Net fund based income includes “Head Office & Others” income of RM 20.1 million for 1H FY2018 and RM 101.9 million for 1H FY2019.

Net fee based income includes “Head Office & Others” expenditure of RM 285.1 million for 1H FY2018 and RM 548.4 million for 1H FY2019.

+8.6% +1.8%

RM

million

RM

million

+1.1%

+1.0%

(26.1)% +>100% +>100%

22

Unaudited Income Statement for Insurance and Takaful Business

RM million1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Net interest income 634.3 559.0 13.5% 322.0 312.3 3.1% 280.8 14.7%

Net earned premiums 3,250.4 3,001.4 8.3% 1,623.8 1,626.5 (0.2)% 1,490.0 9.0%

Other operating income 1,096.5 (449.6) (>100)% 595.2 501.4 18.7% (387.5) (>100)%

Total operating income 4,981.2 3,110.9 60.1% 2,541.0 2,440.2 4.1% 1,383.4 83.7%

Net insurance benefits & claims incurred, net fee

& commission expenses, change in expense

liabilities and life & takaful fund tax

(4,052.6) (2,486.4) 63.0% (2,086.9) (1,965.7) 6.2% (1,058.2) 97.2%

Net operating income 928.6 624.5 48.7% 454.1 474.5 (4.3)% 325.2 39.6%

Overhead expenses (459.7) (395.7) 16.2% (239.9) (219.7) 9.2% (200.4) 19.7%

PPOP 468.9 228.8 >100% 214.2 254.8 (15.9)% 124.8 71.6%

Net impairment losses (16.9) 8.0 (>100)% (7.4) (9.5) (21.9)% 3.4 (>100)%

Operating profit 452.1 236.8 90.9% 206.8 245.3 (15.7)% 128.2 61.3%

RM million1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Net insurance benefits & claims incurred, net fee

& commission expenses, change in expense

liabilities and life & takaful fund tax

(4,052.6) (2,486.4) 63.0% (2,086.9) (1,965.7) 6.2% (1,058.2) 97.2%

Less: intercompany elimination 143.7 122.3 17.5% 72.5 71.2 1.9% 58.4 24.1%

Total net insurance benefits & claims incurred,

net fee & commission expenses, change in

expense liabilities and life & takaful fund tax

(3,908.9) (2,364.2) 65.3% (2,014.4) (1,894.5) 6.3% (999.7) >100%

Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities

and life & takaful fund tax

23

84% 12% 1%3%

Normal Watchlist Special Mention Account GIL

65% 19% 1% 15%

Normal Watchlist Special Mention Account GIL

High Rise Residential,

30.4%

Landed Residential,

17.4%Malls, 10.1%

Offices, 5.7%

Hotels, 5.7%

Others, 30.7%

Exposure to Oil & Gas and Real Estate Sectors: 30 June 2019

Group Exposure to Direct & Indirect Oil & Gas Borrowers Real Estate Exposure to Non-Retail Malaysian Borrowers

Borrowers’ Status:

Segmental Exposure:

Note:

Midstream refers to the transportation (i.e. pipeline, barge, oil tanker or truck),

storage and wholesale marketing services of crude or refined petroleum products.

Of GIL breakdown:

• 93% is from midstream

Maybank Group Malaysia Singapore Indonesia Others

3.08% 1.75% 0.99% 0.09% 0.25%

Note:

Funded-only exposure is 2.27% for GroupRM32.33 bil

(or 10.67% of Malaysia

Gross Loans)

Borrowers’ Status:

Note:

Funded-only exposure is 10.12%

‘Others’ include Land, Industrial Buildings & Factories, Other Residential

and Other Commercial

Of GIL breakdown:

• 40% is from combined exposure

to malls and hotels

• 14% is from high rise residential

Of Watchlist breakdown:

• 31% is from high rise residential

• 31% is from combined exposure

to malls, hotels and offices

27% 48% 25%

Upstream Midstream Downstream

24

Group Gross Loans Growth: 30 June 2019

Note:

¹ Rebased loan growth figures are based on adjusted 31 December 2018 position in line with migration of client accounts, effective 1 January 2019

% of

Portfolio

30 Jun

2019

31 Mar

2019QoQ

31 Dec

2018

YTD

Ann.

