Similar to the rest of the Finance subdivision in Australia, the Building Societies industry has been hit hard by the global financial crisis. Revenue is forecast to decline by an annualised 1.5% over the five years through 2011-12, while profit margins are expected to contract. Although their business model has enabled them to avoid incurring the large bad debt expenses that have plagued many other finance industries, industry players could not avoid the negative effect that the increased cost of funds has had on profitability. Industry revenue is forecast to decline by 9.6% in 2011-12, to total $1.73 billion.
This industry comprises businesses that provide loans for home building or purchasing purposes, as well as taking deposits.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.