Bad Aussie Resource Debts Weigh on Bank Profits
- ANZ, NAB, Westpac first-half profits missed analyst estimates
- The major banks have seen their debt impairments increase
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Bad-debt provisions are clouding the outlook for Australian banks, already feeling the pinch from reduced margins.
Australia & New Zealand Banking Group Ltd., National Australia Bank Ltd. and Westpac Banking Corp. all reported first-half cash profits last week that were worse than analysts had predicted, as impairments increased from six months earlier. Commonwealth Bank of Australia, whose fiscal year is different to its peers, said on Monday that it had also seen a rise in bad and doubtful debts in the three months through March.