Commonwealth Bank of Australia credits retail biz for 1H profit

The Commonwealth Bank of Australia posted a half-year profit of US$3.78 billion.

This is a one percent on the same period a year ago.

CBA said the result was mainly driven by a stronger performance from its retail bank business, with loans up A$26 billion to A$649 billion.

CBA Chief Executive Officer Ian Narev said the bank had delivered a cash return on equity (ROE) of 18.1 percent for the six months to December despite the subdued market conditions.

Narev said there had been improvement in the global macroeconomic environment since the bank released its full year results in August 2012.

"As a result, we have experienced a period of relative stability, which has had a positive impact on global equity and debt markets," he said.

However, he warned that risk remains in the economy and the bank must remain cautious.

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