BNZ grows mortgage book strongly in March Qtr but profitability falls

BNZ's March quarter disclosure statement shows its mortgage book, using the same capital adequacy-based measure goodreturns.co.nz has used since December 2002, grew by $314 million to $26.74 billion in the three months.

Another measure of its mortgage book, BNZ's note on loans and advances to customers, information not all banks provide, suggests it grew by $311 million to $26.74 million.

Its loan-to-valuation ratio (LVR) table, which includes off-balance sheet mortgages such as loans approved but not drawn down and the measure GoodReturns is likely to use in future, stood at $29.44 billion.

BNZ says there are no equivalent figures which can be derived from its previous disclosure statements which only included undrawn limits on established mortgages and not irrevocable commitments to lend for which the bank hadn't yet taken security. The LVR table will include both from now on.