30 Jun

2018YoY

Group Gross Loans 525.6 516.9 1.7% 517.3 3.2% 502.4 4.6%

Malaysia (RM billion) 58% 302.9 299.5 1.1% 299.2 2.4% 290.5 4.2%

Community Financial Services (reported) 73% 222.5 218.3 1.9% 216.0 6.1% 209.0 6.5%

Community Financial Services (rebased)¹ 73% 222.5 218.3 1.9% 215.9 6.1% 209.0 6.5%

Global Banking (reported) 27% 80.5 81.2 (0.9)% 83.3 (6.7)% 81.6 (1.3)%

Global Banking (rebased)¹ 27% 80.5 81.2 (0.9)% 83.4 (6.9)% 81.6 (1.3)%

International (RM billion) 41% 216.4 211.0 2.5% 211.8 4.3% 204.3 5.9%

Singapore (SGD billion) 61% 42.9 42.6 0.6% 42.4 2.4% 41.9 2.3%

Community Financial Services 54% 22.9 22.8 0.2% 22.6 2.7% 22.5 1.6%

Global Banking 46% 19.9 19.7 1.0% 19.7 1.9% 19.3 3.0%

Indonesia (IDR trillion) 19% 139.2 140.5 (0.9)% 138.3 1.3% 131.2 6.1%

Community Financial Services 71% 98.4 101.1 (2.6)% 103.3 (9.5)% 98.3 0.1%

Global Banking 29% 40.5 39.1 3.5% 34.7 33.2% 32.6 24.2%

Other markets (RM billion) 20% 44.5 42.2 5.4% 43.8 3.3% 43.1 3.2%

Investment banking (RM billion) 1% 6.4 6.3 0.3% 6.3 2.4% 7.6 (16.1)%

25

Note:

¹ Rebased loan growth figures are based on adjusted 31 December 2018 position in line with migration of client accounts, effective 1 January 2019

Malaysia Loans Growth: 30 June 2019

RM billion% of

Portfolio

30 Jun

2019

31 Mar

2019QoQ

31 Dec

2018

YTD

Ann.

30 Jun

2018YoY

Community Financial Services (reported) 73% 222.5 218.3 1.9% 216.0 6.1% 209.0 6.5%

Community Financial Services (rebased)¹ 73% 222.5 218.3 1.9% 215.9 6.1% 209.0 6.5%

Consumer 59% 179.7 176.8 1.6% 174.4 6.1% 168.2 6.9%

Total Mortgage 30% 91.5 89.5 2.3% 87.5 9.2% 83.9 9.0%

Auto Finance 16% 48.9 48.3 1.3% 47.9 4.3% 46.8 4.5%

Credit Cards 2% 7.4 7.3 0.2% 7.6 (5.4)% 7.2 2.4%

Unit Trust 10% 29.6 29.3 0.9% 29.0 4.0% 27.7 6.7%

Other Retail Loans 1% 2.4 2.4 (0.5)% 2.5 (13.0)% 2.6 (6.8)%

Business Banking + SME (reported) 14% 42.8 41.5 3.1% 41.5 6.1% 40.9 4.7%

Business Banking + SME (rebased)¹ 14% 42.8 41.5 3.1% 41.5 6.5% 40.9 4.7%

SME (reported) 6% 17.8 17.2 3.5% 17.1 8.4% 15.9 11.9%

SME (rebased)¹ 6% 17.8 17.2 3.5% 16.8 12.6% 15.9 11.9%

Business Banking (reported) 8% 25.0 24.3 2.9% 24.4 4.5% 25.0 0.1%

Business Banking (rebased)¹ 8% 25.0 24.3 2.9% 24.7 2.3% 25.0 0.1%

Global Banking (Corporate) (reported) 27% 80.5 81.2 (0.9)% 83.3 (6.7)% 81.6 (1.3)%

Global Banking (Corporate) (rebased)¹ 27% 80.5 81.2 (0.9)% 83.4 (6.9)% 81.6 (1.3)%

Total Malaysia 302.9 299.5 1.1% 299.2 2.4% 290.5 4.2%

26

Group Deposits Growth: 30 June 2019

% of

Portfolio

30 Jun

2019

31 Mar

2019QoQ

31 Dec

2018

YTD

Ann.

