HBOS ahead of plans but flags slower second half
(2 August 2006 – Australia) HBOS Australia has posted a 23 percent increase in first half underlying profit to A$316 million.
HBOS Australia chief executive David Willis said the bank, which owns BankWest, was ahead of its strategic and financial objectives.
"We have achieved significant gains in national business, brand awareness and market share as a result of our strategy to acquire customers through a combination of service and market leading products offering customers a better deal," he said.
"During the first half costs were slightly lower than the second half of 2005 as we sought to consolidate and realise the benefits from a number of new initiatives introduced over the previous financial year," Willis said.
However, he said the second half of the current year would be impacted by the investment the bank had made in staff, infrastructure and distribution on the east coast.
Willis said business investment remained strong and the bank was optimistic about its prospects in Australia.
BankWest head of Commercial Banking Gary Johnson recently told Banking News that the bank’s Commercial division grew its balance sheet by 70 percent in 2005 and was on track to do the same again in 2006.
BankWest opened nine business centres on the east coast in 2005 with another 10 or so due to open this year.
Johnson said business banking centres were being located in "logical" growth centres such as Kingsgrove, Chatswood and Wetherill Park in NSW.
"We have achieved significant gains in national business, brand awareness and market share as a result of our strategy to acquire customers through a combination of service and market leading products offering customers a better deal," he said.
"During the first half costs were slightly lower than the second half of 2005 as we sought to consolidate and realise the benefits from a number of new initiatives introduced over the previous financial year," Willis said.
However, he said the second half of the current year would be impacted by the investment the bank had made in staff, infrastructure and distribution on the east coast.
Willis said business investment remained strong and the bank was optimistic about its prospects in Australia.
BankWest head of Commercial Banking Gary Johnson recently told Banking News that the bank’s Commercial division grew its balance sheet by 70 percent in 2005 and was on track to do the same again in 2006.
BankWest opened nine business centres on the east coast in 2005 with another 10 or so due to open this year.
Johnson said business banking centres were being located in "logical" growth centres such as Kingsgrove, Chatswood and Wetherill Park in NSW.
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