Australia and New Zealand Banking Group (ASX:ANZ) have released their results for the Financial Year to 30 September 2018 showing a 5 per cent dip in its annual cash profit from continuing operations to $6.49 billion.
The full-year cash profit — which leaves out the one-off items —is down 16 per cent to $5.8 billion.
The profit was propped up by a $1 billion drop in bad debts, in large part driven by exiting its Asian ventures.
The impact of the royal commission is seen in the results with external legal costs hitting $55 million (pre-tax) for the 2018 financial year.
CEO David Hisco says they have had a significant reduction in provision charges – funds set aside for bad debts – due to credit quality improvements across their Retail, Commercial and Agri businesses.
Shares in ANZ (ASX:ANZ) are 1.83 per cent higher at $25.66.