Big four bank takes billion-dollar hit, announces dividend decision

Westpac’s net profit was $1.19 billion, a decrease of $1.98 million, or 62 per cent, compared with first half 2019. The fall was due to a significant increase in impairment charges due to the expected impacts of COVID-19, costs associated with AUSTRAC proceedings, and the impact of costs related to remediation and litigation.

Westpac is also moving several of its businesses, including wealth platforms, superannuation and retirement products, and general and life insurance into a new Specialist Businesses division, headed by Jason Yetton.

Westpac announced an impairment charge of $2.2 billion and followed ANZ’s lead by deferring a decision on its dividend.

More to come.