KUALA LUMPUR: Public Bank Bhd
recorded a decrease net profit of RM1.4bil in the primary quarter ended March 31, 2022, an 8.6% lower from RM1.53bil in the identical quarter final yr, primarily owing to the imposition of the one-off prosperity tax launched by the federal government for 2022.
Pre-tax profit for the quarter nonetheless was up 0.1% year-on-year (y-o-y) to RM2bil.
In 1QFY22, income got here to RM4.89bil, a 2.84% lower from the earlier corresponding quarter
“Overall, the working surroundings nonetheless stays extremely difficult. However, the Public Bank Group’s sound fundamentals, coupled with its strategic vigilance and agility, continued to allow the Group to maintain monetary resilience.
“In the primary quarter of 2022, the Public Bank Group continued to maintain a resilient net return-on-equity of 11.8% and environment friendly cost-to-income ratio of 33.2%,” stated Public Bank founder and chairman emeritus Tan Sri Teh Hong Piow in a press release.
Over the quarter below evaluation, the group’s complete loans grew 5.3% y-o-y to RM362.7mil.
Domestic loans grew at a quicker tempo of 5.9% to RM339.6bil in the again of financing for residential properties and rent buy financing.
Total loans authorised rose by 14% in the primary quarter of 2022, as in contrast with the corresponding interval in 2021.
As on the finish of March 2022, the group sustained its main place in the residential properties, industrial properties and rent buy financing with market share of 20.5%, 34% and 30.4% respectively.
In phrases of funding, the group’s complete buyer deposits recorded an annualised progress of 4.6% to RM384.8bil.
Domestic deposits grew on the identical tempo with annualised price of 4.6% to RM356.7bil.
Financing progress remained properly supported by the group’s wholesome funding construction, as mirrored in its gross mortgage to fund and fairness ratio of 80.7% as on the finish of March 2022.
The group’s non-interest revenue nonetheless was 10.9% decrease y-o-y on account of a decline in revenue from its unit belief and stockbroking enterprise in addition to decrease funding revenue from the unfavourable market situation.
“Public Mutual recorded a pre-tax profit of RM202mil in the primary quarter of 2022, contributing 10.1% to the group’s profit.
“As on the finish of March 2022, Public Mutual continued to seize a big retail market share of 35.4%, with a complete of 177 unit belief funds and complete belongings below administration of RM99.8bil,” stated Teh.
As at end-March 2022, Public Bank’s gross impaired loans (GIL) ratio remained low at 0.3%.
Its mortgage loss protection ratio stood at 382.5% whereas its mortgage loss protection ratio inclusive of regulatory reserves was larger at 402.7%
The group’s frequent fairness Tier 1 capital ratio, Tier 1 capital ratio and complete capital ratio stood at a wholesome stage of 14.3%, 14.4% and 17.4% respectively, whereas liquidity protection ratio remained wholesome at 126.2%.
Moving ahead, Teh famous that Malaysia’s efforts to include Covid-19 will additional stimulate the financial system with the reopening of extra social and financial sectors in addition to worldwide borders.
However, he acknowledged that challenges stay together with the resurgence of Covid-19 variants and geopolitical tensions.
“After two years into the Covid-19 pandemic, the Public Bank Group’s resilience to challenges has been additional strengthened.
“Coupled with its sound fundamentals constructed over time, the Public Bank Group will stay in good stead to capitalise progress alternatives in the post-pandemic financial system going ahead.
“The Group will stay steadfast in pursuing its natural enterprise technique, enhancing value effectivity and sustaining superior asset high quality to help sustainable progress,” he stated.
