Westpac Shares Rise as Profit Gains, Margin Pressure Eases

  • Analysts say Westpac has scope for special dividend or buyback
  • Credit impairment charge was lower than expected: analysts
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Westpac Banking Corp.’s profit edged higher as pressure on margins eased and mortgage lending grew faster than the wider industry, offsetting a fragile outlook for the nation’s economy.

Unaudited net profit came in at A$1.8 billion ($1.2 billion) in the three months to June 30, according to a statement Monday. The credit impairment charge was lower than expected and the lender is well placed to return more capital to shareholders, analysts said.