(9 October 2008 – Australia) Bank of Queensland (BOQ) has announced its year end results, including a cash profit which rose 46 percent and a 2 percent drop in net profit.Cash profit, the normalised profit results looked at by analysts, rose from A$106.1 million last year to A$155.4 million this year, an increase of some 46 percent.
Statutory net profit, however, was down slightly on last year, falling 2.3 percent to A$126.8 million.
BOQ has also realised A$5.7 million in synergies from the acquisition of Home Building Society.
BOQ has also recorded strong growth in the banking fundamentals of deposits and loans.
Retail deposits increased by 25 percent over the past year to A$11.5 billion, while also gaining A$2.5 billion in retail deposits from its acquisition of Home Building Society.
Wholesale deposits grew significantly, from A$3.6 billion last year to A$6.1 billion this year, an increase of around 70 percent.
Loans under management before provisions increased well, including a 44 percent increase in retail loans to A$18.9 billion, a 29 percent increase in commercial loans to A$4.4 billion and an 11 percent increase in leasing to A$3.0 billion.
BOQ managing director, David Liddy, said that despite the recent market volatility, BOQ maintains strong asset quality with a focus on well-secured housing and SME lending, and a low level of commercial exposures greater than A$10 million.
In terms of liquidity, Liddy said that BOQ currently holds approximately 16 percent liquidity with 94 percent of securities held either in cash or securities eligible for RBA repurchase agreements.