Macquarie's result shows plenty of red but is still green-tinged
The bank's commitment to climate solutions remains intact despite a slowdown in the selling of green assets hitting its full-year result.
While the major bank results tend to be staid and largely predictable — see National Australia Bank — the same can’t be said of Macquarie Group.
Its 2024 full-year net profit was down 32% to $3.5 billion, while second-half profit was up 49% on six months ago and down 27% on the second half of 2023. The dividend was cut 36% and return on equity was down the same percentage. Lumpy, to say the least. Little wonder the Competition Tribunal described the bank as a “maverick”.
For all that, the result was only marginally below market consensus. Macquarie is very different with its mix of annuity style, traditional banking and commodities trading, and two-thirds of its income comes from offshore.
It particularly stands out with its big bets on a lower carbon global economy. That strategy is enterprise defining and shareholders and clients, by and large, are on board.
