{"id":866729,"date":"2025-08-20T23:15:26","date_gmt":"2025-08-21T04:15:26","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/08\/20\/business-banking-a-standout-as-kiwibank-sees-full-year-profit-drop\/"},"modified":"2025-08-20T23:15:26","modified_gmt":"2025-08-21T04:15:26","slug":"business-banking-a-standout-as-kiwibank-sees-full-year-profit-drop","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/08\/20\/business-banking-a-standout-as-kiwibank-sees-full-year-profit-drop\/","title":{"rendered":"Business banking &#8216;a standout&#8217; as Kiwibank sees full-year profit drop"},"content":{"rendered":"<div id=\"documentContent\" role=\"main\">\n<div>\n<h3>Navigation for News Categories<\/h3>\n<\/div>\n<div>\n<header>\n<\/header>\n<div>\n<div itemscope itemtype=\"http:\/\/schema.org\/ImageObject\">\n<p><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/media.rnztools.nz\/rnz\/image\/upload\/s--tdJdF4gS--\/ar_16:10,c_fill,f_auto,g_auto,q_auto,w_1050\/v1644249542\/4MVIGC4_copyright_image_226885?_a=BACCd2AD\" width=\"1050\" height=\"700\" alt=\"No caption\"><\/p>\n<p>\n<span itemprop=\"caption\">Kiwibank chief executive Steve Jurkovich <\/span><br \/>\n<span>Photo: <span itemprop=\"copyrightHolder\">Kiwibank<\/span><\/span>\n<\/p>\n<\/div>\n<p>Kiwibank has posted a lower full-year profit on the back of increased costs and a fall in margins.<\/p>\n<p><b>Key numbers for the year ended June compared with a year ago:<\/b><\/p>\n<ul>\n<li>Net profit $191m vs $202m<\/li>\n<li>Net interest income $858m vs $824m<\/li>\n<li>Lending $35.8b vs $32.4b<\/li>\n<li>Deposit $30.3b vs $ 28.2b<\/li>\n<li>Net interest margin 2.25 pct vs 2.38 pct<\/li>\n<li>Bad debt provisions $29m vs $24m<\/li>\n<\/ul>\n<p>Chief executive Steve Jurkovich said home and business lending as well as deposits grew, and continued to outpace the broader banking market.<\/p>\n<p>He said trading conditions had been challenging, but the bank had been &#8220;optimistic&#8221; in supporting customers and looking for growth.<\/p>\n<p>&#8220;We delivered strong underlying growth in the highly competitive home lending and deposit markets. Business banking was a standout in a subdued market and a clear signal of our commitment to backing Kiwi businesses through uncertain times.&#8221;<\/p>\n<p>Jurkovich said the bank had also spent on systems and technology to improve fraud protection, quicker lending decisions, and expanding products on its new platform.<\/p>\n<p>He expected a general improvement in business and increased borrowing demand as interest rates fall and the economy recovers.<\/p>\n<p>&#8220;While global and domestic challenges remain, this sets the stage for a more resilient and confident recovery.&#8221;<\/p>\n<h3>Capital boost<\/h3>\n<p>Jurkovich said Kiwibank was preparing for the government approved capital raising.<\/p>\n<p>Last month Cabinet approved <a href=\"https:\/\/www.rnz.co.nz\/news\/business\/568441\/kiwibank-given-go-ahead-to-raise-500m-in-capital\">the raising of up to $500 million<\/a> to lift Kiwibank&#8217;s financial capability to better compete with big four Australian banks.<\/p>\n<p>&#8220;Cabinet&#8217;s approval for our parent company Kiwi Group Capital (KGC) to explore a capital raise of up to $500m is designed to accelerate our growth and strengthen our competitive edge.&#8221;<\/p>\n<p>&#8220;But this is about more than scale, it&#8217;s about delivering better outcomes for all New Zealanders, whether they bank with us or not.&#8221;<\/p>\n<p><a href=\"https:\/\/radionz.us6.list-manage.com\/subscribe?u=211a938dcf3e634ba2427dde9&#038;id=b3d362e693\">Sign up for Ng\u0101 Pitopito K\u014drero<\/a>, <b>a daily newsletter curated by our editors and delivered straight to your inbox every weekday.<\/b><\/p>\n<\/p><\/div>\n<\/p><\/div>\n<div>\n<div>\n<h2>Get the RNZ app<\/h2>\n<p>for ad-free news and current affairs<\/p>\n<p><a data-platform=\"iOS\" data-source=\"NewsArticle\" href=\"https:\/\/itunes.apple.com\/nz\/app\/rnz\/id407890305\"><img decoding=\"async\" src=\"https:\/\/www.rnz.co.nz\/x\/app-ad\/app-store-badge-405cee712db3c7ac46bcc89803f02f5252f125317fe1ca614b5f0d15d27216d5.svg\" alt=\"Download from Apple App Store\"><\/a><br \/>\n        <a data-platform=\"Android\" data-source=\"NewsArticle\" href=\"https:\/\/play.google.com\/store\/apps\/details?id=nz.co.radionz.android&#038;hl=en\"><img decoding=\"async\" src=\"https:\/\/www.rnz.co.nz\/x\/app-ad\/google-play-badge-24e40b2f16e541e9c88d0d97e5fd56f29499df6b8392d321581f16dca58b486a.svg\" alt=\"Download from Google Play Store\"><\/a>\n      <\/p>\n<\/p><\/div>\n<p><img decoding=\"async\" src=\"https:\/\/www.rnz.co.nz\/x\/app-ad\/app-ad-news-device-one-0e70920522a6ab0a63c7cabd93c74ed9e62caad8c7c71453801117f3f5ced312.png\">\n    <\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.rnz.co.nz\/x\/app-ad\/app-ad-news-device-two-aae3cd6c4a148cc0103b3206b0cc7bea1454c6e004851729d93df642d98b3591.png\">\n    <\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p> Laine Latson <br \/><a href=\"https:\/\/www.rnz.co.nz\/news\/business\/570607\/business-banking-a-standout-as-kiwibank-sees-full-year-profit-drop\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Navigation for News Categories Kiwibank chief executive Steve Jurkovich Photo: Kiwibank Kiwibank has posted a lower full-year profit on the back of increased costs and a fall in margins. Key numbers for the year ended June compared with a year ago: Net profit $191m vs $202m Net interest income $858m vs $824m Lending $35.8b vs<\/p>\n","protected":false},"author":1,"featured_media":866730,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23465,378],"tags":[9003,8652],"class_list":{"0":"post-866729","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banking","8":"category-business","9":"tag-banking","10":"tag-business"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/866729","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=866729"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/866729\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/866730"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=866729"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=866729"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=866729"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}