The ANZ Bank (ANZ) reports its 2015-16 full year figures on Thursday and ahead of that release, it has boosted its full year write offs and losses to more than $1 billion with another round of charges revealed on Friday. The bank said it will take a $360 million hit in the September 30 half after the lender unveiled new charges for at-risk debts and restructuring costs.
The latest loses follow the revealing of $717 million in one off charges at the half way mark earlier this year. The total cost will be around $1.077 billion, which will make a dent in the bank’s statutory profit.
ANZ, which will report its full-year earnings next Thursday, said the results would include a new $168 million charge relating to derivatives exposures in its institutional banking business, as well as a $100 million in restructuring charges. The ANZ is expected to report a full year cash profit of $6.2 billion for the 2016 financial year on November 3.
ANZ shares fell 1.6% on Friday to $27.65. The shares are up 0.3% for the year so far, but have risen by more than 13% in the past six months. The total amount of "specified" charges against taken by the bank in the second half will be $360 million.
The ANZ cut its interim dividend to 80 cents a share from 86 cents. The final paid last year was 95 cents a share and analysts see a similar-sized cut to around 88 or 89 cents a share.
