Investor Presentaiton
ANZ Capital Notes 9
SUMMARY - 2024 FIRST QUARTER (1Q24)¹
ANZ Group
performance
(1Q24 vs
1H23
quarterly
average)
•
•
•
•
1Q24 ANZ Group revenue was in line with the First Half FY23 quarterly average (1H23QA $5.26b) with Non-Markets revenue broadly in line with the First Half
FY23 average (1H23QA $4.69b), assisted by growth in average interest earning assets
The Institutional Division's Markets business had a good start to the year with revenues a little better than the First Half FY23 average (1H23QA $575m)
ANZ Group has demonstrated a proven ability over many years to manage our expenses well and while facing into ongoing inflationary pressures, we continue
to execute on productivity initiatives to partially offset these headwinds
Lending growth remains robust across our Australia Retail and Commercial franchises. Our investment in home loan processing capability and capacity and
improved broker experience is providing ongoing benefits. We are continuing to grow our Australian Home Loan book profitably by continuing to offer reliable
turnaround times, and in line with that we are competitive but not market leading on pricing. Lending growth was substantially self funded across both
Divisions by deposits
Our long-term focus on high quality customer selection and prudent risk appetite means credit quality remains strong, with the total provision charge of $53m
1.
Capital
APRA Level 2 CET1 ratio
•
(at 31 Dec 23)
13.06% or 11.86% on a pro forma basis (excludes Capital being held for the Suncorp Bank acquisition and NOHC surplus capital)
The December CET1 includes the impact of the FY23 dividend, paid in December 2023 (Slide 12)
Balance Sheet Customer Deposits
(31 Dec 23 vs
30 Sept 23)
•
+$8b in Australian Retail and Commercial deposits with the New Zealand Divisional Deposits +2b NZD. Liability mix shifts have slowed markedly in both
Australia and New Zealand
Institutional Deposits (ex Markets) reduced $3b with half the decline attributable to FX and the remainder largely a small number of Fixed Deposit maturities
Net loans and advances (NLA)
• NLA increased 1% (+$7b), with Australia Retail and Commercial and New Zealand Retail and Commercial all contributing to balance sheet growth
Exposure at Default (EAD) & Risk Weighted Assets (RWA)
•
EAD increased 1% (+$14b)
•
RWA reduced 1%, primarily from the reduction in Corporate Credit RWA and IRRBB RWA
•
Total Provision charge was $53m, comprised of a $27m individual provision charge and a $26m collective provision charge
Provisions &
credit quality
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•
Collective provision balance stable at $4.03b with CP charge offset by FX impacts (0.34bps coverage ratio CP/EAD, 117bps CP/CRWA)
Gross Impaired Assets as a % of total Gross Loans and Advances increased 1bp to 22bps
Australian Housing 90+DPD at 70bps remains well below pre Covid levels, NZ 90+DPD was 64bps
Extracted from ANZGHL's December 2023 Pillar 3 Chart Pack as at 31 December 2023 (which is not subject to KPMG's audit or review process)
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