Westpac Banking Corporation · ASX:WBC
Westpac Banking — Debt Investor Presentation (May 2026)
29 slides from Westpac Banking's debt investor presentation, May 2026
Slide 1: Westpac Fixed Income Investor Presentation May 2026
MAY 2026 Data for the six months ended 31 March 2026 unless otherwise stated © Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714
Slide 2: Westpac 1H26 Highlights
WESTPAC 1H26 HIGHLIGHTS BALANCE SHEET CREDIT QUALITY SOLID FINANCIAL STRONG SOUND PERFORMANCE1 CET1 capital ratio 12.4% Impairment charges 10BPS Net profit after tax $3.5BN APRA basis 12.5% Sep-25 to average loans 4bps 2H25 (ex Notable Items) $3.5bn 2H25 19.4% Collectively assessed 12
Slide 3: 1H26 Financial Performance
1H26 FINANCIAL PERFORMANCE Net profit after tax (ex Notable Items, $m)1 Net interest margin (ex Notable Items, % and bps)1 Statutory basis Statutory basis 3,599 3,414 388 1.95 (3bps) - (269) (2bps) 2bps - (1bp) (2bps) 1.89 3,515 (141) 36 3,483 (46) 4 3 Treasury and 2H25 difference 1H26 Deposits Liqu
Slide 4: Growth in Deposits
GROWTH IN DEPOSITS Composition of customer deposits (% of total) Australian household deposit growth (%) 3.0% 11 Westpac ADI System 19 10 28 2.0% $745bn 57 $745bn 24 18 1.0% 33 0.0% Term deposits Savings June (tax year end) Households Businesses Institutional 1 Transaction Mortgage offset -1.0% Non-
Slide 5: Growth in Lending
GROWTH IN LENDING Composition of gross loans (% of total) Australian housing credit growth (%) 1.2% Australian mortgages Westpac (ex. RAMS) ADI system 3 4 1.0% 7 Australian business 1 0.8% Institutional 13 0.6% Australian personal $890bn 0.4% 58 New Zealand mortgages 13 New Zealand business/other 0.
Slide 6: Capital Ratios
CAPITAL RATIOS Level 2 CET1 capital ratio movements (%, bps) Key capital ratios2 (%) Mar-25 Sep-25 Mar-26 Level 2 CET1 12.2 12.5 12.4 capital ratio Additional Tier 1 2.3 1.9 1.9 capital ratio 74 (57) Tier 1 capital ratio 14.5 14.4 14.3 (21) Tier 2 capital ratio 7.1 7.2 7.2 12.53 (27) 17 12.42 Total
Slide 7: Credit Quality
CREDIT QUALITY Impairment charges and stressed exposures (bps) Australian mortgage delinquencies1 (%) 4.0 Impairment charge to average loans annualised (lhs) 90+ day delinquencies 30+ day delinquencies Stressed exposures to TCE (rhs) 100 350 3.0 80 250 60 40 150 2.0 116 20 10 50 1.10 0 1.0 -20 -50 0
Slide 8: Provisions
PROVISIONS Provision for Expected Credit Loss1 (ECL) ($m) Scenario weightings (%) $1.9bn in provisions 7,364 above the base case ECL 2.5 Upside 5,199 Base 3,256 Downside 47.5 50.0 Reported 100% 100% probability-weighted ECL base case ECL downside ECL Movement in provisions1 ($m) Forecasts for base c
Slide 9: Credit Quality Across Sectors
CREDIT QUALITY ACROSS SECTORS Corporate and business stressed exposures by industry sector (%) Mar-25 Sep-25 Mar-26 6.0 5.0 4.0 3.0 2.0 1.0 0.0 Property Wholesale Property & Utilities Services Agriculture, Manufacturing Transport Construction Accommodation Mining & business forestry & & cafes & reta
Slide 10: Australian Mortgage Portfolio Composition
AUSTRALIAN MORTGAGE PORTFOLIO COMPOSITION Australian mortgage portfolio Mar-25 Sep-25 Mar-26 1H26 Fixed rate % of portfolio (Westpac brand, %) balance balance balance flow1 50.0 Total portfolio ($bn) 510.2 518.7 536.2 67.4 40.0 Owner occupied (OO) (%) 68.1 67.8 67.1 60.9 30.0 Investment property loa
