(Reuters) -Australian lender Westpac Banking on Thursday forecast a hit of A$173 million ($109 million) to its net profit in fiscal 2023 due to certain one-off items, including the sale of its asset management business and write-down of assets.
Among those items, it expects a loss of A$176 million related to an increase in provisions for customer refunds, repayments, associated costs and litigation. It also expects another $140 million loss related to its restructuring efforts and discontinuation of specialist businesses.
The bank is also estimating a loss of A$87 million from the write-down of assets and costs associated with the reduction of its corporate and branch footprint.
The company said notable items recorded in fiscal 2023 were, however, significantly lower than A$874 million recorded in fiscal 2022.
The net impact of these one-off items will reduce the bank’s common equity tier 1 capital ratio by 4 basis points, it added.
Westpac’s full-year results are scheduled to be released on Nov. 6. It reported a net profit attributable of A$5.69 billion in fiscal 2022.
($1 = 1.5855 Australian dollars)
(Reporting by Roushni Nair in Bengaluru; Editing by Shailesh Kuber and Anil D’Silva)
