Home > Archives
Friday May 13, 2011
PETALING JAYA: Malayan Banking Bhd (Maybank) posted a 10.89% rise in net profit to RM1.14bil for the third quarter ended March 31 compared to the corresponding quarter last year on growth in loans and debt securities across all business segments except the local small-medium enterprise segment.
For the quarter under review, revenue was 11.8% higher at RM5.12bil compared to a year ago.
Maybank president and chief executive officer Datuk Seri Abdul Wahid Omar said in a press release yesterday that the results were also boosted by significantly lower allowance for losses on loans which declined by almost half.
Allowance for losses on loans fell 49.8% to RM454.4mil from RM905.5mil previously.
The country’s largest financial services group by assets has a presence in 15 other countries including a 97% stake in PT Bank Internasional Indonesia and a 20% stake in Pakistan’s MCB Bank Ltd.
Wahid said “the sustained performance is a reaffirmation that we are on the right path to achieve our vision of becoming a regional financial services leader by 2015”.
He added that the all-round revenue improvement in the various business segments was encouraging while the strong deposit growth helped sustain diversity in the bank’s loan book.
“We are assured that our strategy in focusing on Islamic banking is bearing fruit given the accelerated growth and sterling results achieved in this segment. With the new Islamic banking subsidiary we have launched in Indonesia, we are optimistic that Maybank can grow its Islamic banking franchise to become a leading Islamic bank in Asean,” Wahid said.
He said shareholders’ confidence in the group’s robust capital position was demonstrated by their choosing to reinvest 91% of the recently declared interim dividends under the group’s dividend reinvestment plan.
“This will put us in good stead to tap future growth opportunities particularly those that will come as a result of the implementation of the Government’s Economic Transformation Programme,” Wahid said.
For the nine-month period, loans growth stood at 17.1% led by the Indonesian operations, which grew 26.5%, followed by Singapore (19.3%), other international operations (22.5%) and the Malaysian operations (13.8%).
For Malaysia, Islamic banking led in financing growth with an annualised increase of 31.9% followed by the global wholesale banking (17.7%) and community financial services (12%) segments.
The group also saw a 7.6% increase in net interest income to RM5.36bil despite a narrowing of the net interest margin to 2.63% as at March 2011 compared with 2.77% a year ago.
Asset quality continued to improve with net impaired loan ratio declining to 2.39% from 2.83% in June 2010 while deposit growth was sustained at 13.4% to RM260.7bil as well as asset growth of 17.3% to RM380.3bil.
Corporate banking profit before tax rose 35.1% to RM695.7mil from RM515.1mil previously.
Copyright © 1995-2013 Star Publications (M) Bhd (Co No 10894-D)