Commonwealth Bank of Australia (ASX: CBA) reported a record annual profit on Wednesday, supported by strong lending growth across its personal and corporate banking businesses. However, Australia’s largest bank warned that higher interest rates and uneven household finances could weigh on economic activity ahead. The result marks another record for the Australian banking giant, with lending activity providing a major boost to revenue. The increase reflected stronger loan volumes and the impact of higher interest rates following aggressive monetary tightening by the Reserve Bank of Australia during 2026. Despite the strong earnings performance, CBA adopted a more cautious stance on the economic outlook.