Points Westpac: Cash Earnings and One-Off Items

points westpac: Key points:Westpac preferred cash profit measure flat at $7.82bBad debt charges rise 49pc due mainly to a few large corporate loan impairments Dividend remains steady at 94c per share The bank preferred measure of cash earnings, which excludes some one-off items, was in line with the previous year at $7.82 billion, according to Australian Broadcasting Corporation. However, with extra shares on issue to meet increased regulatory requirements, the bank cash earnings per share fell 5 per cent to $2.355 and its cash return on equity also dropped 1.85 percentage points to 14 per cent. Map: Australia Westpac profit has fallen 7 per cent, with the bank recording full-year statutory earnings of $7.45 billion. A key source of the fall in earnings was a 49 per cent increase in bad loans compared to the prior corresponding period, although the bank said the second half impairment charge of $457 million was 31 per cent lower than the first half of 2016. The bank said low dairy prices have affected some of its New Zealand customers, while the ongoing impact of the mining slowdown has hurt borrowers in some regions of Australia. Westpac is attributing the rise in bad debts to a "small number of institutional exposures that were downgraded in the first half", but also acknowledged a 21-basis-point jump in "stressed assets" to 1.2 per cent of the loan book as at the end of September. (news.financializer.com). As reported in the news.