National Australia Bank (NAB) investor relations material

Executive summary

• Underlying profit grew 2% compared to the 1H25 quarterly average and 4% year-over-year, supported by business lending and home lending growth.

• Unaudited statutory net profit was $1.66bn, with cash earnings at $1.77bn, down 1% sequentially and flat year-over-year.

• Business & Private Banking lending grew 4% over the quarter, with record June monthly business lending balance growth of $4.6bn.

• Australian home lending increased 2%, matching system growth, and deposits rose 6% over nine months to June 2025.

• Continued focus on productivity, targeting over $400m in FY25 savings, but FY25 operating expense growth now expected at ~4.5% due to payroll remediation costs.

Financial highlights

• Net interest income was $4.2bn, up from $4.1bn in the 1H25 quarterly average; net operating income reached $5.1bn.

• Net interest margin increased 8 bps; excluding Markets & Treasury, NIM rose 4 bps due to higher earnings and lower funding costs.

• Operating expenses rose 3%, mainly from higher personnel and technology costs, partially offset by productivity gains.

• Credit impairment charge was $254m in 3Q25, up from $81m in 2025, mainly due to business lending and unsecured retail portfolios.

• Statutory net profit was $1.66bn, down 3% sequentially and 13% year-over-year.

Outlook and guidance

• FY25 operating expense growth now expected at approximately 4.5%, including $130m in payroll remediation costs.

• Productivity savings in excess of $400m targeted for FY25.

• Optimistic outlook for sustainable growth and returns, with ongoing focus on compliance and risk management.