Commonwealth Bank has announced cash profits of $5 billion, below market expectations and coming after the bank closed 354 branches and removed 2,297 ATMs over the past five years.
Chief executive Matt Comyn said cost of living pressures continued to impact Australian households, reducing their spending.
“Our lower cash profit reflects cost inflation and a competitive operating environment,” Mr Comyn said.
The bank’s net profit margin (the difference between its financing costs and what it charges for loans) fell 6 points compared to the previous financial half to 1.99 percent.
The bank attributed the decline to increased competition, higher financing costs and customer behavior.
The market expected CBA to post a net cash profit of $5.1 billion.
Commonwealth Bank has announced a cash profit of $5 billion, below market expectations and coming after the bank closed 354 branches and removed 2,297 ATMs over the past five years.
Earlier this month, Daily Mail Australia revealed CBA had closed 354 branches over the past five years and plans to close more than three branches next month in populated areas of three major cities.
Despite making a record profit, Australia’s largest property lender has closed a third of its branches since June 2018, when 1,082 were still in operation.
A sharp drop in cash usage also caused the CBA to remove 2,297 ATMs during that time, marking a 54 percent drop or halving in the number of note-dispensing machines.
The bank now plans to close its Rundle Mall branch in central Adelaide, along with its branches in Coolangatta on the Gold Coast and Coogee in Sydney on March 1.
“Following a recent review, we have made the difficult decision to permanently close our Rundle Mall Adelaide, Coolangatta and Coogee branches,” a spokesperson told Daily Mail Australia.