PUBLIC BANK 3Q NET PROFIT RISES TO RM1.91 BLN

KUALA LUMPUR, Nov 29 (Bernama) -- Public Bank Bhd’s net profit for the third quarter (3Q) of financial year 2024 improved to RM1.91 billion from RM1.70 billion last year from healthy loans and customer deposits growth.

It said in a Bursa Malaysia filing today that net profit attributable to equity holders improved by RM211.2 million or +12.4 per cent over the same period. 

Revenue for the current quarter gained to RM6.81 billion from the RM6.48 billion previously.

For the cumulative nine-month period, the net profit widened to RM5.35 billion from RM5.03 billion, and revenue elevated to RM20.29 billion from RM18.87 billion.

“For the quarter under review, net interest and Islamic banking income increased by RM147.7 million (+5.5 per cent) due to an improved net interest and financing margin and healthy loans and financing growth.

“Non-interest income increased by RM112.0 million (+18.0 per cent), driven by higher overall net fee and commission income, as well as foreign exchange income,” it said.

The bank said profit contribution from an associated company improved by RM76.1 million in the current quarter, while loan and financing impairment allowance decreased by RM54.4 million.

“These were partially offset by the increase in other operating expenses of RM103.3 million (+9.2 per cent), which was due to higher personnel and establishment costs arising from an increase in business activities,” it said.

It said that the group reported a higher other comprehensive loss (net) of RM911.4 million to RM951.7 million in the current quarter, which was mainly due to a higher loss on foreign currency translation as a result of the strengthening of the ringgit, and a loss on cash flow hedges in the current quarter compared to a gain recorded in the previous year's corresponding quarter.

“These were partially mitigated by a gain on the revaluation of financial investments in the current quarter,” it added.

On prospects, the bank said the global economy continues to be supported by moderate inflation and less restrictive monetary policies by major central banks. However, the outlook is subject to downside risks, mainly from the protracted geopolitical tensions and slower growth in major economies. 

“On the domestic front, the Malaysian economy is expected to expand further, backed by steady domestic demand and an improved outlook on exports.

“However, global headwinds such as uncertainties arising from global geopolitical tensions and external trade are likely to continue to pose downside risks to the economy,” it said.

Public Bank managing director and chief executive officer Tan Sri Tay Ah Lek said: “Tapping on the improved economic prospects, the Public Bank group continues to see opportunities for banking business growth.

“The group will continue to proactively embrace product innovation and enhance product features to meet the evolving demand of customers.

“Nonetheless, the group will always remain prudent and continue to strengthen its fundamental resilience to ensure stability and sustainability in creating value for its stakeholders,” he added.

-- BERNAMA