Revenue for the year was $1.78 billion, up from $1.68 billion in the previous year. Lending growth remained modest due to the subdued housing market and weak demand for business credit.
But BNZ said it had grown lending market share in key segments in the past year, its share of business lending going from 25.8 per cent to 26.5 per cent.
Thorburn said customers were continuing to pay off debt.
"While deleveraging is still a trend, we're seeing real strength in some corporate balance sheets, and well-structured companies are taking advantage of sustained demand for New Zealand commodities," he said.
"While we're seeing a local economy struggling to gain growth momentum, we remain optimistic about the long-term economic outlook with favourable stimulus to come from the eventual Christchurch rebuild, solid export volumes and continued global demand for our commodities."
Thorburn told a news conference lending growth was subdued over the year. "Borrowing has been somewhat cautious, businesses wanting to repay debt and get themselves into a strong cashflow position.
"I think a little more confidence is warranted, because balance sheets are in pretty good shape," he said.
Similarly, households were more prudent and disciplined, people saving more.
The year had seen a continuing trend away from fixed rates to floating rates, about 60 per cent of BNZ's mortgage book now on floating rates.
Yesterday, the Reserve Bank kept the official cash rate at 2.5 per cent but Thorburn expected rates to rise, based on an increased cost of funding.
Europe's sovereign debt problems would pose big questions for the global economy, he said. But domestically there was cause for confidence in the country's ability to trade its way through.
Meanwhile, parent company National Australia Bank said its group cash earnings increased by 19.2 per cent to A$5.5 billion ($7.16 billion), driven by revenue momentum in business and personal banking and improvement in specialised group assets.APNZ
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