ANZ New Zealand is the latest bank to experience a jump in profit, boosted by a drop in bad debts.
The Australian-owned bank made $1.1 billion in the year to September, an increase of 25% compared with the previous year. It is New Zealand's largest lender.
ANZ says the improved result is mainly due to a fall in the amount of money set aside to cover potentially bad debts, which fell by more than half to $187 million.
Income rose 7% to $3.2 billion, due to more people moving from fixed to higher-margin floating mortgage rates, though growth slowed in the second half of the year.
But lending volumes edged down 2% to $89 million led by its commercial arm, the third successive year of modest declines.
Deposits rose 4% to $50 billion, though margins fell as it battled its rivals to attract savers.
The bank also took a one-off charge of $111 million from moving to a single core banking computer system to cover its ANZ and National retail arms.
Overall, the ANZ Group's profit rose by 19% to $A5.3 billion because of a drop in bad debts.
On Wednesday, Westpac reported its annual cash earnings had risen by 41% to $454 million.
BNZ said last week its full year cash earnings rose by 19% to $612 million.