000
Humanising Financial Services
55th Annual General MeetingPresentation to Shareholders
by Tan Sri Dato’ Megat Zaharuddin, Chairman
7 April 2015
0
111
TESTMaybank has made record profits year after year, resulting from its
pursuit to be a regional financial services leader in humanising
financial services.
“Corresponding to the increase in
revenue, net profit after tax and
minority interest has risen to
RM3.82 billion, a new record.”Annual Report 2010
“We took full advantage of
healthy economic conditions…
(which) enabled us to post a
record net profit attributable
to shareholders of RM4.45
billion.”Annual Report 2011
“…your Company has performed strongly
once again, with record Profit After Tax
and Minority Interest (PATAMI) growing
at double digits, reaching RM6.55
billion at end of FY2013.”Annual Report 2013
“PATAMI rose 17.6% year-on-
year to a new high of RM5.74
billion and nearly all our
business sectors both at home
and abroad reported higher
revenue growth than in 2011.”Annual Report 2012
1
222
TESTWe have expanded our business footprint in key markets,
including the two fastest growing regions in the world, Southeast Asia and Greater China.
2
333
TEST
We have enhanced our organisational and relationship management
capabilities as well as our physical and virtual touchpoints to ensure better delivery of products and services in meeting customers’ needs.
5,900Self-service Terminals
2,400branches
Maybank’s Physical and Virtual Touchpoints
Maybank2uOnline and mobile banking
3
Indonesia
United States
444
“I hope we have earned a place in the
hearts of our communities with our
commitment for financial inclusion of all our stakeholders”.
4
555
2014 was a more challenging year for the financial services
industry.
GDP growth slowed in our key
markets such as Singapore, Indonesia and even Greater China.
Capital market activity
was relatively unexciting in 1H 2014
4.45.2
7.7
2.92.9
4.7
7.4
2.5
Singapore Indonesia China Hong Kong
2013 2014
-1.5% -0.5% -0.3% -0.4%
Change in Real GDP Growth
22.4
14.3
9.7
14.9
1H2013
2H2013
1H2014
2H2014
ASEAN Equity Issuance (USD billion)
5
666
TESTYour Company has performed commendably
Return on Equity (ROE) of 13.8%.
Net profit hit a new record of RM6.72 billion.
6
777
Our on-going cost management efforts controlled
overheads growth, which mitigated the softer revenue
performance.
Overheads growth
7
9.4%
8.4%
2.1%
2012 2013 2014
888
TEST
11.25% 11.75%
2013 2014
Common Equity Tier 1 Capital ratio
+0.50%
8
We strengthened our capital base
Maybank has the highest Common Equity Tier 1 Capital ratio
among Malaysian banks.
999
We focused on capturing value and creating opportunities in countries
where business conditions were more favourable.
In Malaysia, almost all our business sectors performed admirably.
PBT grew 32.5% for Community Financial Services and 15.2% for Insurance & Takaful
3.22
1.61 1.40
0.46
0.02
0.78
4.27
1.63 1.49
0.48
0.001
0.90
CommunityFinancial Services
Corporate Banking Global Markets InvestmentBanking
Asset Management Insurance andTakaful
FY2013 FY2014
Global Banking (GB) +3.1%+32.5%
-96.5%
+15.2%
+1.2% +6.7% +3.7%
9
RM
billion
101010
TEST
Maybank was voted the Top Graduate Employer of the Year
in Malaysia’s Leading 100 Graduate Employer Award 2014.
This not only speaks volumes of our employment culture and practices,
but also that of our ability to attract new talent into the organisation.
10
111111
TEST
Productivity improvement continued to yield results
• Staff strength maintained at 47,000 employees despite adding
17 new branches.
• IT infrastructure enhancements have also improved staff
productivity.
1.79X 1.81X
2013 2014
+1.2%
11
121212 12
• Commitment to the Environment
• Focus on Customers
• Digitisation
• Product Stewardship
• Investing for impact • Employee Engagement
• Learning and development
• Talent and leadership
• Health, safety and wellbeing
• Diversity and Inclusive
Workplace
We will be guided by the Maybank 20/20 Group Sustainability Plan
20/20 Group Sustainability Plan
Community
and CitizenshipPeople
Access to
Products and Services
131313 13
Maybank has been included in
the top 20 list of the FTSE4Good
Bursa Malaysia ESG Index
We won
multiple
awards for
our
Sustainability
Report 2013.
