#1Maybank Humanising Financial Services SINCE 1960 Investor Presentation Financial Results Third Quarter and Nine Months FY2020 ended 30 September 2020 27 November 2020 www.maybank.com#2Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#3Maybank Group 3Q & 9M FY2020 Overview 3Q FY2020 vs 2Q FY2020 Performance Income up 7.6%: As NIM rebounds 9 bps QoQ on lagged re-pricing of deposit cost following earlier rate cuts and absence of Day-One net modification (mod) loss impact Continued growth in Group CASA of 8.3% QoQ across home markets Core fees improved QoQ on higher commission and brokerage fees while investment and trading income also increased Flat Cost QoQ: Revenue-related expenses increased as business activities resumed mitigated by lower discretionary staff expenses. 3Q FY2020 CIR of 44.5% with positive JAWS of 7.7% Provisioning reduces by >50%: ☐ On lower provisioning across the stages. 2Q saw larger provisioning made for specific borrowers Net profit of RM1.95 billion, with ROE at 9.7% Strong Liquidity and Capital Positions 9M FY2020 YoY Performance Income up 1.1%: On higher realised securities disposal gains under investment and trading income as well as MTM derivatives revaluation gains Offset by NIM compression of 19bps YoY on rate reductions in home markets and net mod loss impact As well as reduced core fees on lower business activity However, Group CASA grew 27.4% driven by all home markets, with Group CASA ratio at 42.1% from 34.6% Lower Expenses by 2.8%: On lower marketing expenses on cancelled physical events and lower business activity-related expenses 9M FY2020 CIR of 45.3% with positive JAWS of 3.9% Provisioning increases: ■ >100% increase YoY to RM3.51 billion on proactive provisioning through management overlay, forward looking assumptions for weakening macroeconomic variables and topping up for existing impaired accounts Net profit down 14% to RM4.94 billion, with ROE at 8.2% Group LCR at 146.6%, Group LDR at 87.8%, Group LTF at 80.3% and Group LTFE at 70.9% as at 30 Sept'20 ■ Total capital and fully loaded CET1 capital ratios at 18.89%* and 15.28%* respectively as at end-Sep❜20 Interim dividend of 13.5 sen per share, fully electable under the Dividend Reinvestment Plan Note: *After proposed dividend and assumption of 85% reinvestment rate. 2 Maybank#4Continued Commitment in Supporting Customers Through the COVID-19 Pandemic Maybank Group's Loans Under Repayment Assistance, Relief or R&R Programmes for Three Home Markets • Malaysia as at % of Outstanding Loan Balance^ 14 Aug as at 12 Nov Mortgage 83.9% 10.0% Auto Finance 90.1% 4.1% Unit Trust 92.5% 4.3% Other Retail Loans 54.9% 6.3% SME 85.6% 23.8% Business Banking 77.5% 20.5% Corporate 25.7% 28.4% As of 6 Nov, total BNM Special Relief Facility loans disbursed to SMEs was RM1.7 billion Continued Repayment Assistance by Maybank, post moratorium • . . -89% of retail customer base continued servicing loans/financing payments as usual, post-automatic moratorium expiry. >93k Repayment Assistance applications received from individual and SME customers as at 16 Nov. All eligible applicants have been approved. -43% of approved applicants granted an additional 3 months repayment deferment up to 31 Dec, mainly due to loss of employment. Other applicants requested a repayment reduction due to reduced income. Also offering Targeted Repayment Assistance to eligible B40 individual and Microenterprise customers effective 23 Nov 2020 up to 30 June 2021. Customers may apply for a 3-month deferment of instalments or a 50% instalment reduction for 6 months. 3 Singapore % of Outstanding Loan Balance^ Indonesia as at as at % of Outstanding Loan Balance^ 14 Aug 12 Nov as at 14 Aug as at 10 Nov Mortgage 10.4% 10.6% Mortgage 12.6% 17.0% SME 28.2% 35.6% Auto Finance* 20.8% 16.6% Business Banking 37.4% 40.5% Credit Cards & Personal Loans 9.4% 10.7% Corporate 7.6% 7.2% RSME 20.3% 22.2% Total 10.8%¹ 11.3% SME+ 18.8% 23.7% * Bank-only, Maybank Singapore has provided SGD1.0 billion Government relief loans (i.e., Enterprise Singapore loans) to 2,000 RSME and Business Banking customers² as at 12 November 1 Singapore's Total % as at 14 Aug has been restated due to an error in the previous disclosure 2 Based on number of accounts Λ Against outstanding total gross loans by each country's segment @ 31 Jul 2020 & 31 Oct 2020 Business Banking 12.4% 15.9% Corporate 21.4% 25.7% not including subsidiaries i.e., WOM and Maybank Total 17.7% 20.8% Finance. Maybank#54 Monetary Transaction Value (RM bln/IDR tln/SGD bln) Digital Platforms Continue to Boost Consumer Spend and Support SMEs Sama-Sama Lokal . • Sama-Sama Lokal selected as part of PENJANA - Maybank is the only bank selected for this initiative. The goal is to digitise our SMEs, enabling them to operate during lockdowns and to correspondingly stimulate consumer spending via marketing campaigns During the campaign, we digitised ~4,000 SMEs and generated sales for merchants of RM2.0 million at zero cost to SMEs. • RSME Loan STP • Application to Approval within 10 minutes Available 24/7 on Maybank2u & Maybank2uBiz Disbursement within 1 minute for eligible customers upon offer acceptance As at mid November, more than 4k applications approved, with over RM359mil disbursed to almost 2.9k applicants Bina Bersama Merdeka Campaign Driving a total of RM55.9 billion transaction value and 106.3 million transaction volume across our digital platforms. MAE signups increased to an average of 2,845 accounts per day, up 44% compared to pre-campaign. Maybank2u QoQ: 30.7% 181.70 138.97 YoY: 52.5% 119.18 14.88 10.87 12.63 QOQ: 17.8% YoY: 36.9% QoQ: 23.1% 6.28 4.94 5.10 YoY: 27.0% Sep 2019 Jun 2020 Sep 2020 Transaction Volume Growth (QoQ): MY: 2.2% IND: 16.1% SG: 33.2% Monetary Transaction Value (RM bln/IDR tln) Mobile App 68.35 QoQ: 40.3% YoY: >100% 48.73 29.68 QoQ: 25.9% 7.83 9.85 YoY: 100% 4.41 Sep 2019 Jun 2020 Sep 2020 Transaction Volume Growth (QoQ): MY: 3.1% IND: 17.7% QRPay Transaction Volume QRPAY 3.22 mln 1.59 QoQ: >100% YoY: >100% 0.70 mln mln 819.24k QoQ:>100% 393.40k Sep 2019 Jun 2020 Sep 2020 Malaysia Indonesia -Singapore Maybank#6Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#7P&L Summary: 9M FY2020 Strong net fee based income and reduction in overhead expenses resulted