MBSB targets 15% rise in revenue, focus on corporate business

KUALA LUMPUR: Malaysia Building Society Bhd (MBSB) targets a 15% increase in revenue in 2014 as it focuses on expanding its corporate business segment.

President and chief executive officer Datuk Ahmad Zaini Othman said the group intended to balance the retail to corporate ratio within the next two years. Currently, its retail to corporate portfolio was 75:25.

“Next year, we aim to balance it to 60:40, and then 55:45 in 2015,” he said after MBSB’s EGM on Tuesday.

For the corporate segment, MBSB was aiming for a 15% to 20% increase in loan growth in 2014.

MBSB had expanded its evaluation teams from two to three in its move to expand its corporate business.

Zaini added the group wanted to focus on “the right revenue” to push its growth.

“We will be more focused on high net worth customers as at the end of the day, it is the strength of the individual customers that we look at,” he said, pointing out this was the strategy taken by international banks and now more local banks were following suit.
However, he said MBSB would not forget to provide its services to the lower income group.