Maybank 3Q Fy13 Analyst Presentation · 0 Financial Results: 3Q FY2013 & 9M FY2013 ended 30...

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Financial Results: 3Q FY2013 & 9M FY2013

ended 30 September 2013

Investor Presentation

21 November 2013

1

Table of Contents

Financial Results: 3rd Quarter FY2013 & 9 Months FY2013 ended 30 Sep 2013

Appendix: Business Sector Review

7

2

24

1. Community Financial Services

2. Global Banking

3. Maybank Singapore

4. Bank Internasional Indonesia

5. Other segments

6. Affiliates

27

35

41

44

49

54

Overview of Group Financials

Financial Performance

Prospects & Outlook

22

OverviewKey trends and developments impacting the banking industry

Industry

Landscape

Slower Capital

Market Activity

Stable Asset

Quality

• Phased-out fundraising for ETP related projects

• Delayed pipeline amidst market uncertainties

• More IPO activity in 4Q

• More challenging operating environment

amidst concerns on QE tapering

• Tighter monetary policies in Indonesia

• Tighter retail financing guidelines

• Weaker regional currencies

• No major systematic risks noted as household

debt to GDP improved.

• Household debt to GDP was 85.1% end June

2013 vs 80.9% end Dec 2012

Key Trends and Developments

33

OverviewGroup PATAMI for 9M FY2013 rose 12.5% YoY to RM4.82 billion

Performance momentum picked up in 3Q

Group PATAMI increased 11.4% QoQ in 3Q FY2013 (2Q FY2013: 4.1% QoQ) driven by:

Lower impairment losses (+30.8% QoQ)

Stable net income growth (+2.1% QoQ)

Lower overheads (-1.0% QoQ)

Total net income grew 2.1% QoQ, with fund based income at +5.2% QoQ but offset by lower fee based income -2.4%

Cost to Income Ratio (post-MFRS 10) improved from 48.0% in 2Q FY2013 to 46.6% for 3Q FY2013

Annualised group loans grew 9.3% for 3Q FY2013, with stronger growth recorded in international markets

PATAMI growth of 12.5% YoY for 9M FY2013

Group achieved PATAMI of RM4.82 billion,12.5% YoY

PATAMI growth supported by net income growth of 9.9% YoY, ahead of overheads growth of 5.7% YoY

Net income growth of 9.9% YoY, led by 13.8% growth in fee-based income and 7.6% growth in fund based income

ahead of overheads growth of 5.7% YoY

ROE of 14.9%, in line with full year target of 15.0%

Group recorded good performance on most fronts

Group’s insurance, takaful & asset management net income increased 10.5% for 9M FY2013, Community Financial

Services 8.5%, Global Banking 3.1% and International Banking 2.6%

International PBT contributed 30% of Group PBT for the 9M FY2013

Asset quality improved YoY

Group GIL ratio improved from 1.90% as at end Sep 2012 to 1.83% as at end Sep 2013

Loan loss coverage strengthened from 103.5% in 2Q FY2013 to 106.3% in 3Q FY2013

Liquidity and capital positions remained strong

Annualised group deposit growth of 11.8%, in line with full year target of 12.0%

Group LDR improved to 88.2% as at end Sep 2013 from 89.6% as at end Dec 2012

44

FY2013 Group Targets Group performance in line with earnings target

Key Performance

Indicators

FY2013

Targets

1Q FY13* 2Q FY13* 3Q FY13* Maybank

Achievement

(9M FY13)*

Industry

Average*

Headline KPI

Return on Equity* 15.0% 14.2% 14.7% 16.2% 14.9%

Other targets

Group Loans

Growth12.0% 5.8% 12.3% 9.3% 9.3% -

• Malaysia 12.0% 5.3% 13.4% 6.9% 8.7% 10.0%

• Singapore# 11.0% 6.9% 4.0% 5.7% 5.6% 15.2%**

• Indonesia# 22.0% -1.2% 27.2% 31.5% 19.8% 20.1%

Group Deposits

Growth12.0% 9.5% 19.2% 5.8% 11.8% -

* annualised

** normalised loans growth (excluding a large leveraged buyout deal) estimated at 13.0%

# in local currency terms

Note: Indonesia’s industry average growth is calculated based on growth of commercial banks only as at August 2013

55

FY2013 Strategic Priorities Preparation to accelerate regional growth

TargetsOther key developments

Raise the tempo for regionalisation

Continued progress on BII’s PBT growth, with 19% YoY earnings growth for 9M FY2013.

Branch expansion from July to November 2013 includes 1 branch in Indonesia, 14 branches in

Philippines and 4 branches in Cambodia.

Preparation to launch regional wealth management.

Accelerate the move to a high performance culture

Development of regional organisation model.

Redefining performance management metrics for senior management.

Addressing talent pipeline and new appointments.

Change the cost structure

Positive “JAW” with net income growth of +9.9% against overhead expense growth of + 5.7%

YoY for the nine months ended 30 Sep FY2013.

Post-MFRS 10, Group cost-to-income ratio improved from 48.0% in 2Q FY2013 to 46.6% for 3Q

FY2013. The group has successfully maintained a CIR of below 50%, in line with management’s

guidance.

6

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



77

3Q FY2013 P&L SummaryPATAMI increased 11.4% QoQ to RM1.75 bil, led by lower provisions, higher revenue and lower overheads

(RM mil) 3Q FY133Q FY12

(Restated)YoY 2QFY13 QoQ

Net interest income 2,376.9 2,349.3 1.2% 2,364.6 0.5%

Net Fund based income (Islamic Banking) 644.2 486.1 32.5% 506.7 27.1%

Net Fund Based income 3,021.1 2,835.4 6.5% 2,871.3 5.2%

Non-interest income 1,538.7 1,290.4 19.2% 1,745.3 (11.8)%

Fee based income (Islamic Banking) 90.6 82.0 10.6 % 159.5 (43.1)%

Net income from insurance business 265.2 124.2 113.5% 37.3 611.0%

Net Fee Based income 1,894.5 1,496.6 26.6% 1,942.1 (2.4)%

Net income 4,915.6 4,332.0 13.5% 4,813.4 2.1%

Overhead expenses (2,305.1) (2,241.4) (2.8)% (2,329.0) 1.0%

Impairment losses (302.6) (100.8) (200.1)% (437.2) 30.8%

Operating profit 2,307.9 1,989.8 16.0% 2,047.2 12.7%

Share of profits in associates 44.5 35.7 24.6% 41.6 7.0%

Profit before taxation and zakat 2,352.4 2,025.5 16.1% 2,088.8 12.6%

Profit after Tax and Minority Interest 1,746.3 1,501.2 16.3% 1,567.7 11.4%

(PATAMI)

EPS - Basic (sen) 20.05 19.14 4.8% 18.2 10.2%

Note: P&L figures for 3Q FY2012 are restated figures post-MFRS 10 application

88

9M FY2013 P&L Summary PATAMI increased 12.5% YoY, led by 9.9% revenue growth, supported by managed overhead growth of 5.7% YoY

