SYDNEY, Oct 29 (Reuters) - St. George Bank, Australia's fifth-largest bank, reported a 26.7 percent rise in second-half cash profit, beating analysts forecasts, after it grew revenue and business volume.
The bank, reporting its last result before an expected takeover by Westpac Banking Corporation, said cash profit for the half ended September rose to A$718 million ($466 million), from A$566.8 million in the same period a year ago.
Analysts on average had expected a cash profit of A$601.7 million, according to Reuters estimates.
St George said bad and doubtful debt expenses rose by 63.5 percent in its full-year 2008, to A$291 million.
Australian housing lending growth was expected to be in mid-to-high single digits in the full year 2009, and national business lending growth was expected to be in low-to-mid single digits, the bank said.
Investment market volatility was likely to continue next year.
Cash earnings, effectively core profit, exclude one-offs and non-cash accounting items and form the basis for dividends.
The bank increased its final dividend to 94 cents from 86 cents in September last year, and declared a special dividend of 31 cents, making a total fully franked dividend of 125 cents for the second half of 2008.
($1=A$1.54)
(Reporting by Mette Fraende; Editing by James Thornhill) . ng COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
The bank, reporting its last result before an expected takeover by Westpac Banking Corporation, said cash profit for the half ended September rose to A$718 million ($466 million), from A$566.8 million in the same period a year ago.
Analysts on average had expected a cash profit of A$601.7 million, according to Reuters estimates.
St George said bad and doubtful debt expenses rose by 63.5 percent in its full-year 2008, to A$291 million.
Australian housing lending growth was expected to be in mid-to-high single digits in the full year 2009, and national business lending growth was expected to be in low-to-mid single digits, the bank said.
Investment market volatility was likely to continue next year.
Cash earnings, effectively core profit, exclude one-offs and non-cash accounting items and form the basis for dividends.
The bank increased its final dividend to 94 cents from 86 cents in September last year, and declared a special dividend of 31 cents, making a total fully franked dividend of 125 cents for the second half of 2008.
($1=A$1.54)
(Reporting by Mette Fraende; Editing by James Thornhill) . ng COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.