Investor Presentation

Transcription

1 Humanising Financial Services Investor Presentation Financial Results First Quarter FY2018 ended 31 March May

2 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates 51 1 Financial Results: 1Q FY2018 ended 31 March 2018

3 Malaysia: Macroeconomic Implications Following 14 th General Election Outcome Outlook for Key Macroeconomic Indicators We are maintaining our houseview (Maybank Kim Eng Research) over key macroeconomic indicators for 2018, mainly: o o GDP forecast of 5.3%, pending further economic policy measure announcements by the new government. USD/MYR average forecast of 3.85 as MYR fundamentals remain anchored by sustained current account surplus, rising FX reserves to retained imports and short-term debt, sustained growth due to consumption and exports as well as higher oil prices. We have lowered our inflation rate forecast to between +1.5% and +2.0% from +2.3% previously on two key policy changes by the new government: (a) cut in GST rate to 0% from 6% on all standard-rated goods and services effective 1 June 2018 (b) maintaining current domestic fuel prices (i.e.: RON95 at MYR2.20/litre) as opposed to a weekly managed float system. With slowing YTD inflation rate trending and our lower full-year forecast, we expect the Overnight Policy Rate to be maintained at 3.25% for Potential improvement in consumer spending arising from zero-rating of GST and maintaining of domestic fuel prices as these measures alleviate living cost pressures and boost disposable income. Operating Landscape For specific sectors such as construction and infrastructure-related, businesses are expected to adopt a wait-and-see stance amid the reviewing of several large infrastructure projects and investments by the new government. 2

4 Maybank Group 1Q FY2018 Overview Operating profit growth of 15.4% YoY to RM2.55 billion supported by strong revenue growth and contained costs 1 Net Profit of RM1.87 billion, up 9.9% YoY Higher net income of 5.4% YoY as net fee based income grew 12.6% on stronger net earned insurance premiums Net fund based income up 2.9% YoY on Group loans growth of 1.5% YoY Overhead expenses remained flat, resulting in PPOP growth of 10.8% YoY CIR of 47.6% within Group guidance of 48%, with positive JAWS position of 5.4% YoY Annualised net credit charge off of 41 bps, on lower allowances for loan impairment losses of 6.1% YoY 2 Asset Quality Group GIL ratio of 2.37% vs 2.34% as at Dec 17. Indicators Loan loss coverage ratio including regulatory reserve of 99.5% as at end Mar Strong Liquidity and Capital Positions Healthy and improved liquidity risk indicators with Group LCR at 153.3%, Group LDR at 92.5%, Group LTF at 85.7% and Group LTFE at 75.3% Total capital and fully loaded CET1 capital ratios at 18.48%* & 13.73%* respectively at 31 Mar Day-1 Impact from MFRS 9 Adoption Effective 1 Jan 2018 Note: *After proposed dividend and assumption of 85% reinvestment rate. Main areas of impact arising from Day-1 adjustments: Higher allowance for impaired loans, advances and financing arising from expected credit loss model used under MFRS 9, which incorporates forward looking assumptions Excess regulatory reserve released to meet BNM s loss allowance for non-credit impaired exposures and regulatory reserves of 1% of total credit exposures Lower retained profits arising from expected credit loss recognition for loans and investment portfolio, mitigated by regulatory reserve transfer and fair value gain for unquoted shares. Group CET1 capital ratio reduced 39 bps

5 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates 51 4 Financial Results: 1Q FY2018 ended 31 March 2018

6 P&L Summary: 1Q FY2018 Strong PPOP growth of 10.8% YoY to RM3.05 billion led net profit rise of 9.9% More details on RM million 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ s.23 Net fund based income * 4, , % 4, % s.9/ 23/24 Net fee based income * 1, , % 1,895.2 (16.1)% s.21/ 22 Net operating income 5, , % 6,056.4 (3.8)% s.10 Overhead expenses (2,778.8) (2,779.3) (0.0)% (2,922.8) (4.9)% s.22 Pre-provisioning operating profit (PPOP) ¹ 3, , % 3,133.6 (2.7)% Net impairment losses (500.8) (542.8) (7.7)% (239.7) >100% Operating profit 2, , % 2,893.9 (11.9)% s.21 Profit before taxation and zakat (PBT) 2, , % 2,926.1 (12.6)% Profit attributable to equity holders of the Bank (Net Profit) 1, , % 2,132.1 (12.2)% EPS - Basic (sen) % 19.9 (13.4)% Note: * From consolidated Group numbers, Insurance and Takaful accounts for 6.4% of net fund based income and 2.3% of net fee-based income ¹ Pre-provisioning operating profit (PPOP) is equivalent to operating profit before impairment losses 5

7 Net Fund Based Income: 1Q FY2018 (1/3) NIM expansion of 9 bps QoQ mainly from asset repricing in Malaysia and Singapore Net Interest Margin (%) QoQ Trend 2 Year Trend Q FY2017 2Q FY2017 3Q FY2017 4Q FY2017 1Q FY2018 FY2016 FY2017 6

8 RM billion RM billion SGD billion IDR trillion RM billion RM billion SGD billion IDR trillion Net Fund Based Income: 1Q FY2018 YoY Trends (2/3) Loans growth across home markets predominantly supported by CASA growth Group Malaysia Singapore Indonesia Gross Loans (YoY) Community Financial Services Global Banking 1.5% (Reported) 5.7% (Normalised) 6.7% 5.5% 2.9% % % % % % % 22.8 Mar 17 Mar 18 Mar 17 Mar 18 Mar 17 Mar 18 Mar 17 Mar 18 CASA (YoY) (1.2)% (Reported) 1.8% (Normalised) 0.8% 5.0% 9.5% Mar 17 Mar 18 Mar 17 Mar 18 Mar 17 Mar 18 Mar 17 Mar 18 CASA 37.4% 35.3% 41.2% 37.3% 30.5% 30.9% 37.0% 39.6% Ratio : Note: Industry loans growth for Malaysia is 4.4%, Singapore is 8.9% and Indonesia is 8.5% CASA ratio for Group and Malaysia includes investment accounts 7 Refer to pages for detailed information on loans and deposits growth by country and products.

