News Release
For Release: 5 May 2023

2023 Half Year Result & Proposed Dividend
ANZ1 today announced a Cash Profit2 from continuing operations of $3,821 million, up 12%
when compared with the prior half.
Statutory Profit after tax for the half year ended 31 March 2023 was $3,547 million.
ANZ’s Common Equity Tier 1 Ratio increased to 13.2% and Cash Return on Equity rose to11.4%. The proposed Interim Dividend is 81 cents per share, fully franked.
GROUP FINANCIAL INFORMATION
Earnings ($m)

1H23

2H22

Movement

Statutory Profit After Tax

3,5473,589-1%

Cash Profit (continuing operations)

3,821

3,402+12%

Profit before credit impairment & tax

5,531

4,811+15%

Earnings per share (cents)

127.6

118.8+7%

Return on equity

11.4%

10.8%

+60bpsReturn on average assets

0.69%

0.64%

+5bps

Net Tangible Assets per ordinary share ($)

21.66

20.75

+4%

Dividend per share (cents)

8174

+7cps

Credit Provision Charge ($m)

1H23

2H22

Movement

Total Provision Charge / (release)

133

52

Large

Individual Provision Charge / (release)

(30)

(8)

Large

Collective Provision Charge / (release)

16360

Large

1H23

2H22

Movement

693.7

676.0

+3%

435.5

454.7

-4%

648.6

620.4

+5%

13.2%

12.3%+89bps

1H23

2H22

Movement

39,80239,381+1%

Balance Sheet ($b)
Gross Loans and Advances (GLAs)
Total Risk Weighted Assets (RWAs)

3Customer Deposits
Common Equity Tier 1 Ratio (CET1)

4

Other
Full time equivalent staff (including discontinued)
CEO COMMENTARYANZ Chief Executive Officer, Shayne Elliott, said: “This was a strong financial performance inwhich all four divisions made a material contribution. The record result was driven by solid
revenue growth across the board and the benefits of having a well-diversified business. Itwas also a direct outcome of our deliberate strategy to simplify, reshape and de-risk thebank, which has allowed us to replace revenue following the disposal of non-core assets.

Following the establishment of the Non-Operating Holding Company in January 2023 ANZ Group Holdings limited replaced ANZ Banking Group Limited
as the listed entity for the ANZ Group. The results represent the continuation of the ANZ Group.
Cash Profit excludes non-core items included in Statutory Profit with the net after tax adjustment an increase from Statutory Profit of $274m.
3March 2023 RWA based on APRA revisions to capital adequacy requirements (APRA Capital Reform) effective 1 January 2023.
4ANZ Banking Group Level 212

“Achievements this half included establishing a new Non-Operating Holding Company,
completing the single largest regulatory program in our history (BS11), making further
progress with our application to acquire Suncorp Bank, migrating our entire HR platform tothe cloud and taking further steps to strengthen our ecosystem strategy, including by
growing Cashrewards and investing in View Media Group.
“Australia Retail grew home loans faster than the market, while also driving good growth indeposits. We continued the rollout of ANZ Plus, which had $6 billion of deposits at end-April
from over 250,000 customers, 30% of which were new to bank, with 39% new to bank inMarch.
“Institutional posted a record half-year result, producing returns well above the cost ofcapital in each region and strong revenue growth across all products. The division saw
ongoing rapid growth in payments and currency processing and benefitted from servicing
other financial institutions where we have a competitive advantage and significant market
leadership. The international business performed strongly, contributing to more than 60% of
the Division’s revenue growth compared with the prior comparable period.
“In New Zealand, revenue and returns were both up strongly compared with the first half of2022 and we continue to lead the market in all of our target segments. The BS11 regulatory
program, the single largest project in the Group’s history, is now complete. We are well
positioned to continue growing the business while also supporting customers through anuncertain environment.
“Australia Commercial was a strong contributor to Group revenue, generating the highest
return on equity of our divisions and delivering revenue growth of 30% 5 compared with theprior comparable period. During the half we performed particularly well supporting
customers in agriculture, trade and manufacturing.
“We continued to tightly manage costs at a time of significant inflation and from a balance
sheet perspective remain one of the best capitalised banks in the world. We were among thefirst banks in the world to successfully access global funding markets after a period ofmarket instability, demonstrating the strength of our franchise and confidence in theAustralian banking system. We have a well-diversified portfolio and the ability to allocate
capital dynamically to maximise shareholder returns.”
DIVISIONAL HIGHLIGHTS
Australia Retail Revenue up 4% vs 2H22 or 11% vs 1H22, driven by restored home lending momentum
from the previous half and deposit margin management in a highly competitiveenvironment.
 Strong home loan momentum in the first half, supported by restored capability andcapacity and an improved broker support model.
 Increased customer engagement in ANZ Plus, with deposits reaching $5.3 billion in 1H23($6 billion by the end of April). The average balance per customer increased 51% vs2H22 and the onboarding process achieved a net promoter score (NPS) of +52.
Australia Commercial
 Revenue up 13% vs 2H22 or 11% vs 1H22, driven by disciplined margin management
and a strong deposit franchise.
 Net Loans and Advances expanded by 4% vs 1H22 by maintaining strong momentum inpriority sectors.
 Finalised the sale of the investment lending business in April 2023 and continued to build
on strategic partnerships, including ANZ Worldline platform which is now live.

