KUALA LUMPUR: RHB Banking Group’s net profit jumped 16 per cent to RM1.95 billion in the year ended December 31 2017 (FY17), against the RM1.68 billion posted the year before.
The improved performance was largely driven by higher net funding income, lower loss loan impairment and lower impairment losses on other assets.
RHB’s group net fund based income increased by 5.4 per cent to RM4.6 billion year-on-year (YoY), which was mainly underpinned by growth in loans and prudent funding cost management.
Its current and savings account (CASA) also grew by a healthy 18 per cent in the year under review.
The group’s net interest margin (NIM) performance stabilised at 2.18 per cent for the full year.
“Despite the challenging operating environment, the group delivered a higher net profit YoY underpinned by a strong domestic loans growth and prudent funding cost management,” said group managing director Datuk Khairussaleh Ramli.
“Moving into 2018, we expect positive momentum across our core businesses. With the conclusion of IGNITE 2017, the Group had embarked on a new five-year strategy that will take the bank to the next level,” he added.