Statistics

Quarterly Bank Performance

June 2010 (issued 16 November 2010)

www.apra.gov.au
Australian Prudential Regulation Authority
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While APRA endeavours to ensure the quality of this Publication, APRA does not accept any responsibility
for the accuracy, completeness or currency of the material included in this Publication, and will not be
liable for any loss or damage arising out of any use of, or reliance on, this Publication.

Revisions
This publication includes minor revisions for the preceding quarter based on re-submissions received after
the previous quarter publishing date.

Forthcoming issues
This publication will be released according to the timetable published on the APRA website.

Notation
Amounts are expressed in millions of Australian dollars. Both the Australian-dollar denominated
transactions and the Australian-dollar equivalent of foreign-currency denominated transactions are
included.

The symbol '*' indicates that the data have been masked to maintain confidentiality.

Glossary and explanatory notes

A set of explanatory notes is provided at the end of the publication to assist the reader in understanding
the source and definitions of the data. In particular, these notes help explain differences between the data
presented and information publicly released by banks in their financial statements and profit
announcements.

Enquiries
For more information about the statistics in this publication:
e-mail statistics@apra.gov.au
or write to Manager, ADI and RFC Statistics
Australian Prudential Regulation Authority
GPO Box 9836
Sydney NSW 2001

Australian Prudential Regulation Authority 2

 Contents

Important notice Important notice 4

Highlights Highlights 5

Key statistics Key statistics 7

All banks trends

Financial performance Table 1 9
Financial position Table 2 10
Key performance ratios Table 3 11

Major bank trends

Financial performance Table 4 12
Financial position Table 5 13
Key performance ratios Table 6 14

Other domestic bank trends

Financial performance Table 7 15
Financial position Table 8 16
Key performance ratios Table 9 17

Foreign subsidiary bank trends

Financial performance Table 10 18
Financial position Table 11 19
Key performance ratios Table 12 20

Foreign branch bank trends

Financial performance Table 13 21
Financial position Table 14 22
Key performance ratios Table 15 23

Explanatory notes Explanatory notes 24

Glossary Glossary 25

Australian Prudential Regulation Authority 3

 Important notice
From December 2008, data for Bank of Western Australia Limited and St.George Bank Limited are reported under
Major banks' due to the mergers with Commonwealth Bank of Australia and Westpac Banking Corporation respectively.

APRA aligned our reporting framework to the Australian International Financial Reporting Standards (AIFRS)
effective from 1 July 2006.

Movements between June 2006 and September 2006 data can be partly attributed to the introduction and
adoption of AIFRS. This reporting transition being accounted in the 'Net profit after tax and minority interests'
figure for September 2006.

Users should be aware that this publication is based on banks' consolidated financial data.

Where consolidated data are not provided by individual banks, their licensed entity or domestic data
have been used.

The market sensitivity of listed banks quarterly profit data means the bank publication will be available
no earlier than four months from the last quarter-end date represented.

Australian Prudential Regulation Authority 4

 Highlights
Main features

• Net interest income of banks for the twelve months to 30 June 2010 was $54.2 billion. The four major
banks accounted for 84.6 per cent ($45.8 billion) of this figure.
• Fee and commission of banks for the twelve months to 30 June 2010 was $19.9 billion. The four major
banks accounted for 75.4 per cent ($15.0 billion).
• Total operating income of banks for the twelve months to 30 June 2010 was $91.6 billion. The four major
banks accounted for 72.6 per cent ($66.5 billion) of this figure.
• Operating expenses of banks for the twelve months to 30 June 2010 was $48.6 billion. The four major banks
accounted for 61.9 per cent ($30.1 billion) of this figure.
• Personnel expenses of banks totalled $21.6 billion for the twelve months to 30 June 2010. This represented
44.4 per cent of total operating expenses.
• Profit margin for banks was 21.4 per cent for the twelve months to 30 June 2010. The four major banks
operated at 25.2 per cent and other domestic banks at 11.9 per cent.
• Net profit after tax for the twelve months to 30 June 2010 was $19.6 billion for all banks.
• The cost-to-income ratio for banks for the twelve months to 30 June 2010 was 53.1 per cent. For the four
major banks, the ratio was 45.3 per cent.
• Total assets of banks as at 30 June 2010 were $3,207.2 billion, a decrease of 4.0 per cent over the year.
• Total shareholders' equity as at 30 June 2010 was $184.5 billion, an increase of 11.1 per cent over the year.

Operating Income

• For the twelve months to 30 June 2010, banks received 81.5 per cent ($122.1 billion) of their interest
income from loans and advances. Interest income on housing loans comprised 51.8 per cent ($63.3 billion) of
this figure.
• Interest expense on deposits comprised 54.5 per cent ($52.1 billion) of the total interest expense incurred
by banks for the twelve months to 30 June 2010.

• For the twelve months to 30 June 2010, banks raised 59.1 per cent ($54.2 billion) of total operating income
from interest income sources and 40.9 per cent ($37.4 billion) from other sources. Fee and commission
activities comprised 53.2 per cent of income from other sources.

Operating expenses

• Operating expenses of banks were $48.6 billion for the twelve months to 30 June 2010, equivalent to 53.1
per cent of total operating income.

Net profit
• Return on assets for banks for the twelve months to 30 June 2010 was 0.6 per cent.

Australian Prudential Regulation Authority 5

 Assets

• The banks showed a 4.0 per cent decrease in total assets over the year to 30 June 2010, driven
predominantly by falls in other assets. Total housing loans increased by 12.3 per cent to $1,145.0 billion over
the year.

• Housing loans accounted for 58.9 per cent of total gross loans and advances of banks as at 30 June 2010.

Deposits
• Deposits represented 55.6 per cent of total liabilities of banks, and funded 51.3 per cent of total assets, as
at 30 June 2010.

Australian Prudential Regulation Authority 6

 Key statistics

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

All banks
Net interest income ($m) 13,728 13,582 14,121 12,932 13,529 51,262 54,164
Other operating income ($m) 8,306 8,362 9,457 9,025 10,598 36,982 37,442
Total operating income ($m) 22,034 21,943 23,578 21,958 24,127 88,244 91,606
Operating expenses ($m) 11,176 11,299 12,219 12,941 12,147 49,278 48,606
Net profit (loss) after tax ($m) 4,680 2,164 5,814 4,845 6,793 17,752 19,616
Total assets ($m) 3,085,025 3,035,206 3,091,365 3,086,490 3,207,222 3,085,025 3,207,222
Total shareholders' equity ($m) 166,112 172,301 177,050 178,229 184,508 166,112 184,508
Return on assets (after tax) a 0.6% 0.3% 0.8% 0.6% 0.9% 0.6% 0.6%
Return on equity (after tax) a 10.6% 4.5% 14.5% 10.0% 15.3% 11.9% 11.2%
Number of entities 54 55 54 54 54 54 54

