In response to rising consumer arrears and non-performing corporate loans, CBA increased its provisions for bad debts by $223 million.

Comyn emphasized the bank's commitment to supporting customers facing cost of living pressures, especially as higher interest rates continue to impact Australian households.

He also noted that inflation in Australia is declining, and government investments in infrastructure are expected to bolster employment and economic growth.

CBA's net interest margin remained stable, although competitive conditions in retail banking are exerting pressure on industry margins.

The Commonwealth Bank of Australia (CBA) reported a statutory cash profit of approximately A$2.6 billion for the third quarter ending March 31, 2025, reflecting a 6% increase from the same period last year.

CEO Matt Comyn attributed the bank's success to a strategy focused on gaining market share in business loans while maintaining dominance in the mortgage sector.

Home loan arrears rose by 5 basis points to 0.71%, while personal loan arrears increased by 19 basis points, consistent with seasonal trends.

This growth was primarily driven by a significant surge in business loans, which increased by 9.1%, amounting to $3.7 billion, while home lending grew by 4.1%.

CBA's revenue rose to $14.1 billion, supported by the growth in lending and higher trading income, although expenses also increased by 1% to $6.37 billion.

Despite the positive profit results, the bank has noted an uptick in impairment rates for home and corporate loans, although these rates remain close to historical lows.

The profit announcement concludes the results season for Australian lenders, who are navigating similar margin pressures that affect both business and home lending.

This update follows recent results from other banks, indicating a competitive environment in the banking sector, with major players like Westpac and NAB reporting mixed results.