Rocketing interest rates clip ASB's margin

ASB chief executive Victoria Shortt.

Wed, 14 Feb 2024

The steepest-rising rates in recent history cut net interest margin at the ASB bank to 2.2% in the six months to Dec 31.The New Zealand franchise of the Commonwealth Bank of Australia (CBA) reported statutory net profit after tax (NPAT) down $91 million, or 11%, at $749m compared to the same period a year earlier.Net interest margin (Nim) is a primary gauge of bank profitability and ASB’s dropped 26 basis points, or almost 2.5% on the prior period.The KPMG Financial Institutions Performance Survey (FIPS) consistently shows NZ ba...

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