- Australia and New Zealand Banking Group Ltd (ASX:ANZ) on Wednesday reported a cash profit of AU$2.99 billion in the first half of 2021.
- The statutory profit after tax (PAT) stood at AU$2.94 billion, up 45% from the previous half.
- While the equity Tier 1 ratio strengthened to 12.4%, the cash return on equity increased to 9.7%.
Australia and New Zealand Banking Group Ltd (ASX:ANZ) on Wednesday announced that its cash profit from continuing operations more than doubled to AU$2.99 billion in the half year ended 31 March 2021, compared to AU$1.41 billion a year ago. The cash profit surged as the bank released funds it had previously set aside to cover potential loan losses due to the COVID-19 pandemic.
The Australian multinational banking and financial services company headquartered in Melbourne announced higher-than-expected interim dividend, driven by strong capital management, solid earnings, and improving conditions.
The statutory profit after tax (PAT) of the country’s fourth-largest bank stood at AU$2.94 billion, up 45% from the previous half. While the equity Tier 1 ratio strengthened to 12.4%, the cash return on equity increased to 9.7%.
What company says
Commenting on the financial results, ANZ chief executive Shayne Elliott said that the work done over the past five years was to simplify the operations, strengthen the balance sheet, and de-risk the Group to help deliver a strong result this half. All parts of our business performed well, and costs were down 2%, Elliot also said.
Australia Retail & Commercial had another good half, becoming the third-largest home lender in the market. Deposits performed well, with retail and small business customers behaved prudently by building solid savings and offset balances through the half, Elliot noted.
Source: © Herrbullermann | Megapixl.com
Lower revenues in our Institutional business were largely expected due to the impact of falling interest rates as well as the normalisation of market revenue after an exceptionally strong 2020.
The board of the bank announced a dividend of 70 cents. The dividend was more than double of the paid last year.
Source: ©Miflippo | Megapixl.com
On Tuesday, 4 May 2021, the stock of ANZ closed at AU$28.83, down 0.27 points, or 0.93% as against the previous closing on Monday, 3 May 2021. The stock has given a return of over 25% so far this year. ANZ competes with the Commonwealth Bank of Australia (ASX:CBA), Netwealth Group Ltd (ASX:NWL), Hub24 Ltd (ASX:HUB), AUB Group Ltd (ASX:AUB), Janus Henderson Group plc (ASX: JHG), and National Australia Bank (ASX:NAB), in the financial sector.