27 October 2014

Release of B&E Personal Banking's 2013/14 Results

Leading Tasmanian customer-owned financial institution, B&E Personal Banking, continues to show that a 100% focus on and commitment to serving the Tasmanian community leads to sound financial performance and the opportunity to develop innovative, rewarding partnerships with local businesses.

Today B&E announced that it had achieved another year of sound results for the 2013/14 financial year, returning a healthy underlying after-tax profit of $4.0M despite the challenges of a competitive price-lead lending market and a low interest rate environment.

B&E Chairman Lyn Cox said that the key strategic focus for B&E is to continue to enhance its position as the financial institution of choice for all Tasmanians.

"During the year we demonstrated our commitment to this through initiatives such as the successful launch of the Turnkey Home Loan in partnership with leading Tasmanian building company Wilson Homes, enabling first home owners the opportunity to realise their home ownership dreams," Mr Cox said.

"Alongside this we strengthened our commitment to regional Tasmania through a $250,000 redevelopment of our Wynyard Retail Branch. This commitment comes at a time when other financial institutions are rationalising or withdrawing services in regional areas."

In commenting on the 2013/14 financial results, Mr Cox said that that the underlying result was pleasing as profit had increased from the previous year. "This result was underpinned by a focus on controlling interest margin and operating costs, along with maintaining profitable growth rather than growth for growth's sake," Mr Cox said.

"We are seeing strong competition for lending as financial institutions look to achieve credit growth in a soft housing market. Despite these challenges, we maintained a good market share of total owner-occupied housing finance and increased our overall lending approvals to $103M.

"Our loan portfolio grew by $13M, to $541M, while total assets grew by $17M to $678M. The quality of our loan book continues to be excellent with a very low level of arrears," Mr Cox said.

"We continue to invest in reshaping our business to improve our distribution network, build our range of products and services and ensure that we continue to offer our customers a valued relationship experience," Mr Cox said.

For more details on our 2013/2014 results

Click here

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