Highlight RHB Capital 3Q profit rises 15% to RM559m

by **Cals** Fri 29 Nov 2013, 18:24

Highlight RHB Capital 3Q profit rises 15% to RM559m

Business & Markets 2013

Written by Chong Jin Hun of theedgemalaysia.com

Friday, 29 November 2013 14:15

KUALA LUMPUR (Nov 29): RHB Capital Bhd reported a 15% growth in third quarter net profit from a year earlier. Bottom line had risen on higher interest and Islamic banking income.

Fee-based income growth besides higher foreign exchange gains had also contributed to profit growth, RHB told Bursa Malaysia today.

RHB said net profit rose to RM559.15 million in the third quarter ended September 30 ,2013 (3QFY13) from RM487.48 milion. Revenue increased to RM2.45 billion from RM1.96 billion.

Nine-month (9MFY13) net profit however fell to RM1.33 billion from RM1.38 billion a year earlier. Revenue was higher at RM7.06 billion versus RM5.8 billion.

"For the nine months ended 30 September 2013, the group reported a net profit of RM1.33 billion, 3.6% lower than a year ago. The lower earnings was attributable to higher impairment allowance for loans and higher other operating expenses, partly offset by higher net operating income.

"Total revenue grew 25.0% year-on-year to RM4.33 billion. The increase was on the back of a 13.9% loans growth year-on-year to RM121.4 billion as at 30 September 2013 and broad-based non-interest income growth," RHB said.

Customer deposits however fell 1.1% to RM136.7 billion during 9MFY13.

Looking ahead, RHB said the Malaysian banking sector may see moderate growth.

This is in line with a stable domestic operating environment amid an improving world economic backdrop.

"Following the above, the group’s business performance is expected to improve further given our enhanced geographical footprint.Our continued effort in strengthening our human capital bench strength has begun to yield good results.

"We are determined to build on this momentum and barring unforeseen circumstances, the group expects performance for the remainder of the financial year to be satisfactory," RHB said.