Company Reports

Commonwealth Bank's fiscal 2026 profit increased 7% to a record AUD 11 billion. Loan growth of 7% and steady net interest margins more than offset 6% operating expense growth and a modest rise in loan impairment expenses.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Australian major bank share prices are down an average of 15% since March. The sell-off began as banks increased provisions as the Iran war hit fuel security and costs, and deepened as higher cash rates and the government's proposed tax changes clouded the outlook for consumers and housing.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Commonwealth Bank's third-quarter fiscal 2026 profit of AUD 2.7 billion fell 1% on the quarterly average of the first half. Two fewer days held back upside from loan growth and stable net interest margins, or NIMs, while an AUD 200 million increase in loan loss provisions weighed on the bottom line.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Commonwealth Bank's first-half fiscal 2026 net profit rose 6% to AUD 5.4 billion. Loan growth of 7% and stable underlying net interest margins, or NIMs, more than offset 6% expense growth. Dividend reliability continues with an interim dividend of AUD 2.35, up 4%. Shares jumped 6% on the result.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Commonwealth Bank's first-quarter fiscal 2026 profit of AUD 2.6 billion is up 1% on the average of the previous two quarters. Net interest income increased 3%, with loan growth held back by slightly weaker net interest margins. Arrears improved on interest rate cuts and lower inflation.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Commonwealth Bank's fiscal 2025 profit increased 4% to a record AUD 10.3 billion. Loan growth of 4% and improved net interest margins, or NIMs, more than offset 6% expense growth. Lower loan impairment expenses also contributed.

On average, Australian major banks rallied around 11% in the three months to June 30, 2025. Credit growth has continued to trend higher, supported by population and wages growth, while credit stress has been low. Banks reported softening net interest margins in the March 2025 quarter.

Commonwealth Bank's third-quarter fiscal 2025 profit of AUD 2.6 billion is flat on the quarterly average of the first half. Net interest income increased 1%, with modest loan growth and steady net interest margins. Loan impairment expenses/loans of 0.09% is up from 0.07% in the first half.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

Australian major banks were not immune from the market sell-off following US tariff announcements, with a potential hit to GDP growth clouding the earnings outlook. But so far in fiscal 2025, credit growth is ticking up on population and wages growth, while credit stress has been low.

Franking for Australian banks we cover was showing as not available on our research reports between Jan. 23 and March 13, 2025, due to a recent change in our process for extracting data from our valuation models. This has been corrected.

Commonwealth Bank's first-half fiscal 2025 profit of AUD 5.1 billion increased by 2% on last year, and 7% on second half fiscal 2024. The result driven by loan growth, an improvement in net interest margins, and lower bad debt expenses. The interim dividend lifted 5% to AUD 2.25 fully franked.

Commonwealth Bank of Australia is the largest of Australia's four highly profitable, wide-moat-rated major banks. It offers a full suite of banking services in Australia and New Zealand. In the long run, the bank has consistently increased shareholder wealth in favorable economic times. The loan book's large weighting to home loans and the high proportion of customer deposits reduces risk on bad debts and sudden changes to funding costs.

On average, major bank share prices increased by 27% in 2024, outperforming the market by 20%. Credit growth is up on population and wages growth, and households and businesses appear more optimistic about the economic outlook as rate hikes appear less likely.