Commonwealth Bank of Australia (ASX:CBA) sees a rise of up to 2.9% to A$105.22, marking its most significant intraday gain since October 2022.

The bank has announced a record annual cash profit of A$10.16 billion, a 6% increase from the previous year.

Additionally, it unveiled a final dividend of A$2.40 per share, taking the total dividend to a record A$4.50 per share.

However, the bank has warned of potential headwinds affecting margins in FY24 due to stiff competition in home loans and rising costs, although these risks could be partly offset by higher interest rates.

Commonwealth Bank of Australia has sealed its place among the top five gainers in the ASX 200 benchmark index, reaching its highest level since August 2.

Citi notes that the bank has sought to portray strength and stability in its FY23 disclosures, anticipating that supportive metrics will boost the stock’s defensiveness in the current environment.

The bank’s shares are marginally down this year, as of the latest close, compared to a 0.4% rise in the ASX 200 Financials index.

Commonwealth Bank of Australia (ASX:CBA) is a leading Australian bank offering a variety of financial services, including retail, business and institutional banking, funds management, superannuation, insurance, investment, and broking services.