ANZ’s annual profit jumped to $6.5 billion as higher interest rates rippled through the core mortgage businesses of the big four lenders.
The bank said on Thursday that its full-year cash profit rose 5% from the previous year’s figure as it resolved issues of slow loan processing times that had crippled its performance for the COVID-19 pandemic.
ANZ chief executive Shayne Elliott said it was a strong financial result and all divisions of the company made a contribution.
“We have restored momentum in Australian home lending with application approval times in line with our industry peers,” he said.
The company will pay a dividend of $1.46 per share, up 3% from its dividend last year.
But Mr Elliott warned of looming uncertainty as central banks struggled to control inflation and events like the war in Ukraine weighed on markets.
“There is uncertainty ahead, but we have the business in good shape to weather the volatility,” he said.
ANZ agreed in July to buy Suncorp’s banking business for $4.9 billion in the industry’s biggest deal in a decade, although the deal has yet to gain regulatory approval.
Mr Elliott said Suncorp was a well-run company that would bring significant growth to ANZ through its exposure to Queensland’s fast-growing economy.