KUALA LUMPUR, May 27 — RHB Bank Bhd’s net profit for the first quarter ended March 31, 2019 (Q1), rose 6.7 per cent to RM630.19 million from RM590.82 million recorded in the same period last year.
Revenue increased to RM3.35 billion from RM3.13 billion previously.
Earnings per share rose to 15.72 sen from 14.73 sen before.
RHB Bank in a filing to Bursa Malaysia today said the higher net profit was mainly due to lower expected credit losses on loans and other financial assets and lower operating expenses.
It said gross fund based income increased by 8.5 per cent year-on-year (y-o-y) on the back of a 5.6 per cent increase in gross loans and financing while non-fund based income was stable at RM534 million contributed largely by higher capital market fee income and insurance underwriting surplus.
RHB Bank added that operating expenses declined by 1.9 per cent to RM846.3 million from a year ago driven by lower personnel costs and information technology-related expenses, and allowances for credit losses was 36.4 per cent lower than the previous year at RM72.9 million primarily due to lower allowances for loan impairment and higher write-back in losses for financial securities.
Going forward, the bank said it remained cautious for the rest of the year given the continued challenging operating environment against the backdrop of slowing global economy and ongoing trade tensions. — Bernama