5

Adjusted for the net gain on sale from divested businesses recognised in the Australia Commercial division in the March 2022 half.

Institutional
 Revenue up 23% vs 2H22 or 35% vs 1H22 as the division continued to focus onpayments processing and servicing of other financial institutions.
 Rapid growth in payments processing, with New Payments Platform agency payments
increasing 31% vs 1H22 while platform cash management accounts grew 32% vs 1H22.
 Participated in 56 sustainable finance deals worth $75 billion, broadly comparable toprior half against the backdrop of volatile macroeconomic conditions.
New Zealand (NZD)
 Revenue up 1% vs 2H22 or 14% vs 1H22, with margin expansion against a challenging
competitive backdrop.
 Net Loans and Advances grew 3% vs 1H22 driven by home and business lending,despite a more challenging economic environment.
 Supported customers impacted by the floods and cyclone with emergency access to over
$11 million of interest-free funds, as well as waiving ~$1.3 million in fees acrossFebruary and March for our business and personal customers.
CREDIT QUALITY
The total credit impairment charge for the first half was $133 million, comprising: a collectively assessed provision (CP) charge of $163 million.
 an individually assessed provision (IP) release of $30 million.
The additional CP charge takes our total CP balance at 31 March 2023 to $4,040 million.
Individual provisions remain at low levels, with writebacks and recoveries more thanoffsetting new provisions in the half.
DIVIDEND & CAPITALANZ Banking Group’s Common Equity Tier 1 Ratio is 13.2%, an increase of 89bps since
September 2022. This increase included the impacts of APRA’s capital reforms, the majorityof which were effective from January 2023. On a pro-forma basis, inclusive of the proposed
Suncorp Bank acquisition and adjusted for the surplus capital in the Non-Operating Holding
Company, the Banking Group’s capital ratio is 12.1%. This is above APRA’s revised
expectations for major banks of between 11.0% and 11.5%.
The Board considers an Interim Dividend of 81 cents per share is appropriate for the current
operating conditions. ANZ also stated the Dividend Reinvestment Plan will continue to apply
for the Interim 2023 Dividend at no discount and the impact will be neutralised via thepurchase of shares on market.
OUTLOOKMr Elliott said: “The next six months will be more difficult than the last. Competition in retailbanking is as intense as it has ever been, both in Australia and New Zealand. We
understand that sustained higher inflation and interest rates create further challenges forsome households and businesses across the economy. While the number of ANZ customers
in difficulty remains low, we stand ready to help in these potentially challenging times.
“We enter the next half with a business structure that brings the benefits of geographic andproduct diversification. We have a robust capital position, credit loss provisions higher thanany other time pre-COVID, a strong and diverse deposit base and a track-record ofexecution. We are seeing continued momentum and high employee engagement across all
four divisions, each with a clear strategy and a funded roadmap for growth.
“As the world is changing rapidly, ANZ is well placed to deploy our people and capital to help
those facing challenges, but also support those looking for opportunities.”
Interviews with relevant executives, including Shayne Elliott, can be found atbluenotes.anz.com.

For media enquiries contact:

For analyst enquiries contact:

Elizabeth Rudall
Acting Head of Corporate
Communications
Tel: +61 403 130 207

Jill Campbell
Group General Manager,
Investor Relations
Tel: +61 412 047 448

Amanda Schultz
Media & Public Relations Manager
Tel: +61 401 532 325

Cameron Davis
Executive Manager, Investor Relations
Tel: +61 421 613 819

Approved for distribution by ANZ’s Continuous Disclosure Committee
ANZ Group Holdings Limited
9/833 Collins Street Docklands Victoria 3008 Australia
ABN 16 659 510 791