KUALA LUMPUR: Malayan Banking Bhd’s (Maybank) pre-tax profit for financial year ended Dec 31, 2016 (FY16) declined to RM8.84 billion from RM9.15 billion in 2015 financial year (FY15).
Revenue, however, rose to RM44.66 billion from RM40.56 billion in FY2015. In a filing to Bursa Malaysia today, the largest banking group in Malaysia said pre-tax profit for fourth quarter ended Dec 31, 2016 (Q416) rose to RM2.87 billion from RM2.38 billion in the same quarter previously.
In a statement today, Maybank said, the marginally lower pre-tax profit for FY16 was on the back of additional loan provisions made throughout the year.
“This is following the group’s proactive stance to reschedule and restructure credit facilities of customers assessed to be potentially vulnerable to the weaker global economic conditions,” it said.
Maybank Chairman, Tan Sri Megat Zaharuddin Megat Mohd Nor, said the group’s performance clearly demonstrated its strength and resilience despite the volatile operating environment resulting from weaker commodity prices and various geo-political events.
He said the bank’s varied business lines, diversified footprint and strong franchise continued to provide revenue growth opportunities and deliver value to stakeholders.
“As we face yet another uncertain year ahead, we intend to keep supporting our customers through this period, while at the same time tapping into growth opportunities, particularly in the infrastructure segment which is expected to be a key driver of regional economies,” he said.
Group President/Chief Executive Officer, Datuk Abdul Farid Alias, said the bank continued to benefit from the prudent stance it took over a year ago to better manage asset quality and provide additional buffers in case of a severe downturn, coupled with a controlled drive to increase revenue and discipline in managing costs.