Major banks
Net interest income ($m) 11,565 11,620 11,882 10,767 11,546 42,271 45,815
Other operating income ($m) 4,114 4,195 5,917 4,652 5,889 20,097 20,653
Total operating income ($m) 15,680 15,815 17,799 15,419 17,435 62,368 66,468
Operating expenses ($m) 6,883 6,973 7,641 7,999 7,475 29,746 30,088
Net profit (loss) after tax ($m) 3,625 1,308 5,636 4,021 5,807 15,694 16,772
Total assets ($m) 2,328,482 2,318,467 2,379,508 2,374,273 2,485,507 2,328,482 2,485,507
Total shareholders' equity ($m) 134,110 138,694 142,156 141,972 146,985 134,110 146,985
Return on assets (after tax) a 0.6% 0.2% 1.0% 0.7% 1.0% 0.7% 0.7%
Return on equity (after tax) a 10.9% 3.8% 16.1% 11.3% 16.1% 13.4% 11.9%
Number of entities 4 4 4 4 4 4 4

Other domestic banks

Net interest income ($m) 709 871 989 967 885 4,062 3,712
Other operating income ($m) 3,339 3,244 2,980 3,576 3,971 13,648 13,771
Total operating income ($m) 4,048 4,115 3,969 4,543 4,856 17,712 17,483
Operating expenses ($m) 3,108 3,276 3,002 4,066 3,479 14,102 13,823
Net profit (loss) after tax ($m) 523 418 563 191 914 1,756 2,086
Total assets ($m) 283,012 280,959 292,511 297,876 307,326 283,012 307,326
Total shareholders' equity ($m) 24,871 26,239 27,270 28,414 29,477 24,871 29,477
Return on assets (after tax) a 0.7% 0.6% 0.8% 0.3% 1.2% 0.5% 0.7%
Return on equity (after tax) a 8.4% 6.5% 8.4% 2.7% 12.6% 6.4% 7.7%
Number of entities 7 7 7 7 7 7 7

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 Key statistics (continued)

Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Foreign subsidiary banks

Net interest income ($m) 662 567 438 554 600 2,559 2,159
Other operating income ($m) 258 228 333 290 262 1,209 1,113
Total operating income ($m) 920 795 771 844 862 3,768 3,272
Operating expenses ($m) 473 425 415 429 438 2,183 1,707
Net profit (loss) after tax ($m) 215 169 151 223 228 739 771
Total assets ($m) 103,390 103,404 103,192 105,703 109,092 103,390 109,092
Total shareholders' equity ($m) 7,131 7,368 7,624 7,843 8,046 7,131 8,046
Return on assets (after tax) a 0.8% 0.7% 0.6% 0.9% 0.8% 0.6% 0.7%
Return on equity (after tax) a 12.3% 9.3% 8.1% 11.5% 11.5% 8.7% 10.2%
Number of entities 9 9 9 9 9 9 9

Foreign branch banks

Net interest income ($m) 792 524 811 644 498 2,370 2,477
Other operating income ($m) 595 695 227 507 477 2,028 1,906
Total operating income ($m) 1,386 1,218 1,039 1,151 975 4,398 4,383
Operating expenses ($m) 712 625 1,161 446 755 3,247 2,987
Net profit (loss) after tax ($m) 316 268 -537 410 -155 -438 -14
Total assets ($m) 370,141 332,376 316,155 308,637 305,298 370,141 305,298
Number of entities 34 35 34 34 34 34 34

a
Quarterly figures expressed as annual percentage rates. See definitions.

Australian Prudential Regulation Authority 8

 Table 1 All banks' financial performance trends
($ million)

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Interest income 33,720 34,218 36,467 37,948 41,179 172,912 149,812

of which:
Cash and liquid assets 1,187 906 984 872 1,134 7,881 3,896
Loans and advances 27,699 28,088 29,497 30,927 33,620 137,077 122,132
Housing loans 14,289 14,411 15,189 16,011 17,706 68,038 63,317
Term loans 8,555 8,305 8,525 8,133 9,101 43,069 34,064
Other 4,855 5,372 5,783 6,783 6,813 25,970 24,751
Other interest earning assets 4,888 5,488 5,891 6,222 6,501 28,542 24,102
Interest expense 19,994 20,635 22,344 25,016 27,650 121,655 95,645
of which:
Deposits 11,621 11,076 11,963 13,872 15,215 69,522 52,126
Borrowings 6,681 6,613 7,407 7,264 8,771 40,918 30,055
Other interest bearing liabilities 1,747 3,211 2,880 3,953 3,740 11,804 13,784
Net interest income 13,728 13,582 14,121 12,932 13,529 51,262 54,164
Other operating income 8,306 8,362 9,457 9,025 10,598 36,982 37,442
of which:
Fee and commission 5,314 4,828 5,268 4,753 5,064 19,833 19,913
Lending 1,330 1,170 1,410 1,170 1,328 4,739 5,078
Transaction/deposit account service fee 1,409 1,343 1,251 1,115 1,037 5,701 4,746
Other fee based activities 2,574 2,314 2,608 2,468 2,700 9,389 10,090
Other 2,992 3,534 4,189 4,272 5,534 17,151 17,529
Total operating income 22,034 21,943 23,578 21,958 24,127 88,244 91,606
Charge for bad or doubtful debts 4,231 3,850 3,359 2,639 2,561 18,085 12,409
Total operating expenses 11,176 11,299 12,219 12,941 12,147 49,278 48,606
of which:
Personnel 4,918 5,492 5,198 5,269 5,623 20,327 21,582
Fees and commissions 909 901 1,031 866 1,057 3,487 3,855
Other 5,350 4,906 5,991 6,806 5,467 25,464 23,170
Profit before goodwill amortisation and tax 6,947 6,969 8,112 6,550 9,520 22,217 31,151
Goodwill amortisation
Income tax 1,705 4,018 2,270 1,674 2,691 5,554 10,653
Net profit (loss) after tax and minority interests 4,680 2,164 5,814 4,845 6,793 17,752 19,616
Number of entities 54 55 54 54 54 54 54

Australian Prudential Regulation Authority 9

 Table 2 All banks' financial position trends
($ million)

Mar 2009 Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Cash and liquid assets 189,451 209,151 188,627 211,605 179,690 192,361
Securities 358,650 366,955 373,580 396,542 406,192 411,177
Acceptances of customers 88,212 87,473 83,812 78,305 79,320 75,481
Gross loans and advances 1,847,274 1,846,100 1,849,827 1,872,039 1,894,227 1,944,396
of which:
Total housing 988,077 1,019,828 1,047,807 1,081,963 1,105,667 1,145,026
Term 555,425 500,102 484,611 478,203 471,891 479,604
Other 303,726 326,095 317,391 311,873 316,669 319,767
Lending provisions 20,768 23,056 23,114 23,303 24,807 25,622
Net loans and advances 1,826,506 1,823,044 1,826,713 1,848,736 1,869,420 1,918,774
Other investments 9,943 9,497 9,324 4,755 6,744 7,150
Fixed assets 8,043 8,237 8,243 8,305 8,288 8,779
Intangible assets 40,202 40,569 40,523 43,384 44,099 44,850
Other assets 537,384 459,212 435,908 436,258 437,928 491,887
Total assets 3,148,680 3,085,025 3,035,206 3,091,365 3,086,490 3,207,222

