Affin Bank posts 57% jump in Q1 net profit

PETALING JAYA: Affin Bank Bhd reported a 56.8% jump in net profit to RM141.47 million for the first quarter ended March 31, 2018 against RM90.23 million in the previous corresponding period, underpinned by the increase in net fee and commission income, net gain on financial instruments, Islamic banking income and net interest income.

In addition, there was a write-back of credit impairment losses of RM15.7 million compared with a charge of RM6.7 million in the previous year.

Revenue expanded 48% to RM476.62 million from RM322.03 million for the quarter under review.

Affin Bank said for commercial banking, competition and challenges for the retail market and fixed deposits will stir up in the remaining period of the year due to the changes in the financial environment, financial reforms not only from the existing players but also from the non-financial services competitors.

“The bank is expected to maintain its market position by focusing on opportunities in the retail, small and medium enterprises, corporates as well as transactional banking segment.”

On the investment banking side, Affin Bank said it will continue with its efforts to expand its present market leading positions in the securities and asset management businesses.

“The increasing domestic equity capital markets and mergers and acquisition activities in 2017 are expected to continue into 2018 and this will augur well for the investment banking business of the group.”

On Bursa Malaysia yesterday, Afffin Bank closed 1 sen or 0.4% higher at RM2.46 on volume of 414,200 shares.