National Australia Bank Cuts 2,500 Jobs as Profits Drop
National Australia Bank announced 2,500 job cuts and reported a 9.1 per cent profit drop to $6.14 billion due to rising credit impairments.
The National Australia Bank reported a 9.1 per cent drop in fiscal 2026 net profit to $6.14 billion, with underlying cash earnings falling 13.4 per cent. The decline resulted from technology upgrade costs and a sharp increase in credit impairment charges, which rose to $1.5 billion from $833 million in fiscal 2025.
CEO Andrew Irvine attributed the financial pressure to a fifth interest rate rise in nine months. He warned of economic headwinds for households and businesses, noting that the jobless rate is expected to rise through 2028. In response to these weakening conditions, the bank is increasing provisions for bad debts and cutting 2,500 jobs, representing six per cent of its workforce, to improve operational efficiency.
Despite the profit dip, the bank maintained its total annual dividend payout at $1.70 per share. Following the results briefing, shares in the lender fell more than six per cent to $38.45.
