TSB lifts mortgage market share but profit drops
According to its June quarter general disclosure statement, TSB's mortgage book grew $56.6 million to $2.24 billion in the three months.
Using Reserve Bank figures as a proxy for the market, TSB's share of mortgages written by registered banks rose to 1.36% at June 30 from 1.33% at March 31 and from 1.22% at June 30 last year.
Of TSB's mortgage book, 17.1% had loan-to-valuation ratios (LVRs) above 80%, up from 16.3% three months earlier, and 9.7% had LVRs above 9.7%, up from 8.9% at March 31. Much of those loans were government-backed Welcome Home loans which totalled $197.9 million at June 30 compared with $177.5 million at March 31.
TSB's net profit for the three months fell 41.6% to $8.7 million after a near $4 million one-off non-cash tax charge, reflecting changes to depreciation rules and the company tax rate dropping from 30% to 28%.
Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.
You will also be able to comment on articles on Good Returns.
