A notable 2.38% increase in share price for Westpac Banking Corporation [ASX:WBC] is unusual considering the recent controversy and Royal Commission inquiry.
They pushed through great results during the month of May.
On its interim report, Westpac revealed promising results displaying a positive net profit. Cash figures also shot up healthily.
Return on Equity (ROE) showed a stable increase, as Westpac went through measures to ensure a steady profit.
Despite consistent struggle, the bank had followed through with its business structure, which in turn helped them to reach their financial goals.
Westpac earnings grow by 6%
Thanks to revenue growth and strong cash earnings, Westpac were able to push toward higher income figures.
Westpac CEO Brian Hartzer is pleased with the results, as they had developed on a solid performance.
On its interim results, CEO Brian Harzter stated:
‘Our businesses continue to perform solidly, with the results for the Consumer and business banks particularly good. All businesses increased core earnings over the prior half. We are pleased that there were no one-offs. Making it a clean result.’
While recognising the importance of the repercussions during the Royal Commission come down, Mr Harzter felt that they must acknowledge customer trust across its financial advice sector.
Westpac are taking steps to improve customer service outcomes to regain trust after this year’s shortcomings.
The bank’s franchise will continue to grow, as banking forms are becoming easier and more efficient due to the strengths and quality of its brand.
With cash earnings up by 6%, Westpac were able to recover from difficulties they faced during the year.
By creating a stable business and financial platform for themselves, they were able to maintain a strong business portfolio while handling its financial division.
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