CBA cash profit nearly tops $10 billion

by Chris Becker

Money laundering scandal? What money laundering scandal? The biggest division of Megabank, the former government owned division, just posted its eighth record high profit, slightly beating expectations.

More from Bloomberg:

Cash profit, which excludes one-time items, rose 4.6 percent to A$9.88 billion ($7.8 billion) in the 12 months ended June 30 from A$9.45 billion a year earlier, the Sydney-based lender said in a filing Wednesday. That compares with the A$9.79 billion median estimate of 13 analysts, according to data compiled by Bloomberg.

This year, all of the country’s big banks have increased interest rates on investor and interest-only mortgages following pressure from regulators to rein in credit. That has allowed the banks to rebuild lending margins squeezed by the low-rate environment and intense competition.

The bank said it is in discussions with third parties about their potential interest in its life insurance unit in Australia and New Zealand. The talks may lead to the sale of the business but the outcome of the discussions is uncertain, the lender said.

So, more “borrow money til you dead” with zero risk to the bank and less actual beneficial financial products?

Banking is fun!

Comments

  1. The Traveling Wilbur

    Hath a dog money?
    Can a cur lend 3,000 duckets?
    Do hounds sniff out over 50,000 deposits?

  2. Big result. Out of cycle hikes will be good for bottom-line if not the everyday bloke/sheila on the street!

  3. Considering how primed and gamed the environment is for banks to make money, is $10 billion actually that impressive?

  4. They have a hilarious presentation outlining a housing crash where prices are down 30% and unemployment hits 11% and they only lose a few Billion dollars. All internal risk assessment.

    How the fuck do other banks globally experience such a scenario in real life and go bust overnight ? These people are totally delusional. If that scenario unfolded it would be what economists call a ‘Sudden Stop’ crisis.

    Our CAD of 4-5% would instantly shrink to zilch as foreign capital dried up and we would all be toast.

  5. TailorTrashMEMBER

    ….10 billion profit in one year ………and the fine for the money laundering will be ??………if it’s anything like the way corporate fines generally are in Straya
    it will probably be pissweak ………

  6. reusachtigeMEMBER

    That is a great example of good profits! I love seeing the results of our strong institutions defending the profit motive at all and any cost. It keeps us a free society and crushes the growing communism we are seeing from the losers of society.

    • Ronin8317MEMBER

      It is also a wonderful demonstration of how ‘competition’ increases profit for the players!! ACCC must be proud of this, after all, isn’t one of the ‘C’ short for collusion?

  7. Nothing compared to the money laundering into property, totally supported by the treasonous left.

    They should make another underbelly. Starring bankers, tradies, boomers, and latte lefties. Narrated by Dr Andrew Wilson.

  8. Mining BoganMEMBER

    I heard Gail Kelly interviewed today. She said that when she came to Oz the first thing she did when in charge was get rid of people who say no. Obviously can only operate with yes men/women.

    Then I heard the bonus-less Narev saying his bank needs an environment where people can stand up and be heard. I’m guessing that also means yes men/women only as well going by current matters.

    No wonder we’re where we are.