NAB meets earning expectations
(5 May 2016 – Australia) National Australia Bank (NAB) reported a 6.5 percent rise in cash profit to $3.3 billion in the first half, supported by lower charges for bad debts.
The statutory measure of earnings, which includes the impact of NAB selling its United Kingdom business, Clydesdale Bank in the half, was an interim $1.74 billion loss.
The bank’s revenue rose 3.3 percent in the six months ended 31 March and bad debt charges fell year-on-year.
Cash profits rose 5 percent to A$2.9 billion, helped by lending growth and wider net interest margins.
"Our Australian businesses have performed well this period,” the bank’s chief executive Andrew Thorburn said.
“Personal banking continues to record strong revenue growth despite higher wholesale funding costs and some slowing in the growth rate of home lending.”
The bank said bad and doubtful debt charges in Australia fell 7 percent to A$341 million.
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