SYDNEY, Nov 2 (Reuters) - Westpac Banking Corp WBC.AX , Australia's No.3 lender by assets, on Monday posted a 3 percent rise in annual cash profit to a record A$7.8 billion helped by growth in mortgages.
Last month, Westpac pre-released its earnings as it raised A$3.5 billion ($2.54 billion) to meet new stricter capital rules and became the first lender to push home loan rates higher to protect profits.
Net interest income, the difference of interest earned and paid out, rose 6 percent while net interest margin, a key gauge of profitability, was flat. Loan impairment charges rose 16 percent.
Australia's four major banks are preparing for their slowest earnings growth since the global financial crisis amid record low interest rates and a cooling economy.
National Australia Bank NAB.AX and ANZ Banking Corp ANZ.AX both missed expectations when they posted record cash profits last month. Commonwealth Bank of Australia CBA.AX follows a June-ending calendar year.