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ANZ OPERATIONS

  • AUSTRALIA

    REGION GRAHAM HODGE ACTING CEO

    AUSTRALIA

    REGION GRAHAM HODGE ACTING CEO
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  • NEW
    ZEALAND

    REGION JENNY FAGG CEO

    NEW
    ZEALAND

    REGION JENNY FAGG CEO
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  • APEA

    ASIA PACIFIC & AMERICA

    REGION ALEX THURSBY CEO

    APEA

    ASIA PACIFIC & AMERICA

    REGION ALEX THURSBY CEO
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  • INSTITUTIONAL

    DIVISION SHAYNE ELLIOT GROUP MANAGING DIRECTOR

    INSTITUTIONAL

    DIVISION SHAYNE ELLIOT GROUP MANAGING DIRECTOR
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Investor Snapshot

  • Proud banking heritage spanning 170 years
  • A top 10 listed company on the ASX (market cap ~$60b), with ~390,000 shareholders
  • Largest listed company in New Zealand, largest Australian bank in Asia and a leading bank in the Pacific
  • AA rated bank on S&P long term ratings
  • ~37,000 full time equivalent employees (FTE)

All information contained within the document is for the year ended 30 September 2009 unless otherwise stated.

Revenue (Underlying1)

grafic

1 Adjusted for material items that are not part of the normal ongoing operations of the Group including one-off gains and losses, gains and losses on the sale of businesses, non-continuing businesses, timing differences on economic hedges and acquisition related costs.

  • Group NPAT (Reported) $m
  • Group NPAT (Underlying 1) $m
  • Group Profit Before Provisions (Reported) $m
  • Net Loans and Advances including acceptances $m
  • Customer Deposits $m

1 Adjusted for material items that are not part of the normal ongoing operations of the Group including one-off gains and losses, gains and losses on the sale of businesses, non-continuing businesses, timing differences on economic hedges and acquisition related costs.

Australia Region

Business Profile

The Australia region caters for the ANZ’s Retail , Commercial , Institutional and Wealth Management customers in Australia.
The Retail businesses are responsible for delivering a range of banking products and services to retail customers. Commercial includes Esanda and businesses which support our rural customers, small to medium enterprises and smaller corporates. The Wealth Management business includes the Insurance and Investments business, Private Bank, Etrade and ANZ’s share of the ING Joint Venture.

INCOME STATEMENT ($ m) 2009 2008 MOVT
Operating income 9,762 8,526 14%
Operating expenses 4,034 3,677 10%
Profit before credit impairment & Income tax 5,728 4,849 18%
Provision for credit Impairment 2,053 1,663 23%
Profit before income tax 3,675 3,186 15%
Income tax expense and minority Interest 1,115 919 21%
Underlying profit after tax 2,560 2,267 13%
Total assets 324,742 320,539 1%
% Contribution to group earnings 68% 66%  
Employee numbers 20,231 20,278 0%

2009 Perfomance

  • 13% increase in underlying profit after tax.
  • Standout performers were Retail , up 13%, and Institutional , up just over 100%.
  • Revenue up 14%, costs up 10% (excluding institutional revenue up 9% cost up 4%).
  • Customer deposits increased 16%.

 

2009 Achievements

  • The Retail business had the largest increase in net customer numbers of any bank and remains the highest rated of the major banks for customer satisfaction.
  • Highest customer satisfaction in Small Business banking.
  • Agreement to move to full ownership of ING Australia.
  • Awarded Euromoney Magazine's Best Local Private Bank in Australia 2009.
  • Launched new products and services aimed at providing convenient and uncomplicated banking solutions for our customers.

New Zealand Region

Business Profile

ANZ National is New Zealand's largest financial services provider. We operate a family of brands including two retail banking franchises (ANZ and The National Bank), UDC Finance, Bonus Bonds, Eftpos New Zealand and Direct Broking. Nearly one in two New Zealanders have a banking relationship with us.