Due to clearing houses and financial institutions 82,831 71,026 69,434 66,152 63,027 69,605
Acceptances 50,815 49,678 45,669 39,301 42,392 36,882
Deposits 1,586,737 1,615,162 1,577,655 1,600,759 1,589,518 1,644,850
of which:
Call/on demand 675,977 666,048 688,502 662,186 677,921 703,781
Term deposits 502,250 522,508 512,838 563,638 574,008 600,018
Income tax liability 6,670 7,418 7,681 8,956 5,852 9,338
Provisions 6,598 9,325 8,822 5,871 7,756 9,368
of which:
Employee entitlements 3,230 3,536 3,914 3,299 3,483 3,867
Other 3,368 5,789 4,907 2,573 4,273 5,501
Bonds, notes and other borrowings 545,892 528,209 547,695 603,152 596,622 625,081
Creditors and other liabilities 492,045 437,286 430,388 427,398 444,192 470,883
Total liabilities 2,890,085 2,827,637 2,787,371 2,846,935 2,844,616 2,956,421

Share capital 105,378 108,515 116,762 119,429 120,519 121,819

Reserves 571 -1,414 -2,073 -2,030 -3,071 -670
Retained profits 55,866 56,373 54,985 56,885 58,000 60,520
Other 2,935 2,639 2,627 2,766 2,781 2,839
Total shareholders' equity 164,751 166,112 172,301 177,050 178,229 184,508
Number of entities 54 54 55 54 54 54

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 Table 3 All banks' key performance ratio trends

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Net interest income ($m) 13,728 13,582 14,121 12,932 13,529 51,261 54,164
Total operating income ($m) 22,034 21,943 23,578 21,958 24,127 88,244 91,606
Operating expenses ($m) 11,176 11,299 12,219 12,941 12,147 49,278 48,606
Net profit (loss) after tax ($m) 4,680 2,164 5,814 4,845 6,793 17,762 19,616
Average total assets ($m) 3,116,853 3,060,116 3,063,286 3,088,928 3,146,856 2,962,071 3,146,124
Average total shareholders' equity ($m) 165,432 169,207 174,676 177,640 181,369 153,062 175,310

Net interest income to assets 1.8% 1.8% 1.8% 1.7% 1.7% 1.7% 1.7%
Operating income to assets 2.8% 2.9% 3.1% 2.8% 3.1% 3.0% 2.9%
Operating expenses to assets 1.4% 1.5% 1.6% 1.7% 1.5% 1.7% 1.5%
Profit margin 21.2% 9.9% 24.7% 22.1% 28.2% 20.1% 21.4%
Return on assets (after tax) 0.6% 0.3% 0.8% 0.6% 0.9% 0.6% 0.6%
Return on equity (after tax) 10.6% 4.5% 14.5% 10.0% 15.3% 11.9% 11.2%

Other operating income ($m) 8,306 8,362 9,457 9,025 10,598 36,982 37,442
Fee and commission income ($m) 5,314 4,828 5,268 4,753 5,064 19,824 19,913
Total operating income ($m) 22,034 21,943 23,578 21,958 24,127 88,244 91,606
Operating expenses ($m) 11,176 11,299 12,219 12,941 12,147 49,278 48,606
Personnel expenses ($m) 4,918 5,492 5,198 5,269 5,623 20,320 21,582

Non-interest income share 37.7% 38.1% 40.1% 41.1% 43.9% 41.9% 40.9%
Fee income to total operating income 24.1% 22.0% 22.3% 21.6% 21.0% 22.5% 21.7%
Cost to income 50.7% 51.5% 51.8% 58.9% 50.3% 55.8% 53.1%
Personnel to operating expenses 44.0% 48.6% 42.5% 40.7% 46.3% 41.2% 44.4%

Total assets ($m) 3,085,025 3,035,206 3,091,365 3,086,490 3,207,222 3,085,025 3,207,222
Average net loans and advances ($m) 1,824,775 1,824,879 1,837,725 1,859,078 1,894,097 1,763,469 1,870,909
Average deposits ($m) 1,600,950 1,596,409 1,589,207 1,595,139 1,617,184 1,514,604 1,630,006

Growth in total assets -2.0% -1.6% 1.9% -0.2% 3.9% 8.7% 4.0%
Net loans to deposits 114.0% 114.3% 115.6% 116.5% 117.1% 116.4% 114.8%
Deposits to assets 51.4% 52.2% 51.9% 51.6% 51.4% 51.1% 51.8%
Equity to deposits 10.3% 10.6% 11.0% 11.1% 11.2% 10.1% 10.8%

Number of entities 54 55 54 54 54 54 54

Australian Prudential Regulation Authority 11

 Table 4 Major banks' financial performance trends
($ million)

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Interest income 26,067 26,736 28,367 29,480 32,027 127,586 116,610

of which:
Cash and liquid assets 615 375 386 342 464 3,878 1,567
Loans and advances 22,538 23,035 24,163 25,131 27,340 106,464 99,669
Housing loans 12,536 12,828 13,692 14,242 15,836 57,903 56,598
Term loans 6,181 5,971 6,078 5,638 6,305 29,781 23,992
Other 3,821 4,237 4,393 5,250 5,200 18,781 19,080
Other interest earning assets 2,969 3,591 3,723 4,081 4,299 17,752 15,694
Interest expense 14,502 15,116 16,484 18,713 20,481 85,317 70,794
of which:
Deposits 9,281 9,040 9,885 11,409 12,440 52,720 42,774
Borrowings 4,201 4,116 4,575 4,238 5,254 25,419 18,183
Other interest bearing liabilities 1,075 2,225 1,929 3,140 2,863 7,684 10,157
Net interest income 11,565 11,620 11,882 10,767 11,546 42,271 45,815
Other operating income 4,114 4,195 5,917 4,652 5,889 20,097 20,653
of which:
Fee and commission 4,018 3,773 4,116 3,451 3,679 15,121 15,019
Lending 1,100 939 1,113 941 1,093 3,852 4,086
Transaction/deposit account service fee 1,289 1,238 1,141 1,014 929 5,091 4,322
Other fee based activities 1,629 1,596 1,863 1,496 1,657 6,178 6,612
Other 96 422 1,801 1,201 2,209 4,976 5,633
Total operating income 15,680 15,815 17,799 15,419 17,435 62,368 66,468
Charge for bad or doubtful debts 3,591 3,310 2,323 2,029 2,139 14,024 9,801
Total operating expenses 6,883 6,973 7,641 7,999 7,475 29,746 30,088
of which:
Personnel 3,826 4,228 4,151 4,049 4,376 15,694 16,804
Fees and commissions 529 586 571 467 531 1,909 2,155
Other 2,528 2,159 2,919 3,483 2,568 12,142 11,129
Profit before goodwill amortisation and tax 5,606 5,682 7,939 5,558 7,921 19,948 27,100
Goodwill amortisation
Income tax 1,429 3,587 2,285 1,515 2,093 5,392 9,480
Net profit (loss) after tax and minority interests 3,625 1,308 5,636 4,021 5,807 15,693 16,772
Number of entities 4 4 4 4 4 4 4

