KUALA LUMPUR: Alliance Bank Malaysia Bhd
has posted a higher net profit of RM189.9mil in the second quarter ended Sept 30, 2024 (2Q24) compared to RM185.33mil in the same period last year.
In a filing with Bursa Malaysia yesterday, it said revenue improved to RM605.65mil from RM528.10mil.
For the first six months of its financial year ending March 31, 2025 (6M25), its net profit grew to RM366.56mil compared to RM335.87mil a year ago, while revenue rose to RM1.15bil versus RM994.36mil previously.
“The performance was mainly driven by a 15% growth in net interest income to RM955.9mil, attributable to higher loan volumes, with a net interest margin of 2.47%.
“Non-interest income increased 16.1% to RM189.5mil, led by gains in wealth management income, foreign exchange sales, trade fees, and treasury and investment income,” it said.
Meanwhile, Alliance Bank said loans continued to grow at 14.8% year-on-year (y-o-y) to RM59.1bil, with all business segments recording double-digit y-o-y growth.
Small and medium enterprises loans were up 16.4%, commercial loans (16.2%), consumer loans (14.3%) and corporate loans (11.6%).
“Customer deposits expanded 13.8% y-o-y, supporting Alliance Bank’s healthy funding base, while the total current account saving account ratio remains one of the industry’s highest at 40.9%,” it said.
The bank also declared a first single-tier interim dividend of 9.50 sen per share for the March 31, 2025, financial year.
The dividend will be paid on Dec 30 2024, based on the dividend entitlement date set for Dec 13, 2024.
On prospects, the group anticipated that Malaysia’s economic advancement would be bolstered by sustained domestic demand, propelled by ongoing enhancements in labour market conditions and renewed governmental efforts to stimulate growth.
However, the group is cognisant of the uneven nature of the overall recovery, with certain sectors experiencing continued strain. It is maintaining a cautious stance on potential downside risks to growth stemming from external uncertainties, such as escalating geopolitical tensions.
“The group aims to continue its loan growth momentum in FY25 with strong integrated risk management practices while strengthening its funding base.
“In addition, the group will continue to invest in upgrading its information technology infrastructure and digital capabilities to enable innovative propositions for its clients,” it said. — Bernama