INCOME STATEMENT ($ m) 2009 2008 MOVT
Operating income 2,638 2,560 3%
Operating expenses 1,182 1,175 1%
Profit before credit impairment & Income tax 1,456 1,385 5%
Provision for credit Impairment 727 251 large
Profit before income tax 729 1,134 -36%
Income tax expense and minority Interest 216 361 -40%
Underlying profit after tax 513 773 -34%
Total assets 101,319 100,311 1%
% Contribution to group earnings 14% 23%  
Employee numbers 8,879 9,515 -7%

2009 Performance

  • Strengthened the balance sheet despite challenging local and global economic conditions.
  • Strong performance from Global Markets business somewhat offset more difficult conditions in Retail and Commercial businesses.
  • Net underlying profits declined as a result of reduced net interest margins in the core Retail and Commercial business and increased provisions.
  • Costs well managed with continued investment in the business.

 

2009 Achievements

  • Provided over NZ$5 billion in new lending to farms and businesses.
  • Awarded "Top Performer Banking Sector" in NZ Contact Centre Awards.
  • Direct assistance for 4,700 customers through Financial Wellbeing program.
  • Leading share of retirement savings enrolments.
  • Strengthening of wealth strategy through acquisition of ING’s holding in the ING NZ business.

APEA Region

Business Profile

The Asia Pacific, Europe and America Region includes businesses in 14 Asian markets and 12 countries in the Pacific as well as Europe, America and the Middle East. Our strategy is focused on building ANZ's businesses in priority markets including Vietnam, Indonesia, Malaysia, China and India. We also continue to grow in the Pacific where we have operated for more than 130 years.Investments business, Private Bank, Etrade and ANZ's share of the ING Joint Venture.

INCOME STATEMENT ($ m) 2009 200S MOVT
Operating income 1,967 1,209 63%
Operating expenses 852 554 54%
Profit before credit impairment and Income tax 1,115 655 70%
Provision for credit Impairment 276 176 57%
Profit before income tax 839 479 75%
Income tax expense and minority Interest 140 93 51%
Underlying profit after tax 699 386 81%
Total assets 50,400 48,868 3%
% Contribution to group earnings 18% 11%  
Employee numbers 8,555 6,769 26%

2009 Perfomance

  • Profit growth driven primarily by Asia Partnerships and the Institutional business.
  • Continued investment in front line staff assisted stronger performance in the Global Markets business.
  • Grew deposits, invested to deepen the institutional business and advanced retail and wealth platforms.
  • Operating expenses while higher, reflecting investment in growth were offset by revenue growth.

 

2009 Achievements

  • Agreement to acquire certain Royal Bank of Scotland Group businesses in strategic markets.
  • Opened eight branches in Indonesia, six outlets in Vietnam and became the first Australian bank to open a rural bank in China.
  • Launched 49 Markets products and expanded Asia dealing rooms.
  • Continued roll-out of core banking platform and invested in internet banking and a single cash management platform.
  • Innovative new product highlights: "Fast Saver Account" in nine countries and WING mobile banking in Cambodia.

Institutional Division

Business Profile

Institutional provides global financial services solutions to around 5,000 corporate and institutional clients. The division delivers transaction banking, specialised lending and markets solutions in Australia, New Zealand, Asia Pacific, Europe and America.

INCOME STATEMENT ($ m) 2009 2008 MOVT
Operating income 4,948 3,624 37%
Operating expenses 1,583 1,245 27%
Profit before credit impairment & Income tax 3,365 2,379 41%
Provision for credit Impairment 1,408 1,281 10%
Profit before income tax 1,957 1,098 78%
Income tax expense and minority Interest 556 327 70%
Underlying profit after tax 1,401 771 82%
Total assets 183,850 187,342 -2%
% Contribution to group earnings 37% 23%  
Employee numbers 5,149 4,733 9%

2009 Performance

  • Strong revenue growth across all businesses and geographies, underpinned by profitable trading on higher market volatility in the Global Markets business. Global Markets revenue up 77%.
  • Customer deposits up 19% while repositioning of the loan book, reduced demand and customer repayment focus drove an 18% decrease in Net Lending Assets.
  • Australian exposures in property, securities lending and agribusiness and a limited number of single name exposures were largely responsible for a 10% increase in credit provisions.

 

2009 Achievements

  • Strategic realignment organisational restructure as part of the “Rebuild and Refocus” program.
  • Substantial progress with remediation programs.
  • Tighter regional focus and improved global client management delivered a number of landmark cross-border deals increasing ANZ’s profile in the region.