9 RM billion RM billion SGD billion IDR trillion RM billion RM billion SGD billion IDR trillion Net Fund Based Income: 1Q FY2018 QoQ Trends (3/3) Loans growth in Malaysia and Singapore supported by strong Group liquidity growth Group Malaysia Singapore Indonesia Gross Loans (QoQ) Community Financial Services Global Banking (0.1)% (Reported) 1.4% (Normalised) 1.2% 1.7% (2.3)% % (7.8)% % 18.5 (0.1)% % (0.4)% Dec 17 Mar 18 Group Deposits (QoQ) CASA Ratio : % 69.4 (1.2)% (4.3)% Dec 17 Mar 18 Dec 17 Mar % % (1.9)% Dec 17 Mar 18 Note: Industry loans growth for Malaysia is 1.2%, Singapore is 2.1% and Indonesia is 0.1% CASA ratio for Group and Malaysia includes investment accounts Refer to pages for detailed information on loans and deposits growth by country and products. Dec 17 Mar 18 CASA FD Others (4.1)% (7.3)% 13.5 Dec 17 Mar 18 Dec 17 Mar % (Reported) 5.9% (5.1)% (0.4)% 2.5% (Normalised) % (1.1)% 47.9 Dec 17 Mar % 35.3% 40.2% 37.3% 31.6% 30.9% 39.8% 39.6%

10 RM million Net Fee Based Income: 1Q FY2018 Net fee based income growth driven by higher net earned insurance premiums RM million 1Q FY2017 1Q FY2018 YoY Commission, service charges and fees (0.4)% Investment & Trading Income (52.9)% Unrealised gain/ (losses) on securities 206 (135) >(100)% Unrealised gain/ (losses) on derivatives (76) (146) 91.3% Foreign Exchange Profit % Other Income >100% +12.6% (7.4)% (0.9)% +20.5% 1,590 1,511 1,412 1,405 1,302 1,254 (1.8)% 1Q FY2017 1Q FY (1,378) (1,353) Total Other Operating Income Fee Income from Islamic Operations Net Earned Insurance Premiums Net Insurance Benefits & Claims Incurred, Net Fee & Commission Expenses, Change in Expense Liabilities and Life & Takaful Fund Tax 9

11 Overhead: 1Q FY2018 Group cost-to-income ratio of 47.6%, as income growth outpaces flat expenses, resulting in positive JAWS position RM million 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Personnel Costs 1, , % 1, % Establishment Costs (5.2)% (18.3)% Marketing Expenses % (6.8)% Administration & General Expenses (10.6)% (10.0)% Total 2, ,779.3 (0.0)% 2,922.8 (4.9)% % 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Total Cost to Income ¹ (2.5)% 48.2 (0.6)% Group JAWS Position 5.4% 1.1% Note: ¹ Total cost excludes amortisation of intangible assets for Maybank Indonesia and Maybank Kim Eng 10

12 RM million RM million Asset Quality Net credit charge off of 41 bps with Group GIL ratio at 2.37% Allowances for losses on loans Allowances for losses on loans Loan loss coverage incl. Regulatory Reserve Loan loss coverage 92.3% 92.6% 93.5% 95.3% 71.2% 70.1% 71.7% 71.5% 87.8% % Q FY2017 2Q FY2017 3Q FY2017 4Q FY2017 1Q FY2018 Slower QoQ growth in Group GIL volume from a year ago Group Gross Impaired Loans (GIL) Ratio Composition GIL Ratio Components Non Performing Loans (NPL) Restructured & Rescheduled (R&R) Performing Loans Impaired Due to Judgmental/ Obligatory Triggers (IPL) Mar 2018 Dec 2017 Sep 2017 Jun 2017 Mar % 1.80% 1.97% 1.79% 1.77% 0.26% 0.27% 0.32% 0.37% 0.33% 0.24% 0.27% 0.21% 0.37% 0.30% GIL Ratio 2.37% 2.34% 2.50% 2.53% 2.40% GIL Ratio by Home Markets +5.4% +1.4% 11,658 11,550 11,709 11,055 Dec 2016 Mar 2017 Dec 2017 Mar 2018 Malaysia Singapore Indonesia 4.55% 4.42% 4.47% 4.21% 3.56% 2.13% 2.29% 2.31% 2.36% 2.34% 2.12% 2.06% 2.22% 1.91% 1.68% Mar 2017 Jun 2017 Sep 2017 Dec 2017 Mar

13 Asset Quality by Line of Business QoQ uptick seen in selected segments and markets Consumer Mortgage Auto Finance Credit Cards 1.76% 2.22% 2.38% 2.14% 2.30% 1.23% 1.40% 1.44% 0.98% 1.08% 2.48% 2.67% 2.37% 1.73% 1.84% 2.08% 1.95% 1.86% 1.75% 1.79% 0.60% 0.60% 0.63% 0.61% 0.83% 0.53% 0.53% 0.53% 0.50% 0.69% 0.58% 0.60% 0.56% 0.56% 0.51% Mar 17 Jun 17 Sep 17 Dec 17 Mar % 0.27% 0.23% 0.26% 0.24% Mar 17 Jun 17 Sep 17 Dec 17 Mar % 0.80% 0.78% 0.77% 0.83% Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Business Retail SME Business Banking Corporate Banking 2.39% 2.44% 2.27% 2.53% 2.09% 2.18% 2.39% 2.18% 2.27% 2.18% 2.06% 2.05% 2.02% 2.01% 1.87% Mar 17 Jun 17 Sep 17 Dec 17 Mar % 12.50% 12.24% 12.05% 12.30% 2.66% 2.67% 2.80% 2.68% 2.60% 1.96% 1.93% 2.04% 2.23% 2.57% Dec 16 Mar 17 Jun 17 Sep 17 Mar % 11.32% 11.02% 7.84% 8.45% 2.62% 4.06% 4.07% 4.14% 4.23% 1.93% 1.97% 1.92% 1.58% 2.34% Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Malaysia Singapore Indonesia Note: In Malaysia, industry GIL ratio for mortgage (purchase of residential property) is 1.0%, 1.0% for auto finance, and 1.2% for credit cards. In Singapore, industry GIL figure is only available for mortgage, which was 0.4% as at March 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. 12

