KUALA LUMPUR: Public Bank Bhd posted a higher net profit of RM1.62 billion for the second quarter ended June 30, 2023 (2Q FY2023) compared with RM1.42 billion in 2Q FY2022.
Revenue jumped to RM6.26 billion from RM4.97 billion previously, it said in a Bursa Malaysia filing today.
For the first half ended June 30, 2023 (1H FY2023), the bank’s net profit rose to RM3.33 billion from RM2.82 billion in 1H FY2022, while revenue improved to RM12.39 billion from RM9.86 billion previously.
The bank said its performance in 1H FY2023 was mainly driven by continued healthy loans and deposit growth, prudent cost management as well as stable asset quality.
The bank said in a release that its net interest income increased by 3.4 per cent year-on-year (y-o-y) in 1H, mainly led by its loans and deposits businesses which expanded at an annualised growth rate of 5.4 per cent and 6.0 per cent, respectively.
Non-interest income grew by 5.4 per cent, on the back of higher income from foreign exchange and stock-broking businesses.
The group sustained an efficient cost-to-income ratio of 33.7 per cent in the 1H FY2023, underpinned by prudent cost management with operating expenses increasing by 3.5 per cent versus the corresponding period in 2022.
Asset quality remained stable with a gross impaired loans ratio of 0.55 per cent, loan impairment allowances were lower by 85.7 per cent, while its loan loss coverage ratio stood at a prudent level of 199.1 per cent at the end of June 2023.
The board declared a first interim dividend of 9.0 sen per share, which brings the total dividend payout to RM1.75 billion, or 52.4 per cent of the group’s 1H FY2023 net profit, payable on Sept 22, 2023. Ex-date is Sept 14, 2023.
Managing director and chief executive officer Tan Sri Tay Ah Lek said the banking sector’s prospect remains positive with the continued expansion of the Malaysian economy.
“There are growing opportunities arising from the increasing demand for digital banking and environmental, social and governance products.
“The group will remain vigilant to prevailing downside risks while staying agile in onboarding viable business opportunities,” he said.– BERNAMA