Australian Prudential Regulation Authority 12

 Table 5 Major banks' financial position trends
($ million)

Mar 2009 Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Cash and liquid assets 140,871 160,296 144,048 165,668 132,937 142,760
Securities 223,407 224,470 232,673 255,735 262,378 280,383
Acceptances of customers 87,922 87,331 83,617 78,138 79,099 75,264
Gross loans and advances 1,527,926 1,537,068 1,545,030 1,558,953 1,578,069 1,625,888
of which:
Total housing 870,223 899,334 924,461 955,615 976,609 1,012,029
Term 420,956 375,682 365,825 357,218 353,679 363,885
Other 236,747 262,052 254,745 246,121 247,781 249,975
Lending provisions 16,733 18,453 18,587 18,513 20,361 21,405
Net loans and advances 1,511,193 1,518,615 1,526,443 1,540,440 1,557,708 1,604,483
Other investments 6,084 5,920 6,074 2,853 4,782 5,069
Fixed assets 7,120 7,239 7,271 7,335 7,317 7,659
Intangible assets 30,297 30,801 30,840 33,692 33,900 34,505
Other assets 355,411 293,810 287,500 295,646 296,154 335,384
Total assets 2,362,305 2,328,482 2,318,467 2,379,508 2,374,273 2,485,507

Due to clearing houses and financial institutions 77,125 65,255 66,187 63,024 60,352 67,100
Acceptances 50,525 49,537 45,474 39,135 42,170 36,666
Deposits 1,286,949 1,331,407 1,301,310 1,321,550 1,306,840 1,357,707
of which:
Call/on demand 579,837 568,252 590,485 561,884 580,013 603,452
Term deposits 421,364 447,943 438,726 484,309 489,700 511,906
Income tax liability 4,690 5,023 5,006 6,334 3,351 6,721
Provisions 4,598 7,524 7,248 4,735 6,538 8,072
of which:
Employee entitlements 2,505 2,665 2,921 2,377 2,710 2,992
Other 2,094 4,859 4,327 2,358 3,828 5,079
Bonds, notes and other borrowings 428,944 400,611 424,353 467,574 460,420 487,043
Creditors and other liabilities 376,399 335,040 330,198 334,999 352,629 375,499
Total liabilities 2,229,230 2,194,397 2,179,776 2,237,351 2,232,300 2,338,807

Share capital 78,873 81,638 88,773 91,240 90,894 91,858

Reserves 1,565 -688 -1,758 -2,041 -2,931 -781
Retained profits 50,116 50,613 49,138 50,421 51,468 53,338
Other 2,521 2,546 2,540 2,535 2,542 2,571
Total shareholders' equity 133,075 134,110 138,694 142,156 141,972 146,985
Number of entities 4 4 4 4 4 4

Australian Prudential Regulation Authority 13

 Table 6 Major banks' key performance ratio trends

Quarter end Year end Year end

Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010 Jun 2009 Jun 2010

Net interest income ($m) 11,565 11,620 11,882 10,767 11,546 42,271 45,815
Total operating income ($m) 15,680 15,815 17,799 15,419 17,435 62,368 66,468
Operating expenses ($m) 6,883 6,973 7,641 7,999 7,475 29,746 30,088
Net profit (loss) after tax ($m) 3,625 1,308 5,636 4,021 5,807 15,693 16,772
Average total assets ($m) 2,345,394 2,323,475 2,348,988 2,376,891 2,429,890 2,114,985 2,406,995
Average total shareholders' equity ($m) 133,593 136,402 140,425 142,064 144,479 117,029 140,548

Net interest income to assets 2.0% 2.0% 2.0% 1.8% 1.9% 2.0% 1.9%
Operating income to assets 2.7% 2.7% 3.0% 2.6% 2.9% 2.9% 2.8%
Operating expenses to assets 1.2% 1.2% 1.3% 1.3% 1.2% 1.4% 1.3%
Profit margin 23.1% 8.3% 31.7% 26.1% 33.3% 25.2% 25.2%
Return on assets (after tax) 0.6% 0.2% 1.0% 0.7% 1.0% 0.7% 0.7%
Return on equity (after tax) 10.9% 3.8% 16.1% 11.3% 16.1% 13.4% 11.9%

Other operating income ($m) 4,114 4,195 5,917 4,652 5,889 20,097 20,653
Fee and commission income ($m) 4,018 3,773 4,116 3,451 3,679 15,121 15,019
Total operating income ($m) 15,680 15,815 17,799 15,419 17,435 62,368 66,468
Operating expenses ($m) 6,883 6,973 7,641 7,999 7,475 29,746 30,088
Personnel expenses ($m) 3,826 4,228 4,151 4,049 4,376 15,694 16,804

Non-interest income share 26.2% 26.5% 33.2% 30.2% 33.8% 32.2% 31.1%
Fee income to total operating income 25.6% 23.9% 23.1% 22.4% 21.1% 24.2% 22.6%
Cost to income 43.9% 44.1% 42.9% 51.9% 42.9% 47.7% 45.3%
Personnel to operating expenses 55.6% 60.6% 54.3% 50.6% 58.5% 52.8% 55.8%

Total assets ($m) 2,328,482 2,318,467 2,379,508 2,374,273 2,485,507 2,328,482 2,485,507
Average net loans and advances ($m) 1,514,904 1,522,529 1,533,442 1,549,074 1,581,096 1,394,036 1,561,549
Average deposits ($m) 1,309,178 1,316,359 1,311,430 1,314,195 1,332,274 1,158,425 1,344,557

Growth in total assetsc -1.4% -0.4% 2.6% -0.2% 4.7% 11.8% 6.7%
Net loans to deposits 115.7% 115.7% 116.9% 117.9% 118.7% 120.3% 116.1%
Deposits to assets 55.8% 56.7% 55.8% 55.3% 54.8% 54.8% 55.9%
Equity to deposits 10.2% 10.4% 10.7% 10.8% 10.8% 10.1% 10.5%

Number of entities 4 4 4 4 4 4 4

c
Growth in total assets in quarter end and year end June 2009, includes the growth of Bank of Western Australia Ltd and St.George Bank Limited.