14 Oil & Gas Exposure: 31 March 2018 Maybank Group s exposure to direct and indirect oil and gas borrowers Direct & Indirect Oil & Gas: Borrowers with O&G related exposure Oil & Gas Loan exposure Maybank Group 3.49% Malaysia 1.99% Singapore 1.19% Indonesia 0.14% Borrowers Status: 17% 36% 46% 1% Normal Special Mention Account Watchlist GIL 84% comes from supporting upstream Others 0.17% Segmental Exposure: Group exposure of 3.49% includes funded and non-funded 26% 31% Excluding non-funded, exposure is 2.78% 7% 36% Upstream Supporting Upstream Downstream Supporting Downstream Notes: Supporting upstream includes services activities incidental to crude oil and natural gas extraction including surveying. This includes providers of services/ activities related to O&G industry. 13

15 Liquidity Management: 31 March 2018 Maintained well-diversified funding sources and strong liquidity risk indicators Funding Breakdown Borrowings and Capital Instruments by Currency Liquidity Risk Indicators LDR LTF LTFE LCR FI Deposits, 6% 134.4% 145.6% 137.0% 133.1% 153.3% RM693.3 billion Customer Funding, 77% Equity, 11% Borrowings, 4% Capital Instruments, 3% USD, 26% IDR, 14% JPY, 10% RM48.7 billion MYR, 31% HKD, 6% SGD, 4% Others, 9% 95.7% 93.8% 94.0% 93.4% 92.5% 86.2% 85.5% 85.8% 85.8% 85.7% 75.9% 75.1% 75.4% 75.4% 75.3% By maturity: 1 Year 27% > 1 Year 73% Note: Customer Funding comprises Deposits from Customers & Investment Accounts of Customers. Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Note: 1) BNM s minimum LCR requirement for 2018 is 90% 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 for Dec 17 and Mar 18 excludes loans to banks and FIs 14

16 Strong Capital Position: 31 March 2018 Total capital and fully loaded CET1 capital ratios (assuming 85% dividend reinvestment rate) at 18.48% and 13.73% respectively Group Before proposed dividend After proposed dividend, assuming 85% reinvestment rate 19.38% 19.06% 18.48% 16.46% 15.94% 15.35% 14.77% 14.31% 13.73% Dec 17 Mar 18 Mar 18 Regulatory Requirements Minimum Common Equity Tier 1 Capital 2018 Jan 2019 Onwards 4.5% 4.5% Minimum Tier 1 Capital 6.0% 6.0% Minimum Total Capital 8.0% 8.0% Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio Capital Conservation Buffer (Phase in) 1.875% 2.500% Bank 19.31% 19.43% 18.58% 17.95% 16.30% 15.45% 15.85% 14.37% 13.51% Other Capital Buffers D-SIB Buffer Countercyclical Capital buffer To be determined 0% - 2.5% Dec 17 Mar 18 Mar 18 Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio 15

17 RM million RM million RM million Financial Statements Impact Arising from MFRS 9 Adoption Day 1 impact analysis & 31 March 2018 positions 1 Impact of MFRS 9 on Impaired Loans, Advances 2 & Financing Allowances ECL Impact of MFRS 9 on Impaired Losses on Financial Assets Allowances ECL 8,261 2,313 Stage ,964 10,275 4,388 4, ,948 Stage 3 6,576 6, Dec Jan Mar 2018 CA non Impaired CA Impaired + IA 3 Shareholders Equity Movement 4 72,989 72,034 73, Dec Jan Mar 2018 AFS/FVOCI HTM/Amortised Cost Impact of MFRS 9 on Capital Ratios 44,943 44,943 44, % 18.98% 19.06% 30 2, ,077 2, % 16.06% 15.94% 25,269 24,551 26, % 14.38% 14.31% 31 Dec Jan Mar Dec Jan Mar Retained profits Regulatory reserve AFS/FVOCI reserve Others Note: Terms used under MFRS139 are AFS and HTM and under MFRS9 are FVOCI and Amortised Cost Total Capital Ratio CET 1 Capital Ratio Tier 1 Capital Ratio

18 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

19 Market Outlook 2018 industry outlook for Singapore and Indonesia Key Indicators Industry Outlook Singapore GDP (f): 3.5% (2018) vs 3.6% (2017) System loan (f): 7%-8% (2018) vs 8.0% (2017) 3M SIBOR (f): 1.65% (2018) vs 1.50% (2017) USD/SGD average (f): 1.27 (2018) vs 1.37 (2017) Inflation (f): 0.9% (2018) vs 0.6% (2017) Loan growth supported by lending opportunities in the region as well as pickup in property market NIMs to expand from repricing intervals due to higher rates Indonesia GDP (f): 5.3% (2018) vs 5.1% (2017) System loan (f): 10.0% (2018) vs 8.2% (2017) Reference Rate (f): 4.50% (2018) vs 4.25% (2017) USD/IDR average (f): 13,864 (2018) vs 13,397 (2017) Inflation average (f): 3.5% (2018) vs 3.8% (2017) The momentum of the domestic economic recovery, subdued interest rate environment and government projects should provide support for credit growth in 2018 Sufficient liquidity in the system will enable lending growth 18

20 Maybank Performance Outlook Group guidance for remaining FY Effective NIM management in rising rate environment 2 Maintain pricing discipline of loans under new MFRS 9 environment 3 Maintain stable liquidity risk indicators ahead of NSFR adoption in Managed cost growth with CIR ~48% 5 Maintain Group ROE KPI of ~11% 19

