Westpac Banking (WBC) Investor Update summary

Strategic Priorities and Transformation Agenda

• Five key priorities include customer-centricity, employee engagement, risk management, transformation, and sustainable performance.

• The Unite program aims to simplify products, processes, and technology, delivering a 'One Best Way' across the organization.

• Leadership and staff are highly aligned and committed to transformation, with regular engagement and transparent progress tracking.

• Transformation is business-led, with accountability embedded in executive scorecards and a robust governance framework.

• Focus on improving return on tangible equity (ROTE) and cost-to-income ratio relative to peers.

UNITE Transformation Program and Execution

• Over 70% reduction in products and more than 700 processes simplified.

• Technology consolidation with over 180 applications decommissioned.

• Mortgages simplification to migrate customers to a single suite of products and processes, with $120 million annual savings and a $450 million initiative cost.

• 41 out of 60 Unite initiatives are in progress, with four completed and ongoing refinement of the plan.

• Progress is tracked using a traffic light system, with most initiatives on track and transparent reporting of challenges.

Financial Targets and Investment Approach

• Unite will account for 35%-40% of total investment spend from FY2025 to FY2028, with a projected $600 million spend this year.

• Total Unite investment expected to be around $2 billion per annum.

• The program targets a below peer-average cost-income ratio and above peer-average ROTE by FY2029.

• Most cost improvements will come from simplification, with additional revenue opportunities from better customer utilization of existing products.

• Over $300 million annual savings expected from consumer simplification.