NACRA 2014 Awards
ACCA Malaysia
Sustainability Reporting
Awards (MaSRA
Among the awards:
141414
TESTGroup’s Inclusiveness and Diversity Agenda (GIDA)
Maybank’s representation of
women in leadership positions
35%Women in Senior
Management
Positions
women mentees with mentors
from senior management
35%Women for
Critical
Positions
Malaysia: Bumiputera
Economic Excellence
Programme initiatives
ETP
Financing
Programme
Road to
Bursa
Bumiputera Centre
of Bumi Entrepreneurial
Excellence
SME Portfolio
Guarantee
Bumiputera
Microfinancing for
the Underbanked
35
14
151515
Maybank Foundation continues to support corporate responsibility (CR) programmes with high impact
CashVille Kidz
660 Schools, 102,580 Students
2,660 Teachers
Microfinance
BII Berbagi
Over 6,000 women
since 2012
Selayang Liver Transplant Centre
63 transplants since 2002
RM8 million contribution
15
161616
We were quick to respond to natural disasters such as Typhoon Hagupit
in the Philippines and the worst ever recorded floods that ravaged the east coast of Peninsular Malaysia in December.
RM 1 millionfor MERCY Malaysia
160 employees
assisted in East
Coast floods
16
171717
Volunteer hours for Global CR Day and Cahaya Kasih
initiatives increased by 20% to 142,900 hours.
26,200Volunteers
globally
142,900Man-hours
5th Global CR Day 2014
Inspiring Global Communities
17
181818 18
Sustainability Report 2014
Executive Summary of
Sustainability Report 2014
available now at
www.maybank.com/sustainability
Sustainability Report 2014
available in
May 2015
191919
Retirement:
En. Zainal Abidin Jamal
Served the Board since July 2009.
New appointments:
Datuk R. Karunakaran
Appointed in
July 2014
Mr Cheng Kee Check
Appointed in
November 2014
Change in Board of Directors
19
202020
We also look forward to the creation of the ASEAN
Economic Community (AEC) by the end of 2015.
We are present in all 10 ASEAN countries
20
212121
TESTWe are positive about the prospects of AEC.
Opportunities arise since many in ASEAN are still financially under-served.
However, competition will intensify due to AEC’s fast growing GDP.
Potential for greater financial inclusion
21
222222
TESTWe have the capability to benefit from the AEC.
Our diversified technology-savvy workforce will excel in a liberalised ASEAN market
22
We aim to be fleet-footed and continue to leverage on our strong
balance sheet to facilitate our clients’ expansion in the evolving AEC.
232323
Our outlook for 2015 is mixed.
The year began with uncertainties on several fronts…
Although lower price of crude oil provides respite to some sectors, it also shrinks the national income of oil exporting countries like Malaysia.
from falling crude oil prices to… weakening of some Asian currencies.
40
50
60
70
80
90
100
110
Jan 14 Apr 14 Jul 14 Oct 14 Jan 15
0.26
0.27
0.28
0.29
0.30
0.31
0.32
Jan 14 Apr 14 Jul 14 Oct 14 Jan 15
Nymex WTI (USD) RM/USD
23
242424
However, we expect more political stability.
And regional leaders in Southeast Asia and Greater China would stay focused on driving economic growth in 2015.
6.0
2.9
5.0
0.7
6.1 5.9
7.4
2.5
4.5
2.8
5.5
4.0
7.0
6.2
7.0
3.0
Malaysia Singapore Indonesia Thailand Philippines Vietnam China Hong Kong
2013 2014
-1.5% -0.1% +0.5% +3.3% +0.3% +0.9% -0.4% +0.5%
Change in Real GDP Growth
24
252525
Higher dividend payout
• Proposed final dividend of 33 sen per share for 2014, or a
payout of RM3.08 billion.
• Full year net dividend of RM5.27 billion, up 11.9% YoY
22.5 24.0
31.0 33.0
2013 2014
Final
Interim
53.5 57.0
Gross Dividend per Share (sen) Dividend Payout (RM billion)
+11.9%+6.5%
25
4.715.27
2013 2014
262626
TESTOn behalf of the Board, I wish to thank all our stakeholders for the
support given to us in our mission to humanise financial services, and
in our efforts to widen and diversify our scope of financial inclusion in
the various communities we serve.
26
272727 27
THANK YOU
Humanising Financial Services