The Commonwealth Bank has posted $1.75 billion in earnings in the March 2012 quarter, up from $1.7 billion this time last year.

 

 Notwithstanding subdued credit demand and growing funding costs, the bank has shrunk its expenditure on bad debt by an estimated $60 million.

 

Despite the strong results, CEO Ian Narev urged caution in the face of growing global financial uncertainty.

 

“Consistent with the uncertain outlook that we indicated at the Group’s half year results in February, we have retained our conservative business settings, including tight expense control, a conservative funding profile and strong provision levels,” CBA CEO Ian Narev said.

 

“The financial strength of the Group continues to enable us to take a long term view of the business, with a focus on enhancing our core capabilities of technology, a customer-focused culture and balance sheet strength to drive customer satisfaction and good returns to our shareholders,” Mr Narev concluded.