The Australian Banks have reported a combined cash profit after tax from continuing operations of $8.3 billion, down 42.6 percent on the same period in FY2019. We analyse the four major Australian banks’ half year financial results for 2020.
The Australian economy faces an unprecedented level of uncertainty surrounding the size and duration of the financial downturn resulting from the COVID-19 pandemic.
FY2020 will be a year where the Majors will play a critical role supporting the economy to withstand the impact of the crisis and to help in its recovery. Furthermore, it is an important opportunity for the industry to rebuild community trust and purpose, much of which was lost during the Royal Commission.
Against this backdrop, the Majors have recorded a fall in profitability, as revenue and margin pressures continue, with elevated cost bases associated with ongoing remediation and compliance programs and deteriorating asset quality impacting negatively on industry returns.
An infographic snapshot of the major Australian bank's half year financial results.
The major banks have been decisive with their COVID-19 reaction and their community resilience response; they now need to turn their minds to recovery and forging a new reality. We provide a summary in our flyer below.