in PPOP growth of 4.6% YoY More details RM million on s.24 Net fund based income * 5.9/ Net fee based income * 10/24 S.22/ 23 Net operating income 9M 9M YOY FY2020 FY2019 3Q 2Q FY2020 FY2020 QoQ 3Q FY2019 YOY 6,137.5 5,252.1 12,313.0 12,995.9 (5.3) % 4,128.3 3,840.3 16.9% 1,949.5 1,808.3 7.5% 4,522.2 (8.7)% 7.8% 1,976.0 (1.3)% 18,450.5 18,247.9 1.1% 6,077.8 5,648.5 7.6% 6,498.2 (6.5)% s.11 Overhead expenses (8,352.8) (8,592.8) (2.8) % (2,704.4) (2,706.3) (0.1) % (2,963.6) (8.7)% Net impairment losses Operating profit s.22 Profit before taxation and zakat (PBT) Net Profit 2 - EPS Basic (sen) 44.0 s.23 Pre-provisioning operating profit (PPOP) 1 10,097.7 9,655.1 4.6% (3,570.9) (2,024.5) 76.4% (805.9) (1,740.7) (53.7) % (934.9) (13.8)% 6,526.9 7,630.6 (14.5) % 2,567.5 1,201.5 >100% 2,599.7 (1.2)% 6,664.8 7,750.3 (14.0) % 2,611.3 1,255.7 >100% 2,648.3 (1.4)% 4,943.8 5,748.9 (14.0)% 1,952.4 941.7 >100% 1,998.8 (2.3)% (14.8)% 3,373.4 2,942.2 14.7% 3,534.6 (4.6)% 51.6 17.4 8.4 > 100% 17.8 (2.3)% Note: * From consolidated 9M FY2020 Group numbers, Insurance and Takaful accounts for 11.3% of net fund based income and 6.8% of net fee based income 1 Pre-provisioning operating profit (PPOP) is equivalent to operating profit before impairment losses 2 Net Profit is equivalent to profit attributable to equity holders of the Bank 6 Maybank#8Group Gross Loans (YoY) RM billion Net Fund Based Income: 9M FY2020 YoY Trends (1/2) CASA growth momentum continues across the Group, while loans growth in Malaysia supported by franchise strength (0.6)% 525.0 521.8 Sep 19 Group Deposits (YoY) +4.8% Sep 20 566.2 76.5 (9.9)% 593.2 69.0 (6.5)% RM billion 274.6 293.7 +27.4% 196.0 249.6 Sep 19 Sep 20 CASA Ratio : 34.6% 42.1% RM billion RM billion Malaysia Singapore Indonesia Community Financial Services ■Global Banking +5.2% (7.8)% (15.8)% 308.0 324.2 81.6 (1.1)% 80.8 +7.5% 226.1 243.2 Sep 19 Sep 20 +3.3% 356.1 367.8 76.5 (9..9)% 69.0 (14.1)% 125.7 146.3 +29.8% 133.4 173.1 Sep 19 Sep 20 37.5% 47.1% Note: Industry loans growth for Malaysia is 4.4%, Singapore is -0.2% and Indonesia is -0.4% • CASA ratio for Group and Malaysia includes investment accounts • Refer to pages 26-28 for detailed information on loans and deposits growth by country and products. 7 SGD billion SGD billion 41.8 38.6 19.0 (13.5)% 16.4 22.7 (3.5)% 21.9 Sep 19 Sep 20 CASA FD ■ Others +10.2% 47.6 52.5 34.1 +1.6% 34.6 13.5 +31.8% 17.8 Sep 19 Sep 20 28.4% 34.0% IDR trillion IDR trillion 133.8 112.7 38.2 (0.7)% 37.9 (21.8)% 95.4 74.6 Sep 19 Sep 20 +0.8% 115.7 116.7 73.8 (4.4)% 70.5 41.9 +10.0% 46.1 Sep 19 Sep 20 36.2% 39.5% Maybank#9Net Fund Based Income: 9M FY2020 (2/2) NIM compression of 19 bps for YTD 9M FY2020 with net mod loss impact, while QoQ NIM rebounded by 9 bps 8 5 Year Trend 2.27 Net Interest Margin (%) QoQ Trend 2.32 2.29 2.23 2.05 1.96 3Q '19 4Q '19 1Q '20 2Q '20 3Q '20 Rate cuts in 9M'2020: 2.36 ■ 125bps OPR cut 2.33 ■ 3-Mth Sibor reduces 130+bps 100bps cut in Indonesia's Reference Rate 2.27 2.13 Without mod loss 2.08 With mod loss FY2016 FY2017 FY2018 FY2019 9M FY2020 Maybank#10RM million Net Fee Based Income: 9M FY2020 (YoY) Growth driven by realised securities disposal gains and MTM derivatives revaluation gains RM million 9M FY2019 9M FY2020 YOY Commission, service charges and fees 2,460 2,285 (7.2)% Investment & trading income 1,478 1,959 32.5% Unrealised gain/ (losses) on financial 1,359 277 assets and investments (79.6)% Derivatives and financial liabilities (325) 830 (>100)% Foreign exchange profit 564 171 (69.6)% Other income 270 274 1.8% Total Group's Other Operating Income 5,806 5,797 (0.2)% Of which: Other Operating Income from Insurance 1,593 732 (54.0)% +16.9% YoY +20.2% YoY +11.5% YoY (2.1)% YoY 6,137 5,252 5,065 4,213 409 456 630 616 Total Other Operating Income from Banking Operations 1 Fee Income from Islamic Operations Net Fee Income from Insurance 2 Notes using Maybank's 3Q FY2020 Financial Statements: 9M FY2019 9M FY2020 1 Group's 'Other operating income' [Note A25] less ‘Other operating income' from Insurance [Note A39(a)] 2 Summation of ‘Other Operating Income' from Insurance and 'Net earned insurance premiums' under Note A39(a) with 'Net insurance benefits and claims incurred, net fee and commission expenses, change in expense liabilities and taxation of life and takaful fund' under Note A26 9 Maybank#11Net Fee Based Income: 3Q FY2020 (QoQ) QoQ improvement seen in core fees and investment disposal gains 30 2Q 3Q RM million QoQ YOY FY2020 FY2020 FY2019 Commission, service charges and fees 771 693 11.2% 882 (12.5)% Investment & trading income 711 479 48.3% 834 (14.7)% Unrealised gain/ (losses) on financial 249 1,380 (82.0)% i 318 (21.7)% assets and investments Derivatives and financial liabilities 179 (412) (>100)% (107) (>100)% Foreign exchange profit 26 197 (87.0)% 132 (80.5)% Other income 100 90 12.2% 90 11.6% Total Group's Other Operating Income 2,037 2,427 Of which: Other Operating Income from Insurance 510 1,017 (16.1)% 2,149 (49.9)% 497 (5.2)% 2.7% (1.3)% YoY (7.6)% YoY +7.8% QoQ +8.2% QoQ +20.6% YoY +46.1% QoQ +37.3% YoY (8.7)% QoQ 3Q FY2019 1,976 1,808 1,949 1,652 RM million 1,411 1,527 2Q FY2020 3Q FY2020 132 109 160 192 289 263 Other Operating Income from Banking Operations Total Notes using Maybank's 3Q FY2020 Financial Statements: 1 Group's 'Other operating income' [Note A25] less ‘Other operating income' from Insurance [Note A39(a)] 2 Summation of ‘Other Operating Income' from Insurance and 'Net earned insurance premiums' under Note A39(a) with 'Net insurance benefits and claims incurred, net fee and commission expenses, change in expense liabilities and taxation of life and takaful fund' under Note A26 10 ④Maybank Fee Income from Islamic Operations Net Fee Income from Insurance 2#12Overheads: 9M FY2020 (YoY) Continued cost containment efforts yield CIR of 45.3% and positive JAWS of 3.9% for 9M FY2020 9M 9M RM million YOY FY2020 FY2019 3Q FY2020 2Q FY2020 QoQ 3Q FY2019 YOY Personnel Costs 4,952.5 5,023.6 (1.4)% 1,581.5 1,644.0 (3.8)% 1,680.0 (5.9)% Establishment Costs 1,399.0 1,370.8 2.1% 482.5 458.4 5.3% 480.8 0.4% Marketing Expenses 269.3 449.3 (40.1)% 84.1 76.5 9.9% 157.5 (46.6)% Administration & General 1,732.0 1,749.2 (1.0)% 556.2 527.4 5.5% 645.3 (13.8)% Expenses Total 