21 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

22 International & Malaysia Portfolio Mix 1Q FY2018 Net Operating Income Profit Before Tax Gross loans* 1Q FY2018 (Jan 18 Mar 18) Overseas: 38.8% 12.0% 7.3% Overseas: 36.6% 5.5% 10.8% Overseas: 40.8% 8.1% 7.2% 19.5% RM5.83 billion 61.2% 20.3% RM2.56 billion 63.4% 25.4% RM493.4 billion 59.2% 1Q FY2017 (Jan 17 Mar 17) Malaysia Singapore Indonesia Others Overseas: 42.3% 15.3% 18.5% 8.5% RM5.53 billion 57.7% Overseas: 30.5% 8.7% 9.0% 12.8% RM2.25 billion 69.5% Overseas: 43.6% 8.9% 8.4% 26.3% RM486.1 billion 56.4% Note: * Including Islamic loans sold to Cagamas and excludes unwinding of interest 21

23 RM million RM million Segmental Performance of Businesses: 1Q FY2018 (1/2) Net Operating Income +5.4% 5,530 5,828 1Q FY2017 Group Global Banking (GB) +0.2% 1Q FY2018 1Q FY2017: 2,294 1Q FY2018: 2, % (1.2)% +27.0% (93.7)% (9.6)% 3,292 3,322 1,900 1, PPOP Total +10.8% 3,049 2,751 Group Community Financial Services Group Corporate Banking & Global Markets 1,476 1,549 1,407 1,371 Group Investment Banking Group Global Banking (GB) +0.2% 1Q FY2017: 1,497 1Q FY2018: 1,500 Group Asset Management +4.9% (2.6)% +>100% (>100)% 1Q FY2017 1Q FY2018 Group Insurance & Takaful (41.6)% (20) 104 Total Group Community Financial Services Group Corporate Banking & Global Markets Group Investment Banking Group Asset Management Group Insurance & Takaful Note: Net income & PPOP for group includes expenditures of Head Office & Others of RM401.2 million for 1Q FY2017 and RM104.1 million for 1Q FY

24 RM million RM million Segmental Performance of Businesses: 1Q FY2018 (2/2) Net Fund Based Income +2.9% 4,118 4,238 Group Global Banking (GB) +0.5% 1Q FY2017: 1,327 1Q FY2018: 1,333 1Q FY2017 1Q FY % (2.2)% +38.3% +>100% +9.5% 2,520 2,541 1,254 1, (2) % 1,412 Total Net Fee Based Income 1,590 Group Community Financial Services +1.1% Group Corporate Banking & Global Markets +0.8% Group Investment Banking Group Global Banking (GB) (0.3)% 1Q FY2017: 967 1Q FY2018: 965 Group Asset Management 1Q FY2017 1Q FY2018 Group Insurance & Takaful +23.6% (97.6)% (62.6)% Total Group Community Financial Services Group Corporate Banking & Global Markets Group Investment Banking Group Asset Management Note: Net fund based income includes income of Head Office & Others of RM16.5 million for 1Q FY2017 and RM84.9 million for 1Q FY2018. Net fee based income includes expenditures of Head Office & Others of RM417.7 million for 1Q FY2017 and RM189.0 million for 1Q FY2018. Group Insurance & Takaful 23

25 RM million Net Fee Based Income: QoQ RM million 4Q FY2017 1Q FY2018 QoQ Commission, service charges and fees (9.4)% Investment & Trading Income (48.2)% Unrealised gain/ (losses) on securities 2 (135) >(100)% Unrealised gain/ (losses) on derivatives (183) (146) (20.1)% Foreign Exchange Profit (31.3)% Other Income % (16.1)% (18.6)% +34.8% +5.4% +9.7% 1,895 1,590 1,598 1,302 1,434 1,511 4Q FY2017 1Q FY (1,233) (1,353) Total Other Operating Income Fee Income from Islamic Operations Net Earned Insurance Premiums Net Insurance Benefits & Claims Incurred, Net Fee & Commission Expenses, Change in Expense Liabilities and Life & Takaful Fund Tax 24

26 Unaudited Income Statement for Insurance and Takaful Business 25 RM million 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Net interest income % % Net earned premiums 1, , % 1, % Other operating income (62.1) (>100)% (>100)% Total operating income 1, ,764.8 (2.1)% 2,000.0 (13.6)% Net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities (1,417.0) (1,424.0) (0.5)% (1,296.4) 9.3% and life & takaful fund tax Net operating income (8.9)% (55.9)% Overhead expenses (206.6) (166.3) 24.2% (265.4) (22.2)% PPOP (40.4)% (76.3)% Net impairment losses 4.6 (1.8) (>100)% (26.8) (>100)% Operating profit (37.1)% (73.6)% Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities and life & takaful fund tax RM million 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities (1,417.0) (1,424.0) (0.5)% (1,296.4) 9.3% and life & takaful fund tax Less: intercompany elimination % % Total net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities and life & takaful fund tax (1,353.1) (1,378.4) (1.8)% (1,233.2) 9.7%

27 Group Gross Loans Growth: 31 March 2018 % of Portfolio 31 Mar Dec 2017 YTD Annualised 31 Mar 2017 YoY Group Gross Loans (0.4)% % Malaysia (RM billion) 59% % % Community Financial Services - reported 71% % % Community Financial Services rebased¹ 71% % % Global Banking reported 29% % % Global Banking rebased¹ 29% % % International (RM billion) 40% (7.4)% (5.1)% Singapore (SGD billion) 62% % % Community Financial Services 55% % % Global Banking 45% (0.5)% % Indonesia (IDR trillion) 18% (9.3)% % Community Financial Services 76% (1.7)% % Global Banking 24% (31.2)% % Other markets (RM billion) 20% % 43.3 (7.0)% Investment banking (RM billion) 1% (2.6)% 7.6 (3.6)% Note: ¹ Rebased loan growth figures are based on adjusted 31 December 2017 position in line with migration of client accounts, effective 1 January