(RM mil) 9M ended Sep FY139M ended Sep FY12

(restated)YoY

Net interest income 7,152.9 6,853.3 4.4%

Net Fund based income (Islamic Banking) 1,626.1 1,303.0 24.8%

Net Fund Based income 8,779.0 8,156.3 7.6%

Non-interest income 4,702.0 4,296.0 9.5%

Fee based income (Islamic Banking) 394.2 366.8 7.5%

Net income from insurance business 321.5 98.4 226.8%

Net Fee Based income 5,417.7 4,761.2 13.8%

Net income 14,196.7 12,917.5 9.9%

Overhead expenses (6,928.3) (6,557.1) (5.7)%

Impairment losses (822.0) (532.3) (54.4)%

Operating profit 6,446.4 5,828.1 10.6%

Share of profits in associates 121.6 118.4 2.7%

Profit before taxation and zakat 6,568.0 5,946.6 10.4%

Profit after Tax and Minority Interest 4,820.3 4,286.0 12.5%

(PATAMI)

EPS - Basic (sen) 56.19 55.45 1.3%

Note: P&L figures for 9M FY2012 are restated figures post-MFRS 10 application

9

63.1%

22.4%

7.8%6.7%

RM339.57b

70.2%

13.9%

7.2%8.7%

Malaysia Singapore Indonesia Others

RM6.57b

International & Domestic Portfolio Mix 9M FY2013International PBT contribution held at 30%, from the corresponding period in 2012

International:

37%

9M FY12

Net Income Profit Before Tax

9M FY13

International:

33%

International:

35%

International:

30%

International:

30%

Gross loans*

International:

36%

(Jan 12 – Sep 12)

(Jan 13 – Sep 13)

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

66.8%

14.0%

13.9%

5.3%

RM14.20b

65.3%

14.4%

15.0%

5.3%

RM12.92b

69.9%

15.0%

7.1%8.0%

RM5.95b

64.4%

21.1%

8.1%6.4%

RM304.80b

10

Business Segment Performance 9M FY2013 (1/2)Net income rose 9.9% YoY owing to stronger CFS, corporate banking and insurance contributions

Net

Inco

me

(R

M m

illio

n)

Op

erat

ing

Pro

fit

bef

ore

Im

pai

rmen

t Lo

sse

s (R

M m

illio

n)

6,360

2,325

1,265 1,133314

1,997

446

7,268

2,685

1,383 1,080

268

1,874

597

Total Community Financial Services

Corporate Banking Global Markets Investment Banking International Banking

Insurance, Takaful & Asset Management

9 Months ended 30 Sep 2012


+15.5%+9.3% (4.7)%

Global Banking (GB)

+14.3%

(14.6)% (6.2)% +33.9%

+0.7%

12,918

4,977

1,546 1,309 1,000

3,915

1,290

14,197

5,401

1,675 1,253 1,045

4,016

1,426


Corporate Banking Global Markets Investment Banking International Banking Insurance, Takaful & Asset Management

9 Months ended 30 Sep 20129 Months ended 30 Sep 2013

Global Banking (GB)

+8.5% +8.3% (4.3)% +4.5% +2.6% +10.5%

+9.9%

+3.1%

Note: Net income & operating profit before impairment losses for group includes expenditures of Head Office & Others of RM619.1 million

for 9 Months ended 30 Sep 2013 and RM1.12 billion for 9 Months ended 30 Sep 2012.

11

4,761

1,210537 860 864

1,313644

5,418

1,271484 706 909

1,313747



Insurance, Takaful & Asset Management


9 Months ended 30 Sep 2013+13.8%

+5.2% +16.0%(17.9)%(9.9)%+5.0%

Global Banking (GB) (7.2)%

0.0%

Business Segment Performance 9M FY2013 (2/2)Group registered higher net fund based income across most sectors

RM

mil

lio

nR

M m

illio

n

Fee-based Income increased by 13.8%

Net Fund Based Income rose 7.6%

8,156

3,768

1,009449 136

2,603

646

8,779

4,131

1,190547

136

2,703

679



Insurance, Takaful & Asset

Management



+9.6% 0.0%+17.9% +21.8% +3.8%

+7.6%

+17.5%

+5.1%

Global Banking (GB)

Note: Net fund based income includes expenditures of Head Office & Others of RM607.3 million for 9M FY13 and RM453.9 million for 9M FY12.

Fee-based income includes expenditures of Head Office & Others of RM11.9 million for 9M13 and RM666.4 million for 9M FY12

12

1,745

924

420

78

252

71 37

160

1,539

840

248

-238

623

65

265

91

Total non-interest income

Commission, service charges

and fees

Investment & Trading Income

Unrealised gain/ (losses) on

securities & derivatives

Foreign Exchange Profit

Other Income Net Income from Insurance Business

Fee Income from Islamic Operations

2Q FY2013 3Q FY2013

-41.0% -405.1%

Fee based Income 3Q FY2013Core fee income down 11.8% QoQ due to lower investment fee & unrealised losses on securities & derivatives

-9.1% +147.2% -8.5% +616.2% -43.1%

-11.8%

RM

million

13

4,296

2,442

931

108

514

30198

367

4,702

2,682

1,123

-246

932

211322 394

Total non-interest income

Commission, service charges

and fees

Investment & Trading Income

Unrealised gain/ (losses) on

securities & derivatives

Foreign Exchange Profit

Other Income Net income from insurance business

Fee income from Islamic Operations

9 months ended 30 Sep 2012

9 months ended 30 Sep 2013

+9.8%

+9.5%

+20.6% (328.3%) +81.4% (29.9%) +228.6% +7.4%

Fee based income 9M FY2013Core fee income rose 9.5% YoY on the back of higher forex and investment fee

RM

million

Note: Based on restated figures for 9 months ended 30 Sep FY2012 post-MFRS 10 application

14

Group Loans Growth: 30 Sep 2013Annualised loan growth of 9.3% led by international growth of 10.0% and domestic growth of 8.7%