Slide 11: Australian Mortgage Portfolio Repayment Buffers
AUSTRALIAN MORTGAGE PORTFOLIO REPAYMENT BUFFERS Customers ahead on repayments1 (% by balances) Mar-25 Mar-26 28 25 Loans ‘on time’ Investment property loans – and <1mth ahead generally maintain higher 21 21 balances for tax purposes 19 18 18 17 17 35 32 Accounts opened in the last 12 14 15 months 14
Slide 12: Long Term Wholesale Funding Profile
LONG TERM WHOLESALE FUNDING PROFILE Term debt issuance and maturity profile1,2 ($bn) Funding for Lending Programme (NZ) Issuance Maturities 42 Tier 2 capital 35 34 30 30 29 28 28 Additional Tier 1 capital 22 19 15 Covered bond Senior/Securitisation FY23 FY24 FY25 FY26 FY26 FY27 FY28 FY29 FY30 FY31 >
Slide 13: AT1 and Tier 2 Capital
AT1 AND TIER 2 CAPITAL Total capital AT1 and Tier 2 capital maturity/call profile1 ($bn) CET1 AT1 Tier 2 11.9 21.50 Additional Tier 1 Tier 2 18.25 AT1 instruments will be eligible as Includes LAC 7.22 Tier 2 capital from 7.75 (4.5%) and 1 January 2027 until 1.86 Tier 2 (3.25%) their first call date
Slide 14: Australian and New Zealand Economic Forecasts
AUSTRALIAN AND NEW ZEALAND ECONOMIC FORECASTS As at 8 May 2026 Key economic indicators (%) 2025 2026 2027 Calendar Years 1 Year average growth rates. 2 Through the year growth rates. Q3 Q4 Q1F Q2F Q3F Q4F Q1F Q2F Q3F Q4F 2025 2026F 2027F 2028F World GDP1 - - - - - - - - - - 3.4 3.2 3.3 3.3 Australia
Slide 15: Australian Housing Market
AUSTRALIAN HOUSING MARKET As at 8 May 2026 Dwelling prices (%, 3mth annualised) Dwelling prices: Sydney-Melbourne vs the other % COVID-19 ‘Delta’ capital cities (%, 3mth annualised) 2019 election rate cuts COVID-19 ‘Delta’ Macro-prudential % % 40 measures rate hikes Sydney-Melbourne 40 other capital
Slide 16: Appendix
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Slide 17: Westpac Credit and ESG Ratings
WESTPAC RATINGS CREDIT ESG RATINGS1 RATINGS2 S&P GLOBAL RATINGS MSCI AA- A- Stable AA 5.9 0.5 points Senior Subordinated Outlook (improved Score Score Unsecured Debt Debt from A) improved MOODY’S INVESTORS SERVICE SUSTAINALYTICS Aa2 A3 (hyb) Stable 12.7 4.5 points Senior Subordinated Outlook Low Ris
Slide 18: Lending Portfolio Composition
LENDING PORTFOLIO COMPOSITION Non-retail exposures at default by sector1,2 ($bn) % of Total exposures at Mar-26 Sep-25 Mar-25 Group EAD at 31 March 2026 default by sector1 ($bn) 119 9.9% Government, administration and defence 91 7.6% Property 3 Retail Finance and insurance 4 83 6.9% $1.2bn lending 5
Slide 19: Sectors in Focus: Agriculture and Construction
SECTORS IN FOCUS Agriculture Construction Mar-25 Sep-25 Mar-26 Mar-25 Sep-25 Mar-26 TCE ($bn) 14.0 14.8 15.3 TCE ($bn) 26.9 28.3 29.4 % of Group TCE 2.09 2.17 2.17 % of Group TCE 1.09 1.13 1.13 Lending ($bn) 23.0 24.5 24.8 Lending ($bn) 8.6 9.2 9.4 % of portfolio graded as stressed1,2 4.42 3.68 3.53
Slide 20: Sectors in Focus: Manufacturing and Transport & Storage
SECTORS IN FOCUS Manufacturing Transport & Storage Mar-25 Sep-25 Mar-26 Mar-25 Sep-25 Mar-26 TCE ($bn) 25.8 26.7 27.0 TCE ($bn) 21.4 23.3 26.3 % of Group TCE 2.00 2.04 1.99 % of Group TCE 1.66 1.79 1.94 Lending ($bn) 12.7 13.8 14.2 Lending ($bn) 13.0 14.1 16.5 % of portfolio graded as stressed1,2 4.