28 Malaysia Loans Growth: 31 March 2018 RM billion % of Portfolio 31 Mar Dec 2017 YTD Annualised 31 Mar 2017 YoY Community Financial Services reported 71% % % Community Financial Services - rebased¹ 71% % % Consumer 57% % % Total Mortgage 29% % % Auto Finance 16% % % Credit Cards 2% (6.9)% % Unit Trust 9% % % Other Retail Loans 1% % % SME + Business Banking reported 14% (4.5)% % SME + Business Banking - rebased¹ 14% (0.3)% % SME 5% % % SME¹ 5% % % Business Banking 9% (14.5)% 26.1 (6.2)% Business Banking¹ 9% (10.0)% 26.1 (6.2)% Global Banking (Corporate) - reported 29% % % Global Banking (Corporate) - rebased¹ 29% % % Total Malaysia % % Note: ¹ Rebased loan growth figures are based on adjusted 31 December 2017 position in line with migration of client accounts, effective 1 January Restated figures for 31 December 2017 due to changes in capturing of product type 27

29 RM billion RM billion Group Loans Growth vs Risk-Weighted Assets Growth: 31 March 2018 Group Gross Loans +1.5% YoY (0.1)% QoQ Total Group RWA (3.7)% YoY (1.2)% QoQ % Operational RWA % 16.7 Market RWA (2.3)% Credit RWA Mar 17 Dec 17 Mar 18 Mar 17 Dec 17 Mar 18 28

30 Group Deposits Growth: 31 March 2018 % of Portfolio 31 Mar Dec 2017 YTD Annualised 31 Mar 2017 YoY Group Gross Deposits % % Malaysia (RM billion) 63% % % Savings Deposits 13% % % Current Accounts 25% (19.4)% 83.2 (0.3)% Fixed Deposits 42% % % Others 20% >100% % International 37% (24.3)% (5.2)% Singapore (SGD billion) 65% (20.5)% % Savings Deposits 14% (48.8)% % Current Accounts 17% (11.5)% % Fixed Deposits 69% (16.3)% % Indonesia (IDR trillion) 17% (1.6)% % Savings Deposits 20% (13.4)% 24.8 (3.3)% Current Accounts 20% % % Fixed Deposits 60% % 74.3 (1.5)% Note: Deposits figures are restated following a BNM circular dated 21 June 2017 which excludes structured deposits as well as changes in capturing of product type 29

31 LDR and CASA Ratio Group LDR CASA CASA (without IA) Malaysia 95.7% 93.8% 94.0% 93.4% 92.5% 90.8% 90.9% 90.7% 91.2% 87.0% 37.4% 36.8% 36.8% 37.3% 35.7% 35.1% 35.0% 35.4% 35.3% 33.5% 41.2% 40.4% 39.5% 40.2% 38.4% 37.6% 36.6% 37.1% 37.3% 34.5% Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Singapore 92.4% 91.4% 88.5% 87.8% 94.1% Indonesia LDR (Bank Level) 103.9% 102.4% 104.7% 103.0% 101.1% 88.4% 86.7% 87.6% 88.1% 85.6% 30.5% 31.7% 31.9% 31.6% 30.9% 37.0% 37.2% 37.8% 39.8% 39.6% 30 Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Note: LDR excludes structured deposits as per BNM s circular dated 21 June 2017 Classification and Regulatory Treatment for Structured Products under FSA 2013 and IFSA 2013 Group and Indonesia LDR for Dec 17 and Mar 18 excludes loans to banks and FIs Group and Malaysia LDRs include investment accounts totaling RM21.84 for 31 Mar 2018, RM24.56 billion for 31 Dec 2017, RM26.80 billion for 30 Sep 2017, RM27.79 billion for 30 June 2017 and RM31.71 billion for 31 March 2017

32 Key Operating Ratios: QoQ % 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Return on Equity % 12.4 (1.9)% Net Interest Margin (4) bps bps Fee to Income Ratio % 31.3 (4.0)% Loans-to-Deposit Ratio (3.2)% 93.4 (0.9)% Cost to Income Ratio (2.5)% 48.2 (0.6)% Asset Quality Gross Impaired Loans Ratio (3) bps bps Loans Loss Coverage % % Net Charge off rate (bps) (41) (45) 4 bps (16) (25) bps Capital Adequacy (Group) 3 CET1 Capital Ratio bps (46) bps Total Capital Ratio (2) bps (32) bps Note: 1 LDR excludes structured deposits as per BNM s circular dated 21 June 2017 Classification and Regulatory Treatment for Structured Products under FSA 2013 and IFSA 2013, and LDR for Dec 17 and Mar 18 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. CET1 for 1Q FY2018 is computed based on fully loaded basis with effect from 1 Jan

33 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

34 Community Financial Services: Overview of Market Share for Malaysia 33 Market share Loans Total consumer (Household) 17.5% 17.5% 17.5% 17.6% 17.6% # 2 Auto (Purchase of transport vehicles) % 25.7% 26.1% 26.5% 26.7% # 2 Total mortgage * 13.3% 13.2% 13.2% 13.3% 13.3% # 2 Credit cards ** 17.9% 17.9% 18.4% 18.8% 19.0% # 1 Unit trust 51.8% 51.8% 51.7% 51.1% 50.9% # 1 Deposits Total deposits *** 17.6% 17.9% 18.1% 18.4% 18.8% # 1 Total core retail deposits ^ 18.0% 17.6% 17.5% 17.7% 17.8% # 2 Retail CASA ^ 25.1% 24.9% 24.9% 24.5% 24.9% # 1 Retail savings ^ 28.3% 28.3% 28.3% 28.2% 28.5% # 1 Demand deposits ^ 19.7% 19.4% 19.1% 18.3% 18.9% # 1 Retail fixed deposits ^ 14.3% 13.9% 13.8% 14.4% 14.2% # 2 Channels Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Dec-17 vs Mar-18 Internet banking - Subscriber base 44.3% 43.6% 42.2% 41.0% 41.8% # 1 Mobile banking - Subscriber base 32.0% 31.7% 31.8% 31.7% 31.3% # 1 Internet banking - Transaction Volume ^^ 55.1% 55.1% 55.1% 54.8% 53.6% # 1 Mobile banking - Transaction Volume % 53.3% 57.5% 61.5% 70.7% # 1 Branch network ^^^ 18.8% 18.6% 18.6% 18.6% 18.6% # 1 Note: ¹ Rebased market share due to adjustment made to Industry data by BNM from Jan Rebased market share due to adjustment made to Industry data by BNM from Jan-17. * Refers to housing, shophouse and other mortgage loans ** Credit cards market share refer to receivables for commercial *** Total bank deposits inclusive of investment asset ( IA ) Market position ^ Without IA. With IA, the market share as at Mar 18 for Total Core Retail Deposits, Retail CASA, Retail Savings, Demand Deposits and Retail Fixed Deposits are 18.8%, 25.9%, 28.6%, 21.6% and 15.9% respectively (against MBB retail IA). ^^ Excluding non-financial transactions as per BNM guidelines ^^^ Industry numbers only available half yearly

