Maybank BII Reports 6.7 Pct Increase In Operating Profit

Maybank BII Reports 6.7 Pct Increase In Operating Profit
KUALA LUMPUR, Oct 22 (Bernama) — Maybank’s Indonesian banking unit, PT Bank Internasional Indonesia Tbk (BII) has reported a 6.7 per cent increase in operating profit to Rp2.05 trillion for the nine month period ended Sept 30, 2014 from Rp1.92 trillion in the corresponding period last year.

Net profit after tax and minority interest (PATAMI) for the first nine months of 2014 stood at Rp340 billion while profit before tax was Rp478 billion compared with Rp1,098 billion and Rp1,562 billion, respectively, in the corresponding period last year, Maybank BII said in a statement.

This was primarily due to higher provisioning recorded from corporate customers due to challenging market conditions and continued compression in net interest margin.

Maybank BII saw loans growth of 14 per cent year-on-year to Rp104.6 trillion as at Sept 30, 2014 from Rp91.7 trillion as at Sept 30, 2013.

The bank has decided to re-profile its loan portfolio, especially in the Global Banking segment, to ensure that the distribution of risks is in line with its risk appetite.

Its focus on client re-segmentation, implemented early this year, includes greater emphasis on the Top-Tier Local Corporations and State-Owned Enterprises.

The Global Banking client re-segmentation showed encouraging results and is expected to be the driver for the bank’s cash management and annuity fee business.

Tan Sri Megat Zaharuddin Megat Mohd Nor, BII President Commissioner and Maybank Chairman, said: “Given the current operating environment, BII will remain cautious while continuously seeking opportunities for sustained growth.

“As part of Maybank Group, BII has the advantage of harnessing group synergies across the region.

— BERNAMA

 

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