30 Jun

2018YoY

Group Gross Deposits 560.9 557.6 0.6% 556.3 1.7% 539.8 3.9%

Malaysia (RM billion) 62% 351.2 343.9 2.1% 343.8 4.3% 335.8 4.6%

Savings Deposits 13% 44.5 43.9 1.3% 42.8 7.9% 42.8 3.9%

Current Accounts 25% 87.0 84.9 2.5% 90.3 (7.4)% 82.5 5.4%

Fixed Deposits 42% 146.5 131.4 11.4% 125.8 32.8% 145.1 1.0%

Others 20% 73.2 83.7 (12.5)% 84.8 (27.5)% 65.4 12.0%

International 38% 211.3 215.2 (1.8)% 214.1 (2.7)% 205.8 2.7%

Singapore (SGD billion) 66% 45.6 46.7 (2.4)% 46.2 (2.5)% 47.0 (3.0)%

Savings Deposits 16% 7.1 7.0 1.9% 7.0 1.3% 6.2 14.5%

Current Accounts 15% 7.0 7.3 (5.0)% 7.6 (16.9)% 7.8 (10.6)%

Fixed Deposits 69% 31.5 32.4 (2.8)% 31.5 0.1% 33.0 (4.4)%

Indonesia (IDR trillion) 17% 125.6 128.7 (2.5)% 117.0 14.6% 113.9 10.3%

Savings Deposits 16% 19.6 18.6 5.3% 19.9 (3.5)% 23.7 (17.4)%

Current Accounts 17% 21.9 22.1 (1.0)% 24.4 (21.2)% 23.9 (8.5)%

Fixed Deposits 67% 84.1 88.1 (4.5)% 72.7 31.6% 66.3 26.9%

27

+7.4%

320.9 315.3327.0

21.217.5

20.4

41.341.8

42.1

Jun 18 Dec 18 Jun 19

Operational RWA

Market RWA

Credit RWA

+33.4%

+1.6%

502.4517.3

525.6


+3.2% YTD Ann.

Continued RWA Optimisation

Group Gross Loans

RM

billion

Total Group RWA

RM

billion

+8.0% YTD Ann.

374.6

389.5

+4.6% YoY

383.3

+1.6% YoY

28

92.8% 94.4% 92.7% 92.4% 93.4%

35.1% 35.1% 35.9%34.5% 34.9%

33.2% 33.2% 33.6%32.4% 32.6%


LDR CASA CASA (without IA)

87.8% 89.5% 87.9% 88.0% 87.2%

37.3% 37.9% 38.7% 37.5% 37.5%

34.3% 34.9% 34.9% 34.0% 33.8%


LDR and CASA Ratio

Singapore Indonesia

Group Malaysia

111.8%119.2% 113.8%

105.4% 107.0%

41.8% 41.3% 37.9%31.6% 33.0%

94.0% 100.6% 96.5% 90.1% 92.3%


LDR (Bank Level)

89.2% 93.2% 91.8% 91.2% 94.0%

29.8% 30.1% 31.7% 30.6% 30.8%


Note:

• Group and Indonesia LDR excludes loans to banks and FIs

• Group and Malaysia LDR include investment accounts totaling RM21.65 billion for 30 Jun 2019, RM22.80 billion for 31 Mar 2019, RM23.57 billion for 31 Dec 2018, RM18.77 billion for 30

Sep 2018 and RM19.18 billion for 30 June 2018.

29

Key Operating Ratios

Note:1 LDR excludes loans to banks and FIs.2 Total cost excludes amortisation of intangibles for Maybank Indonesia and Maybank Kim Eng.3 The capital ratios are adjusted based on the assumption of 85% reinvestment rate under the DRP for the period. 2Q & 1H FY2019 capital ratios are based on full cash payment of

interim dividend for FY2019.

