Big bank posts record profit on mortgage growth

by 31 Oct 2013

NAB’s home lending portfolio has increased by a massive $20.6 billion, or 7.7%, since September, 2012, (Excluding foreign exchange, the increase was $14.7 billion or 5.5%), according to the major lender’s full year results released today.

The increase has been largely attributed to a $12.5 billion growth in the personal banking channels, a further $1.2 billion growth in UK banking and a $1 billion increase in NZ banking, due to heightened market activity in Auckland.

On a statutory basis, NAB’s net profit attributable to owners of the company was $5.45 billion, a rise of $1.4 billion – or 33.6% - from the year to September, 2012.

The big four bank’s CEO, Cameron Clyne, says NAB is seeking a larger share of the Australian mortgage market by offering a home loan rate matched only by ANZ and says bank’s full year results show an improved performance across most business units.

“Over the year, we’ve continued to simplify and digitise our Australian franchise. Since 2010 we’ve rationalised approximately 50% of our core banking products, and automated and simplified a number of processes so that bankers can spend more time with customers,” says Clyne.

“In addition, NAB has made significant structural changes to align our organisation to the external environment and evolving customer behaviours. As a result, we are making it easier for our customers and our people to do business with us.”

According to APRA figures, NAB is the fastest-growing mortgage lender in Australia.


  • by Kiran 31/10/2013 10:01:44 AM

    As a client and broker I can say that NAB ranks close to the bottom - check them out on facebook for some genuine customer feedback. Finance brokers who support the majors have forgotten that they only provide a service (NAB takes 3 business days to provide an existing client with a DDR form - while ANZ has announced it will take 5 business days to pick up a broker application, CBA on the other hand will provide in 1.5% discount off variable rate - what about existing clients who will bear this cost?). Mortgage Managers and Second tier lenders are offering brokers and clients amazing service, fuel discounts, fee for service products with no ongoing fees, offsets on fixed rate products .... the list is long ..

  • by Country Broker 31/10/2013 10:19:34 AM

    Being a broker in regional Australia , I am forced to use the big 4 at times due to security types and location. My preference is to stay away but I must say once the ANZ and CBA approve the deal which can be a slow and tedious process, they perform with documentation and settlement > I really prefer some of the non majors with white branded products , but they are restricted . Clients also at times when you use the comparisons tables and sites of our aggregator and show them that a non bank may be better will still ask for a Big 4 . We also need to remember the profits of the big 4 do make them some of the best and strongest banks in the world and that means we can have some comfort they will continue to lend.

  • by Positive Broker 31/10/2013 10:51:55 AM

    NAB / Homeside are far and away the worst bank to deal with. Terrible service, woeful BDM support. I refuse to recommend them.