PETALING JAYA: CIMB GROUP HOLDINGS BHD today said its profit before tax for the first quarter ended March 31 stood at RM714mil, down 55.5% from the pre-tax profit of RM1.6bil it made for the same period a year earlier, hit by a spike in provisions and lower non-interest income.
Its net profit was also down by over 57% to RM507.9mil from RM1.19bil last year.
Revenue for the quarter under review dropped marginally by 0.6% to RM4.14bil against RM4.17bil a year earlier.
The bank, the second largest lender in the country said in a statement that the first quarter was a challenging one.
"We foresee continued challenges for the rest of the year, " it said.
For the quarter under review, the Group’s total gross loans grew by 3.8% while total deposits were 3.9% higher mainly contributed by Singapore (+17.7%) and Thailand (+13.4%). "In tandem, the Group’s CASA ratio strengthened to 36.5%.
The group’s gross impairment ratio meanwhile stood at 3.4% as at end-March 2020, with an allowance coverage of 75.9%.
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