Westpac profit at A$2.06 billion
(Australia) - Australia's fourth ranked bank, Westpac Banking Corp, has posted a 9 percent rise in full year net profit to A$2.06 billion on the back of a good performance from its consumer and business banking unit.
The result slightly exceeded market expectations and prompted a rally in Westpac shares, which have been under pressure in recent weeks, and saw the stock gain almost 4 percent on the day of the announcement.
Profits at the business and consumer banking unit were up 24 percent to A$1.05 for the year to September 30, while consumer products - which includes retail deposits, mortgages and credit cards - were up 21 percent.
The institutional bank division posted a 25 percent profit fall to A$281 million, largely due to bad loan charges from exposure to failed companies Enron and WorldCom.
Westpac chief David Morgan welcomed the result, but said the bank's future would be judged on the success of the A$1.2 billion million acquisition of BT Funds Management.
Morgan also said the "anaemic" global recovery was likely to clip next year's growth to between 7 and percent.
Profits at the business and consumer banking unit were up 24 percent to A$1.05 for the year to September 30, while consumer products - which includes retail deposits, mortgages and credit cards - were up 21 percent.
The institutional bank division posted a 25 percent profit fall to A$281 million, largely due to bad loan charges from exposure to failed companies Enron and WorldCom.
Westpac chief David Morgan welcomed the result, but said the bank's future would be judged on the success of the A$1.2 billion million acquisition of BT Funds Management.
Morgan also said the "anaemic" global recovery was likely to clip next year's growth to between 7 and percent.
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