Australia's Commonwealth Bank posts 8 pct half-year profit rise

Australia's Commonwealth Bank on Wednesday posted an 8 percent rise in its half-year net profit to 4.62 billion Australian dollars (3.6 billion U.S. dollars) as the country's biggest leader recorded solid revenue growth.

Its improved profit, which excluded one-time items and for the six months ended Dec.31 was boosted by a 5 percent revenue increase even though lending market conditions were subdued.

The Sydney-based bank also said it had lowered its cost to income ratio by 70 basis points to 42.2 percent through improved cost and productivity programs.

"The group's revenue momentum has continued, while our focus on productivity has delivered a further 300 million Australian dollars of cost savings over the last 12 months," Commonwealth Bank of Australia chief executive Ian Narev said in a statement.

"We have also maintained the strength of the group's balance sheet in terms of capital, liquidity, deposit funding and provisioning."

The figures indicated depositors had lost out with smaller interest rates, below what borrowers saved with their lower market rates. Endi