8,352.8 8,592.8 (2.8)% 2,704.4 2,706.3 (0.1)% 2,963.6 (8.7)% % 9M FY2020 9M FY2019 YOY 3Q FY2020 2Q FY2020 QoQ 3Q FY2019 YOY Total Cost to Income 1 45.3% 47.1% (1.8)% 44.5% 47.9% (3.4)% 45.6% (1.1)% Group JAWS Position 3.9% 7.7% 2.3% Note: 1 Total cost excludes amortisation of intangible assets for Maybank Indonesia and Maybank Kim Eng 11 Maybank#13Asset Quality (1/2) Provisioning increased on top-ups for existing impaired accounts and additional overlays from 1H'20 Allowances for losses on loans Loan loss coverage 106.8% 99.2% 89.1% 90.8% 89.5% 9M FY2020 ECL includes: -RM580 million additional provisioning on MEV adjustments incl. Regulatory Reserve 97.6% -RM1.5 billion in 90.5% Loan loss coverage 77.3% 81.5% management overlays 76.7% ECL (RM million) 3Q FY2019 4Q FY2019 1Q FY2020 2Q FY2020 3Q FY2020 9M FY2019 9M FY2020 Stage 1, net (84) (218) (133) 102 (63) (547) (95) Stage 2, net 58 (235) 550 906 295 (24) 1,750 Stage 3, net 1,070 877 598 761 642 2,758 2,001 Write-offs 13 26 19 12 38 72 68 Recoveries (111) (107) (73) (41) (115) (323) (230) Other debts Total 12 958 (8) 334 1 1 8 18 10 962 1,739 804 1,954 3,505 Of which, represented by: Group Community Financial Services (GCFS) Group Global Banking (GGB) (3) 1,298 1,947 2,201 Group Insurance & Takaful (Etiqa) 10 6 Net Charge Off Rate (YTD annualised) (50) bps (89) bps Note: Loan loss coverage includes ECL for loans at FVOCI as per Note A11(xii) of the Group's Financial Statements 12 Maybank#14Asset Quality (2/2) GIL for Group and by Home Markets trending down on slower formation of newly impaired loans and write-offs Group Gross Impaired Loans (GIL) Ratio Composition 13 GIL Ratio Components Sep 2020 Jun 2020 Mar 2020 Dec 2019 Sep 2019 Non Performing Loans (NPL) 1.93% 2.03% 2.20% 2.20% 2.12% Restructured & Rescheduled (R&R) 0.09% 0.09% 0.06% 0.05% 0.13% Performing Loans Impaired Due to Judgmental/ 0.33% 0.37% 0.45% 0.40% 0.42% Obligatory Triggers (IPL) GIL Ratio 2.35% 2.49% 2.71% 2.65% 2.67% GIL Ratio by Home Markets 6.17% 5.59% 5.05% 4.93% 4.48% 3.87% 4.04% 3.39% 3.41% 3.36% 2.07% 1.95% 1.96% 1.68% Sep 2019 Dec 2019 Mar 2020 Jun 2020 -Malaysia -Singapore -Indonesia 1.57% Sep 2020 Maybank#15Asset Quality by Line of Business in Home Markets Consumer lines records QoQ improvement across the markets, with slight uptick seen in some business lines Consumer Mortgage Auto Finance Credit Cards MBI GIL normalised to 3.12% 3.11% include IFRS 9 impact 7.98% 5.39% 7.16% 2.38% 4.65% 4.70% 2.22% 1.71% 1.77% 1.88% 1.05% 2.44% 2.35% 2.90% 2.97% 0.98% 0.88% 1.66% 0.91% 0.87% 0.92% 0.85% 0.77% 1.06% 1.05% 0.67% 0.71% 0.53% 0.65% 0.40% 0.59% 0.62% 0.65% 0.11% 0.27% 0.13% 0.56% 0.59% 0.09% 0.16% 0.58% 0.55% 0.64% 0.50% 0.28% T Sep 19 Business Dec 19 Mar 20 Jun 20 Sep 20 Retail SME (RSME) Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Sep 19 Business Banking (BB) Dec 19 Mar 20 Jun 20 Sep 20 Corporate Banking (CB) Note: 8.85% 9.76% 8.38% 9.40% 9.63% 10.30% 6.49% 8.25% 4.51% 7.92% 8.70% 9.18% 4.21% 4.30% 7.61% 6.39% 7.60% 7.34% 7.43% 7.56% 2.37% 2.42% 2.23% 6.21% 2.27% 2.23% 2.26% 2.35% 2.02% 2.02% 1.67% 2.44% 1.75% 1.76% 1.58% 1.89% 4.37% 2.79% 2.49% 2.37% 4.58% 3.95% 4.08% 2.20% 2.16% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Sep 19 Dec 19 -Malaysia Mar 20 Jun 20 Sep 20 -Singapore Indonesia Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 • In Malaysia, industry GIL ratio for mortgage (purchase of residential property) is 0.9%, 0.4% for auto finance and 0.9% for credit cards. • In Singapore, industry GIL figure is only available for mortgage, which was 0.5%. . Maybank Indonesia's GIL ratios are mapped in accordance to its local regulatory reporting requirements. It has fully adopted IFRS 9 effective 1Q FY2020 reporting. 14 Maybank#16Exposure to Oil & Gas and Real Estate Sectors: 30 September 2020 Reduction in O&G exposure size Group Exposure to Direct & Indirect Oil & Gas Borrowers Real Estate Exposure to Non-Retail Malaysian Borrowers Maybank Group 2.57% Note: " Malaysia Singapore Indonesia Others 1.71% 0.62% 0.07% 0.17% Others, 34.8% Funded-only loans exposure is 2.11% for Group 5-Year trend (Group exposure): 4.40% 3.54% 3.68% 2.87% 2.57% FY2016 FY2017 FY2018 FY2019 9M FY2020 Borrowers' Status: Normal Watchlist ■Special Mention Account GIL 66% 16% 2% 16% Of GIL breakdown: • 76% is from midstream Segmental Exposure: Upstream Midstream Downstream 31% 30% 39% Note: Midstream refers to the transportation (i.e. pipeline, rail, barge, oil tanker or truck), storage and wholesale marketing services of crude or refined petroleum products. 15 RM36.07 bil (or 11.13% of Malaysia High Rise Residential, 29.5% Gross Loans) Hotels, 6.2% Offices, 3.7% Malls, 9.3% Note: Landed Residential, 16.5% ■ Funded-only loans exposure is 9.92% 'Others' include Land, Industrial Buildings & Factories, Other Residential, Other Commercial and REITS Borrowers' Status: Normal Watchlist ■Special Mention Account GIL 73% 24% 1% 2% Of Watchlist breakdown: Of GIL breakdown: • 19% is from high rise residential • . 30% is from combined exposure 41% is from combined exposure to malls and hotels to malls, hotels and offices • 6% is from high rise residential Maybank#17Strong Liquidity & Capital Positions: 30 September 2020 Strong LCR of 146.6%, while Group CET1 capital ratio at 15.28% (assuming 85% reinvestment rate) Liquidity Risk Indicators After proposed dividend, Before proposed dividend assuming 85% 16 -LDR LTF LTFELCR reinvestment rate 19.39% 18.95% 18.89% Group 16.49% 16.09% 16.04% 141.5% 141.0% 138.2% 140.5% 146.6% 15.73% Dec 19 15.34% Sep 20 15.28% Sep 20 95.2% 92.5% 92.4% 90.6% ■Total Capital Ratio Tier 1 Capital Ratio CET 1 Capital Ratio 87.8% 86.5% 85.0% 84.8% 83.0% 19.39% 19.13% 19.02% 80.3% 76.2% 75.0% 74.6% Bank 16.12% 16.52% 16.42% 73.1% 70.9% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 15.31% Dec 19 Regulatory Requirement: 15.71% 15.61% Sep 20 Sep 20 Note: 1) BNM's minimum LCR requirement is 100% 2) LTF is gross loans divided by (deposits + borrowings + subdebt) while LTFE's denominator is (deposits + borrowings + subdebt + equity + capital securities) 3) LDR, LTF & LTFE excludes loans to banks and Fls Min. CET 1 Capital Ratio + Capital Conservation Buffer (CCB) is 7.0%, min. Tier 1 Capital Ratio + CCB is 8.5% and min. Total