Despite the economic toll caused by the COVID-19 pandemic, leading to a marginal decrease in profits during the third quarter, Commonwealth Bank still registered increased net income at the end of September and only slightly lowered profits compared to the same period in 2019.
Commonwealth Bank Executive Chairman William Sands Jr. noted in the bank’s unaudited results for September that Q3 total profit was just 1.2 percent below 2019, landing at $25.3 million; however, loan impairment expenses increased 6.8 percent, which he attributed to the economic conditions caused by the COVID-19 pandemic.
“While financial metrics are obviously important, the real measure of the bank’s performance this year is our success in supporting our customers, colleagues and communities during the pandemic and laying the groundwork for the recovery to come,” he said.
“To help our customers cope with the impact of the virus, the bank provided relief through payment holidays on the various credit facilities for borrowers who have had their employment put on hold pending improvement in the economic situation. While there remains great uncertainty with regards to how the remainder of 2020 will unfold, the bank remains committed to doing all that it can to work with its customers during this extremely difficult time.”
Sand pointed to a 2.2 percent increase in net interest driven by a decrease in interest expense; however he said movements in the market value of the bank’s equity investments led to a 6.3 percent decrease in non interest income.
Assets, on the other hand, remain unchanged from 2019, standing at $1.7 billion.
The post Commonwealth Bank reports net income increase despite COVID-19 appeared first on The Nassau Guardian.
source https://thenassauguardian.com/commonwealth-bank-reports-net-income-increase-despite-covid-19/
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