May­bank In­done­sia earn­ings up on loan growth

The Star Malaysia - StarBiz - - News -

PE­TAL­ING JAYA: PT Bank May­bank In­done­sia Tbk has recorded a net profit af­ter tax and mi­nor­ity in­ter­est of 1.4 tril­lion ru­piah (RM436.76mil) for the first nine months of fi­nan­cial year 2017 (FY17) to end-Septem­ber, a 12% in­crease from 1.3 tril­lion ru­piah from the year-ago pe­riod.

The bank’s pre-tax profit rose 14% to two tril­lion ru­piah in the pe­riod un­der re­view.

Ac­cord­ing to the bank, the im­proved per­for­mance was mainly due to loan growth, par­tic­u­larly in global bank­ing, ef­fec­tive cost-man­age­ment con­trol and its achieve­ments in syariah bank­ing.

Loan growth in­creased 4.6% to 121.8 tril­lion ru­piah from a year ago, while global bank­ing loans saw more ro­bust growth of 29% to 28.2 tril­lion ru­piah on the back of in­fras­truc­ture fi­nanc­ing in line with the In­done­sian govern­ment’s ini­tia­tives.

Com­mu­nity fi­nan­cial ser­vices (CFS) non-re­tail loans – com­pris­ing of mi­cro, SME and busi­ness bank­ing – grew 3.4% to 51.4 tril­lion ru­piah, while CFS re­tail loans con­tracted 6% to 42.2 tril­lion ru­piah due to slower growth in the con­sumer sec­tor.

The bank saw an in­crease in cus­tomer de­posits from 115.6 tril­lion ru­piah in the 2016 pe­riod to 119.1 tril­lion ru­piah in the nine-month pe­riod, with its cur­rent ac­count, sav­ings ac­count or CASA ra­tio reach­ing 38% due to a fo­cus on cash man­age­ment.

Its cur­rent ac­count in­creased 10.2% in the first nine months of FY17 to 20.8 tril­lion ru­piah.

“The bank’s con­tin­u­ous im­prove­ment in its elec­tronic chan­nels, which in­clude its In­ter­net-based mo­bile bank­ing fa­cil­ity May­bank M2U, has also contributed to the im­proved liq­uid­ity po­si­tion,” it said.

Syariah bank­ing saw a 63.3% in­crease in net profit to 561.6 mil­lion ru­piah, with to­tal fi­nanc­ing rising 50.5% to 17.1 tril­lion ru­piah and to­tal de­posits rising 42.1% to 14.4 tril­lion ru­piah.

Its to­tal as­sets in­creased 35% to 24 tril­lion ru­piah, re­flect­ing 14.2% of the bank’s to­tal as­sets.

PT Bank May­bank In­done­sia’s sub­sidiary, PT May­bank In­done­sia Fi­nance, recorded a 30.6% in­crease in to­tal fi­nanc­ing to seven tril­lion ru­piah. Its pre-tax profit in­creased 14% to 246.9 bil­lion ru­piah.

An­other sub­sidiary, PT Wa­hana Ot­tomi­tra Mul­tiartha Tbk, recorded a pre-tax profit of 132.2 bil­lion ru­piah in the first nine months of FY17 ver­sus 72.8 bil­lion ru­piah in the pre­vi­ous cor­re­spond­ing pe­riod.

Its to­tal fi­nanc­ing port­fo­lio rose to 6.1 tril­lion ru­piah from 5.7 tril­lion ru­piah.

“With the growth mo­men­tum in our global bank­ing busi­ness, we look for­ward to con­tinue reap­ing more ben­e­fits from this im­proved seg­ment.

“We will also seize op­por­tu­ni­ties to ex­pand our CFS non-re­tail seg­ment in the com­ing quar­ters,” said Taswin Zakaria, pres­i­dent di­rec­tor of PT Bank May­bank In­done­sia, in a state­ment.

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