KUALA LUMPUR: The outlook for the banking sector remains positive, "supported by ample liquidity and healthy capital buffers", while growth prospects remained intact, said Public Bank Bhd
managing director and CEO Tan Sri Tay Ah Lek.
Announcing the results of the bank's 2025 financial year, Tay reported an improved fourth-quarter net profit of RM1.88bil, against RM1.8bil in the year-ago quarter.
Quarterly revenue was also higher at RM7.42bil as compared to RM7.06bil in the comparative quarter. Earnings per share rose to 9.72 sen from 9.29 sen previously.
The bank said in a stock exchange filing the improved profit was mainly due to the one-off goodwill impairment charge of RM473.8mil recognised for the group's Hong Kong operations in 4Q24.
The current-quarter performance also benefited from the consolidation of full quarter results of LPI Capital Bhd as compared to only one-month results in the previous-year quarter.
Over the 12-month period, the bank's net profit was RM7.22bil, up from RM7.15bil in FY24, while revenue climbed to RM29.51bil from RM27.21bil in the previous year.
The board of directors declared an interim dividend of 12 sen per share, which brought the bank's total payout in FY25 to 22.5 sen a share, up from 21 sen a share in FY24. The dividend is scheduled for payment on March 26, 2026, with an entitlement date on March 12, 2026.
"Amid a dynamic business environment, the group remained focused on its core financing and deposit businesses, while enhancing its comprehensive range of wealth management solutions to meet evolving customer demand," said Tay.
He added the acquisition of the 44.15% stake in LPI Capital Group further strengthened the group’s income stream and contributed to its profitability.
On non-interest and non-financing income, Public Bank reported growth of 15.2% to RM3.39bil in 2025, due mainly to its unit trust business and investment income, as well as general insurance income from LPI Capital.
Wholly-owned unit trust firm Public Mutual contributed a pre-tax profit of RM850.6mil, representing 8.9% of group pre-tax profit, in 2025.The net asset value of funds under management further increased to RM106.3bil, with 185 unit trust funds being managed.
Meanwhile, net interest and financing income rose 2.1%
In overseas operations, the group recorded a pre-tax profit of RM452.7mil in 2025, bouncing back from a pre-tax loss of RM130.8mil in 2024.
The group's lending portfolio increased 5.1% to RM445.8bil. The domestic loan portfolios grew 5.9% to RM421bil, driven mainly by the retail and SME segments.
Public Bank's total customer deposits stood at RM447.1bil as at end-Dec 2025, which was an increase of 3.2% from 2024.
