National Australia Bank Ltd
ASX:NAB

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National Australia Bank Ltd Logo
National Australia Bank Ltd
ASX:NAB
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Price: 40.86 AUD 0.86% Market Closed
Market Cap: 125.2B AUD

National Australia Bank Ltd
Investor Relations

National Australia Bank Ltd. (NAB) has carved out a formidable presence in the financial landscape of Australia. Founded in 1893, its journey is a testament to resilience and adaptability in the ever-evolving banking sector. As one of the Big Four banks, NAB plays a pivotal role in the Australian economy, primarily through its array of banking services that include personal banking, business banking, and institutional banking. This diverse portfolio enables NAB to profit from interest margins—the difference between what it earns on loans and what it pays on deposits. Additionally, it delves into wealth management and insurance, ensuring that it taps into various revenue streams. The bank’s success is rooted in its keen ability to strategically compete in lending for housing, business, and personal loans while maintaining an efficient deposit base.

Compounding NAB's economic prowess is its strategic focus on digital transformation. By investing heavily in technology and digital services, NAB has modernized its operations, reaching customers more efficiently through online platforms. This strategy not only strengthens its customer engagement but also streamlines its services, reducing overhead costs in traditional banking avenues. Moreover, NAB's focus on sustainability and responsible banking sets a robust framework for long-term growth, encapsulating environmental, social, and governance (ESG) factors into its core strategy. In this way, NAB doesn't merely function as a financial institution but also embodies a bridge between financial profitability and societal values, continuously adapting to the shifting dynamics of global banking and customer expectations.

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Last Earnings Call
Fiscal Period
Q2 2023
Call Date
May 3, 2023
AI Summary
Q2 2023

Strong profit growth: NAB delivered a strong financial performance, with underlying profit up 18.4% and cash earnings up 12.3% compared to the previous half.

Revenue drivers: Revenue increased by 11.2%, supported by higher margins, volume growth, and improved markets and treasury income.

Cost control: Costs rose 2.6% over the half, impacted by inflation and investment, but productivity savings are on track and cost-to-income ratio improved to 42%.

Dividend increase: Interim dividend of $0.83 announced, up $0.05, representing 64% of cash earnings.

Margin pressure emerging: Net interest margin (NIM) rose 10 bps over the half but faced increased competition and fell during the second quarter, with further headwinds expected in the next half.

Strong capital and balance sheet: CET1 capital ratio increased to 12.21%, well above the target range, supporting flexibility and resilience.

Asset quality stable: Credit impairment charges increased but asset quality remains robust, with only small pockets of stress emerging.

Prudent outlook: NAB is cautious due to ongoing economic uncertainty, pausing further share buybacks, and focusing on supporting customers and maintaining investment.

Key Financials
Underlying Profit
$5.41B
Cash Earnings
$4.07B
Revenue
$9.25B
Cost-to-Income Ratio
42%
Total Costs
$3.87B
Net Interest Margin
1.77%
Interim Dividend
$0.83
Cash ROE
13.7%
CET1 Capital Ratio
12.21%
Collective Provisions
$5.1B
Credit Impairment Charges
$393M
Business Lending Growth (Business & Private Banking)
10.3%
Transaction Account Openings
33% growth
UBank New Customer Growth
95,000 new customers
Liquidity Coverage Ratio (LCR)
130%
Net Stable Funding Ratio (NSFR)
117%
Business & Private Banking Underlying Profit Growth
14.8%
Corporate and Institutional Banking Underlying Profit Growth
20%
Earnings Call Recording
Other Earnings Calls
2023
2020

Management

Mr. Andrew Francis Irvine
MD, Group CEO & Director

Andrew Francis Irvine is a prominent figure in the banking industry, currently holding a leadership position at National Australia Bank Ltd (NAB). Before joining NAB, Andrew Irvine had a rich career in the financial sector, having significant experience in business and institutional banking. At NAB, he has been instrumental in shaping the bank's strategy and operations, focusing on innovation and customer-centric solutions. His leadership is marked by efforts to enhance digital banking services, promote sustainable finance, and improve customer service. Andrew Irvine is known for his commitment to driving transformation within the bank, ensuring it adapts to the evolving financial landscape while meeting the needs of its diverse clientele. His role requires him to oversee various facets of banking operations, including business development, risk management, and stakeholder engagement. Through his strategic vision, NAB aims to solidify its position as a leading financial institution in Australia and beyond.

Mr. Lesile D. Matheson
Group Chief Operating Officer

Leslie D. Matheson, often known as Les Matheson, is an experienced banking executive with an extensive career in the financial services industry. At National Australia Bank Ltd (NAB), he has contributed significantly to the organization's strategies and operations. Prior to joining NAB, Matheson held several key positions with major banks, notably serving in leadership roles at Royal Bank of Scotland (RBS). He has a strong background in retail and commercial banking, having led transformations and improvements in customer service and business operations throughout his career. His leadership is noted for focusing on customer outcomes, strategic growth, and building robust financial frameworks within the banking sector.

