Westpac Banking Cp Ord (WEBNF) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to Westpac's Q1 FY26 update. I'm Justin McCarthy, GM Investor Relations. Joining me today is Nathan Goonan, our CFO. Before we commence, I acknowledge the traditional custodians of the land on which we meet. For us in Barangaroo, that's the Gadigal people of the Eora Nation. I pay my respects to Elders past and present and extend that respect to all Aboriginal and Torres Strait Islander people. This is an inaugural quarterly call designed to enhance transparency and disclosure. We hope this refinement is helpful and welcome your feedback. Nathan will provide a brief overview of our quarterly performance and then take questions. In the interest of time, we'll take one question per person. With that, Nathan. Thanks, Justin, and good morning, everyone. Thank you for joining. As we start the financial year, we're continuing to drive operational momentum across the group and our quarterly performance reflects a disciplined execution of our five strategic priorities. Net profit excluding notable items increased 5% compared to the second half 25 average. Revenue was up 1% comprising a 2% increase in net interest income driven by an increase in average interest earning assets and a stronger treasury performance and a 4% decrease in non-interest income driven by lower markets revenue due to unfavourable DVA. Operating expenses x the second half 25 restructuring charge were stable. Including the restructuring charge, expenses were 5% lower. These revenue and expense outcomes resulted in an increase in pre-provision profit of 6% or 2% x restructuring. Sustainably growing customer deposits underpins our ambition to be our customer's main financial institution. The growth of $12 billion in the quarter highlights the inherent strength of our franchise, wit...