Stock Analysis

Commonwealth Bank of Australia Full Year 2024 Earnings: In Line With Expectations

ASX:CBA
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Commonwealth Bank of Australia (ASX:CBA) Full Year 2024 Results

Key Financial Results

  • Revenue: AU$26.1b (flat on FY 2023).
  • Net income: AU$9.48b (down 6.1% from FY 2023).
  • Profit margin: 36% (down from 38% in FY 2023).
  • EPS: AU$5.67 (down from AU$5.97 in FY 2023).

CBA Banking Performance Indicators

  • Net interest margin (NIM): 1.99% (down from 2.07% in FY 2023).
  • Cost-to-income ratio: 45.0% (up from 43.7% in FY 2023).
  • Non-performing loans: 0.99% (up from 0.80% in FY 2023).
revenue-and-expenses-breakdown
ASX:CBA Revenue and Expenses Breakdown August 19th 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

Commonwealth Bank of Australia Meets Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) was also in line with analyst expectations.

The primary driver behind last 12 months revenue was the Retail Banking Services (Incl. Bankwest) segment contributing a total revenue of AU$12.5b (48% of total revenue). The largest operating expense was General & Administrative costs, amounting to AU$10.6b (64% of total expenses). Explore how CBA's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 4.3% p.a. on average during the next 3 years, compared to a 4.1% growth forecast for the Banks industry in Australia.

Performance of the Australian Banks industry.

The company's shares are up 6.7% from a week ago.

Valuation

If you are concerned about investing in overvalued stocks, our analysis of 6 valuation measures indicates Commonwealth Bank of Australia could be one stock to be wary of. Click here to find out what a fair price for the stock might be and where analysts see the share price heading over the next year.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.