BOQ announces profit increase
(14 October 2010 – Australia) Bank of Queensland has announced an increased normalised cash net profit after tax of A$197.1 million for the 2009/10 financial year, an increase of 5 percent on last year.
BOQ said bad debts had peaked in 2009-10 and accordingly, profits would be higher this year.
The bank is forecasting normalised cash net profit in 2010-11 of A$220 million to A$250 million.
BOQ managing director David Liddy said a strong balance sheet and focused expense discipline, along with system-beating growth in lending and deposits, all contributed to securing a record profit in what has continued to be a challenging economic environment.
BOQ have continued to deliver on our commitments to the market, despite the difficult conditions, Mr Liddy added.
The bank has continued to deliver on our growth strategy, purchasing an insurance business and a vendor finance business to assist us in diversifying our income sources, increase our overall margins, and reduce the capital intensity of our model, Mr Liddy highlighted.
As per our guidance, we expect that bad debt losses have peaked in FY10, however we also expect that investments in collection processes and resources will improve specific portfolio performance, Mr Liddy commented.
The bank is forecasting normalised cash net profit in 2010-11 of A$220 million to A$250 million.
BOQ managing director David Liddy said a strong balance sheet and focused expense discipline, along with system-beating growth in lending and deposits, all contributed to securing a record profit in what has continued to be a challenging economic environment.
BOQ have continued to deliver on our commitments to the market, despite the difficult conditions, Mr Liddy added.
The bank has continued to deliver on our growth strategy, purchasing an insurance business and a vendor finance business to assist us in diversifying our income sources, increase our overall margins, and reduce the capital intensity of our model, Mr Liddy highlighted.
As per our guidance, we expect that bad debt losses have peaked in FY10, however we also expect that investments in collection processes and resources will improve specific portfolio performance, Mr Liddy commented.
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