Full-year 2020

Annual report

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Macquarie (MGL and its subsidiaries, the Consolidated Entity) is a global diversified financial group with offices in 31 markets.


Financial highlights

FY2020 net profit

$A2731m

8% on prior year


FY2020 operating expenses

$A8871m

in line with prior year
FY2020 net operating income

$A12325m

3% on prior year


FY2020 earnings per share

$A7.91

10% on prior year

FY2020 return on equity

14.5%

from 18% in prior year


FY2020 effective tax rate

21.0%

from 22.8% as at 31 March 2019
FY2020 dividends per share (40% franked)

$A4.30

25% on prior year


Assets under management as at 31 March 2020

$A606.9b

from $A551.3b as at 31 March 2019

FY2020 Net Profit Contribution1 by activity

1. Net profit contribution is management accounting profit before unallocated corporate costs, profit share and income tax.


Annuity-style activities

$A3439m

13% on prior year

Markets-facing activities

$A2009m

35% on prior year

 

FY2020 Net Profit Contribution by geography2

AMERICAS

25%

EMEA

29%

ASIA

13%

ANZ

33%

2. International income is net operating income excluding earnings on capital and other corporate items.

A letter from the Chairman 

Macquarie remains well placed because of its diversity of business mix and geography, strong capitalisation and well‑funded balance sheet, and a conservative approach to risk management.

Peter Warne
Independent Chairman

A letter from the Chairman 

Macquarie remains well placed because of its diversity of business mix and geography, strong capitalisation and well‑funded balance sheet, and a conservative approach to risk management.

Peter Warne
Independent Chairman

A letter from the Managing Director and CEO

We are proud of the way in which staff have adapted to the changed operating environment, including the vast majority of staff moving to work remotely, without interruption to their activities or to client service.

Shemara Wikramanayake
Managing Director and Chief Executive Officer

Perspectives

Contributing to communities through COVID-19 and beyond

Learn more

Operating and Financial Review

Our businesses

Macquarie is a diversified financial group providing clients with asset management and finance, banking, advisory and risk and capital solutions across debt, equity and commodities. For internal reporting and risk management purposes, Macquarie is divided into four Operating Groups, which are supported by four Central Service Groups. The Operating Groups are split between annuity‑style businesses and markets‑facing businesses.

Net profit contribution

$2177m

16% on prior year

Macquarie Asset Management (MAM)

A leading specialist global asset manager, offering a diverse range of products through two business divisions: Macquarie Infrastructure and Real Assets (MIRA) and Macquarie Investment Management (MIM).

Net profit contribution

$A770m

2% on prior year

Banking and Financial Services (BFS)

BFS serves the Australian market, and is organised into the following three business divisions: personal banking, wealth management and business banking.

Net profit contribution

$A1746m

in line with prior year

Commodities and Global Markets (CGM)

Provides clients with an integrated, end‑to‑end offering across global markets including equities, fixed income, foreign exchange, commodities and technology, media and telecoms.

Net profit contribution

$A755m

57% on prior year

Macquarie Capital

Global capability in advisory and capital raising services, investing alongside partners and clients across the capital structure, providing clients with specialist expertise, advice and flexible capital solutions across a range of sectors.

Central service groups

Provide a range of functions supporting Macquarie’s Operating Groups, ensuring they have the appropriate workplace support and systems to operate effectively and the necessary resources to meet their regulatory, compliance, financial reporting, legal and 
risk management requirements.

Corporate Operations Group (COG)

Provides specialist support services across technology, market operations, human resources, workplace and strategy.

Financial Management Group (FMG)

Provides financial, tax, corporate communications and treasury services to all areas of Macquarie.

Legal and Governance (LGL)

Provides a full range of strategic legal advice and support and corporate governance services.

Risk Management Group (RMG)

Independent and centralised unit responsible for identifying, assessing and monitoring risks across Macquarie.

Corporate Governance

Macquarie’s key governance practices guide decision‑making of MGL and its subsidiaries (Macquarie) to meet stakeholder expectations of sound corporate governance, acknowledging Macquarie’s specific and broader responsibilities to shareholders, funders, clients, staff and the communities in which it operates.

Diversity and Inclusion

At Macquarie, the diversity of our people is one of our greatest strengths. An inclusive workplace enables us to embrace diversity to deliver more innovative and sustainable solutions for our clients, shareholders, communities and our people.

Environmental, Social and Governance

Macquarie’s Board and Management recognise the importance of sound Environmental, Social and Governance (ESG) practices as part of their responsibility to our clients, shareholders, communities, people and the environment in which Macquarie operates. 

Risk Management

The role of the Board is to promote the long-term interests of Macquarie, taking into account Macquarie’s specific and broader responsibilities to its shareholders, funders, clients, staff and the communities in which it operates.

The Board is committed to oversight of Macquarie’s performance, risk management and culture and to promoting the creation of enduring value by supporting its purpose to realise opportunities for the benefit of our clients, community, shareholders and our people.

Macquarie Group Foundation

$A410m+3

contributed

1,600+4

community organisations supported

46,0004

hours volunteered

The Macquarie Group Foundation (the Foundation) is the philanthropic arm of Macquarie. The Foundation encourages Macquarie staff to give back to the communities in which they live and work by contributing service, financial support and leadership to the community organisations they feel passionately about.

 

3. Since inception in 1985. 

4. In the 12 months to 31 March 2020.

Addtional information

Investor information

10 year history