NAB has released its full year 2022 results, highlighting another successful 12 months for the major bank with net profit rising 8.3% to $6.89bn.
Cash earnings were also up 8.3% to $7.1bn compared to 2021, with an underlying profit growth of 11.5%. NAB paid a final dividend of 78cps 100% franked.
NAB group CEO Ross McEwan (pictured above) said the FY22 results were pleasing.
“Compared with FY21, cash earnings rose 8.3% and all businesses contributed to underlying profit growth of 11.5%. This outcome reflects continued execution of our strategy including targeted volume growth and a disciplined approach to managing costs while investing for growth,” McEwan said. “After 11 years of interest rate reductions, earnings have also benefitted in FY22 from the rising interest rate environment.”
Read next: NAB extends $1,000 grants to flood-impacted customers
Other full year highlights for NAB included a boost in housing lending which was up 5.6%, non-housing lending up 9.6% and deposits rising 11.4%. The major bank also recorded a 8.9% increase in revenue (excluding the impact of the Citi consumer business). Gross loans and advances increased 9.3% and deposits rose 13.3%.
McEwan said an ongoing focus on strong balance sheet settings had been key to delivering sustainable growth and keeping the bank safe.
“Capital levels remain above our targets after completing $3.9 billion of on-market share buy-backs over FY22. Collective provision coverage continues to be well above pre COVID-19 levels,” he said.
“Maintaining these settings is important during the current economic uncertainty, with higher interest rates and higher inflation likely to challenge some customers. However, strong employment conditions along with substantial household and business savings give us confidence in the resilience of our customers and the broader economy.”
Read next: NAB to lift variable mortgage rates
McEwan said the bank’s strategy was long term and was not dependent on any particular operating environment or economic conditions.
“It is centred around an enduring ambition to improve the outcomes for our customers and colleagues. We have made good progress over the past two years which positions us well for a changing environment. However, there is more we can do. We will continue to remain focused on the disciplined execution of our strategy to support sustainable growth in earnings and shareholder returns over time.”
