Westpac Banking (WBC) Investor update summary

Transformation program progress

• The UNITE program is on track with no changes to scope, timeline, or budget, structured into 10 work packages and monitored by key milestones rather than just initiative completion.

• Major milestones include migration of 60,000 Asgard customers to Panorama, rollout of Digital Banker to 6,000 bankers, and upcoming One Commercial Bank migration consolidating commercial customers and employees under a single brand.

• Eight out of 57 initiatives are complete, with 38 rated green, 7 amber, and 1 red, reflecting improved execution and governance.

• Over 700 processes have been simplified and more than 180 applications decommissioned, delivering significant cost and productivity benefits.

• The program is business-led, tech-enabled, and supported by a centralized delivery team of ~1,800 employees with executive and board oversight.

Technology and AI integration

• AI is improving efficiency in impact assessments and testing, reducing assessment times by over 50%, with assessment time dropping from ~10 days to less than 4 days.

• Digital Banker and consolidated chat platforms are enhancing customer and banker experiences, providing a single view of customer interactions.

• The program aims to simplify technology by reducing the number of platforms and systems, supporting efficiency and resilience.

• Migration tools and automated workflows ensure safe, seamless customer transitions and data continuity.

• AI tools are showing positive early results but are still being scaled, with ongoing engagement with governance and regulators.

Financial impact and cost management

• UNITE investment is on track, with AUD 195 million spent in Q1 and total program spend expected to be within the FY 2026 guidance of AUD 850–950 million.

• Most material cost benefits will be realized after system decommissioning, particularly in the second half of 2028 and into FY 2029.

• Decommissioning legacy systems like Commercial Hogan will avoid significant upgrade costs (AUD 400 million) and reduce operational complexity.

• Initiative costs include Mortgage Simplification (~$285m), Digital Banker (~$150m), One Collections Platform (~$130m), Debit Card Simplification (~$40m), and One Commercial Bank (~$230m).

• Estimated full-year annual benefits after completion: Mortgage Simplification ~$70m, One Collections Platform ~$15m, Debit Card Simplification ~$15m, One Commercial Bank ~$40m.