TABUNG HAJI POSTS RM440M Q1 PROFIT
Sustainable performance a result of successful restructuring exercise
LEMBAGA Tabung Haji (TH) posted a net profit of RM440 million in the first quarter ended March 31, on the back of RM622 million revenue.
The sustainable performance was the result of the successful completion of its restructuring and rehabilitation exercise implemented in December last year, said TH in a statement yesterday.
After a challenging 2018, TH’s financial position had strengthened in the first quarter, with total assets exceeding total liabilities of RM1.2 billion, supported by improved portfolio investment performance.
With the positive numbers, TH expects revenue to continue increasing from the second quarter with the issuance of sukuk by Urusharta Jamaah Sdn Bhd (UJSB), a special purpose vehicle set up by the Finance Ministry.
The sukuk is expected to provide
a return of almost RM800 million a year.
UJSB was set up to take over RM19.9 billion worth of underperforming properties and equities from TH, with 80 per cent of the assets transferred in the form of equities and the rest in properties.
TH also said more than 91,000 new savings accounts were opened in the first quarter, bringing the total number of depositors to 9.3 million.
“As an institution that helps Muslims save for their haj, the fund management operations remained smooth without any interruption during the quarter.
“TH recorded new savings of RM4.3 billion, while withdrawals accounted for RM4.6 billion,” said the pilgrimage fund.
For the haj season this year, TH has made some extensive preparations to ensure quality services for all pilgrims.
The initiatives to be taken include improving the pre-departure process in the country, shortening the waiting period at the Jeddah and Madinah haj terminals and providing more airconditioned tents in Arafah to provide comfort and deter health-related risks due to the hot weather.
The first haj flight this year is scheduled to depart on July 4 while the last flight will be on August 4.