KUALA LUMPUR (May 27): BIMB Holdings Bhd’s net profit fell 3.24% to RM202.46 million in the first quarter ended March 31, 2021 (1QFY21) from RM209.24 million a year earlier, on lower net income.
The fall was however limited by a lower net allowance on impairment on financing.
Earnings per share dropped to 10.99 sen from 11.71 sen, the group’s stock exchange filing showed.
Revenue declined 3.8% to RM1.2 billion from RM1.24 billion as gross fund-based and non-fund-based income decreased, BIMB said.
The group said gross fund-based income fell 11.1% or RM87.3 million as a result of the negative effect of the overnight policy rate while non-fund-based income declined by RM65.4 million amid lower investment income.
On a quarter-on-quarter basis, the group’s net profit was down 8.87% from RM222.17 million in the preceding quarter while revenue fell 4.96% from RM1.3 billion.
BIMB did not declare any dividends for the first quarter.
In a statement, BIMB said with the bank soon to assume the listing status of BHB, Bank Islam will be the first pure-play full-fledged Islamic financial institution to be listed in Malaysia.
“The exercise will improve the overall transparency of the bank whilst unlocking its latent value for shareholders.
“The re-organisation of the group allows the bank and the subsidiaries to leverage on the strength as a group and deliver total Islamic financial solutions to the customers whilst continuously pursuing traction on the lines of businesses and channels,” it said.
As for its takaful business under Syarikat Takaful Malaysia Keluarga Bhd, the group said the takaful firm has been taking steps to strengthen its business resilience and adjust its operating models in managing the business in a very different market and dynamic operational landscape.
“Takaful Malaysia will continue with its innovative strategies via the implementation of its digital strategy, online solutions and digital ecosystem, expansion of its distribution capabilities, strategic partnerships with leading Islamic banks and brand awareness initiatives,” added BIMB.
Shares of BIMB closed eight sen or 2.11% higher at RM3.88, giving it a market capitalisation of RM8.05 billion.