Capital Ratio + CCB is 10.5%. • 1.0% D-SIB Buffer effective 31 January 2021 Pending finalisation of Countercyclical Capital Buffer (0%-2.5%) Maybank#18Dividend: 9M FY2020 Single-tier interim dividend of 13.5 sen per share, fully electable under the Dividend Reinvestment Plan Dividend (sen), Payout Ratio (%) and Cash Component (%) 87.8% Dividend Payout Ratio 76.5% 74.9% 79.9% 74.7% 71.9% 78.5% 76.3% 78.1% 78.5% 77.3% 30.7% 27% 13% 11% 12% 20% 25% 19% 27% 67% 53% 100% 0% Cash Component of Total Dividend 65.0 64.0 60.0 57.0 57.0 55.0 53.5 55.0 54.0 52.0 33 # 39+ Final Interim 32 86.1%* 85.7%* 36.0 33 31 30 32* + 32 44 82.6%* 32 81.7%* 85.9%* 83.7%* 89.1%* 88.6%* 28 91.1%* 36 88.5%* 32 88.2%* 11 22.5 85.9%* 24 84.0%* 24 87.5%* 25+ 20 83.5%* 23 25 85.7%* 84.0%* 13.5 FY08 FY09 FY10 FY11 FP11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 ך 1% 87.8% 4.6% I I Effective Cash Dividend Paid Out 60.4% 61.4% ¦ ¦ 26.2% ¦ ¦ 17.2% ¦ ¦ 17.0% ¦ ¦ 19.0% ¦ ¦ 22.0% ¦ ¦ 29.0% ¦ ¦ 23.2% ¦ ¦ 28.6% | 57.2% ¦ ¦ 47.1% ¦ ¦ 87.8% ¦ from Net Profit Note: * • Actual Reinvestment Rate for Dividend Reinvestment Plan. Effective Cash Dividend Paid Out for Interim dividend FY2020 is based on an 85% reinvestment rate assumption. + The Final Dividend for FY2017, Interim and Second Interim Dividend for FY2019 are fully in cash. # The Net Dividend is 28.5 sen of which 15 sen is single-tier dividend. Maybank adopted the single-tier dividend regime with effect from FY2012. Dividend Payout ratio and Effective cash paid out for Interim dividend FY2020 is divided against Group's 9M FY2020 Net Profit 17 Maybank#19Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#20Maybank Performance Outlook Group guidance for remainder of FY2020 19 Key Guidance NIM compression guidance of 20 bps for FY2020, incorporating 2Q net mod loss impact and on assumption of no further rate cuts across home markets. • To maintain good quality deposits in local currencies, with strong CASA growth in home markets. • Continued cost management discipline as done over the years, with added emphasis in reducing discretionary expenses. CIR target of below 48% for FY2020. . • • Maintaining group net credit charge off (NCC) ratio guidance for FY2020 of between 75 bps to 100 bps. NCC to remain elevated into FY2021. Ongoing bottom-up borrower assessments to determine AQ impact. Group ROE guidance of circa 7.5%, arising from COVID-19 impact to the Group's income and provisioning. Key priority is to conserve capital and liquidity strength in this uncertain environment. Final dividend consideration will be dependent on full year FY2020 profit and subject to regulatory approvals. Loan Growth & Relief Measures Growth in Malaysia supported by retail and non-retail disbursements. Expected slowdown in key overseas markets, but offset by slower repayments given relief measures. We have continued engaging borrowers even before the expiry of automatic repayment deferments to ascertain business viability and monitor borrowers' evolving cash flow considerations. Arising from these engagements, we have been offering targeted repayment, rescheduling and refinancing assistance to borrowers tailored to their specific needs and will continue to do so. As part of our risk and asset quality management, we will maintain ongoing engagement with all customer segments. Maybank#21Market Outlook 2020 industry outlook for our home markets Key Indicators Malaysia • ● • • • • Singapore Indonesia GDP: -5.4% (2020F) vs 4.3% (2019) System loan: 2.5% (2020F) vs 3.9% (2019) OPR: 1.75% (2020F) vs 3.00% (2019) USD/MYR average: 4.20 (2020F) vs 4.14 (2019) Inflation: -1.0% (2020F) vs 0.7% (2019) GDP: -5.7% (2020F) vs 0.7% (2019) System loan: -2.0 to 1.0% (2020F) vs 4.2% (2019) • 3M SIBOR: 0.40% (2020F) vs 1.77% (2019) • USD/SGD average: 1.38 (2020F) vs 1.36 (2019) Inflation: -0.3% (2020F) vs 0.6% (2019) . GDP: -1.6% (2020F) vs 5.0% (2019) • System loan: 0.2% (2020F) vs 6.1% (2019) • • Reference Rate: 3.75% (2020F) vs 5.00% (2019) USD/IDR average: 14,690 (2020F) vs 14,313 (2019) Inflation: 2.0% (2020F) vs 2.8% (2019) Outlook • The economy is expected to shrink, reflecting the impact of the COVID-19 pandemic, domestic Movement Control Order (MCO) and drop in crude oil prices. • Stable NIMS moving forward amid expectations of no further OPR cuts and as deposits reprice. Credit cost to remain elevated as pre-emptive provisioning continues. . Recovery in 2H will be sluggish and choppy, dampened by the slow reopening of businesses, border controls, strict social distancing rules and foreign worker shortages. • Aggressive policy measures that focus largely on ensuring cash flow for affected corporates and households might assist in managing NPL risk better than past cycles. • Slower growth arising from the COVID-19 pandemic will come from domestic demand activities, especially private consumption, through the realisation of government incentive programmes. • OJK policy giving leniency for loan restructuring might help prevent NPL spikes. However, likely to have a negative impact on NIM. 20 20 Maybank#22Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 33 36 39 42 45#23International & Malaysia Portfolio Mix 9M FY2020 Net Operating Income 9M FY2020 (Jan 20 Sep 20) Profit Before Tax Overseas: 34.4% 6.5% 11.2% 16.7% RM18.45 billion 65.6% 9M FY2019 (Jan 19 Sep 19) Overseas: 37.7% Note: 12.1% 7.2% RM18.25 billion 18.4% 62.3% Overseas: 13.3% 8.34.2% 0.8% RM6.66 billion 86.7% ■ Malaysia ■ Singapore ■ Indonesia ■ Others Overseas: 13.8% * Including Islamic loans sold to Cagamas and excludes unwinding of interest 22 0.88,0% 7.0% RM7.75 billion Gross Loans* Overseas: 37.4% 7.9% 6.0% RM521.8 23.5% billion 62.6% 8.4% 7.5% RM525.0 billion 25.0% 59.1% 86.2% Overseas: 40.9% Maybank#24Segmental Performance of Businesses: 9M FY2020 (1/2) Net Operating Income +1.1% 18,248 18,451 Group Global Banking 9M FY2019: 7,284 +6.7% 9M FY2020: 7,775 +5.0% +26.6% (34.7)% RM million (5.8)% 10,187 9,594 6,339 6,659 9M FY2019 9M FY2020 814 1,031 130 85 Total Group Community Financial Services PPOP +4.6% 9,655 10,098 (10.0)% Group Corporate Banking & Global Markets Group Investment Banking Group Asset Management ■9M FY2019 Group Global Banking +11.5% ■9M FY2020 9M FY2019: 4,998 9M FY2020: 5,572 +6.5% +>100% (98.0%) RM million 4,598 4,955 5,276 4,138 (2.4)% 1,361 1,328 Group Insurance & Takaful (1.1)% Note: Total Group Community Financial Services Group Corporate Banking & Global Markets 642 635 2 295 41 1 Group Investment Banking Group Asset Management Group Insurance & Takaful Net income & PPOP for Group includes "Head Office & Others" expenditure of RM583.3 million for 9M FY2019 and RM246.8 million for 9M FY2020. 