AmBank aims for double-digit growth
KUALA LUMPUR: AMMB Holdings Bhd (AmBank) is anticipating more opportunities to be created by the new government.
“We believe there are opportunities as we focus more on midsized corporations and small and medium enterprises (SMEs).
“We are aiming for double-digit growth for these segments,” said AmBank group chief executive officer Datuk Sulaiman Mohd Tahir at a briefing, here, yesterday.
Sulaiman said AmBank would be vigilant in certain investment portfolios following policy changes on government guaranteed loans.
AmBank’s net profit in the financial year ended March 31 fell 14.4 per cent to RM1.13 billion, from RM1.32 billion in the same period a year ago, mainly due to higher operating expenses, particularly its mutual separation scheme exercise.
Full-year revenue rose 3.5 per cent to RM8.58 billion from RM8.29 billion attributed to higher interest on fixed income securities and customer lending.
Looking at some of the recent measures announced by the new government, he said consumer spending and retail business would benefit the most, and this could lead to a pick-up in the bank’s credit card and mortgages portfolios.
“Removal of the Goods and Services Tax and tolls will benefit consumers.
“Hopefully, it will translate into multiplier effect for retail business to pick up.”
He said AmBank would remain focused on reducing its operational cost moving forward.
“If there are potential assets (to sell) within the bank, we will review it. We also intend to restructure our group.”
Meanwhile, Sulaiman said the banking group had yet to be approached by the 1Malaysia Development Bhd task force.
“As far as we are concerned, we are fully cooperative like we have been in the last two years. We have been an open book (and) met with all the regulators.
“If they approach us, we have no issue. Let the authorities conduct their investigations,” he added.