SYDNEY--Westpac Banking Corp. said its annual net profit fell by 3%, but signaled hopes that demand for housing and business credit will rise in 2025 as Australia's central bank joins global counterparts in cutting interest rates.

Westpac reported a net profit of 6.99 billion Australian dollars (US$4.59 billion) in the 12 months through September while revenue was broadly flat at A$21.59 billion.

Directors of the company declared a final dividend of 76 Australian cents a share, bringing the total ordinary payout for the fiscal year to A$1.51/share. Chief Executive Peter King said that was toward the upper end of Westpac's payout range.

"Westpac's capital position is one of the strongest I've seen, allowing us to further increase the share buyback program by A$1 billion," said King, who is stepping down as CEO after five years in the role.