RHB group managing director and CEO Datuk Mohd Rashid Mohamad.
KUALA LUMPUR: RHB Bank
Bhd’s net profit surged 28.2% to RM833.2mil in the third quarter ended 30 September, compared with RM650mil in the same quarter last year.
The bank said the improved earnings was due to consistent high growth in total income, lower expected credit losses (ECL), and effective management of operating expenses.
Its revenue rose to RM4.51mil against RM4.21mil in the year-ago quarter while earnings per share climbed to 19.11 sen from 15.16 sen last year.
For the first nine months to Sep 30 (9M24), RHB recorded year-on-year (YoY) net profit growth of 2.9% to RM2.3bil while revenue grew 9.4% to RM13.3bil.
The bank’s total income rose 11.3% YoY to RM6.4bil, driven by growth in both net fund-based and non-fund-based income. The group cost-to-income ratio (CIR) improved to 46.0% from 47.1% YoY, and its return on equity (ROE) is at 9.8%.
“The group’s performance for the 9M24 highlights our commitment to delivering sustainable value through our corporate strategy, Together We Progress 2024 (TWP24),” RHB group managing director/group chief executive officer Datuk Mohd Rashid Mohamad said in a statement.
“Our consistent income growth, enhanced cost efficiency, and progress in sustainable finance reinforce our role as a strategic partner to businesses, particularly SMEs, as they navigate their transition toward low-carbon practices. By driving double-digit income growth, we are reinforcing our commitment to delivering value for our shareholders,” he said.
“As we move forward, we are harnessing advanced technology and customer-centric innovations to empower our clients - both individuals and businesses - at every stage of their financial journey. TWP24 not only strengthens our core operations but also positions RHB as a leader in driving meaningful progress across communities and industries, fostering a resilient and forward-thinking financial ecosystem,” Mohd Rashid said.
RHB’s total income grew due to a 5.2% rise in net fund-based income and a 26.4% increase in non-fund-based income, driven by higher fee income, forex and derivatives gains, trading and investment income, insurance income, and the sale of RHB Securities Vietnam.
The bank’s balance sheet remained robust, with total assets increasing by 2.8% year-to-date to RM337.9bil.
Its capital ratios stayed strong, with a Common Equity Tier-1 ratio at 16.6% and a total capital ratio of 19.3%.
“Moving forward, RHB expects continued stability in Malaysia, with GDP growth projected at 5.0% in 2025 and the overnight policy rate anticipated to remain at 3.0%. The group will stay agile in navigating the evolving landscape, leveraging digital innovation and sustainable finance to drive sustained, quality growth.”