%1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

2Q

FY2018YoY

Return on Equity 9.8 10.8 (1.0)% 10.2 9.7 0.5% 11.1 (0.9)%

Net Interest Margin 2.24 2.33 (9) bps 2.19 2.30 (11) bps 2.27 (8) bps

Fee to Income Ratio 27.9 27.9 0.0% 29.3 26.5 2.8% 28.6 0.7%

Loans-to-Deposit Ratio 1 93.4 92.8 0.6% 93.4 92.4 1.0% 92.8 0.6%

Cost to Income Ratio 2 47.9 46.7 1.2% 47.9 47.9 0.0% 46.0 1.9%

Asset Quality

Gross Impaired Loans Ratio 2.62 2.64 (2) bps 2.62 2.48 14 bps 2.64 (2) bps

Loans Loss Coverage 78.0 80.7 (2.7)% 78.0 82.6 (4.6)% 80.7 (2.7)%

Net Charge off rate (bps) (38) (44) 6 bps (30) (47) 17 bps (47) 17 bps

Capital Adequacy ³

CET1 Capital Ratio 14.23 13.16 107 bps 14.23 14.55 (32) bps 13.16 107 bps

Total Capital Ratio 17.98 17.78 20 bps 17.98 19.00 (102) bps 17.78 20 bps

30

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








31

Community Financial Services: Overview of Market Share for Malaysia

Note:

* Refers to housing, shophouse and other mortgage loans

** Credit cards market share refer to receivables for commercial banks

*** Total bank deposits inclusive of investment asset (“IA”)

^ Without IA. With IA, the market share as at June’19 for Total Core Retail Deposits, Retail

CASA, Retail Savings, Demand Deposits and Retail Fixed Deposits are 17.4%, 26.0%,

28.3%, 22.0% and 14.1% respectively (against MBB retail IA).

^^ Excluding non-financial transactions as per BNM guidelines

Loans

Total consumer (Household) 17.6% 17.7% 17.7% 17.8% 17.5% 2

Auto (Purchase of transport vehicles) 27.1% 27.3% 27.7% 28.0% 28.3% 2

Total mortgage * 13.3% 13.4% 13.5% 13.6% 13.6% 2

Credit cards ** 19.0% 19.1% 19.2% 19.1% 19.0% 1

Unit trust 50.4% 50.1% 49.6% 49.5% 49.2% 1

Deposits

Total deposits *** 18.6% 18.3% 18.4% 18.2% 17.8% 1

Total core retail deposits ^ 17.9% 17.8% 17.2% 16.9% 16.8% 2

Retail CASA ^ 25.0% 24.9% 25.0% 25.1% 24.9% 1

Retail savings ^ 28.6% 28.2% 28.5% 28.4% 28.3% 1

Demand deposits ^ 19.0% 19.1% 18.9% 19.0% 18.9% 1

Retail fixed deposits ^ 14.4% 14.4% 13.5% 13.0% 12.9% 2

Channels

Internet banking - Subscriber base 41.0% 40.2% 39.7% 39.6% 40.6% 1

Mobile banking - Subscriber base 31.4% 30.9% 30.7% 31.3% 31.8% 1

Internet banking - Transaction Volume ^^ 53.8% 53.3% 52.8% 50.7% 50.7% 1

Mobile banking - Transaction Volume 65.9% 65.4% 66.7% 62.9% 62.6% 1

Branch network 18.6% 19.0% 19.2% 19.2% 19.3% 1

Jun-19

vs

Mar-19

Market

positionJun-18 Sep-18 Dec-18 Mar-19 Jun-19Market share

32

Jun 18 Dec 18 Jun 19 Jun 18 Jun 19 Jun 18 Jun 19

139.0 137.1 138.9

66.8 63.5 60.2


Consumer BB + RSME

Community Financial Services: Overview of Malaysia Portfolio

Note:

• TFA: Total Financial Assets (Deposits, Investments, Financing & Protection).

