RHB's Net Profit Slips To RM722.31 Mln In 2QFY2024

KUALA LUMPUR, Aug 27 (Bernama) -- RHB Bank Bhd’s net profit fell to RM722.31 million in the second quarter ended June 30, 2024 (2Q 2024) from RM808.70 million registered in 2Q 2023.

Conversely, revenue for the quarter under review improved to RM4.42 billion vis-a-vis RM4.05 billion a year ago.

For the first half of the year (1H2024), the bank’s net profit slid to RM1.45 billion versus RM1.57 billion a year ago.

bootstrap slideshow

Meanwhile, its revenue rose to RM8.82 billion from RM7.97 billion chalked up in 1H2023.

“The year-on-year (y-o-y) earnings decline was mainly due to higher allowances for credit losses, higher operating expenses and higher share of loss in associates.

“However, this was offset by higher non-fund based income, higher net funding income and lower tax expense,” the banking group said in a filing with Bursa Malaysia today.

bootstrap slideshow

RHB Banking group managing director and chief executive officer Mohd Rashid Mohamad said the bank’s financial performance in 1H2024 underscores the strength and effectiveness of the bank’s “Together We Progress 2024” corporate strategy.

“By leveraging our core strengths and emphasising quality business growth, including sustainable financial services, we have not only achieved significant total income growth but also successfully delivered value to our shareholders,” he said.

He added that in 1H2024, the group continues to build on its strong foundation, with sustained growth in total income and operating profit.

“In recognition of our shareholders’ unwavering support, loyalty and trust, we are pleased to declare an interim dividend of 15 sen per share, representing a payout ratio of 45 per cent,” he said.

The group’s total assets increased by 1.0 per cent from December 2023 to RM331.9 billion as at June 30, 2024.

Net assets per share were at RM7.27, with shareholders’ equity at RM31.7 billion as at June 30, 2024.

The group’s gross loans and financing grew by 6.4 per cent y-o-y to RM227.9 billion, mainly driven by growth in mortgage, its Singapore operations, commercial, auto finance and small and medium enterprise segments.

“Customer deposits increased by 4.8 per cent to RM240.3 billion, with a Current Account and Savings Account (CASA) composition of 28.1 per cent as at June 30, 2024, while the liquidity coverage ratio remained sound at 139.6 per cent,” it added.

-- BERNAMA