23 Maybank#25Segmental Performance of Businesses: 9M FY2020 (2/2) Net Fund Based Income (5.3)% 12,996 12,313 (4.2)% Group Global Banking +1.0% 9M FY2019: 4,173 9M FY2020: 4,216 +1.8% (9.7)% (82.8)% 9M FY2019 ■9M FY2020 (2.1)% 7,701 7,379 RM million 3,964 4,035 962 942 198 179 11 2 Total Net Fee Based Income +16.9% Group Community Financial Services Group Corporate Banking & Global Markets Group Investment Banking Group Asset Management Group Insurance & Takaful ■9M FY2019 Group Global Banking ▲ +14.4% 9M FY2019: 3,111 9M FY2020: 3,559 9M FY2020 6,137 5,252 (10.9)% +10.4% Л +38.3% (30.3)% (3.1)% RM million 2,486 2,215 2,375 2,624 852 616 398 386 119 83 Total Group Community Group Corporate Banking & Global Markets Note: Financial Services Net fund based income includes "Head Office & Others" income of RM159.9 million for 9M FY2019 and expenditure of RM224.1 million for 9M FY2020. Net fee based income includes "Head Office & Others" expenditure of RM743.2 million for 9M FY2019 and RM22.7 million for 9M FY2020. & Takaful Group Investment Banking Group Asset Management Group Insurance 24 Maybank#26Unaudited Income Statement for Insurance and Takaful Business RM million Net interest income Net earned premiums Other operating income Total operating income Net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities and life & takaful fund tax Net operating income Overhead expenses PPOP Net impairment losses Operating profit 9M FY2020 942.1 961.8 (2.0)% 6,676.1 4,999.5 33.5% 732.1 1,593.2 (54.0)% 8,350.3 7,554.4 10.5% 9M FY2019 YOY 3Q 2Q FY2020 FY2020 QoQ 310.7 315.9 (1.6)% 2,990.3 1,740.9 71.8% 1,749.1 71.0% 509.9 1,016.9 (49.9)% 496.7 2.7% 3,810.9 3,073.7 24.0% 2,573.2 3Q FY2019 327.4 (5.1)% YOY 48.1% (7,032.5) (6,204.4) 13.3% (3,344.5) (2,519.9) 32.7% (2,151.8) 55.4% 630.8 (21.9) 608.9 1,317.8 1,350.0 (2.4)% 466.4 (687.0) (707.9) (2.9)% (224.8) 642.1 (1.8)% 241.6 (25.5) (14.4)% (9.0) 616.6 (1.2)% 232.6 553.8 (15.8)% 421.4 (222.2) 1.2% (248.2) 331.6 (27.1)% (6.1) 48.4% 325.6 (28.6)% 164.5 10.7% (9.5)% 173.2 39.5% (8.7) 3.6% 41.4% Reconciliation of net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities and life & takaful fund tax RM million 9M FY2020 9M FY2019 YOY 3Q 2Q FY2020 FY2020 QoQ 3Q FY2019 YOY Net insurance benefits & claims incurred, net fee! & commission expenses, change in expense liabilities and life & takaful fund tax Less: intercompany elimination (7,032.5) (6,204.4) 13.3% (3,344.5) (2,519.9) 32.7% (2,151.8) 55.4% 240.5 241.5 (0.4)% 107.7 50.6 >100% 97.8 10.1% Total net insurance benefits & claims incurred, net fee & commission expenses, change in expense liabilities and life & takaful fund tax 25 (6,791.9) (5,962.9) 13.9% (3,236.9) (2,469.2) 31.1% (2,054.0) 57.6% Maybank#27Group Gross Loans Growth: 30 September 2020 % of Portfolio 30 Sep 30 Jun 2020 2020 i QoQ 31 Mar 31 Dec i 2020 | 2019 i YTD Ann. 30 Sep i YOY ¡ 2019 ¡ Group Gross Loans 521.8 520.2 0.3% ! 518.4 523.5 ▼ (0.4)% 525.0 ▼ (0.6)% Malaysia (RM billion) 62% 324.2 316.1 2.5% 314.3 i 314.1 4.3% 308.0 5.2% Community Financial Services (reported) 75% 243.2 234.6 3.7% 231.7 ! 231.3 ! 6.8% 226.1 ! 7.5% Community Financial Services (rebased)' 75% 243.2 234.6 3.7% 231. 1.7 231.0 7.0% 226.1 7.5% Global Banking (reported) 25% 80.8 81.0 (0.3) % 82.4 82.7 (3.0)% 81.6 ▼ (1.1)% Global Banking (rebased)1 25% 80.8 81.0 ▼ (0.3)% 82.4 82.9 (3.5)% 81.6 ! (1.1)% International (RM billion) 36% 189.8 198.1 (4.2)% 199.1 | 203.0 ▼ i + (8.7)% | 210.4 (9.8)% Singapore (SGD billion) 62% 38.6 38.9 Community Financial Services 57% 21.9 21.8 (1.0)%! 40.2 40.7 0.6% 21.9 22.1 (7.1)% ! 41.8 (7.8)% ▼(1.4)% 22.7 ▼ (3.5)% ! ! Global Banking 43% 16.4 17.0 Indonesia (IDR trillion) 16% 112.7 119.5 Community Financial Services 66% 74.6 80.9 Global Banking 34% 37.9 Other markets (RM billion) 22% 41.3 38.4 42.7 (3.1)% 18.2 ; 18.5 (5.7)% 128.1 ! 127.0 ▼ (7.8)% 88.6 91.3 ▼(1.3) % 39.3 35.5 (14.7)% 19.0 Investment banking (RM billion) 2% 7.8 6.0 (3.3)%! 43.6 ! 41.7 30.8% : 5.0 6.4 28.8% 8.8% (1.4)% ! 44.1 6.7 i (15.0)% 133.8 ! (15.8)% I (24.4)% 95.4 ▼(21.8)% 38.2 (0.7)% ▼ (6.3)% ▼ (13.5)% 17.5% Note: 1 Rebased loan growth figures are based on adjusted 31 December 2019 position in line with migration of client accounts, effective 1 January 2020 26 Maybank#28Malaysia Loans Growth: 30 September 2020 RM billion % of Portfolio 30 Sep 30 Jun 31 Mar QoQ i 31 Dec YTD 30 Sep YOY 2020 2020 2020 2019 Ann. 2019 Community Financial Services (reported) 75% 243.2 234.6 ! 3.7% ! 231.7 | 231.3 6.8% ! 226.1 7.5% Community Financial Services (rebased)¹ 75% 243.2 234.6 3.7% 231.7 231.0 7.0% 226.1 7.5% Consumer 61% 196.4 189.3 i 3.7% 187.9 i 186.9 6.8% | 182.9 7.4% Total Mortgage 33% 105.6 102.4! 3.2% 100.5 ! 97.7 10.9% 94.1 12.2% ! Auto Finance 16% 52.3 49.4 5.9% 49.4 ■ 49.6 7.1% ■ 49.1 6.5% " I Credit Cards 2% 7.1 6.7 5.9% 7.2 7.8 (11.7)% 7.5 (5.8)% Unit Trust 9% 29.2 28.7 1.7% ! 28.5 29.5 (1.5)% 29.8 (2.2)% ! Other Retail Loans 1% 2.2 2.2 ▼ (0.8)% 2.3 I " 2.3 ▼ (6.9)% 2.3 (5.5)% ! ! ! Business Banking + SME (reported) 14% 46.8 45.3 3.4% 43.8 44.4 ▲ 7.2% 43.2 8.3% Business Banking + SME (rebased)¹ 14% 46.8 45.3 3.4% 43.8 ! 44.1 8.0% ! 43.2 8.3% I SME (reported) 6% 20.9 20.0 4.6% 19.0 19.1 12.9% · 18.4 13.9% ! SME (rebased)¹ 6% 20.9 20.0 4.6% 19.0 18.8 15.5% 18.4 I 13.9% Business Banking (reported) 8% 25.9 25.2 2.5% 24.8 25.3 2.9% I 24.8 4.1% Business Banking (rebased)' 8% 25.9 25.2 2.5% 24.8 25.4 2.5% 24.8 4.1% Global Banking (Corporate) (reported) 25% 80.8 81.0 (0.3)% 82.4 ; 82.7 (3.0)% 81.6 (1.1)%j Global Banking (Corporate) (rebased)1 Total Malaysia 25% 80.8 81.0 324.2 316.1 (0.3)%! 82.4 82.9 2.5% 314.3 314.1 (3.5)% ! 81.6 (1.1)%! 