RHB group managing director and CEO Datuk Mohd Rashid Mohamad
KUALA LUMPUR: Steady loans growth and higher net fund-based income underpinned RHB Bank
Bhd's earnings expansion the first half of 2025, the bank said in its results announcement today.
Total income expanded marginally at RM4.2bil during the six-month period, mainly from higher net fund-based income but was partially offset by contraction in non-fund based income.
On a quarterly basis, the bank reported a second quarter net profit of RM803.5mil, up from RM722.31mil in the year-ago quarter, which translated to a higher earnings per share of 18.43 sen as compared to 16.71 sen previously.
Quarterly revenue came to RM4.5bil, up from RM4.42bil in the comparative quarter.
Cumulatively, the bank posted a six-month net profit of RM1.55bil, against RM1.45bil in the year-ago period, while revenue rose to RM8.89bil from RM8.82bil in the same period in 2024.
Pursuant to the results, the board declared an interim dividend of 15 sen per share.
During this period, RHB's net fund-based income increased 5.3% year-on-year (y-o-y) to RM3bil as gross loans grew 5.9% y-o-y. Net interest margin with liability management was 1.88%.
The improved net fund-based income offset a 10.8% y-o-y decline in non-fund based income, which came in at RM1.2bil. The bank said the lower non-interest income was owing to lower net gain on forex and derivatives, as well as brokerage income.
The bank reported operating expenses rose 2.1% y-o-y to RM2bil. The cost-to-income ratio stood at 47.3%.
"The first half of 2025 was marked by global uncertainties and industry headwinds.
"Despite this, RHB remained resilient in delivering performance with sustained growth, lower ECL, and disciplined cost management. Our domestic loan growth tracked well with the industry, supported by sound asset quality.
"These results underscore our strength and position us well to capture new growth avenues in the months ahead," said group managing director and group CEO Datuk Mohd Rashid Mohamad in a statement.
