ANZ announces record profits

26 October 2006

Australia & New Zealand Banking Group (ANZ) has announced record profits at the end of the third quarter, with annual net earnings increasing by 16 per cent to AUS$3.69 billion ($2.81 billion).

The performance, which has beaten analysts' estimates, appears promising for the Australian banking industry, with profits reports also expected from ANZ's larger rivals National Australia Bank and Westpac Banking next week.

Investors appeared to be encouraged by the report, with ANZ shares rising by 1.2 per cent, while both NAB and Westpac also saw their share prices increase.

Commenting on the results, ANZ's chief executive John McFarlane said that the good news had increased the bank's ambitions for the future.

"That's raised the bar for us for 2007 and beyond because the results are better than we thought they were going to be," he told the Sydney Morning Herald.

"We're a little bit more confident about the revenue outlook than perhaps where we were a year ago when we announced our target of seven to nine per cent."

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development