CommerzBank flags items affecting half year financial reporting

Commonwealth Bank of Australia on Tuesday identified items that will affect its financial reporting for the first half of financial year 2026.

The Sydney-based bank said it recognised a AUD68 million, approximately USD47.4 million, pretax provision in the operating expenses in the six months ended December 31, linked to an additional goodwill payment to certain customers following the Australian Securities and Investments Commission's Better Banking review.

In its operating income, it recognised AUD53 million pretax in non‑recurring items, comprising a milestone payment from the previously announced sale of Commonwealth Insurance and a fair value gain on the bank's investment in Gemini after its initial public offering.

The bank also said ongoing customer re‑segmentation has resulted in changes to comparative financial information.

CommBank notes that while the adjustments do not affect group cash net profit after tax, it alters the presentation of divisional income statements, balance sheets and financial metrics.

These changes include the reclassification of customers across Retail Banking Services, Business Banking and Institutional Banking & Markets, as well as refinements to the allocation of capital and support unit costs.

CommBank is set to announce its half-year results on February 11.