ANZ third-quarter profit drops 3 percent

08 Aug, 2016

SYDNEY: Australia and New Zealand Banking Group posted a 3 percent drop in third-quarter cash profit on Tuesday, hurt by changes in the way it accounts for software expenses.

Net interest margins, a key gauge of profitability, were stable, as gains in the institutional business were offset by higher funding costs and tough competition on rates.

Of the four major Australian banks, ANZ is the only one to have developed a large business overseas, predominantly in Asia, but under new CEO Shayne Elliott it is shifting its strategy to refocus at home.

Copyright Reuters, 2016

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