Australia’s Biggest Bank CEO Cautions on Economy; Shares Dip
- CBA CEO Comyn says “downside risks are building” in economy
- Shares retreat in early Wednesday trading on Sydney exchange
This article is for subscribers only.
Commonwealth Bank of Australia Chief Executive Officer Matt Comyn said risks are mounting in the economy after profit at the country’s largest lender topped expectations even as it continues to battle strong competition in the mortgage market that’s driving down margins. The stock dropped.
Cash profit from continuing operations came in at A$5.02 billion ($3.2 billion) in the six months ended Dec. 31, the Sydney-based firm said in a statement Wednesday. That beat the average estimate of A$4.92 billion in a Bloomberg survey of analysts. Its net interest margin dropped 11 basis points to 1.99%.