Adelaide's independent news


Flat first-half earnings for Bendigo and Adelaide Bank


Bendigo and Adelaide Bank’s first-half cash earnings have stayed flat at $224.7 million amid pressure on its net interest margin and a rise in bad and doubtful debts.

Comments Print article

The bank said today that cash earnings for the six months to December 31 were just $1 million higher than in the prior corresponding period, while net profit also stayed flat at $209 million.

Net interest margin – the difference between interest earned and interest paid out – fell by 0.6 percentage points to 2.10 per cent against the backdrop of two Reserve Bank rate cuts, while bad and doubtful debts nearly doubled to $39.8 million.

Managing director Mike Hirst said the net interest margin had recovered by the end of the year to 2.14 per cent as loans were repriced across the market due to increased funding costs.

Bendigo lifted both retail deposits and loans under management, approving $8.7 billion of new residential home loans in the half – compared to $5.3 billion in the prior corresponding period.

“Our desire to provide our customers with the best overall experience in financial services led to strong lending growth across retail and partner channels, which has resulted in the bank delivering growth above system, despite competition remaining intense,” Mr Hirst said.

Bendigo first-half results

Cash earnings up 0.4pct to $224.7m

Net profit up 0.1pct to $209m

Income up 1.5pct to $795.3m

Interim dividend flat at 34 cents, fully franked


We value local independent journalism. We hope you do too.

InDaily provides valuable, local independent journalism in South Australia. As a news organisation it offers an alternative to The Advertiser, a different voice and a closer look at what is happening in our city and state for free. Any contribution to help fund our work is appreciated. Please click below to become an InDaily supporter.

Powered by PressPatron


Show comments Hide comments
Will my comment be published? Read the guidelines.

More Business stories

Loading next article