Westpac is lifting its dividends after increasing its net profit by 22 per cent in the six months to March 31, as the bank cut operating expenses and paid less in remediation.
Australia's oldest bank on Monday announced a net profit of $4 billion and lifted its dividend by 15 per cent.
"Our first-half result reflects the progress we've made in becoming a simpler, stronger bank," said chief executive Peter King.
"Disciplined cost and margin management has lifted our return on equity and allowed us to increase dividends to 70 cents per share."
The bank's net interest margin was up five basis points to 1.96 per cent, still below historic levels.
Its operating expenses of $4.99 billion were seven per cent lower than in the same period a year ago, which Westpac credited to a simpler organisational structure, reduced use of third-party service providers and lower remediation costs.
18°C