• TFA for Individual customers amounted to RM319.2 billion as at Jun’19, RM313.7

billion as at Dec’18 and RM307.9 billion in Jun’18.

Wealth Management segment’s TFA grew 3.5% YoY to

RM208.6 billion

Total CFS loans on an upward trend of 6.5% YoY and 6.1%

YTD annualised.R

M b

illion

(1.5)% YTD Ann.

Total CFS deposits decreased by 3.3% YoY, due to reduction

in high cost deposits, mitigated by CASA growth of 2.7%

(3.3)% YoY

+14.3% YoY

Maybank2u 1-month active users grew 14.3% YoY driven

by growth in mobile users

168.2 174.4 179.7

40.9 41.5 42.8


Consumer BB + RSME

+6.1% YTD Ann.

+6.5% YoY

+3.5% YoY

+3.3% YTD Ann.

+42.9% YoY

Maybank2u 1-month active users

of which Mobile 1-month

active users4.89

RM

billion

RM

billion

In m

illion

5.59

2.243.20

209.0 216.0

201.5

205.8 200.6222.5199.1

205.3 208.6

33

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








34

11.1

27.4

43.2

11.3

26.9

45.1

10.8

23.9

45.7


RM billion

Note:

- ‘Term Loan’ includes foreign currency denominated accounts, while ‘Trade Finance

and Others’ is combined with ‘Overdraft’

- Trade Finance market share as at Jun’19 is 21.9%

Term Loan

Global Banking: Overview of Malaysia Corporate Banking and Group Securities Portfolio

Group Securities Portfolio¹ grew 13.1% YoYTotal Corporate Banking loans in Malaysia decreased 1.3%

YoY to RM80.5 billion

Short Term

Revolving

Credit

Trade

Finance

and Others (2.3)% YoY

+6.0% YoY

(12.5)% YoY

Note: ¹ Group Securities Portfolio is inclusive of Financial assets designated upon

initial recognition (part of FVTPL)

45.7 49.6 51.5 51.9 51.7

33.941.0 40.6 45.8 50.1

54.255.8 56.6

58.1 58.5

29.425.7 22.7

24.0 26.29.16.9 6.6

6.68.4


Govt. Securities - Domestic Govt. Securities - Foreign

PDS/Corp Bonds - Domestic PDS/Corp Bonds - Foreign

Others

+13.1% YoY

RM

billion

172.3179.0 178.0

186.5194.9

35

Malaysia45%

Singapore24%

Thailand14%

Indonesia5%

Philippines2%

Hong Kong5%

Others5%

Global Banking: Overview of Group Investment Banking Portfolio

1H FY2019 Fee-based Income for Malaysia

Brokerage Fees43%

Arranger Fees27% Underwriting &

Placement Fees11%

Advisory Fees10%

Agency/ Guarantee Fees

3%

Other Fee Income6%

1H FY2019 Total Income Breakdown by Country

RM526.6

million

Note:

¹ Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings.

1H FY2019 Brokerage Market Share by Country

Country Rank Market ShareTrading Value

(USD billion)

Malaysia 4 7.96% 10.7

Singapore 14 3.80% 7.2

Thailand 3 6.05% 20.5

Indonesia 14 2.13% 3.5

Philippines 6 5.25% 2.7

Hong Kong Tier 3 0.14% 4.1

Vietnam >10 2.52% 1.2

36

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








37

Maybank Singapore: P&L Summary

SGD million 1H FY2019 1H FY2018 YoY

Net fund based income 383.01 371.08 3.2%

Net fee based income 161.76 201.39 (19.7%)

Net income 544.76 572.47 (4.8%)

Overhead expenses (233.99) (211.48) 10.6%

Operating profit 310.77 360.99 (13.9%)

Profit before taxation 17.15 176.63 (90.3%)

Net fund based income registered a 3.2% growth, driven by loans, investment and placement income, though offset by

higher interest costs.

