CIMB Group Holdings Berhad today reported a Profit Before Tax (“PBT”) of RM3.56 billion for the first half of 2019 (“1H19”).
The 8.7% year-on-year (“YoY”)increase was underpinned by stronger operating income and a 15.7% YoY decline in loan loss provisions, with an 8.7% YoY increase in operating expenses.
The Group’s 1H19 net profit was 14.5% higher YoY at RM2.70 billion, translating to a net Earnings Per Share (“EPS”) of28.1 sen and an annualised Return On average Equity (“ROE”) of 9.7%.
The Group declared a first interim net dividend of 14.0 sen per share to be paid via cash or an optional Dividend Reinvestment Scheme (“DRS”). The total interim dividend amounts to a payment of approximately RM1.36 billion, translating to a dividend payout ratio of 50.4% of 1H19 profits.
“We are pleased with the 14.5% YoY increase in our net profit to RM2.70 billion underpinned by our above-industry loan growth in Malaysia and better Treasury and Markets income.Malaysia’s PBT improved 5.3% YoY, contributing 67% to the Group’s PBT,” Tengku Dato’ Sri Zafrul Aziz, CIMB Group CEO says.
“Indonesia also posted an encouraging 20.2% YoY growth, supported by its strong Consumer business. Overall, the Group remained resilient with lower loan loss provisions despite challenging external headwinds,” he adds.