Reserve Bank of Australia Annual Report – 1980 Financial Statements Aggregate Operating Earnings (and Net Profits)

Notes to and forming part of the Financial Statements - 30 June 1980

Note 1 Aggregate operating earnings (and net profits)

Aggregate operating earnings in 1979/80 were $274.1 million, some $56.2 million higher than in 1978/79. Details of operating earnings are:

	1979/80 $'000	1978/79 $'000		1979/80 $'000	1978/79 $'000
Interest paid/accrued on deposit liabilities	133,423	174,356	Net earnings on overseas investments	121,181	97,100
Other expenses^*	77,262	66,944	Interest received/accrued on Australian government securities	305,683	281,424
			Interest received/accrued on loans, advances, etc.	56,370	67,953
Operating earnings	274,081	217,895	Other income	1,532	12,718
	484,766	459,195		484,766	459,195
			Operating earnings	274,081	217,895
Amounts written off premises	1,200	1,177
Transfer to Reserves for contingencies and general purposes	21,894	2,306
Net profits	250,987	214,412
	274,081	217,895		274,081	217,895
*Includes staff costs of $57.3 million ($51.0 million in 1978/79)

Net valuation deficit arising from fluctuations in exchange rates (see Note 6) was not included in the above figures but taken to Reserves for contingencies and general purposes (see Note 5). The gain from changes in the market value of gold and dealing gains/losses in Commonwealth government securities were also taken direct to Reserves for contingencies and general purposes.