NAB reaps big profits from breaking up
National Australia Bank has recorded quarterly cash earnings of $1.4 billion, thanks to growth in the personal and business banking units, offset by a drop in revenue from big businesses.
National Australia Bank earnings were helped by tight cost control as well as a gradual decline in the charge for bad debts, the bank said in a statement.
Helped by its mortgage discounting strategy, NAB continued to grow market share in its personal banking business however the bank said the pace of credit growth slowed while competition increased.
Despite a slowdown in the overall demand for business credit, NAB said its flagship business banking arm managed to grow lending volumes to small and mid-sized businesses while improving profit margins.
Source: Sydney Morning Herald