Chairman’s Message 1H25

ANZ Group Holdings Limited
9/833 Collins Street Docklands Victoria 3008 Australia
ABN 16 659 510 791
30 June 2025

Market Announcements Office
ASX Limited
Level 4
20 Bridge Street
SYDNEY NSW 2000

Chairman’s Message 1H25


The attached Chairman’s Message for 1H25 is being made available to ANZ shareholders in conjunction with the
despatch of the 2025 Interim Dividend Statements.


It has been approved for distribution by ANZ’s Company Secretary.


Yours faithfully


Simon Pordage
Company Secretary
ANZ Group Holdings Limited

Performance
Through the half we delivered our highest cash earnings per
share outcome since the first half of 2023 and our return on
equity increased by almost 100 basis points to 10.2 per cent.
Costs continued to be well managed even as we have
maintained strong levels of investment in our business over
a number of years to fuel growth and efficiency. Since 2019
we have successfully delivered $1.9 billion in cumulative
productivity savings, demonstrating that productivity remains
a core strength of your bank.
Banking loans and deposit volumes were both up 3 per cent in
the half, with all Divisions contributing. We also saw continuous
improvements in capital efficiency during the half and our
capital position remained strong, with a Common Equity Tier 1
(CET1) Ratio of 11.8%.
ANZ completed $1.2 billion of the previously announced
on-market share buyback. Given increased uncertainty in
the macro environment, we believe it is appropriate to adopt
slightly more conservative capital settings, including retaining
the flexibility to adjust the pace of the remaining share buyback
if needed. This is something that we will keep you updated on
going forward.
Suncorp Bank
Suncorp Bank reported a strong underlying performance
relative to its regional peers. Importantly, the completion of the
acquisition is helping us bolster our presence in Queensland
and strengthen our Retail and Commercial businesses for the
long term.
Non-Financial Risk
Disappointingly, you may have seen during the first half that
important concerns were raised by our regulators around ANZ’s
risk culture and non-financial risk management practices.
An independent review into these areas within our Global
Markets business found a series of shortcomings, and made it
clear there is significantly more work to be done in this regard.
The review did not find evidence of widespread or systemic
misconduct.
ANZ is committed to addressing the issues raised and has
accepted all 19 recommendations and 53 sub-recommendations
from the review.
ANZ also entered into a Court Enforceable Undertaking (CEU)
with the Australian Prudential Regulation Authority (APRA)
relating to non-financial risk management practices and risk
culture across the Group. This included the application of a
further $250 million capital overlay, bringing the total capital
overlay related to non-financial risk to $1 billion.
The Board and management are disappointed that we have
not met APRA’s non-financial risk management and risk culture
expectations, and we are firmly committed to ensuring we
meet and exceed these standards.
Supporting our customers
Reflecting on the first half, the cost of living remained a
challenge for many of our retail and small business customers.
Encouragingly, there are signs that interest rates may continue
to come down during the remainder of the year, providing some
relief for households and businesses.
However, we know that times are tough for many and our team
is committed to supporting our customers as they navigate
their specific circumstances.
Welcoming Nuno Matos
I am pleased to welcome Nuno Matos, an international banker
with more than 30 years of extensive experience, as ANZ Group’s
new Chief Executive Officer.
Having worked across nine global markets, I am confident that
his proven ability to run retail and wholesale banks while also
overseeing bank integrations and migrations makes him an
outstanding choice as our new CEO.
I would like to take this opportunity to pay tribute to outgoing
CEO Shayne Elliott, who has been at the helm since 2016.
During his tenure, Shayne successfully delivered the acquisition
of Suncorp Bank and transformed the Group, including by
selling non-core assets and investing in leading technology
platforms to underpin growth. He leaves an important legacy
and strong starting point for Nuno.
Finally, I would like to acknowledge our people at ANZ for
their tireless work during the year. Their countless individual
contributions over the half combined in a group-wide effort
that ensured we helped more of our customers achieve their
financial goals.
Regards
PAUL O’SULLIVAN
CHAIRMAN
315758_23_V5
A message from ANZ’s Chairman
Paul O’Sullivan
ANZ reported a good result for the half year ended 31 March 2025, driven by
continued momentum across each of our divisions and the inclusion of Suncorp Bank.
Our cash profit was $3.6 billion, up 12% from the previous half.
Our Interim Dividend of 83 cents per share, partially franked at 70 per cent, held
steady from the previous half and returned $2.5 billion to you, our shareholders.
Importantly, you can see the ongoing benefits of a well performing, diversified
portfolio in this result.
2025 HALF YEAR HIGHLIGHTS
CASH PROFIT
1
DIVIDEND PER SHARECASH EARNINGS PER ORDINARY SHARE
$3,568 million83 cents120.1 cents
2H24 $3,173 million
Change (1H25 vs 2H24) 12%
2H24 83 cents
Change (1H25 vs 2H24) flat
2H24 105.9 cents
Change (1H25 vs 2H24) 13%
1
Cash profit excludes non-core items included in statutory profit and is provided to assist readers in understanding the result of the core business
activities of the Group. The net after tax gain adjusted from statutory profit to arrive at cash profit was $74 million.