Westpac Reports A$6.99 Billion Profit Amid Housing Slump

Westpac Banking Corp reported a marginal increase in its full-year net profit for the period ending September 30, with figures cited between A$6.8 billion and A$6.99 billion excluding notable items. The lender saw deposits grow by 6 percent and loans increase by 5 percent, supported by an 18 percent rise in institutional lending and a 12 percent increase in business lending.

Despite overall profit growth, the bank recorded a 15 percent decline in average monthly mortgage applications during the fourth quarter. Westpac attributed this slump to the government scrapping tax concessions for property investors. The bank declared a final dividend of 77 Australian cents per share.

Looking forward, Westpac expects interest rates to remain elevated into 2027 and predicts house prices will fall by 10.9 percent between March 2026 and March 2027. The bank noted that current economic conditions are "presenting challenges for many households and businesses," though it added that impacts remain uneven across the economy.