Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


ANZ New Zealand cash profit rises to $1.1 bln in first 3Qs

ANZ New Zealand cash profit rises to $1.1 bln in first 9 months as costs trimmed

Aug. 16 (BusinessDesk) – ANZ New Zealand, the nation’s largest lender, lifted its nine-month cash profit by 14 percent by trimming costs and taking a smaller provision for bad debts, making up for a drop in interest income.

Cash profit, which strips out fair value movements in hedging and insurance assets, rose to $1.06 billion in the nine months ended June 30, according to the Australia and New Zealand Banking Group NZ Branch disclosure statement. Net interest income fell 4 percent to $1.96 billion, as interest income declined 1.2 percent and interest expense rose 0.5 percent.

The profit gain reflected “a reduction in provisions for bad and doubtful debts as well as reduced restructuring costs and productivity gains from simplifying the business,” the lender said. That offset “the impact of a decline in net interest margin earlier in the year.”

Restructuring costs fell by $85 million compared to a year earlier as ANZ completed the integration of its core banking system following the merger of its ANZ and National Bank brands. Its credit impairment fell 66 percent to $49 million.

The bank’s commercial division, which includes its Business Banking services to smaller companies, Commercial & Agri unit for larger enterprises and UDC customers, recorded the biggest earnings gain by value in the nine months, rising to $524 million from $448 million.

Retail banking recorded a 2 percent gain to $269 million. The lender’s Wealth unit recorded a 25 percent gain to $55 million while institutional, which provides financial services to major corporations and multi-nationals posted a 5 percent decline in earnings to $232 million.

Statutory profit rose 7 percent to $1.03 billion.

ANZ New Zealand paid $384 million in tax in the first nine months of the year, up from $326 million a year earlier.

ANZ shares last traded at $34.33 on the NZX and have gained about 9 percent this year.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Commerce Commission: Appeals Record $2.25m Fine In Vodafone FibreX Case

The Commerce Commission has filed an appeal in the High Court against a record $2.25 million fine imposed on Vodafone NZ Limited (Vodafone) for its offending under the Fair Trading Act during its FibreX advertising campaign. While the sentence imposed in the Auckland District Court on April 14 was the largest-ever fine under the Fair Trading Act, the Commission will argue that it is manifestly inadequate... More>>

All District Health Boards: Historic Pay Equity Settlement

An historic agreement has been ratified that addresses a long-standing undervaluation of a workforce that is critical to the smooth running of our hospitals and the delivery of healthcare... More>>

MPI: Dry Autumn In Waikato And South Auckland Leads To Drought Classification Drought conditions affecting the primary sector in the Waikato and South Auckland were today classified as a medium-scale adverse event, enabling a package of support for farmers and growers... More>>

Barfoot & Thompson: Rents Up By Around 3% In Most Areas

The average weekly rent paid for homes in most areas of Auckland has risen by around 3 percent year-on-year. The figures for end March from more than 16,000 properties... More>>

DoC: Smeagol The ‘Gravel Maggot’ Leaves Its Rare Mark On The Remote West Coast
An extremely rare species of sea slug or ‘gravel maggot’ has been detected for the first time on a remote beach in South Westland... More>>

Immigration: Annual Net Migration Loss Of 7,300

The provisional net loss of 7,300 people in the year ended March 2022 was the lowest net migration for a March year since 2012, Stats NZ said today... More>>