Australian Prudential Regulation Authority 14

 Table 7 Other domestic banks' financial performance trends
($ million)

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Interest income 2,773 2,850 3,288 3,503 3,629 16,821 13,270

of which:
Cash and liquid assets 62 34 83 81 84 775 282
Loans and advances 2,258 2,252 2,681 2,821 2,946 12,887 10,700
Housing loans 964 826 854 976 978 5,964 3,634
Term loans 727 758 834 828 875 3,897 3,295
Other 567 668 993 1,016 1,093 3,025 3,770
Other interest earning assets 453 563 524 602 600 3,242 2,289
Interest expense 2,066 1,978 2,299 2,536 2,744 12,761 9,557
of which:
Deposits 971 657 764 924 1,030 6,555 3,375
Borrowings 875 1,013 1,198 1,268 1,389 5,263 4,868
Other interest bearing liabilities 221 307 337 344 325 1,026 1,313
Net interest income 709 871 989 967 885 4,062 3,712
Other operating income 3,339 3,244 2,980 3,576 3,971 13,648 13,771
of which:
Fee and commission 619 477 460 710 844 2,403 2,491
Lending 79 72 55 42 54 320 223
Transaction/deposit account service fee 94 83 84 77 80 455 324
Other fee based activities 446 323 322 591 710 1,628 1,946
Other 2,720 2,767 2,519 2,866 3,127 11,246 11,279
Total operating income 4,048 4,115 3,969 4,543 4,856 17,712 17,483
Charge for bad or doubtful debts 347 234 205 209 151 1,808 799
Total operating expenses 3,108 3,276 3,002 4,066 3,479 14,102 13,823
of which:
Personnel 574 773 726 779 789 2,855 3,067
Fees and commissions 201 243 198 250 382 884 1,073
Other 2,334 2,260 2,079 3,037 2,309 10,364 9,685
Profit before goodwill amortisation and tax 609 628 776 279 1,233 1,894 2,916
Goodwill amortisation
Income tax 76 209 203 80 304 90 796
Net profit (loss) after tax and minority interests 523 418 563 191 914 1,756 2,086
Number of entities 7 7 7 7 7 7 7

Australian Prudential Regulation Authority 15

 Table 8 Other domestic banks' financial position trends
($ million)

Mar 2009 Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Cash and liquid assets 18,321 17,220 14,835 17,606 17,475 18,472
Securities 56,500 60,377 60,776 62,429 62,440 63,908
Acceptances of customers * * * * * *
Gross loans and advances 151,044 149,608 151,183 160,101 162,061 164,845
of which:
Total housing 70,574 72,441 74,778 77,431 79,492 82,737
Term 59,341 55,860 54,043 59,607 57,713 56,956
Other 21,129 21,306 22,362 23,063 24,856 25,152
Lending provisions 1,639 2,026 2,165 2,226 2,217 2,072
Net loans and advances 149,405 147,582 149,018 157,875 159,844 162,773
Other investments * * * * * *
Fixed assets 616 703 685 690 705 861
Intangible assets 9,460 9,329 9,255 9,272 9,784 9,937
Other assets 49,080 45,703 44,580 43,405 46,322 50,215
Total assets 285,676 283,012 280,959 292,511 297,876 307,326

Due to clearing houses and financial institutions * * * * * *

Acceptances * * * * * *
Deposits 121,107 116,394 119,084 124,293 128,502 131,999
of which:
Call/on demand 44,128 44,002 46,116 46,794 47,897 49,478
Term deposits 47,651 46,656 47,036 50,531 52,051 53,962
Income tax liability 421 598 483 569 614 870
Provisions 778 498 587 462 595 612
of which:
Employee entitlements 392 359 373 364 391 432
Other 387 139 214 98 204 180
Bonds, notes and other borrowings 61,643 69,121 62,979 66,810 63,786 65,755
Creditors and other liabilities 73,684 67,909 68,257 69,279 73,384 75,705
Total liabilities 260,857 258,052 254,660 265,141 269,355 277,734

Share capital 23,111 23,482 24,594 24,794 26,231 26,566

Reserves * * * -408 -590 -341
Retained profits * * * 2,654 2,534 2,983
Other * * * 231 239 269
Total shareholders' equity 24,745 24,871 26,239 27,270 28,414 29,477
Number of entities 7 7 7 7 7 7

Australian Prudential Regulation Authority 16

 Table 9 Other domestic banks' key performance ratio trends

Quarter end Year end Year end

Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010 Jun 2009 Jun 2010

Net interest income ($m) 709 871 989 967 885 4,062 3,712
Total operating income ($m) 4,048 4,115 3,969 4,543 4,856 17,712 17,483
Operating expenses ($m) 3,108 3,276 3,002 4,066 3,479 14,102 13,823
Net profit (loss) after tax ($m) 523 418 563 191 914 1,756 2,086
Average total assets ($m) 284,344 281,986 286,735 295,194 302,601 345,250 295,169
Average total shareholders' equity ($m) 24,808 25,555 26,755 27,842 28,946 27,538 27,174

Net interest income to assets 1.0% 1.2% 1.4% 1.3% 1.2% 1.2% 1.3%
Operating income to assets 5.7% 5.8% 5.5% 6.2% 6.4% 5.1% 5.9%
Operating expenses to assets 4.4% 4.6% 4.2% 5.5% 4.6% 4.1% 4.7%
Profit margin 12.9% 10.2% 14.2% 4.2% 18.8% 9.9% 11.9%
Return on assets (after tax) 0.7% 0.6% 0.8% 0.3% 1.2% 0.5% 0.7%
Return on equity (after tax) 8.4% 6.5% 8.4% 2.7% 12.6% 6.4% 7.7%

Other operating income ($m) 3,339 3,244 2,980 3,576 3,971 13,648 13,771
Fee and commission income ($m) 619 477 460 710 844 2,403 2,491
Total operating income ($m) 4,048 4,115 3,969 4,543 4,856 17,712 17,483
Operating expenses ($m) 3,108 3,276 3,002 4,066 3,479 14,102 13,823
Personnel expenses ($m) 574 773 726 779 789 2,855 3,067

Non-interest income share 82.5% 78.8% 75.1% 78.7% 81.8% 77.1% 78.8%
Fee income to total operating income 15.3% 11.6% 11.6% 15.6% 17.4% 13.6% 14.2%
Cost to income 76.8% 79.6% 75.6% 89.5% 71.6% 79.6% 79.1%
Personnel to operating expenses 18.5% 23.6% 24.2% 19.2% 22.7% 20.2% 22.2%

Total assets ($m) 283,012 280,959 292,511 297,876 307,326 283,012 307,326
Average net loans and advances ($m) 148,494 148,300 153,447 158,860 161,309 187,180 155,178
Average deposits ($m) 118,751 117,739 121,689 126,398 130,251 157,387 124,197

Growth in total assetsd -0.9% -0.7% 4.1% 1.8% 3.2% -0.2% 8.6%
Net loans to deposits 125.0% 126.0% 126.1% 125.7% 123.8% 118.9% 124.9%
Deposits to assets 41.8% 41.8% 42.4% 42.8% 43.0% 45.6% 42.1%
Equity to deposits 20.9% 21.7% 22.0% 22.0% 22.2% 17.5% 21.9%

Number of entities 7 7 7 7 7 7 7

d
Growth in total assets in quarter end and year end June 2009, excludes growth of St.George Bank Limited.

