(Australia) – Westpac chief executive David Morgan has delivered the message to UK investors that the bank is on track to hit its high single-digit earnings growth targets for 2002/03.According to briefing notes released before his speech in the UK, Morgan told investors: “Previous cash earnings per share guidance of seven percent to nine percent remains appropriate for this year.”
Morgan said the bank expected the home loan market, bolstered by population growth and a decrease in average household size, to continue growing ahead of GDP.
The bank also forecast housing credit growth to fall and that a higher proportion of earnings would be devoted to dwelling investment.
Morgan told investors that Westpac would focus on reviewing its operations in New Zealand and implementing a restructure of its Australian business. The bank is also due to complete the integration of its wealth management operations.
In further Westpac news, the bank has linked up with nine major banks from seven countries in adopting the “Equator Principles.” The “Equator Principles” are a voluntary set of guidelines established as an effort to promote the responsible financing of projects globally.
Other banks to sign are: ABN AMRO, N.V., Barclays PLC, Citigroup, Credit Lyonnais, Credit Suisse First Boston, HVB Group, Rabobank, Royal Bank of Scotland, and WestLB AG.