Bendigo & Adelaide Bank reported a net profit of A$375.1 million for the 12 months ended June 30, reversing a A$97.1 million loss in the prior period, the lender said on Sunday.
Revenue from ordinary activities increased 2.8% to A$1.99 billion, while cash earnings—a preferred measure of underlying performance—rose 3.0% to A$530.2 million. The bank attributed the profit swing to stronger net interest income, driven by growth in lower-cost deposits and disciplined funding management.
Other income declined due to lower property revaluation gains from the Homesafe portfolio, reduced foreign exchange and hedging income, and the absence of one-off proceeds from the prior year’s sale of Bendigo Superannuation. Operating costs rose, reflecting higher amortization and technology spending as well as implementation costs related to the integration of RACQ Bank. These increases were partially offset by lower staff costs following the completion of the Rural Bank migration.
Total regulatory provisions and associated costs after tax amounted to A$58.8 million, including A$9.8 million for breaches of the Banking Act and A$49.0 million for a rectification plan expected to take approximately three years to complete. Credit expenses increased as the bank adopted a more conservative outlook, citing updated macroeconomic forecasts and elevated geopolitical risks.
The board declared a final dividend of 33 cents per share, bringing the total annual dividend to 63 cents per share, unchanged from fiscal 2025. The lender’s shares were indicated 1.2% higher in early trading.
