PETALING JAYA: BIMB Holdings Bhd’s net profit for the fourth quarter ended Dec 31, 2018 rose 7.85% to RM161.39 million from RM149.64 million a year ago due to higher profit contribution from both the Islamic banking and takaful businesses.
Revenue for the quarter rose 18.51% to RM1.12 billion from RM946.04 million a year ago.
During the quarter, Bank Islam Malaysia Bhd’s pre-tax profit rose 5% to RM184.5 million from RM175.8 million due to higher total income, driven by higher fund based income of RM121 million.
The bank attributed the growth to the increase in base rate and base financing rate by 25bps in February 2018, in response to the 25bps increase in Overnight Policy Rate on Jan 25, 2018.
Net financing assets grew 8.5% year-on-year to hit RM45.7 billion as at end-December 2018 from RM42.1 billion a year ago.
The bank recorded net allowance charged for impairment on financing and advances of RM19.4 million compared with RM5.4 million recovered a year ago. Net allowance charged for impairment on financing amounted to RM18.5 million while bad debts recovered were lower by RM6.3 million.
For Syarikat Takaful Malaysia Keluarga Bhd, pre-tax profit rose 83.6% to RM102.8 million from RM56 million a year ago due to higher net wakalah fee income. Operating revenue rose to RM701.5 million from RM517.7 million a year ago due to higher sales generated by family and general takaful business.
Family takaful business recorded gross earned contributions of RM497.6 million compared with RM316.5 million a year ago due to higher sales from credit-related products.
For general takaful, gross earned contributions rose 17.6% to RM166 million from RM141.1 million a year ago due to growth from fire and motor classes.
For the financial year ended Dec 31, 2018, BIMB’s net profit rose 10.04% to RM682.06 million from RM619.84 million a year ago while revenue rose 12.92% to RM4.2 billion from RM3.72 billion a year ago.
Source: The Sun Daily