...April 12, 2019 MELBOURNE (S&P Global Ratings) April 12, 2019--S&P Global Ratings today said that the earnings challenges Bank of Queensland (BoQ; ###+/Stable/A-2) faces partly stem from the bank's weaker business position compared with the major banks that dominate the Australian banking sector. BoQ's weaker net profit in the first half of 2019 was below our expectations but does not significantly affect the bank's credit fundamentals. Sound growth at BoQ Finance, BoQ Specialist, and Virgin Money, as well as sound asset quality across the bank's loan book in the six months ended Feb. 28, 2019, continue to support the rating. BoQ is one of a small number of regional banks in Australia each with market shares of about 2%, compared with the four majors that dominate the country's banking landscape. BoQ's half-year performance reflects its price-taker position in a market that continues to be intensely competitive and is facing headwinds relating to falling house prices and the Royal Commission...
