Hwang Capital’s Q4 earnings up 35%

PETALING JAYA: Hwang Capital (Malaysia) Bhd’s net profit for the fourth quarter ended July 31, 2017 rose 35% to RM9.91 million from RM7.35 million a year ago, arising from the reduction in loan loss provisioning and lower operating expenses, net of write back of expenses no longer payable in the current quarter and financial year under review.

Its revenue fell 4% to RM14.19 million compared with RM14.80 million in the previous year’s corresponding period due to reduction in interest income from moneylending activities.

For the full year period, net profit jumped 2% to RM35.79 million from RM35.02 million a year ago.

Its revenue of RM55.99 million was 11% lower than RM62.84 million recorded for the previous financial year ended July 31, 2016, primarily attributed to the moneylending and property investment segments.

“The restriction on salary deduction of government servants has been uplifted in the current quarter. Notwithstanding, the risk inherent in the moneylending business is expected to increase as observed from high household debts in the country. The group will continue to be cautious on consumer financing and focus more on its term loan business,” it said.