Powered by MOMENTUM MEDIA
moneymanagement logo
 
 

Big banks back to pre-GFC profits

global-financial-crisis/ACCC/

7 May 2010
| By Mike Taylor |
image
image image
expand image

Australia’s major banks have shrugged off the global financial crisis (GFC) to move back to the same sorts of profitability levels they were enjoying before it all began, according to new research released this week by KPMG.

KPMG’s head of banking Andrew Dickinson said a cash profit after tax of $10.4 billion for the major banks was up 24 per cent on the second half of 2009, and that this meant “the banks’ level of profitability is back to where it was before the [GFC]”.

He said that the outlook for Australian banks appeared positive in circumstances where the relatively mild impact of the GFC in Australia had left the banks with strong balance sheets and a strong international reputation.

Dickinson said that while the major banks were extremely well capitalised and therefore well poised for organic growth, major domestic acquisitions appeared unlikely in circumstances where the Australian Competition and Consumer Commission (ACCC) had voiced concerns about what it considered diminished levels of competition.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

The succession dilemma is more than just a matter of commitments.This isn’t simply about younger vs. older advisers. It’...

3 days 12 hours ago

Significant ethical issues there. If a relationship is in the process of breaking down then both parties are likely to b...

4 weeks ago

It's not licensees not putting them on, it's small businesses (that are licensed) that cannot afford to put them on. The...

1 month ago

ASIC has released the results of the latest adviser exam, with August’s pass mark improving on the sitting from a year ago. ...

6 days 6 hours ago

While the profession continues to see consolidation at the top, Adviser Ratings has compared the business models of Insignia and Entireti and how they are shaping the pro...

2 weeks 1 day ago

The inquiry into the collapse of Dixon Advisory and broader wealth management companies by the Senate economics references committee will not be re-adopted. ...

1 week 6 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND