Revenue growth subdued across the board

Revenue growth subdued across the board. Across the board revenue growth was subdued. In general insurance, premiums in both commercial and personal lines are under pressure, volumes are also soft as challenger brands gain traction. In retail banking margins are under pressure due to elevated levels of mortgage competition. Capital requirements are increasing for the major banks with CBA issuing shares for its DRP rather than neutralising it as it has previously. Capital management was also a key focus and rewarded. In Resources, results were generally better than lowered expectations. These companies are under significant pressure with lower commodity prices and are cutting costs more aggressively than anticipated. Companies such as RIO Tinto and Independence Group who lowered investment targets to support cash flow were rewarded.