4.3% 308.0 5.2% Note: 1 Rebased loan growth figures are based on adjusted 31 December 2019 position in line with migration of client accounts, effective 1 January 2020 27 Maybank#29Group Deposits Growth: 30 September 2020 % of 30 Sep Portfolio 2020 30 Jun 2020 31 Mar 31 Dec YTD ¡ 30 Sep QoQ YOY 2020 | 2019 Ann. 2019 Group Gross Deposits 593.2 573.3 3.5% 543.8 565.3 6.6% 566.2 4.8% Malaysia (RM billion) 62% 367.8 355.4 3.5% 336.7 ! 351.5 6.2% 356.1 3.3% Savings Deposits 15% 56.0 54.5 ▲ 2.9% 48.8 45.0 32.6% 44.5 25.9% Current Accounts 32% 117.1 103.0 13.7% ! 97.8 91.0 38.2% 88.9 31.8% Fixed Deposits 34% 125.7 125.2 0.4% 129.9 133.8 ▼ (8.1)% 146.3 (14.1)%; Others 19% 69.0 72.7 (5.2)% 60.2 81.7 ▼ (20.8)%! 76.5 (9.9)% International 38% 226.8 219.3 3.4% 210.0 214.7 7.5% 211.0 7.5% Singapore (SGD billion) 70% 52.5 48.8 7.6% 47.2 48.3 11.5% I 47.6 10.2% Savings Deposits 16% 8.3 8.9 ▼ (6.6)% 7.8 7.9 5.7% 7.4 12.1% Current Accounts 18% 9.6 7.7 24.3% 6.6 6.1 75.5% 6.2 55.5% Fixed Deposits 66% 34.6 32.2 7.5% 32.8 34.3 1.4% 34.1 1.6% ! ! Indonesia (IDR trillion) 14% 116.7 105.9 10.1% 117.4 110.9 7.0% 115.7 0.8% Savings Deposits 18% 21.3 21.5 (0.7)% ! 21.9 21.0 2.4% 20.1 6.0% H H H Current Accounts 21% 24.8 20.8 19.3% 21.7 19.5 36.3% 21.8 13.8% Fixed Deposits 61% 70.5 63.7 10.8% 73.7 70.4 0.3% 73.8 (4.4)% 28 Maybank#30LDR and CASA Ratio Group LDR CASA CASA (without IA) Malaysia 95.2% 92.5% 92.4% 90.6% 87.8% 40.2% 42.1% 38.4% 35.5% 34.6% 87.1% 90.0% 93.9% 89.4% 88.7% 47.1% 43.6% 44.3% 39.1% 37.3% 37.5% 38.7% 35.1% 32.5% 33.2% 38.2% 39.7% 42.3% 34.0% 34.9% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Singapore Indonesia LDR (Bank Level) 112.2% 111.3% 87.9% 106.3% 109.9% 84.3% 85.2% 79.9% 94.1% 73.5% 96.3% 94.1% 94.2% 89.7% 80.7% 28.4% 29.1% 30.5% 34.0% 34.0% 36.2% 36.5% 37.2% 39.9% 39.5% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Note: Group and Indonesia LDR excludes loans to banks and Fls . Group and Malaysia LDR include investment accounts totaling RM23.48 billion for 30 Sep 2020, RM22.54 billion for 30 Jun 2020, RM24.50 billion for 31 Mar 2020, RM20.74 billion for 31 Dec 2019, RM20.14 billion for 30 Sep 2019. 29 Maybank#3130 RM billion RWA Optimisation and Funding Management Group Gross Loans & Group RWA Operational RWA Market RWA Credit RWA Gross Loans 525.0 523.5 521.8 Funding Breakdown Borrowings and Capital Instruments by Currency 384.5 380.4 384.6 FI Deposits, 4% 42.7 43.4 42.9 Equity, 11% JPY, HKD, 10% 9% IDR, 6% 23.4 26.2 27.3 RM765.4 billion Borrowings, 6% RM, Capital Instruments, 30% 2% SGD, 4% CNH, 2% Others, RM57.9 billion 6% 318.4 310.3 315.0 Customer Funding, USD, 33% 77% Sep 19 Dec 19 Sep 20 Growth (%) YOY YTD Ann. Group Gross Loans (0.6)% (0.4)% Total Group RWA (0.0)% 1.5% Group Credit RWA (1.1)% 2.0% Note: By maturity: ≤ 1 Year 18% > 1 Year 82% • Customer Funding comprises Deposits from Customers & Investment Accounts of Customers. Maybank#32Key Operating Ratios 9M 9M 3Q 2Q 3Q % YOY QoQ YOY FY2020 FY2019 FY2020 FY2020 FY2019 Return on Equity 8.2 10.1 (1.9)% 9.7 4.7 5.0% 10.5 (0.8)% Net Interest Margin 2.08 2.27 (19) bps 2.05 1.96 9 bps 2.32 (27) bps Fee to Income Ratio 33.3 28.8 4.5% 32.1 32.0 0.1% 30.4 1.7% Loans-to-Deposit Ratio 1 87.8 92.5 (4.7) %! 87.8 90.6 (2.8)% 92.5 (4.7)% 2 Cost to Income Ratio 45.3 47.1 (1.8)% 44.5 47.9 (3.4)% 45.6 (1.1)% Asset Quality Gross Impaired Loans Ratio 2.35 2.67 (32) bps 2.35 2.49 (14) bps 2.67 (32) bps Loans Loss Coverage 97.6 76.7 20.9% 97.6 90.5 7.1% 76.7 20.9% Net Charge off rate (bps) (89) (50) (39) bps (61) (133) 72 bps (74) 13 bps Capital Adequacy 3 CET1 Capital Ratio 15.28 14.44 Total Capital Ratio 18.89 84 bps 15.28 18.07 82 bps 18.89 15.43 (15) bps 19.04 (15) bps 14.44 14.44 84 bps 18.07 82 bps Note: 1 LDR excludes loans to banks and Fls. 2 Total cost excludes amortisation of intangibles for Maybank Indonesia and Maybank Kim Eng. 3 3Q & 9M FY2020 capital ratios are after proposed Interim dividend for FY2020 and assumption of 85% reinvestment rate, 3Q & 9M FY2019 capital ratios are based on full cash payment of Interim dividend for FY2019, while 2Q FY2020 capital ratios are without any dividend assumptions. 31 Maybank#33Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 33 36 39 42 45#34Community Financial Services: Overview of Market Share for Malaysia Market share Loans Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Total consumer (Household) 17.6% 17.7% 17.8% 17.9% 18.1% Auto (Hire Purchase + Block Discounting + Floor Stocking) 29.3% 29.6% 29.7% 30.3% 30.4% Total mortgage * 13.7% 14.0% 14.2% 14.3% 14.4% Credit cards ** 18.7% 18.6% 18.6% 18.5% 19.3% Unit trust 48.7% 48.5% 49.8% 49.7% 49.2% Deposits Total deposits *** Total core retail deposits Retail CASA ^ Retail savings Demand deposits Λ Retail fixed deposits Λ 18.0% 17.8% 17.5% 17.6% 17.4% Λ 16.7% 16.5% 16.9% 17.4% 17.5% 24.7% 24.3% 25.3% 25.7% 25.3% 27.9% 27.8% 28.1% 28.7% 28.4% 18.8% 18.2% 19.9% 19.8% 19.3% 12.9% 12.8% 12.7% 12.9% 13.0% Channels Internet banking - Subscriber base 40.1% 39.6% 39.1% 40.3% 39.9% Mobile banking - Subscriber base 31.5% 31.3% 32.6% 31.9% 31.4% Internet banking - Transaction Volume ^^ 50.9% 51.0% 50.5% 50.1% 50.0% Mobile banking - Transaction Volume Branch network >> 62.9% 63.0% 62.9% 62.7% 61.9% 19.3% 19.4% 19.4% 19.4% 19.4% Note: * Refers to housing, shophouse and other mortgage loans ** Credit cards market share refer to receivables for commercial banks *** Total bank deposits inclusive of investment asset ("IA") Σ Industry numbers as at Jun-20 33 Λ ^^ Without IA. With IA, the market share as at Sep'20 for Total Core Retail Deposits, Retail CASA, Retail Savings, Demand Deposits and Retail Fixed Deposits are 17.9%, 26.6%, 28.5%, 23.2% and 13.8% respectively (against MBB retail IA) Excluding non-financial transactions as per BNM guidelines Maybank#3534 Community Financial Services: Overview of Malaysia Portfolio Total CFS loans on an upward trend of 7.5% YoY and 6.8% YTD Ann. Total CFS deposits increased by 9.8% YoY driven by CASA growth of 23.6% RM billion +7.5% YoY +6.8% YTD Ann. 243.2 226.1 231.3 43.2 44.4 46.8 182.9 186.9 196.4 Sep 19 Dec 19 ■Consumer BB + RSME Sep 20 Wealth Management segment's TFA grew 11.5% YoY to RM234.5 billion RM billion RM billion +9.8% YoY +10.0% YTD Ann. 200.0 204.3 219.6 66.3 62.1 65.4 137.9 138.9 153.3 Sep 19 Dec 19 Sep 20 Consumer ■BB + RSME Maybank2u 1-month active users grew 13.7% YoY driven by mobile users growth M2u 1-month active users +11.5% YoY of which Mobile 