ANZ’s Asia minor

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From Banking Day today comes this little clangor:

How much profit does ANZ earn in Asia under its own steam?

Around four per cent.

This level of profit from Asia in the year to September 2012 is up more than one percentage point on the profit earned directly from the region in 2011.

It is also much lower than the shifting and aspirational targets ANZ sets for itself on its Asian strategy.

In 2008 this goal took the form of a target of earning 20 per cent of its profit in Asia within five years, a target later explained that needed to be understood broadly.

It’s modern form, restated in the commentary on strategy in the profit release yesterday, is that “ANZ’s aspiration is to have 25 per cent to 30 per cent of profit driven by network revenue, that is revenue sourced from the Asia Pacific region, by 2017.”

At least they’re trying! The full article is worth a read.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.