KUALA LUMPUR, Aug 29 — Bank Islam Malaysia Bhd’s (BIMB) profit after zakat and tax (PAZT) rose 16 per cent to RM136.14 million in the second quarter (2Q) ended June 30, 2023, from RM117.16 million in the same quarter last year on higher net income.

The group said its net income improved by RM62.6 million or 11.4 per cent mainly due to a RM56.7 million, or 134.5 per cent, rise in non-fund-based income owing to higher net gain from sale of financial assets at fair value, revaluation of financial assets at fair value, and foreign exchange transactions.

Meanwhile, revenue jumped to RM1.12 billion in the reviewed quarter compared with RM822.51 million previously, BIMB said in a filing with Bursa Malaysia today.

For the six-month period, PAZT surged 14 per cent to RM254.23 million from RM223.07 million a year earlier, while revenue rose to RM2.22 billion from RM1.60 billion previously.

The Islamic bank attributed the better profit mainly to higher net income, offset by higher net allowance for impairment on financing and higher total overheads.

On prospects, BIMB said it remained focus on its LEAP25 five-year strategy roadmap while sustaining financial performance and resilience.

The bank continues to enhance its financial solutions through group institutional banking’s Target Operating Model and group retail banking focus on customer-centricity.

"Digitalisation will be the primary enabler which has led to significant increase in users and transaction volume.

"BIMB is committed to improve its net income margin following the compression experienced in the first quarter of 2023 by continuous prudent management of liquidity and funding cost, accompanied by implementation of cost optimisation measures,” it added. — Bernama