Brierley-led BNZ lifts profit 47/½

Press, 30 May 1987, Page 24

Brierley-led BNZ lifts profit 47/½

PA Wellington The Bank of New Zealand, Ltd, made a post-tax profit of $148,473,000 in the year to March 31, up 47.5 per cent from $100,640,000 in the previous year. An audited statement issued by the BNZ said extraordinary items added a further $1,940,000 ($2,476,000) to give a total profit for the year of $150,413,000, ($103,116,000). Pre-tax profit was $271,483,000 ($207,951,000), and provision for tax amounted to $120,272,000 ($105,686,000). The chairman, Mr Ron Brierley, said the result

was well in line with BNZ forecasting and confirmed the bank’s ability to achieve consistent strong growth in both business and profitability. After-tax profits for the year were also ahead of the average rate of compound growth in post-tax profit during the period April 1, 1980, to March 31, 1986. The average figure for that period was 40.2%. Mr Brierley said the BNZ’s business had been built on a policy of achieving sustainable profit and maintaining a high quality of assets. The results showed that the BNZ was in a particularly strong financial position to meet the ap-

proaching challenge of new banks to be established when fresh banking licences were issued. “I believe shareholders, management, and staff can feel extremely confident about the direction the bank is taking and its ability to maintain the business momentum achieved over recent years.” The group chief executive, Mr Robert McCay, said the level of profitability achieved by BNZ compared very favourably with similar banks internationally. The BNZ’s interim accounts for the six months to September 30 last year showed an after-tax profit of $69,700,000.