Australian Prudential Regulation Authority 17

 Table 10 Foreign subsidiary banks' financial performance trends
($ million)

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Interest income 1,642 1,615 1,541 1,657 1,985 8,707 6,798

of which:
Cash and liquid assets 27 52 65 14 19 164 150
Loans and advances 1,396 1,354 1,234 1,403 1,713 7,443 5,704
Housing loans 790 757 643 792 892 4,171 3,084
Term loans 419 407 420 400 600 2,241 1,827
Other 187 190 171 211 222 1,032 794
Other interest earning assets 219 209 242 240 253 1,100 944
Interest expense 980 1,048 1,103 1,103 1,386 6,146 4,640
of which:
Deposits 522 589 606 599 665 3,454 2,459
Borrowings 422 389 438 452 672 2,392 1,951
Other interest bearing liabilities 36 69 59 52 49 300 229
Net interest income 662 567 438 554 600 2,559 2,159
Other operating income 258 228 333 290 262 1,209 1,113
of which:
Fee and commission 230 195 322 262 231 1,018 1,010
Lending 55 39 95 71 76 241 281
Transaction/deposit account service fee 22 16 18 18 18 87 70
Other fee based activities 154 139 210 172 136 691 657
Other 28 33 11 28 31 191 103
Total operating income 920 795 771 844 862 3,768 3,272
Charge for bad or doubtful debts 160 122 145 98 98 547 463
Total operating expenses 473 425 415 429 438 2,183 1,707
of which:
Personnel 201 212 187 210 208 930 817
Fees and commissions 22 14 42 23 18 76 97
Other 250 198 186 196 212 1,178 792
Profit before goodwill amortisation and tax 287 249 211 317 325 1,025 1,102
Goodwill amortisation
Income tax 71 80 60 94 97 284 331
Net profit (loss) after tax and minority interests 215 169 151 223 228 739 771
Number of entities 9 9 9 9 9 9 9

Australian Prudential Regulation Authority 18

 Table 11 Foreign subsidiary banks' financial position trends
($ million)

Mar 2009 Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Cash and liquid assets 4,311 5,018 5,336 5,793 4,674 6,524
Securities 17,947 17,698 17,519 15,248 15,801 13,508
Acceptances of customers * * * * * *
Gross loans and advances 78,041 78,508 78,544 80,278 83,390 87,263
of which:
Total housing 47,243 48,014 48,518 48,861 49,529 50,221
Term 10,497 9,950 9,600 9,641 10,236 11,261
Other 20,300 20,544 20,427 21,776 23,625 25,781
Lending provisions 640 793 830 936 896 936
Net loans and advances 77,400 77,715 77,714 79,342 82,494 86,327
Other investments * * * * * *
Fixed assets 126 120 117 110 102 102
Intangible assets * * * * 245 242
Other assets 3,166 2,436 2,243 2,268 2,155 2,210
Total assets 103,415 103,390 103,404 103,192 105,703 109,092

Due to clearing houses and financial institutions * * * * * *

Acceptances * * * * * *
Deposits 69,645 65,902 62,099 64,405 64,302 69,342
of which:
Call/on demand 30,803 32,386 31,967 33,048 30,150 31,578
Term deposits 21,736 17,933 16,965 19,746 23,031 26,798
Income tax liability * * 184 163 166 88
Provisions 271 286 293 316 255 234
of which:
Employee entitlements 195 210 217 246 183 180
Other 76 77 76 70 72 54
Bonds, notes and other borrowings 11,562 14,723 17,577 16,509 17,581 18,126
Creditors and other liabilities 3,041 2,915 2,899 2,785 2,982 3,023
Total liabilities 92,611 92,582 92,495 92,285 94,596 99,037

Share capital 3,395 3,395 3,395 3,395 3,395 3,395

Reserves * * * 419 450 451
Retained profits * * * 3,810 3,998 4,200
Other * * * 0 0 0
Total shareholders' equity 6,931 7,131 7,368 7,624 7,843 8,046
Number of entities 9 9 9 9 9 9

Australian Prudential Regulation Authority 19

 Table 12 Foreign subsidiary banks' key performance ratio trends

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Net interest income ($m) 662 567 438 554 600 2,559 2,159
Total operating income ($m) 920 795 771 844 862 3,768 3,272
Operating expenses ($m) 473 425 415 429 438 2,183 1,707
Net profit (loss) after tax ($m) 215 169 151 223 228 739 771
Average total assets ($m) 103,403 103,397 103,298 104,448 107,398 129,206 106,241
Average total shareholders' equity ($m) 7,031 7,250 7,496 7,734 7,945 8,495 7,589

Net interest income to assets 2.6% 2.2% 1.7% 2.1% 2.2% 2.0% 2.0%
Operating income to assets 3.6% 3.1% 3.0% 3.2% 3.2% 2.9% 3.1%
Operating expenses to assets 1.8% 1.6% 1.6% 1.6% 1.6% 1.7% 1.6%
Profit margin 23.4% 21.3% 19.6% 26.4% 26.4% 19.6% 23.6%
Return on assets (after tax) 0.8% 0.7% 0.6% 0.9% 0.8% 0.6% 0.7%
Return on equity (after tax) 12.3% 9.3% 8.1% 11.5% 11.5% 8.7% 10.2%

Other operating income ($m) 258 228 333 290 262 1,209 1,113
Fee and commission income ($m) 230 195 322 262 231 1,018 1,010
Total operating income ($m) 920 795 771 844 862 3,768 3,272
Operating expenses ($m) 473 425 415 429 438 2,183 1,707
Personnel expenses ($m) 201 212 187 210 208 930 817

Non-interest income share 28.0% 28.7% 43.2% 34.4% 30.4% 32.1% 34.0%
Fee income to total operating income 25.0% 24.5% 41.8% 31.0% 26.8% 27.0% 30.9%
Cost to income 51.4% 53.4% 53.9% 50.8% 50.8% 57.9% 52.2%
Personnel to operating expenses 42.5% 50.0% 44.9% 48.9% 47.5% 42.6% 47.9%

Total assets ($m) 103,390 103,404 103,192 105,703 109,092 103,390 109,092
Average net loans and advances ($m) 77,558 77,715 78,528 80,918 84,411 100,272 82,021
Average deposits ($m) 67,774 64,001 63,252 64,354 66,822 85,473 67,622

Growth in total assetse 0.0% 0.0% -0.2% 2.4% 3.2% 6.2% 5.5%
Net loans to deposits 114.4% 121.4% 124.2% 125.7% 126.3% 117.3% 121.3%
Deposits to assets 65.5% 61.9% 61.2% 61.6% 62.2% 66.2% 63.6%
Equity to deposits 10.4% 11.3% 11.9% 12.0% 11.9% 9.9% 11.2%

Number of entities 9 9 9 9 9 9 9

e
Growth in total assets in quarter end and year end June 2009, excludes growth of Bank of Western Australia Ltd.