Slide 21: Sectors in Focus: Commercial Property
SECTORS IN FOCUS: COMMERCIAL PROPERTY • Single credit policy, supported by industry sector Commercial property exposures Commercial property portfolio concentration limits (% of TCE) composition (TCE) (%) • Maintained credit standards, with close oversight Sub-sector of portfolio • Managed by specia
Slide 22: New Zealand Credit Quality
NEW ZEALAND CREDIT QUALITY Mortgage portfolio Sep-25 Mar-26 Mortgage Unsecured consumer 90+ day delinquencies3 (%) 90+ day delinquencies3 (%) 1.0 3.0 Total portfolio (NZ$bn)1 71.3 73.3 0.8 Owner occupied (%) 74.3 74.3 2.0 0.6 0.50 Investment property 25.7 25.7 0.4 loans (IPL) (%) 1.0 0.87 Broker int
Slide 23: UNITE: One Best Way
UNITE: ONE BEST WAY INITIATIVES 1H26 ACHIEVEMENTS 8 49 • Completed customer migration from Asgard to COMPLETE REMAINING Panorama • Announced migration of commercial customers to One Commercial Bank STATUS1 • Launched Controlled Monies, digitising processes for business customers who hold client fund
Slide 24: Westpac Covered Bond Highlights
WESTPAC COVERED BOND HIGHLIGHTS As at 30 April 2026 Westpac covered bond pool Westpac maturity profile5 (A$bn) Key features • Covered Bonds are AAA/Aaa rated1 Housing loan pool size A$42,140,844,129 AUD USD EUR CHF GBP • Highly rated issuer Westpac AA- / Aa2 / AA-2 Average loan size A$345,499 • Issu
Slide 25: Westpac Cover Pool Statistics
WESTPAC COVER POOL STATISTICS As at 30 April 2026 Loan to value ratio by balance (%) Geographic distribution by state 1 Current LVR (unindexed) Current LVR (indexed) 60 50 40 Northern Territory $173.5m, 30 0.4% 20 Queensland $7,058.0m, Western 16.8% 10 Australia South $4,577.4m, Australia 10.9% $2,1
Slide 26: Westpac Cover Pool Statistics (Cont.)
WESTPAC COVER POOL STATISTICS (CONT.) As at 30 April 2026 Interest only expiry date remaining period Interest rate split (%) % of interest only loans by balance (lhs) Number of loans (rhs) 25 2,000 5% Fixed 20 Variable 1,500 15 1,000 10 500 5 - 0 < 6 mths 6 mths 1yr 2yrs 3yrs 4yrs > 5 yrs 95% - 1yr
Slide 27: Westpac Covered Bond Pool – Overview
WESTPAC COVERED BOND POOL – OVERVIEW 27 As at 30 April 2026 Covered Bond pool eligibility summary Westpac Australia Covered Bond pool statistics At the time of sale, each loan: Total Pool Loan Balance1 A$42,140,844,129 • Is denominated and payable only in AUD in Australia Number of Loans 121,971 • I
Slide 28: Internationally Comparable Capital Ratio Reconciliation
INTERNATIONALLY COMPARABLE CAPITAL RATIO RECONCILIATION1 APRA’s capital requirements are more conservative than those of the Basel Committee on Banking Supervision (BCBS), leading to lower reported capital ratios by Australian banks. The following details the adjustments and how Westpac’s APRA CET1
Slide 29: Disclaimer
DISCLAIMER The material contained in this presentation is intended to be general background information on Westpac Banking Corporation (“Westpac”) (ABN 33 007 457 141) and its activities. It should not be reproduced, distributed or transmitted to any person without the consent of Westpac and is not
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