35 RM billion RM million RM billion RM billion Community Financial Services: Overview of Malaysia Portfolio Total CFS loans on an upward trend of 5.2% YoY and 1.0% QoQ % YoY +1.0% QoQ Individual customer TFA grew 3.5% YoY to RM305.6 billion driven by HNW & Affluent Banking customer TFA % YoY +1.2% QoQ Total CFS deposits decreased by 2.9% YoY, due to reduction in high cost deposits, mitigated by consumer CASA growth of 1.9% (2.9)% YoY 34 Mar 17 Dec 17 Mar 18 Consumer BB + SME Mar 17 Dec 17 Mar 18 Consumer BB + SME (2.9)% QoQ Mar 17 Dec 17 Mar 18 Mass HAB Note: Customer classification: HAB (IA>RM50k, TFA>RM250k). HAB comprises of HNW, Affluent and Emerging Affluent segments. TFA: Total Financial Assets (Deposits, Investments, Financing & Protection). Maybank2u 1-month active users grew 22% YoY driven by growth in mobile users Maybank2u 1-month active users 3.9 Mar 17 Mar % YoY of which Mobile 1-month active users % YoY 2.1 Mar 17 Mar 18

36 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

37 Global Banking: Overview of Malaysia Corporate Banking Portfolio Total GB loans increased 8.8% YoY to RM83.2 billion Trade Finance market share RM billion 25.1% 24.7% 24.5% 24.4% Term Loan % YoY 23.5% 37.9 Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Short Term Revolving Credit % YoY Note: Market share of total trade products (On Balance Sheet items, Contingent Liabilities and Others) Corporate Banking GIL ratio at 2.34% as at Mar 2018 Trade Finance and Others (3.4)% YoY 1.93% 1.97% 1.92% 1.58% 2.34% Mar 18 Dec 17 Mar 17 Note: Term Loan includes foreign currency denominated accounts, while Trade Finance and Others is combined with Overdraft. Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 36

38 RM billion Global Banking: Overview of Group Securities and Global Markets Portfolio Group Securities Portfolio¹ grew 4.0% YoY +4.0% YoY Others (NIDs, BA, etc) PDS Foreign 17.3% 28.8% PDS/Corp Bonds - Domestic Group Securities Portfolio¹: 34.6% Foreign Securities as at March FY2018 1Q FY % RM billion Government Securities - Domestic 23.9% 22.0% Government Securities - Foreign Others (NIDs, BA, etc) 6.7% PDS Foreign 14.8% 33.2% PDS/Corp Bonds - Domestic 1Q FY2018 RM billion Government Securities - Domestic 25.5% 19.8% Government Securities - Foreign 41% of PDS (Maybank Conventional Malaysia) rated AA or above as at March FY2018 1Q FY2017 1Q FY %, AAA 25.0%, AAA Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Govt. Securities PDS/Corp Bonds Others Note: ¹ Group Securities Portfolio is inclusive of Financial assets designated upon initial recognition( part of FVTPL) 63.5% Others RM24.4 billion 2.4% Commercial Papers 18.3%, AA 0.3%, A 0.1%, <A 58.4% Others RM34.1 billion Commercial Papers 16.0%, AA 0.2%, A 0.3% 0.1%, <A Note: Others category refers to Government Guaranteed bonds, Partially Government Guaranteed bonds and non rated bonds 37

39 RM million Global Banking: Overview of Group Investment Banking Portfolio 1Q FY2018 Total Income Breakdown by Country Total Income for Maybank Kim Eng Hong Kong Philippines 4% 5% Indonesia 4% Thailand 16% Others 3% RM415.6 million Malaysia 37% % YoY Singapore 31% 1Q FY2017 1Q FY2018 YTD Mar 2018 Brokerage Market Share by Country 1Q FY2018 Fee-based Income for Malaysia 38 Country Rank Market Share Trading Value (USD mil) Thailand 2 6.2% 15,065.1 Malaysia % 9,496.2 Philippines 8 4.0% Indonesia Tier 2 1.9% 1,696.6 Hong Kong Tier 2 0.4% 9,953.0 Singapore N/A 1 4.1% 5,813.8 Vietnam N/A 1 2.1% Singapore & Vietnam s YTD ranking data are not available. Note: Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings Other Fee Income Agency/ 9.9% Guarantee Fees 3.8% Advisory Fees 1.3% Underwriting & Placement Fees 9.2% Arranger Fees 21.3% Brokerage Fees 54.6%

40 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

41 Maybank Singapore: P&L Summary SGD million 1Q FY2018 1Q FY2017 YoY Net fund based income % Net fee based income % Net income % Overhead expenses (104.03) (91.32) 13.9% Operating profit % Profit before taxation % Net fund-based income rose 11.5%, largely driven by net interest margin improvement. Fee-based income increased 31.0%, led by higher treasury income, wealth management and one-off property disposal gain. Overhead expenses rose 13.9% arising from higher personnel and information technology costs. Positive JAWS of 3.9% was achieved, buoyed by strong income growth of 17.8% outpacing expense growth. Operating profit was higher by 20.1% YoY at S$ million. PBT grew 82.2% YoY to S$ million due to lower impairment allowances. Note: 1Q FY2017 figures are restated to align the Islamic banking income re-classification adjustments made effective