Australian Prudential Regulation Authority 20

 Table 13 Foreign branch banks' financial performance trends
($ million)

Quarter end Year end Year end

Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Interest income 3,237 3,017 3,271 3,308 3,537 19,797 13,133

of which:
Cash and liquid assets 483 445 450 436 567 3,065 1,898
Loans and advances 1,508 1,446 1,419 1,573 1,621 10,286 6,059
Housing loans 0 1 1 1 0 2 3
Term loans 1,227 1,169 1,193 1,267 1,322 7,148 4,951
Other 280 277 225 306 299 3,134 1,107
Other interest earning assets 1,246 1,125 1,401 1,299 1,350 6,448 5,175
Interest expense 2,445 2,494 2,459 2,664 3,039 17,430 10,656
of which:
Deposits 847 789 708 940 1,080 6,792 3,517
Borrowings 1,184 1,095 1,197 1,306 1,456 7,844 5,054
Other interest bearing liabilities 415 609 554 417 503 2,795 2,083
Net interest income 792 524 811 644 498 2,370 2,477
Other operating income 595 695 227 507 477 2,028 1,906
of which:
Fee and commission 447 382 369 330 310 1,291 1,391
Lending 97 120 148 116 104 326 488
Transaction/deposit account service fee 5 6 8 6 9 70 29
Other fee based activities 345 256 213 208 197 893 874
Other 147 312 -142 178 166 736 514
Total operating income 1,386 1,218 1,039 1,151 975 4,398 4,383
Charge for bad or doubtful debts 133 184 686 303 172 1,708 1,345
Total operating expenses 712 625 1,161 446 755 3,247 2,987
of which:
Personnel 317 278 135 231 249 848 893
Fees and commissions 157 57 220 125 126 616 528
Other 238 290 806 89 379 1,780 1,564
Profit before goodwill amortisation and tax 445 410 -814 396 41 -650 33
Goodwill amortisation
Income tax 129 142 -277 -14 196 -213 47
Net profit (loss) after tax and minority interests 316 268 -537 410 -155 -438 -14
Number of entities 34 35 34 34 34 34 34

Australian Prudential Regulation Authority 21

 Table 14 Foreign branch banks' financial position trends
($ million)

Mar 2009 Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Cash and liquid assets 25,947 26,617 24,407 22,538 24,605 24,605
Securities 60,796 64,411 62,611 63,129 65,574 53,378
Acceptances of customers * * * * * *
Gross loans and advances 90,263 80,916 75,069 72,706 70,708 66,400
of which:
Total housing 36 39 50 57 38 39
Term 64,631 58,610 55,143 51,737 50,263 47,502
Other 25,550 22,193 19,857 20,913 20,408 18,859
Lending provisions 1,756 1,784 1,532 1,627 1,333 1,209
Net loans and advances 88,507 79,132 73,537 71,079 69,374 65,191
Other investments * * * * * *
Fixed assets 181 174 171 170 165 158
Intangible assets * * * * 170 166
Other assets 129,727 117,263 101,586 94,939 93,297 104,078
Total assets 397,284 370,141 332,376 316,155 308,637 305,298

Due to clearing houses and financial institutions * * * * * *

Acceptances * * * * * *
Deposits 109,036 101,458 95,162 90,511 89,874 85,803
of which:
Call/on demand 21,209 21,409 19,935 20,461 19,862 19,273
Term deposits 11,500 9,976 10,110 9,052 9,226 7,353
Income tax liability 1,355 1,625 2,008 1,890 1,721 1,659
Provisions 950 1,016 694 359 368 451
of which:
Employee entitlements 138 302 404 312 200 263
Other 812 714 290 46 169 188
Bonds, notes and other borrowings 43,743 43,754 42,786 52,258 54,836 54,157
Creditors and other liabilities 38,921 31,423 29,034 20,334 15,197 16,656
Total liabilities 307,387 282,607 260,439 252,158 248,366 240,843
Number of entities 34 34 35 34 34 34

Australian Prudential Regulation Authority 22

 Table 15 Foreign branch banks' key performance ratio trends

Quarter end
Year end Year end
Jun 2009 Jun 2010
Jun 2009 Sep 2009 Dec 2009 Mar 2010 Jun 2010

Net interest income ($m) 792 524 811 644 498 2,370 2,477
Total operating income ($m) 1,386 1,218 1,039 1,151 975 4,398 4,383
Operating expenses ($m) 712 625 1,161 446 755 3,247 2,987
Net profit (loss) after tax ($m) 316 268 -537 410 -155 -438 -14
Average total assets ($m) 383,713 351,259 324,266 312,396 306,968 372,631 337,720

Net interest income to assets 0.8% 0.6% 1.0% 0.8% 0.6% 0.6% 0.7%
Operating income to assets 1.4% 1.4% 1.3% 1.5% 1.3% 1.2% 1.3%
Operating expenses to assets 0.7% 0.7% 1.4% 0.6% 1.0% 0.9% 0.9%
Profit margin 22.8% 22.0% -51.7% 35.6% -15.9% -10.0% -0.3%

Other operating income ($m) 595 695 227 507 477 2,028 1,906
Fee and commission income ($m) 447 382 369 330 310 1,291 1,391
Total operating income ($m) 1,386 1,218 1,039 1,151 975 4,398 4,383
Operating expenses ($m) 712 625 1,161 446 755 3,247 2,987
Personnel expenses ($m) 317 278 135 231 249 848 893

Non-interest income share 42.9% 57.0% 21.9% 44.1% 48.9% 46.1% 43.5%
Fee income to total operating income 32.3% 31.4% 35.5% 28.6% 31.8% 29.4% 31.7%
Cost to income 51.4% 51.3% 111.8% 38.7% 77.4% 73.8% 68.1%
Personnel to operating expenses 44.6% 44.5% 11.6% 51.8% 33.0% 26.1% 29.9%

Total assets ($m) 370,141 332,376 316,155 308,637 305,298 370,141 305,298
Average net loans and advances ($m) 83,820 76,335 72,308 70,227 67,283 81,982 72,162
Average deposits ($m) 105,247 98,310 92,837 90,193 87,839 113,319 93,631

Growth in total assets -6.8% -10.2% -4.9% -2.4% -1.1% -1.3% -17.5%
Net loans to deposits 79.6% 77.6% 77.9% 77.9% 76.6% 72.3% 77.1%
Deposits to assets 27.4% 28.0% 28.6% 28.9% 28.6% 30.4% 27.7%

Number of entities 34 35 34 34 34 34 34

Australian Prudential Regulation Authority 23

 Explanatory notes

Introduction
This quarterly publication provides bank aggregate statistics, comprising data on financial performance,
financial position and key financial performance ratios. Banks are classified as major banks, other domestic
banks, foreign subsidiary banks and branches of foreign banks in this publication.

Source of data
The data in this publication are sourced from the following returns submitted to APRA under the Financial
Sector (Collection of Data) Act 2001 by regulated banks.
Profit and loss returns:
• ARF 330.0 Statement of Financial Performance (Licensed ADI and Consolidated Group Books);
• ARF 330.1 Interest Income and Interest Expense (Licensed ADI and Consolidated Group Books) ;
• ARF 330.2 Other Operating Income (Licensed ADI and Consolidated Group Books); and
• ARF 330.3 Other Operating Expense (Licensed ADI and Consolidated Group Books).
Balance sheet returns:
• ARF 320.0 Statement of Financial Position (Domestic Books) ; and
• ARF 322.0 Statement of Financial Position (Consolidated Group Books).
Blank copies of returns and associated instructions are available on APRA's website.

