Australian Prudential Regulation Authority releases June 2025 quarterly ADI performance and property exposure statistics

The Australian Prudential Regulation Authority published its Quarterly Authorised Deposit-taking Institution (ADI) Performance and Quarterly ADI Property Exposures statistics for the quarter ending 30 June 2025, providing system-level indicators on ADIs’ profitability, balance sheets, capital and liquidity, as well as residential and commercial property exposures. For the year to June 2025 (excluding ADIs other than banks, building societies and credit unions), net profit after tax rose to AUD 40.1 billion (up 2.9% year on year) and total assets increased to AUD 6,673.8 billion (up 7.2%), while the total capital ratio was unchanged at 20.4%. Liquidity ratios eased, with the liquidity coverage ratio falling to 130.1% (down 2.9 percentage points), the minimum liquidity holdings ratio to 16.3% (down 0.6 points) and the net stable funding ratio to 115.9% (down 0.3 points). Residential credit outstanding grew to AUD 2,391.8 billion (up 5.7%), the share of loans with loan-to-valuation ratios of at least 80% declined to 16.9%, and 30–89 day past-due loans fell to 0.55% of exposures, while non-performing loans edged up to 1.07%; new mortgage lending funded during the quarter increased to AUD 187.6 billion (up 16.2%) with a lower high-LVR share (30.4%) and a higher share with debt-to-income ratios of at least 6 times (5.5%). Commercial property exposure limits rose to AUD 498.9 billion (up 9.0%) and reported exposures to AUD 464.1 billion (up 9.4%).