BIMB grows profit to RM289m for 6 months

BIMB Holdings Bhd registered a profit before zakat and taxation (PBZT) of RM289.2 million for its six months ended June 30, 2011, 64 per higher than the last corresponding financial period. In a statement today, BIMB attributed the higher profit to its units, namely Bank Islam Malaysia Bhd and Syarikat Takaful Malaysia Bhd, by 31 per cent and 134 per cent respectively. Net profit attributable to shareholders rose by 91 per cent to RM114.2 million. Its group managing director-cum-chief executive officer, Johan Abdullah, said the growth in the net income was driven by higher profit from the continued growth in financing, higher non-fund-based income and improved asset quality in Bank Islam, as well as higher profit generated from takaful business.

He said BIMB would continue to focus on enhancing its revenue generation and sustainability, especially in diversifying its non-fund based income and achieving a more balanced portfolio between wholesale and retail market segments. "The group expects its improving asset quality to be sustained and will continue to leverage on Bank Islam and Takaful Malaysia franchise to deliver revenue growth," he said.

For the six months financial period ended June 30, 2011, Bank Islam achieved a PBZT of RM240.9 million, a 56.2 per cent increase compared with the corresponding period last year. The bank's commendable performance was attributed to the strong growth in financing as well as continued improvement in the asset quality and ability to maintain the core current and savings deposits.

Bank Islam’s annualised return on equity stood at 18.2 per cent in June 2011 compared with 16.5 per cent as at December 2010.

Syarikat Takaful recorded operating revenue of RM636.2 million, comprising RM532.5 million in gross contribution and RM103.7 million in investment income, mainly due to to Family Takaful group business and motor and fire class of business.

The surplus transfer from Family Takaful revenue account for the six months financial period ended June 30, 2011 was RM50.9 million, mainly from underwriting results, investment income and realised gains on disposal of investments. -- Bernama