ASB's full-year profit has dipped slightly due to litigation costs, but home and commercial lending increased.Financial results for the year ended June versus the year before.Cash net profit after tax: NZ$1.318 billion, down 2%Net interest income: NZ$3.14 billion, up 8%Total operating income: NZ$3.55 billion, up 6%Operating expenses: NZ$1.65 billion, up 16%Home lending: NZ$84.5 billion, up 6%Business and rural lending: NZ$36.2 billion, up 6%ASB has reported a full-year profit of NZ$1.3 billion, down 2 percent on the previous year due to higher operating costs, including a $135 million class action settlement.ASB, which is owned by the Commonwealth Bank of Australia, is the first of the big four Australian-owned banks to report its New Zealand result.Operating costs were up 16 percent to NZ$1.65b.ASB said this was due to higher staff costs, the class action settlement, spending on technology, and increased provisions for bad debts, which rose 30 percent to NZ$78m.Its net interest margin increased by three basis points to 2.3 percent.Home lending rose 6 percent to $84.5b, while business and rural lending increased 6 percent to $36.2b.Commenting on the result, ASB chief executive Vittoria Shortt said it had been a challenging year given the economic disruption caused by the conflict in the Middle East and rising inflation."The economic recovery has been very stop-start. Although we had momentum at the beginning of the financial year, it's been a very different second half."The conflict in the Middle East and subsequent global oil price shock have caused significant disruption, changing the inflation outlook and pushing interest rates up faster than anticipated."However, Shortt said ASB customers had weathered the storm well, with fewer households experiencing difficulties repaying loans."While we expect economic momentum to return in the coming months, uncertainty remains the new norm and we're cognisant that many New Zealanders will continue to face cost pressures."We're working closely with customers and are ready to support New Zealand as it puts its foot back on the pedal in FY27."