ASB Bank chief executive Barbara Chapman says she hopes to continue with the company's strong momentum but admits impairments are likely to continue to rise as its loan book grows.
The Australian-owned bank yesterday reported a 2 per cent drop in after tax net profit to $365 million but cash profit, which excludes some one-time items, increased 7 per cent to $348 million.
Chapman said the cash profit growth was driven by strengthening its lending across the board, acquiring more quality customers and a focus on improving productivity.
'This result builds on the positive momentum established in the previous financial year with good balance sheet growth across all customer segments including home, business and rural lending," Chapman said.
The bank's share of the home loan lending market was little changed at 22.1 per cent in the first half while its share of retail deposits fell to 20.2 per cent from 20.6 per cent.