30 Sep 13 31 Dec 12 Annualised 30 Sep 12 YoY

Group Gross Loans * 339.6 317.3 9.3% 304.8 11.4%

Malaysia (RM billion)** 212.8 199.8 8.7% 195.2 9.0%

Community Financial Services 146.8 135.4 11.3% 132.1 11.2%

Global Banking 65.9 64.5 3.1% 63.2 4.4%

International (RM billion) 123.1 114.6 10.0% 106.8 15.3%

Singapore (SGD billion) 28.4 27.3 5.6% 25.1 13.3%

Consumer 10.3 9.6 8.9% 9.8 5.2%

Commercial 18.1 17.6 3.8% 15.3 18.5%

Indonesia (Rupiah trillion) 93.2 81.1 19.8% 75.9 22.8%

Consumer 33.6 27.9 27.5% 21.9 53.3%

Non-consumer 59.6 53.3 15.9% 54.0 10.5%

Other markets (RM billion) 23.2 20.6 16.6% 19.9 16.7%

Investment banking (RM billion) 3.6 3.0 28.1% 2.7 33.7%

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

**Takes into account others portion - Sep 13: 0.1 vs Sep 12: 0.0

15

RM billion 30 Sep 13 31 Dec 12 Annualised 30 Sep 12 YoY

Community Financial Services 146.8 135.4 11.3% 132.1 11.2%

Consumer 117.8 108.2 11.8% 104.5 12.7%

Total Mortgage 52.2 48.5 10.2% 46.9 11.3%

Auto Finance 34.0 31.2 11.7% 30.5 11.3%

Credit Cards 5.4 5.4 1.2% 5.2 3.7%

Unit Trust 24.9 21.9 18.8% 20.5 21.4%

Other Retail Loans 1.3 1.3 (2.8)% 1.3 (0.8)%

Business Banking + SME 29.0 27.1 9.2% 27.6 5.2%

SME 5.6 4.9 19.3% 4.7 18.8%

Business Banking 23.4 22.2 7.0% 22.8 2.3%

Global Banking (Corporate) 65.9 64.5 3.1% 63.2 4.4%

Total Domestic* 212.8 199.8 8.7% 195.2 9.0%

Malaysia Loans Growth: 30 Sep 2013In Malaysia, consumer and SME portfolio delivered double digit growth while corporate banking slowed

*Including Islamic loans sold to Cagamas and excludes unwinding of interest and takes into account others portion - Sep 13: 0.1 vs Sep 12: 0.0

16

Group Deposit Growth: 30 Sep 2013Annualised group deposit growth of 11.8%, with international growth of 13.6% and domestic growth of 11.1%

30 Sep 13 31 Dec 12 Annualised 30 Sep 12 YoY

Group Gross Deposits 377.9 347.2 11.8% 330.5 14.4%

Malaysia (RM billion) 246.1 227.3 11.1% 217.1 13.4%

Savings Deposits 37.3 35.5 6.4% 34.6 7.6%

Current Accounts 63.0 56.9 14.4% 52.2 20.6%

Fixed Deposits 131.5 114.6 19.6% 103.2 27.4%

Others 12.8 18.2 (39.4)% 26.1 (50.8)%

International 133.4 121.1 13.6% 115.1 15.9%

Singapore (SGD billion) 33.4 29.9 15.9% 28.8 16.3%



Fixed Deposits 25.2 23.1 12.2% 22.1 14.1%

Others 0.3 0.6 (52.1)% 0.6 (37.5)%

Indonesia (Rupiah trillion) 96.7 86.1 16.4% 80.0 20.9%



Fixed Deposits 58.4 52.6 14.5% 50.2 16.3%

17

LDR and CASA Ratio: 30 Sep 2013Group LDR improved to 88.2% since Dec 2012, and CASA ratio increased with improvements in international markets

Singapore BII Group

Group Malaysia

89.6% 87.5% 87.8% 87.4% 88.2%

35.1% 34.2% 34.7% 34.9% 36.1%

Dec 12 Jun 13 July 13 Aug 13 Sep 13

LDR CASA

86.3% 85.9% 85.7% 86.1% 86.6%

40.7% 38.8% 39.1% 39.2% 40.7%


90.8%82.2% 82.9% 81.6% 84.6%

20.8% 21.2% 22.1% 23.5% 23.6%


93.1% 93.7% 96.2% 94.8% 95.5%

38.9% 38.7% 39.8% 40.3% 39.7%


Note: PT Bank Internasional Indonesia Tbk reported its LDR as 93.09% at Sept 2013

as its computation excludes loans to rural banks. At Bank (excluding subsidiaries)

level, LDR was 86.42% in Sep 2013

1818

Key Operating RatiosGroup’s operating ratios within guidance set for FY2013

(%) 1Q FY13 2Q FY13 3Q FY13 3Q FY12Variance

YoY

Variance

QoQ4Q 2012

Return on Equity 14.2 14.7 16.2 17.1 (0.9)% +1.5% 16.3

Net Interest Margin (post-MFRS 10) 2.47 2.42 2.39 2.49 -10 bps -3 bps 2.45

Net Interest Margin (pre-MFRS 10) 2.37 2.32 2.30 2.42 -12 bps -2 bps 2.36

Fee to Income Ratio (post-MFRS 10) 35.4 40.3 38.5 34.5 +4.0% -1.8% 37.5

Fee to Income Ratio (pre-MFRS 10) 38.7 43.8 41.6 36.0 +5.6% -2.3% 38.8

Loans-to-Deposit Ratio 89.0 87.5 88.2 90.0 -1.8% +0.7% 89.6

Cost to Income Ratio (post-MFRS 10)# 51.0 48.0 46.6 51.2 +4.6% +1.4% 50.5

Cost to Income Ratio (pre-MFRS 10)# 50.3 47.0 45.9 48.9 +3.0% +1.1% 50.2

Asset Quality

Gross Impaired Loans Ratio 1.89 1.86 1.83 1.90 +7 bps +3 bps 1.78

Net Impaired Loans Ratio 1.18 1.09 1.06 1.22 +16 bps +3 bps 1.09

Loans Loss Coverage 99.0 103.5 106.3 104.7 +1.6% +2.7% 105.6

Net Charge off rate (bps) 11 53 33 12 (21 bps) +20 bps 21

Capital Adequacy (Group)^

CET1 Capital Ratio 10.10 10.07 10.79 N.A +72 bps 10.22

Total Capital Ratio 14.76 14.51 15.25 N.A +74 bps 15.86

# Total cost excludes amortisation of intangibles for BII and Kim Eng

^ Capital ratios for 3Q 2012 are adjusted for dividend payment and reinvestment made under the Dividend Reinvestment Plan (DRP) where else the capital ratios for 3Q 2013 are

adjusted based on the assumption of 85% reinvestment rate under the DRP in relation to final dividend FY2012.

19

Overheads 9M FY2013Group CIR improves with a positive JAW position

(RM‟ mil)9M ended

Sep FY13

9M ended Sep

FY12

YoY

(post-MFRS 10)3Q FY13 2Q FY13 QoQ

Personnel costs 3,721.6 3,573.0 +4.2% 1,224.9 1,275.1 -3.9%

IT Expenses 485.6 408.1 +19.0% 188.7 154.4 +22.2%

Marketing Expenses 783.6 680.4 +15.2% 260.1 230.8 +12.7%

Admin &general expenses,

fees & brokerage,

establishment costs, and

depreciation & amortisation

1,937.5 1,895.6 +2.2%631.4 668.7 -5.6%

Total 6,928.3 6,557.1 +5.7% 2,305.1 2,329.0 1.0%

Group overheads composition

%9M ended

Sep FY13

9M ended

Sep FY12YoY 3Q FY13 2Q FY13 QoQ

CIR pre-MFRS 10 47.6 48.2 1.2 45.9 47.0 2.3

Group JAW Position +3.3% -2.0%

CIR post-MFRS 10 48.5 50.3 3.6 46.6 48.0 2.9

Group JAW Position +4.2% +3.2%

Note: Cost to income ratio (CIR) is computed using the total cost over the net income and after incorporating the effect of change in presentation of “Net income

from insurance and takaful business” in the income statement. Total cost of the group is the total overhead expenses, excluding amortisation of intangible assets

for PT BII & Maybank Kim Eng Holdings Ltd. Income is referring to net income amount as stated on the face of income statement.

