Skip navigation
Watchlist Sponsored By :


Current DateTime: 09:29:38 29 Nov 2009
LinksList Documentid: 24355697
  • Runway Angels

      The superbowl of fashion shows, models walk down the runway at the 2009 Victoria's Secret Show.

  • Smartphone Guide

      Here's a need-to-know guide to nine devices, based on features, price, network and platform.

  • Wines for the Holidays

      Not quite sure what wine to pair with Turkey or Creme Brulee? Our experts do.

FEATURED QUIZZES


Current DateTime: 09:29:38 29 Nov 2009
LinksList Documentid: 33793611
  • How Well Do You Know Your Bird?

      Let's talk turkey. Test your turkey knowledge and perhaps pick up a bit of trivia to trot out at your holiday meal.

  • A Healthier & Wealthier You

      Take the following quiz and find out how much you know about the impact of obesity on the health of the U.S. economy.

  • The Billionaire BFF's

      Philanthropists. Bridge partners. Hockey players. Which responses are based on facts from Buffett's and Gates' real lives?


Current DateTime: 09:29:39 29 Nov 2009
LinksList Documentid: 24890560
  • Winterizing Your Portfolio

      If 2009 was the winter of our discontent, will 2010 be a winter wonderland for investors? A lot depends on the recovery—or lack thereof.

  • Investor's Guide to Real Estate

      Some even say the long-awaited recovery is here. Regardless, buyers and sellers alike can profit from our guide.

  • Alternative Investing

      Stocks and bonds? Sure. But it's a big world out there for investors.

powered by digg
Australia's Commonwealth Bank First-Half Profit Rises 17%
By: Reuters | 14 Aug 2007 | 07:50 PM ET
Text Size

Commonwealth Bank of Australia, the nation's second-biggest lender, said on Wednesday second-half profit rose 17% on a booming funds management business, but flagged slower growth in consumer loans and business banking this year.

A surge in inflows from a mandatory state pension plan and a series of records for the stock market lifted performance at CBA's fund management arm, Colonial First State -- Australia's biggest fund manager. Profits from fund management business grew 23%.

CBA, which is Australia's top mortgage lender, said it had no exposure to the U.S. sub-prime market, though one of its hedge funds had some investments.

"In our funds management business, one fund is a hedge fund, that has less than one percent investment in U.S. subprime," David Carig, CBA's chief financial officer told reporters.  "Obviously, we are not an investor in that. But that fund is expecting to perform above industry benchmark."

CBA, also Australia's most valuable bank, reported cash net profit of A$2.333 billion (US$1.944 billion) for the six months ended June, up from A$1.992 billion reported a year ago. Ten analysts on average had forecast cash profit at A$2.276 billion.

Cash profit is what is available to ordinary shareholders. It represents profit after tax and minority interests, before pension plan expenses and treasury share adjustments.

Full-year profit climbed 18% to a record A$4.604 billion, compared with analysts' forecasts of A$4.549 billion.

CBA said that while overall credit growth is likely to remain strong in the current year, it expects consumer credit growth to slow to 8.5% -10.5% from 15% last year and sees business credit growth slowing from 2007's 19%.

Australian banks have enjoyed strong loan growth, helped by 16 straight years of economic growth, while three-decade low unemployment has kept bad debts in check. But with interest rates rising to an 11-year high, investors are bracing for a pick-up in bad debt charges.

Australia's top four banks control about 80% of the banking assets, but non-bank lenders and foreign banks are turning aggressive. 

Last month, BankWest, a unit of Britain's HBOS, announced plans to set up 160 branches.

CBA shares ended Tuesday at A$54.00, having risen 9.1% so far in 2007, compared with a 3.1% rise in eight-stock Australian banking sub-index. That makes CBA Australia's fourth-best performing banking stock in Australia this year.

Copyright 2009 Reuters. Click for restrictions.
Tools:
Print EmailAdd This share icon
  • digg share

CNBC HIGHLIGHTS

  • These four sectors will be the next to lead the market.
  • Zhu Zhu Pets are this year's must-have toy, fetching $40 or more on eBay.
  • T shirt man
  • From the why-didn’t-I-think-of-that file, we present Jason Sadler, a man whose job is wearing T-shirts.
  • It may be the most unusual guide to business you'll read.
  • Shopping for a gadget hound? The choices can be baffling. Here are a few that should be a hit.
  • "The Who" will be the halftime act for Super Bowl XLIV on Feb. 7 in Miami. Is the NFL behind the times?
ADD COMMENTS
Remaining characters


Current DateTime: 01:04:03 29 Nov 2009
LinksList Documentid: 29778428

Current DateTime: 01:06:46 29 Nov 2009
LinksList Documentid: 29779196

Current DateTime: 01:06:46 29 Nov 2009
LinksList Documentid: 29779199

Current DateTime: 01:00:33 29 Nov 2009
LinksList Documentid: 29779198
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
A Division of NBC Universal
Thomson ReutersThomson Reuters