Business banking a “powerhouse” for BOQ
(7 April 2006 – Australia) Bank of Queensland has posted a net profit after tax of A$42.3 million for the first half of 2006, an 18 percent increase on the corresponding period in 2005.
During the period loan approval grew 28 percent, retails deposits increased 18 percent and loans under management grew 19 percent.
The bank said home loans had grown above system, justifying the decision it took to exit broker generated mortgages.
"We started this journey of reinvention for Bank of Queensland five years ago and we are now seeing clear signs that a service focused bank with a sales driven model and expanding footprint can make strong profits in an extremely competitive market," BOQ managing director David Liddy said.
He said BOQ’s branch roll out was on target to reach 215 branches nationally by the end of August, 75 of which will be outside the bank’s home state. The bank opened a branch in Darwin recently and will open its first Western Australian branch in April.
Liddy said business banking had showed strong growth through its business banking channel, new SME customers coming into branches, and acquisitions in equipment finance and debtor finance.
"The growth of our business banking network nationally and the acquisitions over the last few years of ATM Solutions, UFJ Australia and the Orix debtor finance business have caused a revolution in the bank’s offering to customers," he said.
"All of these strategic acquisitions have married with organic growth within our Business Banking division to create a powerhouse sector for the bank from what was one of the weakest areas of the bank a few years ago.
"Our business lending portfolio has grown 23 percent over the past 12 months, which is impressive at any time, but particularly strong considering the competitiveness of the current market," Liddy said.
The bank said home loans had grown above system, justifying the decision it took to exit broker generated mortgages.
"We started this journey of reinvention for Bank of Queensland five years ago and we are now seeing clear signs that a service focused bank with a sales driven model and expanding footprint can make strong profits in an extremely competitive market," BOQ managing director David Liddy said.
He said BOQ’s branch roll out was on target to reach 215 branches nationally by the end of August, 75 of which will be outside the bank’s home state. The bank opened a branch in Darwin recently and will open its first Western Australian branch in April.
Liddy said business banking had showed strong growth through its business banking channel, new SME customers coming into branches, and acquisitions in equipment finance and debtor finance.
"The growth of our business banking network nationally and the acquisitions over the last few years of ATM Solutions, UFJ Australia and the Orix debtor finance business have caused a revolution in the bank’s offering to customers," he said.
"All of these strategic acquisitions have married with organic growth within our Business Banking division to create a powerhouse sector for the bank from what was one of the weakest areas of the bank a few years ago.
"Our business lending portfolio has grown 23 percent over the past 12 months, which is impressive at any time, but particularly strong considering the competitiveness of the current market," Liddy said.
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