Westpac stock adds housing target to mixed FY26 result
Published on 11/05/2026 at 15:35 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSWestpac balances growth and pressure
- Westpac reported a 1 percent decline in statutory fiscal 2026 profit, while underlying profit was unchanged.
- Business lending grew 12 percent and institutional lending 18 percent as deposits and total lending expanded.
- Management expects Australian interest rates to remain elevated into 2027, keeping credit demand and household finances in focus.
Westpac announced its fiscal 2026 result on Monday, November 2, balancing a lower statutory profit with stronger lending, a solid capital position and continued investment. The bank's FY26 result announcement said statutory net profit fell 1 percent to 6.8 billion Australian dollars, while profit excluding notable items held at 7.0 billion Australian dollars.
Growth offsets earnings pressure
Customer deposits increased 6 percent and lending rose 5 percent during the year. Business lending expanded 12 percent and institutional lending gained 18 percent, supporting revenue growth despite a narrower net interest margin and higher credit costs.
Westpac retained a fully franked final dividend of 77 Australian cents per share. The payment is scheduled for December 21, 2026, for shareholders on the register on November 6. The CET1 capital ratio stood at 12.5 percent, above the 11.25 percent target for normal operating conditions.
Housing and technology priorities
The bank set a target to facilitate 100 billion Australian dollars in housing-related lending by 2030. It said the focus includes new housing supply, social and affordable housing, support for renters and pathways to home ownership.
Westpac also said 95 percent of employees were using artificial intelligence tools. The bank opened three regional service centres and introduced its Community Banking Service in 14 locations while continuing its broader transformation program.
Rates remain a key risk
Management said the Australian economy was holding up relatively well, helped by business investment and credit demand. It also expects inflation to remain above the Reserve Bank of Australia's target range and interest rates to stay elevated into 2027, leaving earnings sensitive to funding competition, credit quality and monetary policy.
The real-time quote of Westpac stock was 22.83 euros on Lang & Schwarz at 15:31 CET on Thursday, November 5, 2026.
Westpac fiscal 2026 snapshot
- Company: Westpac Banking Corporation
- ISIN: AU000000WBC1
- Lang & Schwarz quote: 22.83 euros on November 5, 2026, at 15:31 CET
- Statutory net profit: 6.8 billion Australian dollars in fiscal 2026, down 1 percent year on year
- Profit excluding notable items: 7.0 billion Australian dollars, unchanged year on year
- Final dividend: 77 Australian cents per share, fully franked
- CET1 capital ratio: 12.5 percent
Australian equities provide the broader market context for Westpac investors; see current Australian market developments.
