SYDNEY: Banking giant ANZ on Friday posted a first-quarter net profit of Aus$1.7 billion (US$1.8 billion) just days after announcing some 1,000 jobs will be axed due to tougher global conditions.
The Australia and New Zealand Banking Group did not provide a year-earlier comparison figure, but said its un-audited underlying profit of Aus$1.48 billion was 4.1 percent higher than in the previous corresponding period.
"Our performance in the first quarter has been solid with good results in Asia-Pacific, Europe and America, in institutional and in New Zealand offset by continued margin pressure in Australia," chief executive Mike Smith said.
"The global markets business is recovering after a very difficult trading environment in the fourth quarter of 2011.
"Although our business in Australia is tracking reasonably at present, we have to continue adapting our business model to changes in the domestic and international environment, particularly in retail and wealth," he said.
ANZ, the country's third-largest bank by market value, added that bank funding costs continued to rise as the deepening economic and financial crisis in Europe caused dislocation and volatility in global markets.
But Smith said prospects were brighter in the United States. Earlier this week, ANZ announced a slew of job cuts in Australia this year among middle management, back office and support staff.
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