AmBank posts resilient 1Q on higher net interest income


AmBank group CEO Jamie Ling

KUALA LUMPUR: AMMB Holdings Bhd (AmBank) wrapped the first quarter of its 2027 financial year (FY27) with improved earnings and revenue, underpinned by an increase in customer loans.

Highlighting the resilient start to the year, group CEO Jamie Ling said the bank's strong capital position and ample liquidity provide a strong foundation to support its customers.

"We are focused on delivering our

plans in the quarters ahead," he added.

 

In the first quarter ended June 30, 2026 (1QFY27), the group's net profit rose to RM520.23mil from RM516.18mil in the year-ago quarter on the back of higher net income of RM1.33bil, as compared to RM1.29bil in comparative quarter in 2025.

Earnings per share rose to 15.73 sen against 15.64 sen in the previous corresponding quarter.

During the quarter, net interest income grew 4.3% year-on-year (y-o-y) to RM964.7mil on the back of strong loan growth. Net interest margin moderated to 1.93% on lower asset yield from 2.01% in 1QFY26, due to the reduction in the overnight policy rate last year.

This offset the 0.9% y-o-y decline in non-interest income to RM362.8mil due to lower securities trading gains from Group Treasury and Markets and lower insurance business income, partially offset by higher wealth management income.

Overall expenses increased 2.1% y-o-y to RM575.5mil due mainly to higher personnel costs, computerisation costs and amortisation of software costs. However, cost-to-income ratio improved to 43.4% from 43.7% in 1QFY26, due to cost optimisation efforts.

Year-to-date, total gross loans, advancing and financing rose 0.8% to RM147.8bil, driven by growth in business bnaking and retail banking, while wholesale banking remained broadly stable.

The bank's customer deposits were 2% lower year-to-date to RM144.1bil while current account savings account (Casa) declined 10% to RM46.9bil.

 

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AMMB , AmBank , finance , loan , deposit

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