20

76.5

202.0

84.5

428.4

280.3

3Q FY12 4Q FY12 1Q FY13 2Q FY13 3Q FY13

Allowances for losses on loans

Asset Quality 9M FY2013GIL improves to 1.83% as at end Sep 2013, and loan loss allowances improves 35% QoQ

Group Impaired Loans RatioAllowance for losses on loans

2.39 2.25 2.181.86

1.571.28 1.22 1.09 1.18 1.09 1.06

3.67

3.34 3.23

2.84

2.44

2.00 1.901.78

1.89 1.86 1.83

Mar 2011

Jun 2011

Sep 2011

Dec 2011

Mar 2012

Jun 2012

Sep 2012

Dec 2012

Mar 2013

Jun 2013

Sep 2013

Gross Impaired Loans Ratio Net Impaired Loan Ratio

104.7%105.6%

99.0%

103.5%

106.3%

Loan loss coverage

34.6%

2.8%

21

Asset Quality by MarketAll markets show YoY improvements in GIL, but being carefully monitored in the current environment

Malaysia Singapore BII Group

2.232.10

2.00

2.21 2.19 2.15

1.591.49

1.29

1.481.35 1.29

Jun 12 Sep 12 Dec 12 Mar 13 Jun 13 Sep 13

0.53 0.53

0.45 0.440.46

0.430.40 0.40

0.310.29

0.32

0.28


GIL NIL

2.242.14 2.17

1.951.81

2.13

1.040.92

1.251.08 1.11

1.42


22

11.04% 10.79% 10.73% 10.22%

12.89% 12.64% 12.59% 12.44%

15.51% 15.25% 15.20% 15.85%

Sep 13 Sep 13 Sep 13 Dec 12

CET 1 Capital Ratio Tier 1 Capital Ratio Total Capital Ratio

Capital Adequacy: 30 Sep 2013 Total capital ratio at 15.3% (assuming 85% dividend reinvestment rate) and CET1 at 10.8%

Before

proposed

dividend

Assuming 85%

reinvestment

rate

Based on BNM’s

Implementation

Guideline *

* Capital ratios computed based on BNM’s implementation Guidelines on Capital Adequacy Framework (Capital Components) issued on 8th May 2013.

Note:

• CET1, Tier 1 and Total Capital Ratio are computed in accordance with Capital Adequacy Framework (Capital Components) issued by BNM in November 2012.

• Based on 85% reinvestment rate under the DRP, fully loaded, the CET1 Ratio would be at 9.86% (Group) and 8.38% (Bank) respectively.

16.14%

15.79% 15.72%

16.21%

Sep 13 Sep 13 Sep 13 Dec 12

CET 1, Tier 1 and Total Capital Ratio

23

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



24

4Q Market OutlookOpportunities and challenges remain in home markets, but Group expects continued traction on both financing and funding

Malaysia

Indonesia

Singapore

Outlook Strategic Priorities (3 to 6 months)

• Improved export flows

• Investment momentum to pick-up

post Budget announcement

• GDP(f) 4.5% (2012: 5.6%

• System loan (f) 9%-10%

• System deposit (f) ~ 11%

• GDP(f) 2.8% (2012: 1.3%)


• System deposit (f) ~ 8%

• GDP(f) 5.8% (2012: 6.2%)


• System deposit (f) ~16%

• Increase trade finance business

• Continued focus on corporate lending

• Increase deposit taking

• Maintain lending momentum in consumer

segment

• Continue traction on retail and SME

lending, albeit cautiously in view of asset

quality concerns

• Leverage on wider branch coverage to

continue business growth

• Proactive management on asset quality

• Selectively pursue consumer lending, in view

of tighter guidelines and competitive

landscape

• Continue focus on deposit gathering

25

Group Performance OutlookOn track with profitability target, but expect some easing on loan growth in line with industry

Key Performance Indicators

Maybank

FY2013

Targets

Previous

Industry

Forecast

Current

Industry

Forecast

Maybank

(9M FY13)*

Headline KPI

Return on Equity* 15.0% - - 14.9%

Other targets

Group Loans Growth 12.0% - - 9.3%

• Malaysia 12.0% 10%-11% 9%-10% 8.7%

• Singapore# 11.0% 10%-11% 11%-12% 5.6%

• Indonesia# 22.0% 22% 18%-20% 19.8%

Group Deposits Growth 12.0% - - 11.8%

* annualised

# in local currency terms

26

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



27

Community Financial Services (1/7) Retail Deposits grew 9.6% annualised with CASA growth at 7.0%

+9.6% ann.

Total Retail Deposits grew 9.6% annualised as at Sep 2013

+11.3% YoY

94.4

98.0

101.2 102.4105.1

Sep 12 Dec 12 Mar 13 Jun 13 Sep 13

RM

billion

Increased Total Retail Deposit Market Share to 18.7% in

3Q FY2013

Total Retail CASA grew at 7.0% annualised basis

+7.0% ann.

+8.6% YoY

• Retail deposit started to gain market share from

Jun’13 onwards due to higher than industry growth.

• Increase in retail deposit market share mainly

fueled by strong growth in FD, with an annualised

growth of 11.9% vs industry growth at 8.6%.

• This growth resulted from numerous initiatives

undertaken to grow FD targeting the HNW, Affluent

and SME BB segment i.e. multitier rate promotion

45.9

47.348.3 48.8

49.8


RM

billion

18.1%

18.3% 18.3% 18.3%

18.7%


Market Share

28

4.7 4.6 4.8

6.2 6.1

3.0 3.02.6 2.7 2.8

Sep 12 Dec 12 Mar 13 Jun 13 Sep 13Mortgage Approval (RM billion) Mortgage Disbursement (RM billion)

13.4% 13.4%

13.3% 13.3%

13.2%


39.8 40.9 41.8 42.8 43.7

7.1 7.5 7.8 8.1 8.4


Shophouse loans Housing Loans

48.549.6

Continued growth in loan balances despite intense competition Asset quality improved to 0.8% in Sep 2013

Slight decline of market share to 13.2% in 3Q FY13

Community Financial Services (2/7) Mortgage grew 10.2% with continued improvement in asset quality

+11.3% YoY

RM

billion

RM

billion

However, pipeline remained strong

+10.2% ann.

1.3%

1.1%1.0%

0.9%0.8%


Gross Impaired Loan Ratio

46.950.9 52.2

29

Community Financial Services (3/7)Auto Finance business improved in volume and market share

Auto Finance* grew 11.9% annualised for 3Q FY2013 Asset quality trend sustained

RM

billion

* Auto Finance data refers to hire purchase arrangements only

+11.6% YoY

+11.9% ann.

29.930.7

31.4

32.3

33.4


Hire Purchase

0.55%

0.45%0.53% 0.52% 0.54%


Hire Purchase Gross Impaired Loan Ratio

Auto Finance* market share improved• Auto finance registered higher market share at 21.2%

resulting from higher Maybank growth of 11.9% vs industry

growth of 7.5%.

