B&E limits lending and lifts profit

B&E curtailed lending in the 2011 financial year but still lifted its profits, with the Launceston-based mutual cutting back lending origination of less profitable loans from mortgage brokers.

The building society said it approved A$90 million in new loans in 2011. This was about two-thirds the level approved two years before.

Net profit increased to $5.2 million in 2011 from $3.7 million in 2010. Around one-third of this profit increase arose from a revaluation of head office.

B&E has around $600million in assets.