The big four bank has announced its profits for the first half of 2021 will be impacted by more than $800 million by write-downs associated with its investment in a Malaysian bank and rising remediation costs.
In a statement released to the market on Friday, ANZ said its first-half cash profit after tax would be impacted by $817 million.
The bank said this was due to “a number of notable items” including $135 million of losses from its investment in Malaysian banking group AmBank, and $251 million in goodwill write-downs to its share investing business, which ANZ flagged it would look to sell in the near future.
ANZ said it had also been hit with $108 million of additional customer remediation costs and $63 million of restructuring and divestment costs associated with its simplification strategy.
The bank’s remediation expenses represent a significant rise from the first half of the 2020 year, where it paid out $91 million in remediation.