• The positive impact was contributed by the rebalancing of

auto finance portfolio to focus on new national makes and

collaboration with distributors and super dealers to offer

differentiated value-add offerings.

• GIL is controlled diligently with a slight increase to 0.54% in

Sep 13 compared to industry at 1.22%. Auto will continue to

manage its GIL via increase in customer segmentation focus

and close monitoring at early stage based on risk profiles.

20.4%20.5%

20.6%

20.9%21.2%


Market Share

30

1,5011,500

1,497

1,495

1,499


Community Financial Services (4/7)Cards outperformed against industry despite declining trend in market share

Cards receivables increased 4.3% YoY

RM

billion

Card base („000)

• Market Share for Billings and Merchant sales is based on 12-months

running performance

• Card base excludes Debit cards

• Merchant and Billings consist of transactions done through Credit,

Charge and Debit cards

* Industry figures for cards includes commercial banks and non-FI players

Cards Market Share Card billing, receivables and merchant sales

outperformed industrySep 13 Sep 12

Cardbase 18.0% 18.4%

Billings 27.0% 25.5%

Receivables 15.3% 15.1%

Merchant Sales 33.7% 32.0%

+4.3% YoY -0.2% YoY

YoY Growth Maybank Industry*

Cardbase -0.2% 1.9%

Billings 13.3% 7.2%

Receivables 3.8% 2.6%

Merchant Sales 13.2% 7.8%

+1.7% ann.-0.1% ann

5.13

5.28

5.16

5.27

5.35


31

13.9 14.6 14.3 14.8 15.4

39.8 41.7 41.8 43.8 47.4


SME BB

62.9

22.8 22.2 22.3 23.1 23.4

4.7 4.9 5.1 5.4 5.6

Sep 12 Dec 12 Mar 13 Jun 13 Sep 13SME BB

Community Financial Services (5/7)Business banking/SME banking loans grew 9.2%, with SME (<RM5mil) growing at 19.3%

Deposits growth at 15.6% annualised

RM

billion

RM

billion

Loans grew 9.2% annualised

+17.1% YoY+5.2% YoY

+9.2% ann.

53.756.3 56.1

58.627.127.6 28.527.4

+15.6% ann.

29.0

Strong improvement in SME GIL

6.1% 5.7%5.2%

4.3% 4.3%


SME GIL

• Retail SME target operating model has stabilised and is

now delivering significant growth at 19.3% annualised.

• Introduction of SME Clean Loan product has broadened

our offerings and enabled us to target the right sectors.

• Business Banking sustained growth at 7.0% annualised

outpacing the 5.6% industry growth.

32

90.9

93.0

95.396.7

98.7


111.6

117.6

121.1124.4

128.7


Mass Customer Cross Selling Ratio on an upward trendHNW & Affluent Customer Cross Selling Ratio improving

HNW & Affluent Customer TFA grew 12.6% annualised

+15.3% YoY +8.6% YoY

Mass Customer TFA grew 8.1% annualised

Pro

ducts

per

cust

om

er

Tota

l TFA (

RM

billion)

Tota

l TFA (

RM

billion)

* Customer classification: HNW (IA > RM250K, TFA > RM1M); Affluent (IA between RM 50K to RM250K, TFA between RM250K to RM1m)

* TFA: Total Financial Assets (Deposits, Investments & Financing), IA: Investable Assets (Deposits & Investments)

Community Financial Services (6/7)Customer Segmentation: Growing TFA* and cross selling ratio improving

Pro

ducts

per

cust

om

er

+12.6% ann. +8.1% ann

6.196.21

6.246.26

6.3


2.842.86

2.882.90

2.95


33

Dec

2011

Dec

2012

Mar

2013

Jun

2013

Sep

2013

Sep 2013

vs

Dec 2012

MBB Rank ^

Loans

Total Consumer/Household 16.4% 17.0% 17.1% 17.1% 17.1% 2

Auto (Purchase of transport vehicles) 19.2% 20.2% 20.3% 20.5% 21.0% 2

Total Mortgage* 13.2% 13.4% 13.3% 13.3% 13.2% 2

Credit Cards # 15.3% 15.2% 15.3% 15.4% 15.3% 2

Unit Trust 63.9% 60.2% 58.5% 57.6% 56.8% 1

Deposits

Total Deposits 17.4% 17.1% 16.8% 17.7% 17.7% 1

Total Retail Deposit 18.1% 18.3% 18.3% 18.3% 18.7% 2

Retail CASA 23.3% 23.6% 23.3% 23.1% 23.9% 1

Retail Savings 28.11% 28.24% 28.09% 28.04% 27.6% 1

Retail Fixed Deposits (FD) 15.1% 15.2% 15.3% 15.4% 15.6% 2

Dec

2011

Dec

2012

Mar

2013

Jun

2013

Sep

2013

Sep 2013

Vs

Dec 2012

MBB Rank^

Internet Banking: 1 month Active Users 37.5% 36.6% 36.8% 35.6% 36.6% 1

Mobile Banking : Active Users 87.0% 81.0% 75.7% 77.0% 1

Branch Network 19.0% 19.0% 20.0% 1* Refers to Housing & Shophouse Loans

# The above market share for Cards refers to Receivables. In terms of Cardbase, Billings and Merchant Sales, Maybank is ranked No. 1.

^ Malayan Banking Berhad (MBB) ranking as at September 2013

Industry figures include commercial banks and Non-Financial Institutions

Community Financial Services (7/7)Overall loans & deposits growth continue to outpace the industry

34

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



35

16.9

2.7

28.0

32.5

18.1

2.6

29.4

32.5

18.9

2.7

29.9

33.4

Sep 13

Dec 12

Sep 12

Trade Financeand Others ¹

Overdraft

Trade FinanceOff BalanceSheetLiabilities ²

Trade Finance market share3 easing due to settlements

Corporate Banking GIL at 2.01%

Total GB loans increased by 3.1%* to RM66.0 billion

-0.6%

YoY

+6.9%

YoY

+12.1%

YoY

RM billion

* Annualised

1 Trade Finance includes BA, Trust Receipts, ECR, OFCL, STRC, USD

(Malaysia Ops) and Factoring

2 Off Balance Sheet Liabilities items includes BG, LC,SG and UBLC

3 Market share of total trade products (On Balance Sheet items,

Contingent Liabilities and Others)

Global Banking (1/5)Corporate banking loans increased 3.1%, while GIL stabilised

+2.7%

YoY

1.46%1.24%

2.10% 2.05% 2.01%


26.3%26.5%

25.6%

26.0%

25.6%


Term Loan

36

36.8 39.1 42.2 47.6 46.4

29.3 33.937.6

37.7 39.45.07.4

6.38.6 9.7


Others

PDS

Govt. Securities

80.4

30%

26%

26%

5%

4%

2%

57%

30%

20%

1%

2%

RM22.0

billion

25.1%

23.6%23.0%

18.2%

10.2%

1,138 1,006

770792

3Q FY12 3Q FY13

Net interest income

Non-interest income

1,798

-5.7%

Global Banking (2/5)More cautious global market* activity in 3Q FY2013

Group Securities Portfolio grew 34.3% YoY

+34.3% YoY

71.1

93.8 95.586.1

PBT and Revenue contracted by 6.8% and 5.7% YoY

respectively

-6.8%

1,907

PBT Revenue

RM

million

*Including Regional performance

Group Securities Portfolio: 42% foreign securities as at Sep

2013

RM 95.5

billion

YTD Sep 13

50% of PDS (Domestic) rated “AA” or above as at Sep 2013

RM17.3

billionRM

billion

YTD Sep 13 YTD Sep 12

1,588

1,480

3Q FY12 3Q FY13

Government

Securities

-Domestic

Government

Securities

-Foreign

PDS

-Domestic

PDS –

Foreign

Others (NIDs,

BA, etc)

28.9%

22.9%24.3%

16.9%

7.0%

PDS

-Domestic

RM71.1

billion

Government

Securities

-Domestic

Government

Securities

-Foreign

PDS –

Foreign

Others (NIDs,

BA, etc)

YTD Sep 12

SA (Govt.

