MyState (MYS) investor relations material

Executive summary

• Underlying NPAT rose 41.2% to AUD 58.3 million, with statutory NPAT up 58% to AUD 56.2 million, driven by strong earnings growth and successful integration of Auswide Bank.

• Integration delivered AUD 11.8 million in run-rate synergies, with all major integration decisions completed and a target of AUD 20–25 million by FY 2028.

• Higher-return businesses contributed over 11% of group NPAT, up from 6% in FY25, diversifying earnings.

• The board declared a fully franked final dividend of AUD 12.5 cents per share, bringing the full year dividend to AUD 24.5 cents per share, up 3.0 cps from FY25.

• Integration milestones included transitioning to a single banking license and making all major strategic decisions, reducing execution risk.

Financial highlights

• Total operating income increased 37.1% to AUD 255.9 million; operating expenses rose 33.9% to AUD 170.1 million.

• Underlying EPS up 11.7% to 34.3 cps; statutory EPS up 25.4% to 33.1 cps.

• Net interest margin improved by 3 basis points to 1.50%, with June exit NIM at 1.58%.

• Customer deposits grew 4.0% to AUD 10.6 billion; home loan book expanded 5.8% to AUD 13.6 billion.

• Group total assets increased 5.3% to AUD 16.1 billion.

Outlook and guidance

• Integration program and synergy realization are on track, with a target of AUD 20–25 million in annual pre-tax cost synergies by FY 2028.

• Focus remains on sustainable shareholder value, disciplined growth, efficiency, and capital management.

• Priorities include profitable growth in home lending and deposits, scaling equipment finance, and expanding funds and trustee services.

• Retail banking competition expected to remain robust, with margin pressure partly offset by Selfco's contribution.

• System credit growth expected to slow to around 4% in FY 2027; aim to grow at or slightly above system.