ASB Bank Limited Analysis

Overview

ASB Bank provides a variety of financial services including retail, business and rural banking, funds management, insurance and investment and securities services. Opened in 1847 as the Auckland Savings Bank, it became a fully owned subsidiary of Commonwealth Bank of Australia in 2000.

Performance

The following information was extracted from ASB Bank Limited's Half year results, released 11 February 2026

ASB half year result: Supporting our customers for long-term prosperity

ASB has reported a cash net profit after tax (NPAT) of $719 million for the six months to 31 December 2025, up 1% on the prior comparative period.  Statutory NPAT was $765 million.

Since December 2024, home lending has grown 8%, while business and rural lending grew by 4%.  Total customer deposits increased by 5%

Net customer margins remain flat, reflecting higher home lending margins and lower deposit margins.  Net Interest Margin (NIM) was up 6 basis points driven by higher earnings due to timing effects from interest rate hedges.

ASB KiwiSaver Scheme funds under management grew by more than $1.7 billion to more than $20.6 billion, thanks to continued strong returns to customers and top quartile performing funds. Collectively, ASB Group Investments manages more than $31 billion for investors across its range of five products.

Operating expenses were $839 million, an increase of 21% largely driven by the settlement of the Credit Contracts and Consumer Finance Act 2003 class action proceedings, and investments in people, technology modernisation, digital experience and regulatory compliance.