Guaranteed)

AAA

AA

ABBB & below

SA (Govt.

Guaranteed)

AAA

AA

A

BBB & belowCommercial

Papers

37

Global Banking (3/5)Notable deals completed from July to October 2013

Placement

Sole Placement Agent

PHP1,621.8 mm

Oct 2013

IPO

Joint Bookrunner

USD132.8 mm

Oct 2013

IPO

Sole Domestic Lead

Underwriter

USD621.7 mm

Oct 2013

IPOTransaction Manager

Joint Principal Adviser

Joint Global Coordinator

Joint Bookrunner

Joint Managing Underwriter

Joint Underwriter

USD750.4 mm

Oct 2013

IPOPrincipal Adviser


Joint Bookrunner

Managing Underwriter

Joint Underwriter

USD628.3 mm

Oct 2013

IPOJoint Global Coordinator

Joint Bookrunner

Joint Managing Underwriter

Joint Underwriter

USD357.2 mm

Jul 2013

IPOJoint International Lead Manager


Joint International Bookrunner

Joint Domestic Lead Underwriter

USD412.1 mm

Oct 2013

Leveraged Loan

Bookrunner

USD919 mm

Sep 2013

Universal Group

Holdings Pte Ltd

Leveraged Finance

Lead Arranger

USD150 mm

Oct 2013

Vingroup

Multi-Currency Islamic

Trust Certificates Issuance

ProgrammeCo Manager

SGD500 mm

Aug 2013

Swiber Holdings Ltd

Government Guaranteed

Islamic Medium Term Notes

ProgrammeJoint Lead Arranger, Joint Lead

Manager, Joint Bookrunner

MYR1,000 mm

Aug 2013

Sarawak Hidro Sdn Bhd

Sukuk Wakalah

Joint Principal Adviser, Joint

Lead Arranger, Joint Lead

Manager

MYR470,000 mm

Jul 2013

Tanjung Bin O&M Berhad

CP All‟s Acquisition of

Siam Makro

Independent Financial Adviser

USD6.1 bn

Aug 2013

Singapore Philippines Malaysia Malaysia Philippines

MalaysiaSingapore ThailandPhilippinesVietnam

MalaysiaMalaysiaSingapore

http://www.google.com.sg/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=pAoienoax0w6JM&tbnid=2t4fDYBiDbhJCM:&ved=0CAUQjRw&url=http://tinhvan.com/en/2013/05/08/tinhvan-consulting-continuously-launch-new-contracts/&ei=4olvUtW0G4e_rgfbyYCADw&bvm=bv.55123115,d.bmk&psig=AFQjCNF6ObOamKvygBpzRahuzkdaiIP4OA&ust=1383127902683606

38

Primary Subscriber's

Fees7%

Arrangers' Fees20%

Advisory Fees9%

Brokerage32%

Placement Fees21%

Underwriting Fees5%

Other Fee Income

4%

Agency/ Guarantee Fees

2%

1,040.5

1,080.8

9 Months ended 30 Sep 12 9 Months ended 30 Sep 13

Note: Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings

Global Banking (4/5) Maybank Kim Eng 9M FY2013 revenue reaches RM1.1 billion

MalaysiaRM336.2 (31%)

SingaporeRM217.7 (20%)

ThailandRM347.7 (32%)

IndonesiaRM30.8 (3%)

PhilippinesRM73.3 (7%)

Hong KongRM35.3 (3%)

OthersRM39.9 (4%)

YTD Sep 2013 Equity Brokerage League Table by Country

9M ended 30 Sep FY2013 Total Income for Maybank

Kim Eng rose by 3.9% YoY

Country Rank Market ShareTrading Value

(RM million)

Thailand 1 11.9% 217,933

Malaysia 4 8.2% 62,453

Indonesia 6 3.9% 30,066

Philippines 4 7.6% 16,506

Singapore N/A* 6.5% 22,594

Vietnam N/A* 4.4% 3,297

+3.9% YoY

* Rankings are not disclosed in respective exchanges

9M ended 30 Sep FY2013 Total Income (RM mil)

RM1,080.8 mil

9M ended 30 Sep FY2013 Fee-based Income for Malaysia

RM

Million

39

Global Banking (5/5)Maybank Kim Eng

Leading ASEAN wholesale bank

YTD Sep 2013

Ranking Advisor Market Share (%)

1 CIMB 21.3

2 AmInvestment 20.6

3 RHB 19.1

4 Maybank 13.8

5 HSBC Bank 5.0

Malaysia League Table – Mergers & Acquisitions Malaysia League Table – Malaysian Domestic Bonds

Source: Bloomberg, Sep 2013Source: Bloomberg, Sep 2013

Ranking

YTD Sep 2013

Advisor Market Share (%)

1 CIMB 35.9

2 Maybank 31.0

3 RHB 24.0

4 Morgan Stanley 19.7

5 BoA Merrill Lynch 19.1

Advisor Ranking Market Share (%)Amount

MYR (Mil)

Maybank 1 27.9 2,136.18

CIMB 2 21.2 1,621.84

Kenanga Investment Bank 3 11.1 848.97

RHB 4 7.2 553.06

AmInvestment Bank 5 5.7 436.52

Malaysia League Table – Equity & Rights Offering

Source: Bloomberg, YTD Sep 2013

40

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



41

6.5 7.7 7.7

4.2 4.2 3.6

1.7 2.83.0

2.82.9 3.8

5.1 5.0 5.6

3.2 3.1 2.8

1.5 1.5 1.9

Sep 12 Dec-12 Sep-13

Other (Consumer)

Car Loan

Housing Loan

Others (Corporate)

Non-Bank financial InstGeneral Commerce

Building & Const

Maybank Singapore (1/2)Loans growth at 5.9%, led by consumer loans growth of 9.7% and business loans growth of 3.8%

Loans portfolio expanded to reach S$28.4 bil as

of Sep 2013, spurred by strong growth in

consumer loans and business loans.

Consumer loans grew 9.7% annualised to reach

S$10.3 bil as of Sep 2013. While there was

growth in credit card and housing loan lending,

consumer loans continued to be impacted by a

decline in automobile financing activities

following recent car financing restrictions

introduced by MAS.

