Public Bank posts RM1.38b Q3 net profit

Public Bank posts RM1.38b Q3 net profit

KUALA LUMPUR,. Public Bank Bhd posted a net profit of RM1.38 billion for the third quarter ended September 30, 2018 (Q3), down 1.5 per cent from RM1.40 billion profit reported in the previous year corresponding quarter.

Revenue was up to RM5.62 billion as compared with RM5.31 billion previously.

“However, included in the previous year corresponding quarter was a RM42.9 million one-off capital gain in respect of investment. If excluding this one-off capital gain on investment, the net profit would have grown 1.6 per cent,” it said in a filing to Bursa Malaysia today.

For the first nine months period, net profit was higher at RM4.18 billion as compared with RM3.98 billion previously, while revenue stood at RM16.40 billion versus RM15.50 billion.

“The Public Bank Group’s market leadership position in financing for the purchase of residential property, commercial property and passenger vehicles continued to drive the Group’s interest income,” Founder and Chairman of Public Bank Tan Sri Teh Hong Piow said in a statement.

In the first nine months of 2018, total gross loans rose by an annualised rate of 4.4 per cent to RM314.5 billion. Domestic loans grew at a similar pace at an annualised rate of 4.4 per cent to RM291.6 billion.

On the funding side, the Public Bank Group continued to uphold resilient growth in deposits, whereby total customer deposits grew at an annualised rate of 6.5 per cent to RM334.9 billion, while domestic deposits rose by an annualised rate of 6.3 per cent to RM307 billion.

On outlook, Teh said: “Taking cognisance of the challenges in the operating environment, the Public Bank Group will reinforce its prudent and effective balance sheet management to sustain profitability.

The group’s long-term practice of cost efficiency, prudent risk management and agility to capture opportunities will continue to lead the Group for sustainable business growth.”

The Public Bank Group will continue to be supported by ongoing demand for financing in residential properties, commercial properties, passenger vehicles, as well as lending to the Small and Medium Enterprises (SMEs).

In the filing to Bursa Malaysia, the group said it will continue to capitalise on its efficient customer service and extensive network to maintain its market position in the domestic retail segment.

“Aside from sustaining market leadership in SME financing by offering products and services to meet the needs of businesses, the Group will also continue to grow its corporate lending business by leveraging on existing clients with good track record and acquire new corporate clients in growth and resilient sectors.” — Bernama