Fee based income reduced 19.7% YoY. Maybank’s fee income fell on lower treasury related fee. Comparatively, fee based

income was higher last year due to one-off property disposal gains.

Overhead expenses increased 10.6% arising from higher personnel and depreciation costs, partly mitigated by lower

information technology and establishment spend.

1H FY2019 profit before tax of SGD17.15 million was lower than the prior year, mainly due to higher impairment

allowances.

38

7.0 6.9 6.3

16.5 15.5 15.2

7.0 7.8 7.8

16.5 15.9 16.2


Consumer -Time Deposits

Consumer CASA

Business TimeDeposits

Business CASA

45.6

6.2 7.0 7.1

7.8 7.6 7.0

33.0 31.5 31.5


Time Deposits

Demand Deposits

Savings

Maybank Singapore loans rose 2.3% YoY

Diversified Loan Portfolio

8.9%7.1% 4.5% 3.4%

2.3%

9.9% 7.8% 5.3% 3.8% 3.9%


Maybank Singapore Growth Industry Growth

Maybank Singapore: Overview of Loans and Deposits Portfolio

% YoY change

Consumer

53 %

Corporate

47 %SG

D b

illion

Consumer deposits’ composition rose to 53% of total deposits

CASA Ratio:

30.8%SG

D b

illion

Growth in consumer CASA led to higher overall CASA ratio from

29.8% to 30.8% YoY

Deposits fell 3.0% YoY largely due to lower business time and

CASA deposit. Share of consumer deposit improved from 50%

to 53% YoY

47.0

(3.0)% YoY

46.2

SGD Billion% of

Portfolio

30 Jun

2019

31 Dec

2018

YTD

Ann.

30 Jun

2018YoY

CFS 54% 22.9 22.6 2.7% 22.5 1.6%

Consumer 39% 16.6 16.4 3.0% 16.4 1.5%

Housing Loan 25% 10.9 10.9 0.7% 10.9 (0.1)%

Auto Loan 6% 2.5 2.4 10.6% 2.3 8.0%

Cards 1% 0.4 0.4 (6.0)% 0.4 (0.2)%

Others 7% 2.8 2.7 7.2% 2.7 2.7%

Non-Individuals 15% 6.3 6.2 1.8% 6.2 1.8%

RSME 3% 1.5 1.4 9.2% 1.3 14.6%

Business Banking 8% 3.4 3.4 (1.4)% 3.4 (1.8)%

Others 3% 1.5 1.4 1.9% 1.5 (0.8)%

Global Banking 46% 19.9 19.7 1.9% 19.3 3.0%

Total 100% 42.9 42.4 2.4% 41.9 2.3%

39

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








40

Maybank Indonesia: P&L Summary

IDR billion 1H

FY2019

1H

FY2018YoY

2Q

FY2019

1Q

FY2019QoQ

Net Fund Based income 4,024 3,932 2.4% 1,987 2,037 (2.4)%

Net Fee Based income 1,167 1,022 14.1% 652 515 26.6%

Net income 5,191 4,954 4.8% 2,639 2,552 3.4%

Overhead expenses (3,183) (2,988) 6.5% (1,598) (1,585) 0.8%

Personnel (1,265) (1,287) (1.8)% (631) (633) (0.3)%

General and Administrative (1,918) (1,701) 12.8% (967) (952) 1.5%

Operating profit 2,008 1,966 2.1% 1,041 966 7.8%

Provisions Expenses (975) (666) 46.3% (574) (401) 43.4%

Non Operating Income/(Expense) 9 (3) >100% 4 5 (29.8)%

Profit Before Tax and Non-Controlling Interest 1,042 1,296 (19.6)% 471 571 (17.6)%

Tax and Non-Controlling Interest (285) (364) (21.6)% (129) (156) (17.5)%

Profit After Tax and Non-Controlling Interest 757 933 (18.9)% 342 415 (17.6)%

EPS - Basic (IDR) 9.93 13.74 (27.7)% 4.93 5.00 (1.4)%

41

Maybank Indonesia: Financial Ratios and Loans Portfolio Breakdown

Key Operating Ratios Loans Portfolio Breakdown

Note: Maybank Indonesia’s loans breakdown is mapped in accordance to its local

regulatory reporting requirements.

