ANZ increased its net profit after tax by 18% thanks to the increase in its market share of mortgage loans.
Wednesday, May 4, 2022, 11:11 a.m.
by Eric Frykberg
New Zealand’s largest bank reported statutory after-tax net profit of $1.096 billion in the six months to March on the back of increased home loan market share,
ANZ chief executive Antonia Watson called the results “strong results”, resulting from the strength of the housing market, despite recent headwinds.
“The company was successful in growing its home loan market share and carefully navigated significant regulatory changes during the period,” Watson said, in an apparent reference to the much-criticized CCCFA and stricter LVRs. .
“Spring and summer are the busiest times for the housing market and although property values have fallen 4.1% since peaking in November, they are still well above what they were. one year ago.
“Against this backdrop, ANZ NZ’s home lending market share fell from 30.38% in September 2021 to 30.66% in March 2022.”
But she also warned of changing consumer sentiment.
“With inflation and interest rates rising, and global uncertainty growing, we are starting to see New Zealanders tightening their belts and the current environment
remains a challenge for many small and medium-sized businesses.
ANZ NZ was monitoring the situation carefully, she said, referring to COVID-19, international supply chain issues and heightened geopolitical tensions around the world.
Watson said ANZ was overcoming some of those issues, with credit impairment provisions broadly stable at $20 for the half.
And data showed that more than a third of customers are ahead on their home loan by six months or more.
Corporates and institutions continued to perform well, even though lending to this sector remained weak over the half-year.
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