Newcastle Greater Mutual Group Sees Decline in Net Profits
In a recent financial report, the Newcastle Greater Mutual Group, also known as Greater Bank, reported a decrease in net profit for the year ending in June 2025. The profits dropped from $131 million in the previous fiscal year to $117 million. Despite the decline, this is anticipated to be one of the largest profits for any mutual bank this year. The underlying net profit stood at $106.1 million.
Growth in Total Assets and Home Loan
Despite the profit drop, Greater Bank witnessed an 8% increase in total assets, amounting to $23.1 billion. Of this, loans and advances constituted $18.2 billion. A significant boost was provided by the growth in the home loan sector, with an increase of $1.2 billion, paralleled by a $1.3 billion surge in customer deposit growth. This growth has been the most significant among any customer-owned bank in Australia. Notably, the bank’s deposit to loan ratio was reported to be more than 100 per cent, indicating a healthy financial status.
Expenditure on Staff and Investment Programs
The bank attributed the fall in profit to a 7% increase in staff expenses coupled with a substantial investment program. Over the past year, the bank has consolidated 15 systems, which also contributed to the expenditure. Looking ahead, CEO Bernadette Inglis expects this momentum to continue through the financial year 2026 with a record investment in cloud technologies, data centres, and digital innovation.
A Surge in Customer Deposits
In another positive development, customer deposits at Greater Bank increased by 7% to $18.9 billion. This growth was facilitated by the opening of 26,000 new deposit or savings accounts. Currently, the bank serves more than 635,000 members, a testament to its popularity and trustworthiness among the Australian populace.
Despite the dip in net profit, Greater Bank’s robust growth in key financial areas and its commitment to technological innovation indicates a promising future. The bank continues to be a reliable and trusted choice for its growing base of members.
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