CIMB Niaga Q1 net profit 7.6% higher


In a statement, CIMB Niaga president director Tigor M Siahaan(pic) said the group’s operating income grew 1.1% y-o-y, thanks to a stronger contribution from NOII. Provisions were 16.2% y-o-y lower, reflecting the gradual improvement in the economic environment, he added.

In a statement, CIMB Niaga president director Tigor M Siahaan(pic) said the group’s operating income grew 1.1% y-o-y, thanks to a stronger contribution from NOII. Provisions were 16.2% y-o-y lower, reflecting the gradual improvement in the economic environment, he added.

PETALING JAYA: PT Bank CIMB Niaga Tbk’s (CIMB Niaga) net profit grew 7.6% year-on-year (y-o-y) to 944 billion rupiah (RM274.9mil) for the first quarter ended March 31, 2019, on higher non-interest income (NOII) and improvement in credit charges.

The Indonesian banking unit of CIMB Group Holdings Bhd announced in a statement yesterday that the result translated to an earnings per share of 37.87 rupiah.

During the quarter in review, CIMB Niaga saw its NOII increase 4% y-o-y to 1.03 trillion rupiah, while its credit charges improved 19 basis points (bps) from 1.79% to 1.60%.

The bank noted that its loan loss coverage (LLC) remained comfortable at 113.8%.

In a statement, CIMB Niaga president director Tigor M Siahaan said the group’s operating income grew 1.1% y-o-y, thanks to a stronger contribution from NOII. Provisions were 16.2% y-o-y lower, reflecting the gradual improvement in the economic environment, he added.

“Our strategy to focus on the mortgage and small medium enterprise segments continued to gain traction, as both segments grew 13.1% and 8.1% y-o-y, respectively. Our corporate and commercial loans cumulatively grew 5.1% y-o-y, resulting in a total loan growth of 5% y-o-y to 187.99 trillion rupiah,” Tigor said.

CIMB Niaga’s total third-party deposits stood at 190.56 trillion rupiah, with the CASA ratio at 53.7%. Its savings account grew 2.8% y-o-y. Its capital adequacy ratio stood at 20.37% as at end-March 2019, representing a 124bps increase from the previous year.

In the syariah banking segment, CIMB Niaga’s Islamic business unit’s total financing stood at 28.04 trillion rupiah, up 61.1% y-o-y, with third-party deposits of 26.52 trillion rupiah, up 51% y-o-y, as at March 31, 2019.

Meanwhile, Tigor said the group’s shareholders had approved a cash dividend payout of a maximum of 20%, or no greater than 696.5 billion rupiah, from CIMB Niaga’s 2018 net profit. He said the cash dividend would be paid on May 15.

Corporate News , Banking