Sydney, Feb 15, 2026, 17:09 AEDT — The session wrapped up for the day.
- Westpac ended the session at A$40.52, off 1.2%. The stock earlier hit a record high at A$42.13.
- The first-quarter update put profit at A$1.9 billion. Loan and deposit growth held up, though margins slipped once more.
- Investors are eyeing margin pressure, with Australia’s jobs figures due Feb. 19, and Westpac’s interim results set for May 5.
Westpac Banking Corp heads into Monday trading after a choppy end to last week. The stock finished Friday at A$40.52, slipping 1.2%. Earlier in the session, it tagged a new intraday high of A$42.13 before reversing. 1
This is a key shift, with heavyweight bank results steering the mood for Australia’s earnings season. Banks punch above their weight in the index. Commonwealth Bank just logged record first-half cash earnings on stronger market share, but competitive margin pressure isn’t going away. 2
Westpac posted an unaudited net profit of A$1.9 billion for the first quarter, topping analyst forecasts by roughly 5%, according to Reuters. “We are optimistic on the outlook for the economy and expect demand for both business and household credit to remain resilient,” CEO Anthony Miller said. 3
Westpac reported A$12 billion in fresh deposits and A$22 billion in new loans for the quarter. Institutional lending climbed 7%. The core net interest margin edged down 3 basis points to 1.79%. CET1 capital ratio landed at 12.3%. 4
Thomas Strong, an analyst at Citi, described the quarter as steady, pointing to a mix of earnings momentum and pressure on margins. “With costs well managed, asset quality benign and capital strong, we think the result will be well received,” he wrote in a note. 5
Still, risks linger. Ongoing battles for loans and deposits continue to pressure margins, while a shift in arrears would push banks to raise provisions, putting the brakes on earnings growth.
Traders are watching Feb. 19, when the Australian Bureau of Statistics will publish January labour force figures. Bank stocks often move with changing rate bets and signals about household cash flow from the jobs market. 6
Inflation isn’t far off either. The ABS will release January’s consumer price figures on Feb. 25—a number that could rapidly shift expectations for where interest rates are headed next. 7
The Reserve Bank of Australia lines up its next monetary policy meeting for March 16–17, setting the stage for the latest decision on rates that go straight into bank funding costs and margins. 8
Westpac’s next key update lands May 5, when it releases interim results and announces its dividend for the half-year through March 31. That will show if tighter cost management and loan growth are still enough to counter sliding margins. 9
