Equipment finance underpins BOQ business lending
(1 August 2005 – Australia) Bank of Queensland has grown its equipment finance book by 38 percent over the past 12 months and plans to drive further sales to SMEs through its expanding branch network.
The bank said the strong equipment finance performance would underpin its business banking result for this year and help BOQ maintain its strategy of a 60/40 split between retail and business lending.
BOQ said record sales of A$129 million in June saw it grow its total equipment finance book by 22 percent to A$1.7 billion over the past 12 months.
The bank bought Japanese owned equipment finance company UFJ almost two years ago, during which time BOQ has grown its assets under management by 39 percent. The division’s A$1.7 billion leasing book now comprises 14 percent of the bank’s total loans under management.
BOQ’s head of Business Banking, Ross Norton, said the bank achieved A$2 million in synergies within three months of integrating UFJ with the bank’s existing equipment finance business.
"We basically allowed a solid business to achieve its potential by streamlining credit and settlements, reducing expenses and introducing a more concentrated and focused approach to dealing with our customer base, almost exclusively brokers," Norton said.
BOQ said record sales of A$129 million in June saw it grow its total equipment finance book by 22 percent to A$1.7 billion over the past 12 months.
The bank bought Japanese owned equipment finance company UFJ almost two years ago, during which time BOQ has grown its assets under management by 39 percent. The division’s A$1.7 billion leasing book now comprises 14 percent of the bank’s total loans under management.
BOQ’s head of Business Banking, Ross Norton, said the bank achieved A$2 million in synergies within three months of integrating UFJ with the bank’s existing equipment finance business.
"We basically allowed a solid business to achieve its potential by streamlining credit and settlements, reducing expenses and introducing a more concentrated and focused approach to dealing with our customer base, almost exclusively brokers," Norton said.
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