Macquarie Group AGM reveals home loan lift

Macquarie Group announced the results of its first quarter of its 2024 financial year (1Q24) at its annual general meeting (AGM) yesterday (27 July), revealing that it had grown its loan book in the April to June 2023 quarter.

The banking group revealed its home loan portfolio increased to $109.8 billion, up 2 per cent on the prior quarter (ended March 2023), with funds on the platform up 4 per cent, $127.8 billion, and a larger business banking loan portfolio of $14.1 billion (an increase of 8 per cent).

However, the annual report also revealed a decrease in the group’s car loans portfolio of $5.6 billion, down 8 per cent on 31 March 2023.

According to the Macquarie Group, its banking and financial services arm had approximately 1.8 million clients with a net profit contribution in FY23 of $1.2 billion, up 20 per cent on the previous financial year.

Speaking at Macquarie Group Limited’s annual general meeting at Sofitel Sydney, board chair Glenn Stevens said despite positive results for the commencement of the new financial year there could be some tougher times ahead.

“Times will most likely be more difficult in the near term. Inflation has so far remained troublingly high in most markets, and central banks around the world are in a once-in-a-generation struggle to restore price stability that was such an important feature of the most recent era of growth,” Mr Stevens said.

“For both capital markets and communities, much hinges on success in that struggle. At this point, interest rates seem likely to be higher, and for longer, than most people envisaged a short while ago, with the associated prospect of weak economic outcomes.”

The chair also praised the group’s diversification that “was again evident – even as some business lines faced difficult trading conditions, others were able to expand profitability by servicing a growing client base”.

Board appointment

At the AGM, the Macquarie Group also revealed the appointment of David Whiteing as a non-executive director of Macquarie Bank Limited, effective 27 September 2023 (subject to the completion of necessary approvals).

The group said Mr Whiteing would be one of three bank-only non-executive directors that would strengthen the voice of Macquarie Bank Limited within the group.

Mr Stevens said he was “pleased” with the appointment of Mr Whiteing.

“Mr Whiteing brings over 30 years of experience leading business and technology strategies across multiple sectors through periods of significant change,” Mr Stevens said.

“He has worked globally, including four years as global COO for Standard Chartered based in Singapore, various senior consulting roles in London and five years as a group executive at Commonwealth Bank of Australia.”

The proposed appointment of Mr Whiteing in September comes after the group appointed Susan Lloyd-Hurwitz as a new board member, who started on 1 June 2023, when it announced its full-year results in May.

[Related: Macquarie’s home loan portfolio jumps 21% in FY23]