Hong Leong Bank 1H net profit up 4.7 pct to RM2.11 bln, declares 25 sen dividend

KUALA LUMPUR: Hong Leong Bank Bhd’s net profit for the first half of its financial year ending June 30, 2024, (1H FY2024) rose 4.7 per cent to RM2.11 billion versus RM2.02 billion registered 1H FY2023, amid strong loans/ financing expansion, improved non-interest income and robust contributions from associates.

Revenue for the first six months ended Dec 31, 2023, stood at RM2.85 billion as compared with RM2.98 billion before, it said in a filing with Bursa Malaysia.

Gross loans and financing maintained its strong growth trajectory, expanding 7.5 per cent year-on-year (y-o-y) to RM185.2 billion, while asset quality remained solid with a Gross Impaired Loan ratio of 0.56 per cent and prudent Loan Impairment Coverage ratio of 163.4 per cent, it said in a separate statement yesterday.

For the second quarter of FY2024, net profit was higher at RM1.08 billion from the RM1.04 billion it posted in the same quarter previously. Revenue slipped to RM1.46 billion against RM1.48 billion previously.

Group managing director and chief executive officer Kevin Lam said the bank stands firm in its brand promise of “Built Around You” by delivering innovative and customercentric banking solutions to its customers while pursuing opportunities where we can deliver business growth and drive franchise value.

“To make this possible, it remains crucial for us to build world-class digital capabilities and continue to support and enable our employees to develop to their greatest potential.”

The board has declared an interim dividend of 25.0 sen per share for 1H FY2024.