1-month active users +11.8% YTD Ann. +13.7% YoY 6.58 234.5 210.3 215.5 5.78 In million +32.3% YoY 4.55 3.44 Sep 19 Note: Dec 19 Sep 20 • TFA: Total Financial Assets (Deposits, Investments, Financing & Protection). TFA for total Individual customers (excl. NPL) amounted to RM352.8 billion as at Sep 20, RM327.7 billion as at Dec' 19 and RM321.9 billion as at Sep' 19. Sep 19 Sep 20 Sep 19 Sep 20 Maybank#36Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 33 36 39 42 45#37Global Banking: Overview of Malaysia Corporate Banking and Group Securities Portfolio Total Corporate Banking loans in Malaysia decreased 1.1% YoY to RM80.8 billion Group Securities Portfolio¹ grew 5.8% YoY RM billion Term Loan Short Term Revolving Credit 9.8 Trade Finance 10.8 and Others 11.3 Note: +5.8% YoY 49.3 46.7 +9.4% YoY 214.1 204.1 45.1 202.4 7.3 192.8 189.5 7.9 5.9 8.5 28.3 21.2 5.9 23.8 20.7 24.2 21.6 59.3 57.2 58.5 60.0 55.1 25.1 (14.4)% YoY 25.3 Sep 20 Dec 19 Sep 19 (12.9)% YoY RM billion 54.0 59.3 61.9 52.5 51.4 63.2 52.1 51.1 52.9 60.7 Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 ■Govt. Securities - Domestic ■Govt. Securities - Foreign PDS/Corp Bonds - Domestic PDS/Corp Bonds - Foreign - 'Term Loan' includes foreign currency denominated accounts, while 'Trade Finance and Others' is combined with 'Overdraft' - Trade Finance market share as at Sep 2020 is 21.9% 36 Note: 1 Group Securities Portfolio is inclusive of Financial assets designated upon initial recognition (part of FVTPL) Maybank#38Global Banking: Overview of Group Investment Banking Portfolio 9M FY2020 Total Income Breakdown by Country HongKong 3% Thailand 12% Philippines 1% Others 4% RM1,031.2 million Malaysia 54% Maybank Kim Eng 9M FY2020 Fee-based Income for Malaysia Advisory Fee. 2% Other Fee Income 13% Agency/Guarantee Fees 4% Arranger's Fees 20% Underwriting & Placements Fees 3% Note: Indonesia 4% Singapore 22% Brokerage Fee 58% Country Rank 9M FY2020 Brokerage Market Share by Country Trading Value (USD billion) Market Share Malaysia 5 8.5% 30.5 Singapore 10 3.8% 15.2 Thailand 3 6.2% 41.8 Indonesia 5 4.9% 9.5 Philippines 9 4.1% 2.5 Hong Kong Vietnam Tier 3 0.1% 7.4 9 2.5% 2.6 1 Maybank Kim Eng represents the combined business of Maybank IB and business segments under Maybank Kim Eng Holdings. 37 Maybank#39Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#40Maybank Singapore: P&L Summary 39 SGD million 9M FY2020 9M FY2019 YOY 3Q FY2020 2Q FY2020 QoQ Net fund based income 429.63 576.88 (25.5)% 116.40 142.84 (18.5)% Net fee based income 290.31 280.54 3.5% 100.38 85.48 17.4% Net income 719.94 857.42 (16.0)% 216.78 228.32 (5.1)% Overhead expenses (348.25) (351.12) (0.8)% (111.57) (115.53) (3.4)% Operating profit 371.69 506.30 (26.6)% 105.21 112.78 (6.7)% Profit/ (Loss) before taxation 103.36 (26.69) (>100)% 17.54 8.52 > 100% Net fund based income was 25.5% lower YoY, affected by contraction in loans and lower interest margins. Net fee based income improved 3.5% YoY, supported by higher wealth management, credit related and other non operating income, but mitigated by lower contribution from trade, treasury and cards related sources. Overheads were relatively stable at SGD348.3 million, with less marketing spend on reduced promotional activities and lower establishment costs due to rental rebates received. 9M FY2020 profit before taxation of SGD103.36 million improved from 9M FY2019's loss before taxation of SGD26.69 million, due to lower loan loss allowances. Maybank#41Maybank Singapore: Overview of Loans and Deposits Portfolio Diversified Loan Portfolio Consumer deposits on par with business deposits SGD Billion % of Portfolio 30 Sep 2020 31 Dec 2019 YTD Ann. 30 Sep 2019 +10.2% YoY YOY 47.6 48.3 CFS 57% 21.9 22.1 (1.4)% 22.7 (3.5% Consumer 41% 15.8 16.0 (2.0)% 16.4 (3.9)% Housing Loan 27% 10.5 10.6 (1.6)% 10.9 (4.2)% Auto Loan 6% 2.3 2.4 (8.5)% 2.5 (8.3)% Cards 1% 0.3 0.4 (27.0)% 0.4 (18.0)% SGD billion Others 7% 2.7 2.6 6.5% 2.6 3.8% Non-Individuals 16% 6.1 6.1 0.0% 6.3 (2.7)% 52.5 Consumer - Time Deposits 18.2 18.3 16.5 Consumer 49.8% Consumer CASA 9.7 8.1 8.8 18.2 15.8 15.9 Corporate 50.2% Business Time Deposits Business CASA 5.4 5.3 8.2 Sep 19 Dec 19 Sep 20 RSME 4% 1.7 1.5 17.9% Business Banking 8% 3.2 3.2 0.3% Others 4% 1.3 1.5 Global Banking 43% 16.4 18.5 Total 100% 38.6 1.5 3.4 (18.4)% 1.5 (12.8)% (14.7)% 19.0 (13.5)% 40.7 (7.1)% 41.8 (7.8)% 13.6% (5.4)% Business deposits expanded SGD5.2 billion YoY, contributed mainly by demand and fixed deposits growth. Consumer CASA deposits grew, offsetting fixed deposits decline. The pandemic situation impacted lending activities, with declines in Maybank Singapore's loans portfolio. % YoY change 4.7% 4.2% 8.3% 2.1% -0.2% -0.1% -3.9% -5.6% -9.1% -7.8% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Maybank Singapore Growth -Industry Growth CASA ratio lifted to 34.0% from 29.1% in December 2019 and from 28.4% September last year, on expanded individual savings and demand deposits. SGD billion 34.1 34.3 34.6 ■Time Deposits ■Demand Deposits ■Savings 6.2 6.1 9.6 7.4 7.9 CASA Ratio: 34.0% 8.3 Sep 19 Dec 19 Sep 20 40 Maybank#42Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#43Maybank Indonesia: P&L Summary IDR billion 9M FY2020 9M FY2019 3Q 2Q YOY QoQ FY2020 FY2020 Net Fund Based income 5,613 6,125 (8.4)% 1,677 1,912 (12.3)% Net Fee Based income 1,730 1,862 (7.1)% 546 586 (6.8)% Net income 7,343 7,988 (8.1)% 2,223 2,498 (11.0)% Overhead expenses (4,417) (4,856) (9.0)% (1,381) (1,432) (3.6)% Personnel (1,940) (1,924) 0.9% (622) (660) (5.7)% General and Administrative (2,477) (2,933) (15.5)% (758) (772) (1.8)% Operating profit 2,925 3,131 (6.6)% 842 1,066 (21.0)% Provisions Expenses (1,446) (1,593) (9.3)% (435) (731) (40.5)% Non Operating Income/(Expense) (26) 11 (>100)% (19) (4) > 100% Profit Before Tax and Non-Controlling Interest 1,453 1,549 (6.1)% 388 330 17.5% Tax and Non-Controlling Interest (354) (439) (19.3)% (99) (59) 67.6% Profit After Tax and Non-Controlling Interest 1,099 1,109 (0.9)% 289 272 6.6% EPS Basic (IDR) 14.42 14.56 (1.0)% 3.80 3.56 6.8% 42 Maybank#44Maybank Indonesia: Financial Ratios and Loans Portfolio Breakdown Key Operating Ratios Loans Portfolio Breakdown Key Operating Ratio Sep-20 Dec-19 Sep-19 YOY IDR Trillion % of 30 Sep 30 Jun! Portfolio! 