RHB Bank's Net Profit Surges To RM3.12 Bln In FY2024

KUALA LUMPUR, Feb 27 (Bernama) -- RHB Bank Bhd’s net profit increased to RM3.12 billion in the financial year ended Dec 31, 2024 (FY2024) from RM2.81 billion in FY2023, driven by strong total income growth.

Revenue for FY2024 also rose to RM17.91 billion from RM16.58 billion previously, the bank said in a filing with Bursa Malaysia today. 

Following its performance, the group declared a second interim dividend of 28 sen per share, bringing the total FY2024 dividend to 43 sen per share.  

RHB Bank’s total income rose 10.7 per cent year-on-year (y-o-y) to RM8.6 billion, driven by strong net fund-based and non-fund-based income growth.

The group’s cost-to-income ratio improved to 46.7 per cent from 47.5 per cent y-o-y, while return on equity improved to 10.04 per cent, reflecting a stronger top line, underscoring the group’s disciplined financial strategy and commitment to operational efficiency.

RHB Banking Group managing director/group chief executive officer Datuk Mohd Rashid Mohamad attributed FY2024 strong financial performance to the effectiveness of its Together We Progress 24 (TWP24) corporate strategy, which drove steady growth and enhanced operational efficiency.

 “As we look ahead, our new corporate strategy will focus on accelerating digital transformation and driving innovation to create seamless, customer-centric banking experiences.

“By leveraging cutting-edge technology and data-driven insights, we aim to enhance efficiency, deepen customer engagement and empower both individuals and businesses in their financial journeys,” he said in a separate statement.

RHB Bank’s total assets grew by 6.5 per cent y-o-y to RM350 billion, while capital ratios remained robust.

The Common Equity Tier-1 (CET-1) ratio and total capital ratio stood at 16.4 per cent and 19.0 per cent, respectively, reinforcing the group’s strong capital position to support future growth.

RHB Bank’s gross loans grew 6.9 per cent y-o-y to RM238 billion, supported by 6.5 per cent, 8.9 per cent and 8.3 per cent growth in the Group Community Banking, Group Wholesale Banking and Singapore segments, respectively.

Its domestic loans grew by 7.3 per cent y-o-y, above industry growth of 5.5 per cent. 

The group’s gross impaired loan (GIL) improved significantly to RM3.5 billion, with a GIL ratio of 1.47 per cent, from 1.74 per cent in December 2023. The domestic GIL ratio improved to 1.19 per cent (December 2023: 1.52 per cent), lower than the industry’s GIL ratio of 1.44 per cent (December 2023: 1.65 per cent).

It has a customer deposit of RM250 billion, with a current account and savings account (CASA) composition of 27.6 per cent. Its liquidity coverage ratio (LCR) remained sound at 137.8 per cent.

As of Dec 31, 2024, the Multi-Currency Accounts balances grew to RM4.4 billion, while the RHB MySiswa Debit Card-i initiative with the Higher Education Ministry contributed RM3.8 billion and RM436 million in fixed deposits and CASA, respectively. 

-- BERNAMA