KUALA LUMPUR, Feb 22 — Malaysia Building Society Bhd’s (MBSB) pre-tax for financial year ended Dec 31, 2016 fell to RM338.42 million from RM355.03 million in FY2015.
In a filing to Bursa Malaysia today, MBSB said, the fall was due to the higher allowances for impairment losses on loans, advances and financing.
Revenue, however, rose to RM3.27 billion from RM3.05 billion in FY15.
The group’s total assets grew to RM43.26 billion from RM41.09 billion in 2015, it said.
On gross loans and financing, MBSB said, they rose marginally to RM35.28 billion from RM34.11 billion during the same period in 2015.
However, the net impaired financing ratio, which stood at 2.99 per cent at end-2016, was reduced to 2.87 per cent in 2015, it said.
MBSB President/Chief Executive Officer, Datuk Ahmad Zaini Othman, said in boosting the liquidity position, the group has boosted investments in liquefiable assets and achieved growth of RM1.37 billion and this contributed to the total income.
In a statement today, Ahmad Zaini said, the liquid assets rose to RM9.28 billion as at Dec 31, 2016 from RM7.90 billion in the previous year.
Ahmad Zaini said retail financing assets remained the key contributor to revenue with an asset composition between retail and corporate at 81:19 for year 2016 as compared to 85:15 in 2015.
“This is a progress towards the group’s target of 70:30,” he said.
Moving forward, he said, MBSB remained resolute and optimistic despite the the heightened economic uncertainties and challenges.
“As it is, MBSB has developed and strengthened its capabilities in selected corporate segments that are well-linked and involved in the government projects, especially in the areas of education, infrastructure and now, the affordable housing.
“A qualified in-house technical monitors projects efficiently to identify and address project risks,” he said. — Bernama
