Maybank 3Q net profit up 13% on year at RM2.03b

Maybank 3Q net profit up 13% on year at RM2.03b
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KUALA LUMPUR (Nov 30): Malayan Banking Bhd (Maybank) reported a 13% rise in its third quarter net profit at RM2.03 billion, from RM1.8 billion a year earlier, on higher net interest and Islamic Banking income.

Maybank told Bursa Malaysia today that the group's higher net earned insurance premiums also contributed to Maybank's net profit rise in its third quarter ended Sept 30, 2017 (3QFY17). Maybank said group revenue climbed to RM11.59 billion, from RM11.29 billion in 3QFY16.

"The group’s net interest income and Islamic banking income for the quarter ended 30 September 2017 increased by RM487.5 million or 12.8%, compared to the previous period'a corresponding quarter ended 30 September 2016. The group's net earned insurance premiums from the insurance and takaful subsidiaries increased by RM289.0 million to RM1,307.4 million, compared to the previous period's corresponding quarter ended 30 September 2016," Maybank said.

Maybank said 9MFY17 net profit rose to RM5.39 billion, from RM4.38 billion a year earlier. Revenue was higher at RM33.79 billion, compared to RM33.41 billion.

Looking ahead, Maybank said it is optimistic of its business outlook.

Barring any unforeseen circumstances, the group expects its financial performance for 2017 to be satisfactory, given the ongoing challenging global environment. The group key performance indicator for return on equity is 10%-11% and loans growth for the group is expected to be around 3%, with growth in Maybank Malaysia to be in line with the industry," Maybank said.

At 12:30pm today, Maybank shares settled at RM9.21, for a market value of RM99.03 billion. The stock saw some three billion shares traded.