42 SGD billion SGD billion SGD billion Maybank Singapore: Overview of Loans and Deposits Portfolio Diversified Loan Portfolio Consumer deposits account for 52% of deposits +5.5% YoY +3.6% YoY Consumer 41% Other (Consumer) Car Loan Housing Loan Consumer 52% Consumer - Time Deposits Consumer CASA Mar 17 Dec 17 Mar 18 Corporate 59% Others (Corporate) Non-Bank financial Inst General Commerce Building & Construction Mar 17 Dec 17 Mar 18 Corporate 48% Consumer deposits rose to S$22.7 billion as both FD and CASA increased S$0.4 billion YoY each. Business Time Deposits Business CASA Business deposits expanded YoY as CASA grew S$0.3 billion and FD increased S$0.2 billion. Maybank Singapore loans rose 5.5% YoY % YoY change Encouraging CASA growth of 5.0% YoY; CASA ratio also improved to 30.9% in Mar 2018 from 30.5% a year ago 6.4% 6.4% 8.1% 8.0% 8.9% Time Deposits 5.8% 4.9% 4.6% 4.3% 5.5% Demand Deposits Savings Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Maybank Singapore Growth Industry Growth Mar 17 Dec 17 Mar 18 CASA Ratio: 30.9% 41

43 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

44 Maybank Indonesia: P&L Summary IDR billion 1Q FY2018 1Q FY2017 YoY 4Q FY2017 QoQ Net Fund Based income 1,890 1,900 (0.5)% 1,975 (4.3)% Net Fee Based income (6.9)% 588 (10.2)% Net income 2,418 2,467 (2.0)% 2,563 (5.7)% Overhead expenses (1,508) (1,444) 4.5% (1,300) 16.1% Personnel (648) (612) 5.8% (516) 25.6% General and Administrative (861) (832) 3.5% (784) 9.8% Operating profit 910 1,023 (11.1)% 1,264 (28.0)% Provisions Expenses (263) (358) (26.5)% (787) (66.6)% Non Operating (Expense)/Income (7) (8) (17.9)% 44 >(100)% Profit Before Tax and Non-Controlling Interest (2.6)% % Tax and Non-Controlling Interest (177) (167) 6.0% (165) 7.0% Profit After Tax and Non-Controlling Interest (5.5)% % EPS - Basic (IDR) (5.5)% % 43

45 Maybank Indonesia: Financial Ratios and Loans Portfolio Breakdown Key Operating Ratios Loans Portfolio Breakdown Key Operating Ratios Mar 18 Dec 17 Mar 17 YoY IDR Trillion 31 Mar Dec 2017 QoQ 31 Mar 2017 YoY Profitability & Efficiency Return on Assets 1.46% 1.48% 1.59% (0.14)% Return on Equities (Tier 1) 9.60% 9.91% 11.30% (1.70)% Net Interest Margin 4.83% 5.17% 5.17% (0.33)% Cost to Income Ratio 62.38% 55.53% 58.53% 3.85% Asset Quality NPL - Gross 3.02% 2.81% 3.70% (0.69)% Liquidity & Capital Adequacy LCR % % % 5.22% CET % 14.64% 13.55% 1.38% CAR 17.63% 17.53% 16.94% 0.69% CFS (0.4)% % CFS Retail % 43.4 (1.3)% Auto Loan % % Mortgage (2.4)% 17.3 (9.8)% CC + Personal Loan % % Other Loans % 0.4 (1.9)% CFS Non-Retail (1.0)% % RSME % % Business Banking (3.3)% % Global Banking (8.4)% % Total (2.3)% % Note: Maybank Indonesia s loans breakdown is mapped in accordance to its local regulatory reporting requirements. 44

46 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

47 RM billion Islamic Banking: Performance Overview Group Islamic Banking Financial Performance RM million Key Financial Ratios 1Q FY2018 Maybank Islamic: Key Financial Ratios 1Q FY2018 1Q FY2017 1Q FY2017 Net Profit Margin (YTD) 1.88% 1.93% Total Capital Ratio (TCR) 18.89% 17.98% Cost to Income Ratio (CIR) 34.25% 37.01% Direct FDR % 95.9% YoY Total Income 1, , % Profit Before Tax (31.2)% Financing & Advances 178, , % Deposits & Investment Account: 173, , % Deposits from Customers 151, , % Investment Account 21, ,714.6 (31.1)% Group Islamic Banking s performance includes key markets in Malaysia, Indonesia and Singapore Note: ¹ Direct Financing to Deposits Ratio (FDR) comprising gross financing against deposit and Unrestricted Investment Account (exc. RPSIA assets and liabilities) Maybank Islamic: Total Gross Financing grew to RM167.8 billion % % Note: Figures are as per latest segmentation breakdown Maybank Islamic Contribution to Maybank Malaysia Loans and Financing as at Mar 18 Maybank Islamic, 57.7% AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB) CFS: 8% 8% Maybank Conventional, Malaysia, 42.3% 5.6 9% 6.1 Year 31% GB: 21% Contribution Mar % Jun % Sep % Dec % Mar % Mar 17 Mar 18 12%

48 Islamic Banking: Market Share Maybank Islamic Market Share (Malaysia) Market Share by Product (Malaysia) 33.5% 33.6% 33.6% 33.8% 33.6% Key Products Mar 18 Mar 17 Automobile Financing 45.0% 44.7% 29.8% 29.6% 29.7% 30.4% 31.2% Home 27.5% 28.3% Term financing 31.3% 29.5% Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 Financing Deposits & Investment Accounts Source for industry numbers: Latest BNM Monthly Statistical Bulletin Maybank Islamic ranks No.1 by Asset Market Share in Malaysia Malaysia Asset Market Share Dec 17 Rank Maybank Islamic 31% 1 CIMB Islamic 13% 2 Source for industry numbers: Latest BNM Monthly Statistical Bulletin Sukuk League Table Ranking Mar 18 Global Sukuk League Table Ranking Market Share (%) Amount (USD million) Issues #7 Maybank 5.86% MYR Sukuk League Table Ranking Market Share (%) Amount (USD million) Issues #3 Maybank 21.68% 1, RHB Islamic 9% 3 Source: Latest BNM monthly statistical bulletin & respective Bank s Financial Statements Source: Bloomberg 47

