Australia & New Zealand Banking Group chief executive officer Mike Smith said in line with the key trends outlined at February trading update, there were good results from outside Australia – in APEA and in New Zealand, and in the performance of Institutional with its international focus.
"In Australia, we made market share gains and customer satisfaction remained strong. Our financial performance however was subdued, significantly impacted by declining margins and the structural shift that’s occurred since the financial crisis with persistently lower demand for credit," Smith added.
For the six months ended on 31 March 2012, the bank’s adjusted non-core items underlying profit stood at $2.97bn, up 5% against the previous half (HOH) and 6% against the prior comparable period (PCP).
ANZ Bank said that it applied austerity measures including slashing jobs, reducing expenses and focusing towards Asia’s growing geographies has assisted the bank to bring positive result.
Net loans and advances in the Asia-Pacific region, Europe and America climbed by 32% compared to the corresponding half year period previous year, while deposits at those offshore locations grew by 34%.
The bank witnessed 15 basis points sharp decline in its net interest margin, which indicates the profitability of lending, while its net interest margin across all operations plummeted 9 basis points compared to the half yearly period last fiscal.
