TSB's solid annual performance lays strong foundation for future growth

CEO Donna Cooper says TSB’s annual profit is another solid financial result as the Bank focuses on ensuring ongoing success within a challenging economic climate.

The net profit before tax of $62.6 million is down on the previous year, but once the impact of recoveries from Solid Energy is removed (2018: $15.5m, 2019: $2.1m), the Bank’s profit before tax increased year on year from $56.6m to $60.5m. 

“New Zealanders can see that TSB is in a stable position and we’re investing to ensure the Bank has an even brighter future,” says Ms Cooper.

“TSB plays an important role in the banking industry and wider New Zealand.

“As a 100% locally owned bank we keep profits here, create high quality careers in regions across the country and partner with national organisations doing crucial work for Kiwis. Just as importantly, TSB continues to be a national leader in customer satisfaction.”

In 2018, the Bank was awarded the Consumer NZ People’s Choice Award for banking for the third year in a row, won the Canstar Blue Overall Customer Satisfaction Award for the fifth time in six years, and achieved the highest customer satisfaction of any New Zealand bank in the February 2019 Roy Morgan survey. 

“I am confident our continued focus on putting our customers first has had a direct, positive impact on our solid financial result. This is despite a challenging operating environment with low interest rates, slowing credit growth and rapidly changing technology requirements and expectations,” says Ms Cooper.

“More Kiwis deserve to experience our world-class service, so we are focused on getting the right technologies and processes in place, to accompany the real passion and commitment shown by our people, who genuinely care about doing the best for our customers.

“For example, New Zealanders can now join TSB from anywhere in the country via our website with their identity confirmed by filming a short video selfie. We then add a personal TSB touch, by following up with a call to ensure the customer is getting the right products and outcomes to suit their needs.”

For the 2018-19 year, TSB paid an annual dividend of $10 million to TSB Group Ltd, which supports TSB Community Trust’s philanthropic work across Taranaki.

The bank also gave $115,000 in grants to Surf Life Saving clubs around New Zealand to fund education, equipment and maintenance, and over summer TSB and Surf Life Saving New Zealand launched a high-profile rip safety campaign to help keep Kiwis safe in the water.

“TSB has also established other partnerships right across the country in order to give back to, and support, the communities in which we work and live,” says Ms Cooper.

“Investing in the growth and wellbeing of New Zealand people and their communities is at the very core of our business. At TSB we care about profit for purpose, not profit for profit’s sake.

“I’m proud to lead a bank that puts New Zealand, and doing what is right for Kiwis, at the heart of what we do.”

ENDS
 

For more information contact:

Philippa Walker
TSB Media & Communications Manager

 

027 378 3759 / philippa.walker@tsb.co.nz