2020 2020 QoQ i30 Sep 2019 YOY Profitability & Efficiency CFS 68% 73.9 79.9 (7.6) % 94.4 (21.8)% Return On Assets 1.11% 1.45% 1.13% (0.01)% CFS Retail 32% 35.1 37.5 (6.3)% Return On Equity (Tier 1) 6.00% 7.73% 6.26% (0.26)% Auto Loan 16% 18.0 20.0 42.5 (17.4)% (9.9)% 23.7 (23.8)% Net Interest Margin 4.69% 5.07% 4.97% (0.28)% Mortgage 13% 14.0 14.3 (1.7)% 15.3 (8.2)% CC + Personal Cost to Income Ratio 60.16% 59.48% 60.80% (0.64)% 2% 2.6 2.8 (6.2)% 3.1 (17.3)% Loan Asset Quality Other loans 1% 0.5 0.4 7.7% NPL - Gross 4.34% 3.33% 2.63% 1.71% CFS Non-Retail 36% 38.7 9.6% 42.4 (8.7)% 51.9 (25.4)% 0.4 ¡ Liquidity & Capital Adequacy Business Banking 18% 19.0 21.8 (12.9)% 28.7 (34.0)% SME+ 4% 4.2 LCR CET 1 CAR 184.60% 146.49% 173.84% 10.76% RSME 14% 21.85% 19.54% 18.24% 3.61% Global Banking 32% 23.47% 21.38% 20.09% 3.38% Total 4.6 (7.7)% 4.9 (15.0)% 15.6 16.1 (3.2)% 18.2 (14.5)% 35.6 35.8 (0.6)% 35.4 0.5% 109.4 115.7 (5.4)% 129.8 (15.7)% ^LCR is disclosed on a quarter-end basis 43 Note: Maybank Indonesia's loans breakdown is mapped in accordance to its local regulatory reporting requirements. Maybank#45Table of Contents Executive Summary 3Q & 9M FY2020 Financial Performance Prospects & Outlook Appendix: 1. Financial Performance 2. Community Financial Services 3. Global Banking 4. Maybank Singapore 5. Maybank Indonesia 6. Other Segments 2 6 19 22 22 33 36 39 42 45#46Islamic Banking: Performance Overview Group Islamic Banking Financial Performance RM million Maybank Islamic Maybank Islamic: Total Gross Financing grew to RM203.6 billion 9M FY2020 9M FY2019 YOY Total Income 3,652.7 3,694.2 (1.1%) Profit Before Tax 1,690.5 2,473.8 (31.7%) Financing & Advances 215,897.4 202,319.4 6.7% Deposits & Investment Account: 211,561.8 196,775.0 7.5% Deposits from Customers 175,618.5 166,290.4 5.6% 23,475.7 20,138.5 16.6% RM billion 15% 59.7 51.9 7% 14% 44.9 40.8 41.8 35.8 ■Sep-19 ■Sep-20 6% 29.831.6 (13)% 22.1 19.2 ▲1% 7.4 7.4 AITAB Mortgage Term Financing Others (CFS) Term Financing Others (GB) CFS: 12% GB: ▼(2)% Investment Account Group Islamic Banking's performance includes key markets in Malaysia, Indonesia and Singapore Maybank Islamic: Key Financial Ratios Note: Figures are as per latest segmentation breakdown Maybank Islamic Contribution to Maybank Malaysia Loans and Financing as at September 2020 Key Financial Ratios 9M FY2020 9M FY2019 Total Capital Ratio (TCR) 17.90% 17.50% Net Profit Margin (YTD) 1.63% 1.72% Cost to Income Ratio (CIR) 35.77% 34.16% Direct FDR¹ 88.68% 92.35% Note: 1 Direct Financing to Deposits Ratio (FDR) comprising gross financing against deposit and Unrestricted Investment Account (exc. RPSIA assets and liabilities) 45 Year Contribution Maybank Islamic, Sep 2019 60.9% 62.2% Dec 2019 60.7% Maybank Conventional, Malaysia, 37.8% Mar 2020 61.3% Jun 2020 61.7% Sep 2020 62.2% Maybank#47Islamic Banking: Market Share Maybank Islamic Market Share 31.2% 31.1% 30.9% 30.7% 30.8% Market Share by Product (Malaysia) Maybank Islamic Key Products Sep 20 Sep 19 Automobile Financing 48.6% 47.1% 28.7% 28.9% 27.8% 27.9% 27.6% Home 26.9% 26.3% Term financing 28.0% 28.4% Sep 19 Dec 19 Mar 20 Jun 20 Sep 20 Financing Deposits & Investment Accounts Source: Latest BNM Monthly Statistical Bulletin Maybank Islamic ranks No.1 by Asset Market Share in Malaysia Source: Latest BNM Monthly Statistical Bulletin Sukuk League Table Ranking September 2020 Malaysia Maybank Islamic CIMB Islamic RHB Islamic Asset Market Share Global Sukuk League Table Ranking Market Share (%) Amount (USD million) Issues Rank Jun 20 #4 Maybank 7.25% 3,465 92 29% 1 13% 2 MYR Sukuk League Table Ranking Market Share (%) Amount (USD million) Issues 9% 3 #2 Maybank 21.15% 2,315 79 Source: Bloomberg Source: Respective Bank's Financial Statements 46 Maybank#48Insurance and Takaful: Performance Overview Net Adjusted Premium/Contribution Single Premium 311.1% etiqa Life & Family (New Business) Market Share (Malaysia) 21.8% 21.4% 19.3% 19.1% Regular Premium 9.9% Credit Premium (29.6)% 9M FY20 14.2% 13.1% 16.7% 17.9% Group Premium 21.0% 14.5% 13.7% 13.4% No. 4 in Life/Family (New Business) 13.1% 9M FY19 8.4% 11.2% 10.8% 10.9% Total Life & Family 16.5% 2017 Fire (9.9)% ΠΑΙΑ 2018 GE 2019 ■Prudential 2020 ■ Etiqa Motor (3.7)% General Insurance and Takaful Market Share (Malaysia) MAT 3.3% Personal Accident (6.8)% Misc 46.2% Total General (1.9)% Total Net Adjusted Premium RM Million 0 1,000 2,000 3,000 8.2% 4,000 5,000 12.0% 11.5% 13.3% 14.3% 10.6% 10.4% 10.0% 10.9% No. 1 in General Insurance and 7.9% 7.3% 7.5% 7.6% Takaful (Gross Premium) 8.1% 7.8% 7.4% 6.8% 2017 2018 2019 2020 Etiqa Allianz AmGeneral HL-MSIG *Net Adjusted Premium (NAP) = Life/Family Adjusted Premium (100% Regular Premium +10% Single Premium/Credit/Group)+ Net Written Premium (General) Note: Market Share is for period Jul Jun of every year (Source: LIAM / ISM Statistics) Profit Before Tax (2.4)% YoY 732.3 714.6 256.9 235.4 RM million 165.5 233.7 309.8 245.5 9M FY2019 Life/Family 9M FY2020 ■General Shareholder's Fund Total Assets Note: Net Adjusted Premium, Profit Before Tax and Total Assets are as presented at EIH Group level 47 RM billion 40.0 +18.4% YoY 47.3 Sep 19 Sep 20 Maybank#49Maybank Humanising Financial Services MALAYAN BANKING BERHAD 14th Floor, Menara Maybank 100, Jalan Tun Perak 50050 Kuala Lumpur, Malaysia Tel (6)03-2070 8833 www.maybank.com Disclaimer. This presentation has been prepared by Malayan Banking Berhad (the "Company") for information purposes only and does not purport to contain all the information that may be required to evaluate the Company or its financial position. No representation or warranty, express or implied, is given by or on behalf of the Company as to the accuracy or completeness of the information or opinions contained in this presentation. The presentation does not constitute or form part of an offer, solicitation or invitation of any offer, to buy or subscribe for any securities, nor should it or any part of it form the basis of, or be relied in any connection with, any contract, investment decision or commitment whatsoever. The Company does not accept any liability whatsoever for any loss howsoever arising from any use of this presentation or their contents or otherwise arising in connection therewith.