SYDNEY, AAP – Australia and New Zealand Banking Group has reported a massive lift in full-year profit, on the back of a strong lending market and customer deposit growth.

The country’s third-largest bank delivered a bottom line net profit of $6.162 billion for fiscal 2021, up 72 per cent from a year ago.

Cash profit from continuing operations, a preferred measure of profitability, was $6.198 billion after tax – up 65 per cent.

The result was backed by retail and commercial lending growth and higher customer deposits, which delivered a “good” margin performance for the Australian division.

“Home lending revenue growth was in the low double digits,” CEO Shayne Elliott said on Thursday.

“However, second half volumes were impacted by a competitive refinancing market, customers paying down their loans faster and processing issues.”

Against the backdrop of the COVID-19 pandemic, ANZ said the outlook remains “somewhat uncertain”.

“We have more than $4 billion of credit reserves should conditions deteriorate,” Mr Elliott said.

ANZ will pay a final dividend of 72 cents per share, taking the total for the year to $1.42, up from 82 cents a year ago.