Full Year Results

1
Full Year Results 30 June 2003 Presentation to
Media

• David Murray
• 20 August 2003

www.commbank.com.au
2
Disclaimer

• The material that follows is a presentation of
  general background information about the Banks
  activities current at the date of the
  presentation, 20 August 2003. It is information
  given in summary form and does not purport to be
  complete. It is not intended to be relied upon as
  advice to investors or potential investors and
  does not take into account the investment
  objectives, financial situation or needs of any
  particular investor. These should be considered,
  with or without professional advice when deciding
  if an investment is appropriate.

3
Agenda

• Results
• Group
• Business Segments
• Outlook
• Operating Environment
• Financial Services Industry
• Direction

4
3 increase in cash profit in line with
expectations at last AGM
Jun 2003 2,012m 2,579m 203cps
Jun 2002 2,655m 2,501m 197cps
Change (24) 3 3

• Statutory Net Profit After Tax
• Net Profit After Tax (cash basis)
• Earnings per Share (cash basis)

excluding goodwill amortisation of 322 million
and reduction in appraisal value of the wealth
management businesses of 245 million
5
Another record dividend
Jun 2003 154cps 75.9
Jun 2002 150cps 76.2
Change 3 -

• Dividends per Share
• Dividend Payout Ratio

154
150
136
130
115
104
102
90
82
60
42
6
Banking performance drives a 9 underlying growth
7
Lower results in funds management consistent with
tough market conditions

• Income to FUM stable at 116 basis points
• FirstChoice growing rapidly to 3.2bn

bn
Net Funds Flow
Cash Management Trusts Non-UK includes New
Zealand and Asia
8
Steady operating margins and improving investment
returns for life insurance
9
Implementation of strategic initiatives

• Redesign of our branch telling system
• Small business and corporate process redesign
• Home loan process redesign
• ATM replacement
• NetBank upgrade

10
Outlook

• Operating Environment
• Australian economy reasonably resilient but
  remains dependent on US recovery
• Positive signs emerging
• Significant potential financial imbalances from
  US deficits

• Financial Services Industry
• Highly competitive
• Environment of reducing margins
• Possible slowing of credit growth

11
Value Creation Phases
12
Online banking, integral to the way customers
transact

• First major bank to launch internet banking
• 2.8m customers registered for NetBank
• 1.3m customers registered for our other internet
  services including
• CommSec
• First Net and First Net Adviser
• Over half of all bill payments now being done
  online
• Almost half of all home loan redraws now done
  online

13
Colonial merger, added banking, funds and life
insurance to an existing product mix
14
Customer service culture, the next transformation

• Customer Service
• through
• Engaged People
• supported by
• Simple Processes

15
Full Year Results 30 June 2003 Presentation to
Media

• David Murray
• 20 August 2003

www.commbank.com.au