Business loans came in at S$18.1b in Sep 2013

(+3.8% ann.). Growth was supported by increased

lending to building & construction and non-bank

financial institutions. Syndicated loan and term

loan remained main growth contributors.

0.620.53 0.53

0.45 0.44 0.46 0.43

0.43 0.40 0.400.31 0.29 0.32 0.28

Mar 12 Jun 12 Sep 12 Dec 12 Mar 13 Jun 13 Sep-13

GIL Ratio NIL Ratio

Asset Quality improved in Sep 2013

21.1%

14.4%

3.0% 10.6%13.6% 11.1%

13.6%

20.1%

18.4%

9.7%10.4%

15.3% 15.1%16.4%

Mar 12 Jun 12 Sep 12 Dec 12 Mar 13 Jun 13 Sep 13

Maybank Singapore Growth Industry Growth

Maybank Singapore loans growth of 13.6% YoY

Diversified Loan Portfolio5.9% annualised

25.0 27.2 28.4

Consumer

36%

Corporate

64%

SG

D b

illion

42

Maybank Singapore (2/2)PBT of SGD311 mil, on the back of accounting adjustments and investments into new businesses

(SGD mil) 9M FY2013 9M FY2012 YoY 3Q FY2013 QoQ

Net Fund Based income 308.72 317.09 -2.6% 100.61 -1.8%

Net Fee Based income 202.29 210.70 -4.0% 77.01 +46.6%

Net income 511.00 527.79 -3.2% 177.61 +14.6%

Overhead expenses 224.82 209.84 +7.1% 80.27 +7.8%

Operating profit 286.19 317.95 -10.0% 97.34 +20.9%

Profit before taxation 310.88 331.64 -6.3% 112.81 +15.4%

43

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Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



44

Bank Internasional Indonesia (1/4)PATAMI of IDR1.1 bil for YTD-Sept 2013, 19% higher YoY

* Published results based on Bank Indonesia classification

(IDR bil) 3Q FY13 2Q FY13 QoQ9M ended

Sep FY13

9M ended

Sep FY12YoY

Net Fund Based income 1,530 1,430 7% 4,340 3,944 10%

Net Fee Based income 544 528 3% 1,710 1,433 19%

Net income 2,074 1,958 6% 6,050 5,377 13%

Overhead expenses (1,308) (1,363) 4% (4,133) (3,425) (21)%

Personnel (676) (809) 16% (1,903) (1,684) (13)%

General & Administrative (632) (555) (14)% (2,230) (1,741) (28)%

Operating profit 766 595 29% 1,917 1,952 (2)%

Provisions Expenses (258) (129) (100)% (582) (868) 33%

Non Operating Income/ Expenses 88 63 40% 227 198 15%

Profit Before Tax before Minority Interest 596 528 13% 1,562 1,282 22%

Profit after Tax and Minority Interest 418 372 12% 1,098 922 19%

(PATAMI)

EPS - Basic (IDR) 19 16 19%

45

+17.8% ann

Net Interest Margin (Consolidated)

Asset Quality (Consolidated)

Asset quality remains healthy with gross impaired loan ratio at 2.1%

Loans composition (IDR trillion) (Consolidated)Loans growth of 17.8% annualised and LDR (bank only) improved to 86.42%

Deposits Growth (Consolidated)YTD Dec 12 to Aug 13 Growth :

Industry (Bank) = 6.67%

BII (Bank Only) = 8.36%

• Global Wholesale Banking is now called Global Banking to reflect the greater focus & harmonisation within

the group

• With coverage expansion including Micro, SME, Commercial, International Strategic Business, Financial

Supply Chain Management (FSCM) and Credit Management, SME Banking is now called Business Banking

5.88% 5.73%5.32% 5.34% 5.37%

Sep-12 Dec-12 Mar-13 Jun-13 Sep-13

NIM - Consolidated

2.1% 2.2%2.0%

1.8%

2.1%

0.9%

1.3%1.1% 1.1%

1.4%


Gross Impaired Loans Ratio Net Impaired Loans Ratio

13.0 14.7 14.0 15.1 15.7 16.8 18.8 19.3 20.3 22.7

50.0 52.5 56.0 55.7 58.2

79.8 85.9 89.3 91.1 96.5


Current Accounts Saving Acounts Time Deposits

+16.5% ann

60%

24%

16%

24.1 25.5 22.9 23.9 25.9

24.6 27.1 27.6 30.2 32.0

27.2 28.3 29.3

31.1 33.8

75.9 80.9 79.7

85.1 91.7


Global Banking Business Banking Retail Banking

IDR trillion

+30.8% ann

+23.6% ann

37%

35%

28%

Bank Internasional Indonesia (2/4)Maintained performance despite challenging environment, with strong deposits growth

46

Revenue and PBT (IDR billion)Stand alone

Disbursement Amount (IDR billion)

Unit Financing (‟000 unit)

Asset Quality

1,185 1,178 1,062

1,005

160 113

(37)

60

YTD Sep'12 YTD Sep'13

Total Revenue Total Expenses Provision Expenses Prof it Before Tax

311

81

392

286

106

392

New Used Total


4,012

661

4,673

3,358

799

4,157

New Used Total


3.43%3.16%

2.85% 2.66% 2.85%

1.67% 1.46% 1.34% 1.41% 1.57%

8.06%7.59%

7.17%

6.13%

5.10%4.69%

3.77%3.40%

3.10%2.66%

Sep'12 Dec'12 Mar'13 Jun'13 Sep'13

Gross NPL Net NPL NBD FID

+262.2%

+30.9%

+20.9%

-8.0%

-16.3%

-11.0%

0.0%

Bank Internasional Indonesia (4/4)Slower 2-wheel vehicle financing amidst tighter regulations

47

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



48

Islamic Banking (1/2)

Group Islamic Banking Income and PBT*

Maybank Islamic: Improving key ratios

Market Share

Sep-13 Dec-12

Financing to Deposit Ratio (Adjusted) 94.5% 82.0%

Islamic Financing to

Total Domestic Loans36.7% 31.0%

Gross Impaired Financing Ratio 0.77% 0.85%

Net Impaired Financing Ratio 0.55% 0.70%

RM million 3Q FY13 3Q FY12YoY

Growth

Fund based income 1,626.1 1,303.0 24.8%

Other operating income** 394.2 366.8 7.5%

Total income*** 2,020.3 1,669.8 21.0%

Overhead expenses (678.1) (509.6) 33.1%

Profit before taxation & zakat 1,050.5 1,102.3 -4.7%

* Group Islamic Banking includes Maybank Islamic and the Group’s

other Islamic operations

** Other operating income comprise of fee income and other income

*** Include intercompany income & expenses with Conventional

operations

# Maybank Islamic (domestic) PBT improved 7.3% YoY to RM1,000.6 mil

Sep-13 Sep-12

AITAB 33.3% 29.8%

Mortgage 22.6% 20.9%

Term financing 28.0% 21.4%

17.1

12.6

14.1

3.6

5.9

8.6

21.0

16.1

19.5

4.1

8.4 8.8

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

Dec 12 Sep-13+30%

+37%

+51%

+16% +58%

GB: +25%

RM

bill

ion

+3%

Maybank Islamic: Total Gross Financing grew by 34%

(annualised) to RM78.0 bil

CFS: +37%

9M FY13 9M FY12

49

462.0

697.9

952.8

Dec-121,190.1

1,000.6

932.6

Dec-09 Dec-10 Dec-11 Sep-12 Sep-13

7.3% Y-o-Y

Islamic Banking (2/2)

