BIMB posts RM125m Q3 profit

KUALA LUMPUR: BIMB Holdings Bhd, which controls Bank Islam Malaysia Bhd, has posted a net profit of RM125.2 million in the third quarter ended September 30, up 66 per cent from RM75.4 million in the same quarter a year ago.

For the nine-month period ended September, BIMB made a consolidated profit before zakat and taxation (PBZT) of RM595.5 million, a decrease of RM3.2 million, or 0.5 per cent, compared to the previous corresponding period.

The decrease was mainly due to financing cost of the sukuk raised by BIMB to partly fund the acquisition of a 49 per cent equity interest in Bank Islam in December last year.

BIMB group managing director and chief executive officer Datuk Johan Abdullah said yesterday as a result of the acquisition, net profit attributable to the shareholders increased by RM159.2 million, or 72.7 per cent.

The earnings per share for the period under review also increased by 23.3 per cent to 25.34 sen per share.

Bank Islam recorded a PBZT of RM506.3 million for the nine months ended September, which represents an increase of 6.4 per cent compared to the previous corresponding period.

The improved performance was mainly attributed to growth in business activities.

Year-on-year net financing assets grew by RM4.8 billion, or 21.4 per cent, to RM27.4 billion as at end of September.

Correspondingly, fund-based income from financing increased by RM159.8 million, or 16 per cent.

Non-fund based income reported a 8.7 per cent growth, or RM17.5 million, mainly from foreign exchange transactions and net gain from sale of financial assets.

Customer deposits stood at RM38.1 billion, with a year-on-year increase of RM2.7 billion, or 7.6 per cent.

The bank’s key performance indicators as at end of September, compared favourably against the banking system as at end of December last year and its return on equity was 19.1 per cent against the banking system’s 15.9 per cent.

For the takaful segment, Takaful Malaysia Group recorded a PBZT of RM142.5 million, an increase of 13.5 per cent from RM125.6 million in the corresponding period last year.

The higher profit was attributable to lower management expenses, commissions and expense reserves.