BOQ AGM told of focus on growth


Bank of Queensland Managing Director David Liddy today told the Bank’s FY2006 Annual General Meeting that the branch network was expanding to Tasmania and South Australia, giving it a national reach for the first time.


Mr Liddy also told the meeting that the Bank’s strong 2006 sales growth was continuing into the new financial year with first quarter results reflecting market share gains in lending and deposits.


“Bank of Queensland’s growth is being driven by its expanding retail and business banking network,” Mr Liddy said.


“Our performance for the first quarter of the 2007 financial year show continued lending and deposit growth. Total lending approvals compared to the first quarter last year are up 20% with housing up 30% and total deposits up 21%. On a rolling 12-month basis we recorded increases of 23% in lending and 20% in deposits. This is a good start to what I expect will be an extremely competitive year in banking in Australia.


“Importantly, during this period we have also been able to hold margins steady.”


Mr Liddy said the branch roll-out was now moving into new States and markets.


“This week we opened our first Tasmanian branch in Launceston, and over the next two months we will open our first two branches in Adelaide and a further two in Perth, doubling our branch presence in that State,” he said.


“We are now filling the gaps in our network after opening 75 branches across the eastern states in the last two years. Our presence in New South Wales, Victoria and the ACT will also continue to grow off the good base we have now established.”


Chairman Neil Roberts told the meeting the Bank would also look to supplement this expansion through strategic acquisitions.


“Bank of Queensland will continue its policy of strong organic growth, especially outside Queensland, and will continue to look for strategic acquisitions judged to be complementary to the Bank’s business,” Mr Roberts said.


“The successful integration of Pioneer Permanent Building Society is seen by management and the Board as establishing an important option for other non-bank financial service providers if consolidation within the sector continues.”


Mr Liddy said Bank of Queensland was focused on continued growth through sector-leading organic growth and value adding acquisitions and alliances like the merger with Pioneer and the alliances with HBF and Macquarie.


“We are committed to sustaining double digit EPS growth over the next three years and continuing to reward our shareholders,” Mr Liddy said.