Bulletin: National Australia Bank Can Maintain Robust Earnings

SYDNEY (S&P Global Ratings) Nov. 9, 2022--Earnings at National Australia Bank Ltd. (NAB) should remain robust over the next two years, benefitting from improving interest margins. We view NAB (AA-/Stable/A-1+) as well-positioned to weather future uncertainties, notwithstanding our expectation for lower growth in mortgage lending. NAB today announced a robust result for the year ended Sept. 30, 2022, with cash earnings from continuing operations up 8.3%. We expect NAB's credit losses to remain low at about 15 basis points in the next two years, in line with those for other major Australian banks. The relatively benign economic outlook, low unemployment, and strong household balance sheets should temper the risks to the Australian banking system from rising inflation, geopolitical uncertainties, and

...November 8, 2022 SYDNEY (S&P Global Ratings) Nov. 9, 2022--Earnings at National Australia Bank Ltd. (NAB) should remain robust over the next two years, benefitting from improving interest margins. We view NAB (##-/Stable/A-1+) as well-positioned to weather future uncertainties, notwithstanding our expectation for lower growth in mortgage lending. NAB today announced a robust result for the year ended Sept. 30, 2022, with cash earnings from continuing operations up 8.3%. We expect NAB's credit losses to remain low at about 15 basis points in the next two years, in line with those for other major Australian banks. The relatively benign economic outlook, low unemployment, and strong household balance sheets should temper the risks to the Australian banking system from rising inflation, geopolitical uncertainties, and low business and consumer confidence. We expect the ongoing orderly correction in Australian house prices to continue until mid to late 2023. This should alleviate risks of a...

Bulletin