Westpac Banking Corporation
(ASX:WBC) has reported a 25 per cent fall in its first-half net profit.
The bank’s net profit fell to $2.97 billion on the back of a rise in bad debts and costs associated with setting up the Bank of Melbourne.
However cash profit, the bank’s preferred measure of profitability, gained 1 per cent to $3.19 billion.
CEO Gail Kelly has described as “sound” achieved amid a challenging operating environment.
Looking ahead the bank has warned funding costs are expected to remain elevated with competition intense, particularly for retail deposits.
A fully franked interim dividend of 82 cents per share has been declared.
