The banking group declared an interim single-tier dividend of 14 sen per share.
KUALA LUMPUR: BIMB Holdings Bhd
’s net profit fell 13.8% to RM139.46mil in the fourth quarter ended Dec 31, 2016 from RM161.86mil in the same period a year ago.
Its revenue for the quarter stood at RM856.8mil against RM884.25mil previously while earnings per share (EPS) stood at 8.78 sen compared with 10.50 sen in the same corresponding period last year.
BIMB said Syarikat Takaful Malaysia Bhd’s (Takaful Malaysia) profit before zakat and taxation (PBZT) of RM40.9mil was lower than the preceding quarter ended Sept 30, 2016 by RM22.9mil, or 35.9%.
It said the decrease in profit was mainly attributable to increase in management expenses, agency-related expenses and loss on liquidation of a subsidiary. The increase in management expenses and agency-related expenses have also indirectly resulted in higher expense reserves.
For the full financial year ended Dec 31, 2016 (FY16), BIMB posted a higher net profit of RM559.04mil, or 35.25 sen EPS compared with RM547.27, or 35.53 sen EPS in FY15. Its revenue for the period rose to RM3.52bil against RM3.31bil a year ago.
Bank Islam Group recorded a PBZT of RM720.4mil for the twelve months period ended Dec 31, 2016. In FY16, customer deposits and investment accounts stood at RM45.9bil and RM3.8bil with a year-on-year increase by RM2.4bil and RM3.1bil respectively.
The low cost current and savings accounts (CASA) reported a year-on-year decrease of RM1.1bil or 7.4%. However, the transactional investment accounts increased by RM1.1bil compared to the previous financial year.
The CASA ratio as at end December 2016 was 30.8%
The bank’s gross impaired financing ratio as at end of December 2016 improved to 0.98% compared to 1.09% as at end of December 2015. The net impaired financing ratio stood at a negative 0.75% as at end of December 2016.
In FY16, Takaful Malaysia’s operating revenue increased by 12.6% to RM2,013.3mil from RM1.78bil in the same period of the preceding year. The increase is mainly attributable to higher sales generated by both family Takaful and general Takaful business.
BIMB said Bank Islam’s strategic focus in 2017 revolves around continuous deposit drive and embracing digitalisation while at the same time focusing on a more balanced growth.
“The bank intends to continue to manage liquidity and deploy capital efficiently in line with the Basel III rules. Notwithstanding the need to sustain net income margin, preserving asset quality will remain an important agenda for the Bank given the cautious operating outlook,” it said.
“For the year 2017, Takaful Malaysia will continue to emphasize the four core areas of customer reach, operational agility, cost competitiveness and stakeholder confidence to increase its overall market shares and continuously improving shareholders’ value,” BIMB said.
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