Basis of preparation
For the profit and loss returns, locally incorporated banks that include Australian-owned banks and foreign
subsidiary banks with controlled entities and associates are required to complete the returns on both a
licensed basis and a consolidated basis. Foreign bank branches and locally incorporated banks with no
controlled entities and associates are required to report on a licensed basis only.
For the balance sheet returns, locally incorporated banks that include Australian-owned banks and foreign
subsidiary banks with controlled entities and associates are required to complete the returns on both a
domestic books basis and a consolidated basis. Foreign bank branches and locally incorporated banks with no
controlled entities and associates are required to report on a domestic book basis only.
As per the reporting requirements of the above returns except for ARF 320.0 Statement of Financial Position
(Domestic Books) , the basis of consolidation is in accordance with the requirements of the Australian
accounting standards.

Australian Prudential Regulation Authority 24

 Glossary

ADI authorised deposit-taking institution.

Acceptances comprise undertakings by an entity to pay bills of exchange drawn on customers. They are
accounted for and disclosed as a liability with a contra asset recognised to reflect the entity's claim
against each drawer of the bills of exchange. This item excludes those accepted and held in
the institution's asset portfolio.
AIFRS Australian International Financial Reporting Standards which became effective on 01 July 2006.
Averaged items are the average of the item for the period and the preceding period.
Bonds, notes and other borrowings comprise bonds, notes and other debt securities.
Cash and liquid assets comprise local and foreign currency holdings, deposits at call, Exchange
Settlement Accounts, margin deposit accounts and gold bullion.
Call/on demand deposits comprise cheque accounts, accounts from which payments to third parties are
made, notice of withdrawal accounts, demand deposits and saving deposits.
Consolidated refers to the global operations of a licensed ADI and its subsidiary entities, as well as any
other controlled banking entities, securities entities and other financial entities except those involved in
insurance, non-financial (commercial) operations or acting as manager, responsible entity, approved
trustee or similar role in relation to funds management or securitisation activities.
Cost to income represents operating expenses for the period divided by total operating income for the
period.
Creditors and other liabilities comprise defined benefit liability - current and non current, interest
payable, unearned interest, outstanding security settlements, derivative financial instruments,
items in suspense, due to merchants, liabilities included in disposal group classified as held for sale
and share capital repayable on demand.
Deposits to assets represents average deposits for the period divided by average total assets.
Due to clearing houses & financial institutions comprise amounts due to recognised clearing houses
and settlement balances with financial institutions.
Employee entitlements comprise provisions for long service leave, annual leave, staff housing loan
benefits, health fund subsidy, and other employee entitlements.
Equity to deposits represents average total shareholders' equity for the period divided by average total
deposits.
Fee and commission from lending, transaction/deposit account service fees, funds management,
broking activities, underwriting activities, syndication activities, securitisation activities and corporate
advisory activities.
Fee income to total operating income represents fee income for the period divided by total operating
income for the period.
Fixed assets include land, buildings, furniture, equipment, software, leasehold improvements and capital
leases net of accumulated depreciation/amortisation.
Foreign branch banks are those foreign banks authorised to carry on banking business in Australia
through branches. This is subject to specific restrictions on their deposit-taking activities.
Foreign subsidiary banks are those foreign banks authorised to carry on banking business in Australia
through a locally incorporated subsidiary.
Growth in total assets represents total assets for the period minus total assets for the preceding period,
divided by the total assets for the preceding period.
Intangible assets are net of accumulated amortisation.
Interest expense is interest expense paid on interest-bearing liabilities net of intragroup balances.
Interest income is interest income earned on interest-bearing assets net of intragroup balances.
Interest income on securities is interest income earned on trading and investment securities.
Licensed refers to the ADI on a stand-alone basis.
Loan capital is the face value of all loan capital and hybrid securities issued with a residual term to
maturity of more than one year. Includes converting preference shares, convertible notes and
subordinated loans.

Australian Prudential Regulation Authority 25

 Major banks are the Australia and New Zealand Banking Group Limited, Commonwealth Bank of
Australia, the National Australia Bank Limited, Westpac Banking Corporation and their subsidiary
banks.
Net interest income is total interest income less total interest expense.
Net interest income to assets represents net interest income for the period divided by average
total assets.
Net loans and advances are net of specific and general provisions.
Net loans to deposits represents average net loans and advances for the period divided by average
deposits.
Net profit (loss) after tax and minority interests is profit or loss after goodwill amortisation, income
tax and minority interests but before extraordinary items.
Non-interest income share represents other operating income for the period divided by total operating
income for the period.
Operating expenses to assets represents operating expenses for the period divided by average
total assets.
Operating income to assets represents operating income for the period divided by average
total assets.
Other assets include commodities other than gold bullion, valuables, artwork, other receivables,
prepayments and other items not otherwise identified.
Other domestic banks are all locally-owned banks excluding those defined as Majors .
Other investments include investment loans to parent entity, associates, joint ventures and other
investments.
Other (total operating expenses) includes occupancy and equipment expenses, amortisation of other
assets, non-lending losses, fees and commissions, audit and director fees, and other expenses.
Other operating income is non-interest income.
Other (provisions) includes provisions for dividends, restructuring costs, and off-balance sheet credit
related commitments.
Other (shareholders equity) represents outside equity interests in controlled entities.
Personnel to operating expenses represents personnel expenses for the period divided by operating
expenses for the period.
Profit margin represents net profit for the period divided by total operating income for the period.
Reserves comprise general reserve, capital profits reserve, asset revaluation reserve, foreign currency
translation reserve and other reserves.
Retained profits are retained profits or accumulated losses at the end of the quarter.
Return on assets is net profit (loss) for the last quarter multiplied by 4 and divided by average assets
over the quarter. For year-ended, this measure is calculated using the last 4 quarters divided by average
assets over the year.
Return on equity is net profit (loss) for the quarter multiplied by 4 and divided by average shareholders'
equity over the quarter. For year-ended figures, this measure is calculated using the last 4 quarters
divided by average shareholders' equity over the year.
Share capital comprises ordinary shares, preference shares and any other form of share capital.
Term deposits are deposits with a fixed period for a stated interest rate.
Term loans comprise fixed rate and variable rate loans and advances gross of provisions.
Total housing is total fixed and variable rate owner-occupied and investment housing lending gross of
provisions.
Total operating expense is total non-interest expense from ordinary activities.
Total operating income is total income from ordinary activities before charge for bad and doubtful debts
and the sum of net interest income and other operating income.

Australian Prudential Regulation Authority 26

Telephone
1300 13 10 60

Email
info@apra.gov.au

Website
ADI_ST_QBP_062010_ex

www.apra.gov.au

Mail
GPO Box 9836
In all capital cities
(except Hobart and Darwin)