49 RM million RM billion Insurance and Takaful: Performance Overview Gross Premium Single Premium >100% Regular Premium 2.5% 1Q FY2018 Credit Premium Group Premium 51.0% 6.1% 1Q FY2017 Total Life/Family 29.1% Fire Motor 14.5% (4.2)% MAT (2.1)% Personal Accident Misc 17.8% 20.8% Total General 14.5% Total Life/Family & General 22.2% ,000 1,500 2,000 2,500 RM Million Profit Before Tax (39.9)% YoY Life / Family (New Business) Market Share AIA Ins. & Tak. Prudential Ins. & Tak. GE Ins. & Tak. Etiqa Ins. & Tak. General Insurance and Takaful Market Share Etiqa Ins. & Tak. Allianz Insurance HL-MSIG Ins. & Tak. Total Assets 9.9% 13.1% 14.4% 21.5% No. 4 in Life/Family (New Business) 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 8.0% 11.6% No. 1 in General 10.6% Insurance and Takaful 0.0% 5.0% 10.0% 15.0% Note: Market Share is for period Jan 17 Dec 17 (Source: LIAM / ISM Statistics) +8.4% YoY Q FY2017 1Q FY2018 Life/Family General Shareholder's Fund Mar 17 Dec 17 Mar 18 Note: Gross Premium, Profit Before Tax and Total Assets are presented at EIHSB level 48

50 PESO million PESO million Maybank Philippines: Performance Overview Key Highlights Revenue increased by 2.3% YoY, led by higher net interest income (NII). Increase in NII contributed by higher interest income from term loans. PBT decreased by 29.6% YoY mainly due to higher overheads, coupled with higher provisioning. Gross loans rose by 13.6% YTD annualised or PESO 2.4 billion YoY driven by growth in term loans. Customer deposits advanced by 6.1% YTD annualised or PESO 1.2 billion YoY mainly supported by growth in fixed deposits. Gross impaired loans ratio improved by 28 bps to 2.32% due to decrease in NPL. 49 Key Ratios 1Q FY2018 1Q FY2017 Return on assets 0.90% 1.43% Return on equity 8.31% 8.34% Cost-to-income ratio 79.27% 72.59% Loans to Deposit ratio 96.01% 84.23% Gross Impaired Loans Ratio 2.32% 2.60% No. of branches Revenue and PBT +2.3% YoY 1, ,388.7 (29.6)% YoY Q FY2017 1Q FY2018 Gross Loans and Deposits +6.1% YTD* +13.6% YTD* 77, , , ,803.5 Dec 17 Mar 18 * Annualised Revenue PBT Gross Loans Customers Deposits

51 Table of Contents Executive Summary 2 Results Overview 5 Prospects & Outlook 18 Appendix: 1. Financial Performance Community Financial Services Global Banking Maybank Singapore Maybank Indonesia Other segments Affiliates Financial Results: 1Q FY2018 ended 31 March 2018

52 VND billion VND billion An Binh Bank: Performance Overview Key Highlights Revenue and PBT Revenue increased by 41.5% YoY, mainly due to higher fee based income % YoY PBT increased by VND273.8 billion YoY, mainly contributed by higher revenue. Gross loans reduced by 50.0% YTD annualised mainly due to a decrease in corporate lending. Customer deposits decreased by 27.0% YTD annualised mainly due to lower CASA base. Gross NPL ratio increased by 85bps to 2.76% YoY, mainly contributed by higher NPL >100% YoY Q FY Q FY2018 Revenue PBT Gross Loans and Deposits Key Ratios 1Q FY2018 1Q FY2017 Return on assets 1.90% 0.50% Return on equity 23.40% 6.20% Cost-to-income ratio 39.80% 52.48% Loans-to-Deposit ratio 89.22% % Gross NPL Ratio 2.76% 1.91% (27.0) % YTD* 60,120.7 (50.0)% YTD* 57, , ,023.3 Dec 17 Mar 18 Gross Loans Customers Deposits * Annualised 51

53 PKR billion PKR billion MCB Bank: Performance Overview Key Highlights Revenue and PBT Revenue increased by 3.8% YoY, led by higher net interest income (NII). 3.8% YoY PBT decreased by 22.0% YoY, mainly attributed to higher overhead expenses. Gross loans increased by 4.6% YTD annualised, mainly driven by growth in domestic loans and Islamic financing. Customer deposits grew by 18.3% YTD annualised, mainly contributed by higher CASA (22.0)% YoY Revenue PBT Gross NPL ratio increased from 5.4% to 9.4%, mainly attributed to higher NPL. 1Q FY2017 1Q FY2018 Gross Loans and Deposits +18.3% YTD* ,018.5 Key Ratios 1Q FY2018 1Q FY2017 Return on assets 1.46% 2.02% Return on equity 13.99% 19.54% Cost-to-income ratio 59.45% 45.28% Loans-to-Deposit ratio 54.28% 48.10% Gross NPL Ratio 9.41% 5.39% +4.6% YTD* Dec 17 Mar 18 Gross Loans Customers Deposits * Annualised 52

54 Humanising Financial Services MALAYAN BANKING BERHAD 14th Floor, Menara Maybank 100, Jalan Tun Perak Kuala Lumpur, Malaysia Tel : (6) Investor Relations Contact Dato Amirul Feisal Wan Zahir Group Chief Financial Officer Contact: (6) feisal.zahir@maybank.com Jeeva Arulampalam Head, Group Investor Relations Contact: (6) jeeva.a@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. 53