ANZ delivers surging $7.6bn cash profit despite mounting economic pressures across Australia

ANZ has announced surging profits over the past year despite broader cost-of-living pressures hitting the Australian economy.

On Monday, the big four bank said full-year cash profit was $7.6bn, up 31 per cent, or 10 per cent excluding significant items.

ANZ chief executive Nuno Matos said the board was delivering on its ANZ 2030 strategy.

“This increase in our cash profit and higher shareholder returns was underpinned by our disciplined management of margins, capital and costs, and business growth,” he said.

ANZ declared a final dividend of 83c per share, with 80 per cent franked, up from 75 per cent in the first half.

It has now paid out $1.66 a share over the last year, which was flat on last year and slightly lower than expected.

Mr Matos said the bump in cash profits came as the Australian economy was hit by geopolitical tensions, energy price shocks and rapid technological changes.

“Competition for capital to fund data centres, government spending and the energy transition

has intensified, with this expenditure super cycle, combined with inflationary supply side shocks, driving interest rates higher globally,” he said.

“Against this backdrop, the economies across our geographic footprint remain relatively resilient.”

Mr Matos said the bank was ready to help customers as impairment charges rose, although he pointed out it remained low.

ANZ has lifted its provisions for credit impairment to $582m, an increase of $141m on last year.

A credit impairment in banking is a decline in a borrower’s creditworthiness or financial health, which a bank takes as a sign they will not be able to repay their loans.

The individual provision charge was raised by $33m.

More to come