Mr. Patrick F. Wright
Group Executive of Technology & Enterprise Operations

Patrick F. Wright is a notable figure in the banking sector, known for his role at National Australia Bank Ltd (NAB) as the Chief Technology and Operations Officer. In this capacity, Wright was responsible for overseeing the bank's technology and operational functions, leading initiatives to improve efficiency, drive technological innovation, and enhance customer service. Under his leadership, NAB focused on digital transformation, aiming to modernize its banking operations and deliver more streamlined and effective customer experiences. Wright played a key role in implementing technological advancements, fostering a culture of innovation, and ensuring that NAB remained competitive in the rapidly evolving banking industry. Before his tenure at NAB, Patrick F. Wright held various leadership positions in other prominent financial institutions, where he developed a strong background in technology and operations management. His experience and strategic vision have been integral in steering NAB towards greater digital competency and operational excellence. Wright's contributions have been recognized both within and outside the organization, making him a respected figure in the realm of banking technology and operations.

Ms. Sarah White
Group Executive of People & Culture
No Bio Available
Ms. Sharon J. Cook
Group Executive of Customer & Corporate Services

Sharon J. Cook serves as the Chief Legal & Commercial Counsel at National Australia Bank Ltd (NAB). She joined NAB in 2017, bringing extensive experience and expertise in both legal and commercial sectors. Prior to her role at NAB, she was managing partner at Henry Davis York, one of Australia's oldest law firms. At NAB, Sharon is responsible for overseeing the bank’s legal strategies, ensuring compliance, and managing various legal risks. She is recognized for her leadership skills and strategic insight, which have helped guide the bank through complex legal landscapes. Sharon is also an advocate for diversity and inclusion within the legal profession and the broader corporate environment.

Mr. Shaun Dooley
Group Chief Risk Officer

Shaun Dooley is recognized for his role at the National Australia Bank Ltd (NAB) where he has made significant contributions over the years. As a seasoned executive, Shaun Dooley has been integral in overseeing various aspects of the bank's strategic and financial operations. His extensive experience in the banking sector is complemented by his commitment to organizational resilience and risk management. At NAB, he has focused on enhancing the bank's financial strategies and risk governance frameworks, ensuring robust financial health and compliance. His leadership has been pivotal in navigating the complexities of the banking industry, reflecting a deep understanding of both market dynamics and regulatory requirements. Shaun Dooley's contributions have not only supported NAB's operations but have also positioned the bank for sustainable growth and innovation.

Mr. Daniel James Huggins
MD & CEO of Bank of New Zealand

Daniel James Huggins is a senior executive at the National Australia Bank Ltd (NAB), a major financial institution in Australia. He has held key roles within the bank, contributing to its strategic direction and operations. Huggins is known for his expertise in banking and finance, with a focus on enhancing customer experiences and driving innovation in services. His leadership has been instrumental in implementing strategies that align with NAB's goals of growth and sustainability. He is recognized for his commitment to fostering a positive work culture and his focus on leveraging technology to improve financial services.

Ms. Rachel Slade
Group Executive of Personal Banking

Rachel Slade is a prominent Australian banking executive known for her contributions to the financial services industry. She has held key leadership roles at the National Australia Bank (NAB), where she has been instrumental in driving strategic initiatives and enhancing customer experience. As the Group Executive, Personal Banking, she has overseen the bank's efforts to innovate and deliver personalized banking services to its customers. Her career is marked by a strong focus on digital transformation and sustainability within the financial sector. Prior to her role at NAB, Rachel Slade also held significant positions in other major financial institutions, bringing extensive experience and insight into her leadership roles. Her commitment to leadership and her impact on the banking landscape positions her as a notable figure in the industry.

Ms. Ana Marinkovic
Group Executive, Personal Banking

Ana Marinkovic is a distinguished executive and leader in the financial services industry, known for her role at the National Australia Bank Ltd (NAB). She serves as the Executive for Business Direct and Small Business, a position where she is responsible for overseeing the bank's engagement and services catered to small and medium enterprises (SMEs). With a strong focus on innovation, Ana is committed to driving growth, enhancing customer experience, and delivering tailored banking solutions to meet the evolving needs of business clients. Prior to her role at NAB, Ana has had an impressive career across various high-profile positions within the banking and financial sector. Her expertise encompasses areas like strategy development, customer relationship management, and digital transformation, all of which contribute to harnessing NAB’s capabilities in providing cutting-edge services to its clientele. Ana Marinkovic is recognized for her proactive approach to leadership and her ability to foster an environment that encourages diversity and inclusion, as well as her advocacy for gender equality within the workplace. She is also dedicated to supporting local businesses and helping them achieve their financial goals, which aligns with her vision of empowering communities through sustainable economic development.

Ms. Sally Mihell
Head of Investor Relations

Sally Mihell is the General Counsel Corporate at National Australia Bank Ltd (NAB). In her role, she is responsible for providing legal counsel and leadership on corporate legal matters affecting the bank. With extensive experience in corporate law, she plays a crucial role in advising the bank on regulatory issues, mergers and acquisitions, and other significant legal matters. Prior to joining NAB, Mihell has held various senior legal positions where she has honed her expertise in corporate legal affairs. Her leadership contributes significantly to the bank's strategic decision-making and governance.

Contacts

Address
VICTORIA
Melbourne
Level 1 800 Bourke Street, Docklands
Contacts
+61300889398.0
www.nab.com.au