Maybank 4Q profit up 9.1% to RM2.33b, proposes 32 sen dividend

KUALA LUMPUR (Feb 26): Malayan Banking Bhd (Maybank)’s net profit for the fourth quarter ended Dec 31, 2018 rose 9.1% year-on-year to RM2.33 billion from RM2.13 billion, on higher net interest income and Islamic banking income.

Revenue for the quarter rose to RM12.23 billion from RM11.79 billion previously, according to the group’s Bursa Malaysia filing.

The banking group has proposed a dividend of 32 sen per share, totalling RM3.53 billion, which is payable on a date to be determined later.

For the financial year ended Dec 31 (FY18), Maybank’s net profit rose 7.9% to RM8.11 billion versus RM7.52 billion a year earlier, on the back of revenue of RM47.32 billion against RM45.58 billion previously.

On its prospects, Maybank said against the backdrop of a moderating global growth and uncertainty over trade tensions, the group will maintain its balance sheet expansion in line with forecast economic growth of its three home markets and in tandem with the group’s risk posture.

“Maybank Group will continue building on its diversified franchise and footprint to expand income streams through cross business collaborations and from focusing on diligent pricing of its assets and liabilities,” it said.

Maybank said its other key ongoing priorities in 2019 include emphasis to improve productivity levers, upskilling of its workforce to be ready for a digital economy, proactively managing asset quality in line with new accounting standards (MFRS 9) and prioritising capital and liquidity strength given increasing capital markets volatility and global macroeconomic headwinds.

“Barring any unforeseen circumstances, the group expects its financial performance for 2019 to be satisfactory in line with the expected growth prospects of its key home markets.

“The group has set its Headline Key Performance Indicator (KPI) for Return on Equity (ROE) of approximately 11%,” it said.

Source : TheEdgeMarkets