ANZ Group (ANZ) H1 2025 earnings summary

Executive summary

• Achieved record half-year revenues of $11.0b, with strong cash profit growth and all divisions contributing positively, supported by the first full half of Suncorp Bank earnings.

• Statutory profit after tax rose 16% to $3,642 million versus 2H24, and cash profit increased 12% to $3,568 million.

• Return on equity improved to 10.2%, up 94bps, with cash EPS up 13% to 120.1 cents.

• Interim dividend maintained at 83 cents per share, 70% franked, with a payout ratio of 69%.

• CEO transition from Shayne Elliott to Nuno Matos underway, with a focus on embedding non-financial risk management and executing on dual platform and Suncorp Bank integration strategies.

Financial highlights

• Revenue up 5% to $10,995 million compared to 2H24; net interest income grew 12% year-over-year to $8,869 million.

• Expenses rose 4% to $5,742 million, with cost-to-income ratio at 52.2%.

• Credit impairment charges were $145 million, with gross impaired assets rising 48% year-over-year to $2,252 million.

• CET1 capital ratio at 11.8%, with leverage ratio at 4.4% and total capital ratio at 20.4%.

• Suncorp Bank delivered $286 million cash profit, with customer deposits up 15% and net loans up 18% since June 2022.

Outlook and guidance

• FY25 cost growth expected to be around 4% year-on-year, with higher investment spend in the second half.

• Management expects continued lending growth and synergy realization from Suncorp Bank integration.

• Capital and replicating portfolio expected to remain a tailwind for NIM over the next two years.

• Dividend expected to be maintained at current levels, with a conservative approach to capital management and flexibility in share buyback pace.

• Regulatory capital requirements expected to tighten, with APRA and RBNZ changes impacting capital ratios and buffers.