KUALA LUMPUR: Public Bank stayed on a growth path, underpinned mostly by higher non-interest income in the first nine months of 2023.
In the third quarter of 2023 (3QFY23), the banking group said net profit was RM1.7bil, up from RM1.59bil in the same 2022 quarter, as basic earnings per share grew to 8.76 sen from 8.19 sen previously.
The group reported revenue of RM6.48bil, an increase from RM5.5bil in 3QFY22.
This brought the group's nine months net profit to RM5.03bil, up from RM4.41bil in 9MFY22, while revenue rose to RM18.87bil from RM15.36bil in the comparative period.
In 9MFY23, the group's net interest income was up 0.7% while non-interest income rose 3.4% as compared with the corresponding period in 2022.
It said it maintained prudent cost management and sustained an efficient cost-to-income ratio of 33.7% during the nine months period.
During the period, Public Bank's total loans increased at an annualised growth rate of 5.9% to RM393.6bil.
The group's domestic loan portfolio recorded an annualised growth rate of 5.7%, driven by residential properties financing, hire purchase financing and SME financing.
Total customer deposits grew at an annualised rate of 4.7% to RM408.6bil, with domestic deposits rising 4.6% on an annualised basis to RM379.7bil.
The group's non-interest income rose 3.4% to RM1.87bil in the nine months period, mainly owing to its foreign exchange and stockbroking businesses.
Its unit trust fund management unit, Public Mutual recorded pre-tax profit growth of 2.1% year-on-year to RM592.8mil.
In his outlook, managing director and CEO Tan Sri Tay Ah Lek said there is continued financing demand for property and car ownership as well as SME businesses.
"The group also sees emerging opportunities from the development in the ESG landscape and digital transformation.
"With effective implementation, the recent New Industrial Master Plan 2030 and Mid Term Review of the 12th Malaysian Plan are expected to further strengthen the country’s growth prospects," he said in a statement.