National Australia Bank (NAB) reported a 1Q24 unaudited statutory net profit of $1.70 billion and unaudited cash earnings of $1.80 billion.
Cash earnings in 1Q24 saw a 12.0% increase compared to 1Q23 but declined 3% compared to the 2H23 quarterly average.
The Group Common Equity Tier 1 (CET1) ratio was reported at 12.0%, maintaining a strong balance sheet above the target range of 11-11.5%.
Lending balances increased by 1% during the December quarter, with a 2% growth in Australian SME business lending and 1% growth in Australian home lending.
Customer deposit balance growth was 2% across Business & Private Banking and Personal Banking.
Revenue increased by 1%, with net interest margin (NIM) slightly higher, excluding impacts from Markets & Treasury (M&T) and liquids.
Expenses rose by 2%, with a focus on productivity to offset cost pressures, targeting approximately $400m in productivity savings for FY24.
Credit impairment charge (CIC) for 1Q24 was $193 million, reflecting higher arrears in Australian home lending and business lending volume growth.
The ratio of collective provisions to credit risk weighted assets increased by 2 basis points to 1.49%.
NAB announced the appointment of Andrew Irvine as Group Chief Executive Officer and Managing Director, effective 2 April 2024.
NAB is supporting customers and communities through initiatives like the Indigenous Business Guarantee, $1,000 grants for those affected by severe weather, and partnerships to support environmentally sustainable products and improve small business cyber security.
This announcement is a summary of the company approved ASX announcement on 21/2/2024 and is based on facts.