Maybank Islamic Contribution to Maybank Domestic Financing as at end September 2013

Maybank Islamic Market Share (Malaysia)

Year Contribution

Sep 2012 29.2%

Dec 2012 31.0%

Sep 2013 36.7%

63.3%

36.7%

Maybank Conventional

Domestic

Maybank Islamic

25.1%26.2%

26.8%28.1%

28.9%

20.6%

23.2%22.5% 22.1% 22.5%

15.0%

20.0%

25.0%

30.0%


Financing Deposit

Maybank Islamic PBT

RM

million

50

485.25610.18

9M FY2012 9M FT2013

Insurance and Takaful

24.84 25.89

28.01

Sep 2012 Dec 2012 Sep 2013

Total Assets (RM billion)

Life / Family (New Business) Market Share

General Insurance and Takaful Market Share

Gross Premium

No. 2 in Life/Family

(New Business)

No. 1 in General

Insurance and

Takaful

+10.9% ann.

+12.7% YoY

+25.7% YoY

Profit Before Tax (RM million)

Notes: Market Share is for period Jul’12 – Jun’13 (Source: LIAM / ISM Statistics)

Note: PBT includes proforma transfer of RM56.2 mil from Family Fund in September 2013

13.8%

17.9%

19.1%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

Prudential Ins. & Tak.

Etiqa Ins. & Tak.

AIA & ING Ins. & Tak.

10.1%

10.6%

12.9%

0.0% 5.0% 10.0% 15.0%

Allianz Insurance

AmGeneral Insurance

Etiqa Ins. & Tak.

0.0 1,000.0 2,000.0 3,000.0 4,000.0 5,000.0

Total Life/Family & General

Total General

Misc

MAT

Motor

Fire

Total Life/Family

Group Premium

Credit Premium

Regular Premium

Single Premium9M FY2012

9M FY2013+3.6%-3.8%

-27.1%

-12.4%

+8.0%

+1.8%

-6.8%

+5.8%

+0.1%

-6.8%

-37.0%

RM Million

51

31,455.934,423.0

37,134.2

45,848.2

As at 31 Dec 12 As at 30 Sept 13

PESO

Mil Gross

Loans

Total Deposits

+12.6%*

+31.3%*

Maybank Philippines

Revenue and PBT

PBT decreased by 10.3% for 9 months ended Sep’13

attributed to higher expenses from the opening of new

branches.

Revenue grew by 28.1% mainly due to increase in NII

(+21.4%) from interest on loans and advances and higher

NOII (+50.8%) from realised trading gain and forex profit.

Gross loans grew by 12.6% (annualised) largely from retail

business, i.e. auto loans and mortgage loans.

Deposits hiked by 31.3% contributed by retail deposits

(+PESO5.4bil). The increase in retail deposits came from

demand deposits (+PESO2.6bil) and term deposits

(+PESO1.3bil).

Key Ratios YTD FY13 YTD FY12

Return on assets 0.74% 1.45%

Return on equity 4.70% 12.54%

Cost-to-income ratio 76.95% 65.31%

Loans-to-deposit ratio 75.08% 84.71%

Gross NPL Ratio 3.21% 2.67%

Net Interest Margin 4.70% 4.48%

No. of branches 66 54

1,968.0

2,520.5

579.2 519.5

9 mths ended Sept 12 9 mths ended Sept 13

PESO

Mil Revenue

PBT

+28.1% YoY

-10.3% YoY

Gross Loans and Deposits

Key Highlights

*Annualised growth

52

Table of Contents



Prospects & Outlook



2. Global Banking


5. Other segments

6. Affiliates

7

2

24

27

35

41

44

49

54



53

Revenue and PBT


Revenue declined 17.1% YoY owing to lower interest income

of VND359bil. NIM compressed as the State Bank of Vietnam

(SBV) has reduced the discount rates by 4% during the year

under review in a move to help lower the cost of borrowing

for businesses as well as stimulate the economy.

Overheads increased by VND19.9bil due to higher expansion

costs as the Bank opened six additional branches during the

year and intensified marketing campaign to mobilise

deposits and promote the Bank.

Gross loans grew significantly by 76% spurred by the low

interest rate environment. State Bank has reduced the

discount rate from 9% in June’13 to 5% in May’13.

Customer deposits expanded by 27% as ABB intensified

marketing promotions to mobilise deposits from the retail

sector.








Key Highlights

1,329.6

1,101.7

540.1

312.0

9 mths ended Sep 12 9 mths ended Sep 13

Revenue

PBT

-17.1% YoY

-42.2%

YoY

23,265.7

36,523.833,563.9

42,618.1

As at 31 Dec 12 As at 30 Sep 13

Gross Loans

Customer Deposits

36.0%*

76.0%*

VN

D B

ilVN

D B

il

An Binh Bank

*Annualised growth

54

262.6 245.5

536.2576.3

As at 31 Dec 12 As at 30 Sep 13

Gross Loans

Customer Deposits

38.5 37.4

25.7 26.4

9 mths ended Sep 12 9 mths ended Sep 13

Revenue

PBT

Revenue impacted by lower discount rates as State Bank

of Pakistan decreased the monetary policy rates on 21

June 2013 by 0.5% to 9%. The minimum deposit rates

remain unchanged at 6.0%. Hence, resulting in lower

margins.

NIM declined to 5.7% from 6.5% in FY2012, affected by the

re-pricing of loans at lower interest rates following the

rate cut in December 2012 and again in June 2013.

YTD Sep’13 PBT rose 2.6% YoY or PKR0.7 billion

attributable by loan loss writeback as a result of

substantial improvement in NPL.

CIR at 35.9% from 35.6% in the corresponding period in

FY2012

Gross loans decreased by 6.5% as credit demand was

subdued due to uncertain political situation.

Customer deposits grew 7.5% to PKR576.3 billion, mostly

contributed by CASA accounts.

MCB Bank

Revenue and PBT


-8.7%*

+10.0%*

+2.6% YoY

-3.0% YoY








Key Highlights

PKR B

ilPKR B

il

*Annualised growth

55

Mohamed Rafique Merican

Group Chief Financial Officer

Contact: (6)03-2074 7878

Email: [email protected]

MALAYAN BANKING BERHAD

14th Floor, Menara Maybank

100, Jalan Tun Perak

50050 Kuala Lumpur, Malaysia

Tel : (6)03-2070 8833

www.maybank.com

Narita Naziree

Head, Group Business Planning &Investor Relations

Contact: (6)03-2074 8017

Email: [email protected]

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

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

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

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

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

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

connection therewith.

Investor Relations Contact

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