^ LCR is disclosed on a quarter-end basis

IDR Trillion% of

Portfolio

30 Jun

2019

31 Mar

2019QoQ

30 Jun

2018YoY

CFS 72% 97.6 100.0 (2.3)% 97.0 0.7%

CFS Retail 32% 43.0 43.5 (1.1)% 43.2 (0.4)%

Auto Loan 18% 24.0 24.4 (1.5)% 24.4 (1.7)%

Mortgage 11% 15.5 15.6 (1.1)% 15.4 0.5%

CC + Personal

Loan2% 3.1 3.1 1.0% 2.9 5.2%

Other loans 1% 0.4 0.4 0.3% 0.4 (0.1)%

CFS Non-Retail 40% 54.6 56.5 (3.3)% 53.8 1.6%

Business Banking 22% 30.7 32.1 (4.7)% 31.3 (2.0)%

RSME 18% 24.0 24.3 (1.5)% 22.5 6.6%

Global Banking 28% 37.8 35.9 5.4% 30.1 25.6%

Total 135.4 135.8 (0.3)% 127.1 6.6%

Key Operating Ratio Jun-19 Dec-18 Jun-18 YoY

Profitability & Efficiency

Return On Assets 1.12% 1.74% 1.49% (0.37)%

Return On Equity (Tier 1) 6.50% 10.21% 9.16% (2.66)%

Net Interest Margin 4.83% 5.24% 5.11% (0.28)%

Cost to Income Ratio 61.32% 58.10% 60.32% 1.00%

Asset Quality

NPL – Gross 3.06% 2.59% 2.79% 0.27%

Liquidity & Capital Adequacy

LCR^ 166.38% 124.94% 151.48% 14.90%

CET 1 17.12% 16.85% 16.27% 0.85%

CAR 19.07% 19.04% 18.77% 0.30%

42

Table of Contents

Executive Summary 2

Results Overview 4


Appendix:








43

Maybank Islamic, 60.2%

Maybank Conventional,

Malaysia, 39.8%

Year Contribution

Jun 2018 58.5%

Sep 2018 58.3%

Dec 2018 58.7%

Mar 2019 59.7%

Jun 2019 60.2%

Islamic Banking: Performance Overview

Group Islamic Banking Financial Performance Maybank Islamic: Total Gross Financing grew to RM183.7

billion

Maybank Islamic Contribution to Maybank Malaysia Loans

and Financing as at June 2019

Note: Figures are as per latest segmentation breakdown

Group Islamic Banking’s performance includes key markets in Malaysia, Indonesia and

Singapore

RM million 1H FY2019 1H FY2018 YoY

Total Income 2,521.0 2,797.6 (9.9)%

Profit Before Tax 1,671.8 1,184.5 41.1%

Financing & Advances 196,253.9 183,123.0 7.2%

Deposits & Investment Account: 188,173.8 169,473.6 11.0%

Deposits from Customers 166,521.0 150,297.4 10.8%

Investment Account 21,652.8 19,176.2 12.9%

RM

billion

Maybank Islamic: Key Financial Ratios

Key Financial Ratios 1H FY2019 1H FY2018

Total Capital Ratio (TCR) 21.74% 19.05%

Net Profit Margin (YTD) 1.79% 1.86%

Cost to Income Ratio (CIR) 36.10% 33.59%

Direct FDR1 93.1% 95.9%

Note:

¹ Direct Financing to Deposits Ratio (FDR) comprising gross financing against deposit

and Unrestricted Investment Account (exc. RPSIA assets and liabilities)

32.8

45.0

37.2

6.3

26.9 22.9

35.0

50.3

40.9

7.1

29.0

21.3

AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB)

Jun-18

Jun-1912%

10%7%

13%

7%

(7%)

CFS:10% GB:1%

44

Key Products Jun 19 Jun 18

Automobile Financing 46.5% 44.1%

Home 26.3% 26.1%

Term financing 28.3% 28.0%

Maybank Islamic ranks No.1 by Asset Market Share

in Malaysia

Islamic Banking: Market Share

Market Share by Product (Malaysia) Maybank Islamic Market Share

31.1%30.7% 30.9% 31.0% 31.0%

28.8% 28.8%28.4%

27.8%28.3%


Financing Deposits & Investment Accounts

MalaysiaAsset Market Share

Mar 19Rank

Maybank Islamic 31% 1

CIMB Islamic 14% 2

RHB Islamic 9% 3

Source for industry numbers: Latest BNM Monthly Statistical Bulletin

Sukuk League Table Ranking June 2019

Source for industry numbers: Latest BNM Monthly Statistical Bulletin

Source: Bloomberg

Source: Latest BNM monthly statistical bulletin & respective Bank’s Financial

Statements

Global Sukuk League

Table Ranking

Market

Share (%)

Amount

(USD million)Issues

#2 Maybank 13.03% 3,965 66

MYR Sukuk League

Table Ranking

Market

Share (%)

Amount

(USD million)Issues

#2 Maybank 25.98% 3,568 57

45

0 500 1,000 1,500 2,000 2,500

Total Life/Family…

Total General

Misc

Personal Accident

MAT

Motor

Fire

Total Life/Family

Group Premium

Credit Premium

Regular Premium

Single Premium

1H FY2019

1H FY2018

14.2% 7.9% 8.0% 7.3% 7.6%

8.2% 8.0% 7.9% 7.6%

10.7% 10.6% 10.6% 10.2%

12.8% 12.1% 11.5% 12.2%

2016 2017 2018 2019

Etiqa Allianz HL-MSIG AmGeneralRM Million

Total Life/Family &

General

156.7250.7

120.0

110.823.2

166.7

1H FY2018 1H FY2019

Life/Family General Shareholder's Fund

35.538.8

Jun 18 Jun 19

Insurance and Takaful: Performance Overview

Total Assets

Net Adjusted Premium/ Contribution

Profit Before Tax

Life / Family (New Business) Market Share (Malaysia)

No. 1 in General

Insurance and

Takaful

(Gross Premium)

General Insurance and Takaful Market Share (Malaysia)

+76.1% YoY +9.5% YoY

Note: Market Share is for period Apr – Mar of every year (Source: LIAM / ISM Statistics)

299.9

RM

million

RM

billion

528.2

(6.3)%

8.5%

(3.0)%

29.3%

8.1%

22.6%

7.1%

59.6%

30.4%

3.9%

14.7%

No. 4 in

Life/Family

(New Business)

8.6% 7.6% 10.5% 11.1%

14.2% 14.2% 13.0% 13.8%

14.9% 14.8% 13.9% 16.5%

20.1% 22.1% 21.9% 18.6%

2016 2017 2018 2019

AIA Prudential GE Etiqa

*Net Adjusted Premium (NAP) = Life/Family Adjusted Premium (100% Regular Premium

+10% Single Premium/Credit/Group)+ Net Written Premium (General)

Note: Net Adjusted Premium, Profit Before Tax and Total Assets are presented at EIH Group level

46

MALAYAN BANKING BERHAD

14th Floor, Menara Maybank

100, Jalan Tun Perak

50050 Kuala Lumpur, Malaysia

Tel : (6)03-2070 8833

www.maybank.com

Disclaimer. This presentation has been prepared by Malayan Banking Berhad (the “Company”) for information purposes only and does not purport to contain all the

information that may be required to evaluate the Company or its financial position. No representation or warranty, express or implied, is given by or on behalf of the

Company as to the accuracy or completeness of the information or opinions contained in this presentation.

The presentation does not constitute or form part of an offer, solicitation or invitation of any offer, to buy or subscribe for any securities, nor should it or any part of

it form the basis of, or be relied in any connection with, any contract, investment decision or commitment whatsoever.

The Company does not accept any liability whatsoever for any loss howsoever arising from any use of this presentation or their contents or otherwise arising in

connection therewith.

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