Bank Islam Malaysia Bhd’s net profit dropped eight per cent to RM491.67 million in financial year ended December 31, 2022 (FY22) from RM534.31 million in FY21 due to higher overhead expenses.
Total overheads for FY22 rose 10 per cent to RM1.32 billion due to higher staff costs, establishment expenses and general expenses by RM98.1 million, RM16.1 million and RM6.6 million respectively.
Revenue for FY22 rose 12.9 per cent to RM3.58 billion from RM3.17 billion in FY21 due to higher net income.
Net income was higher due to higher net fund-based income which rose 13.5 per cent driven by financing growth.
For the fourth quarter (Q4), the bank’s net profit 57.9 per cent to RM125.74 million versus RM79.64 million in Q4 2021.
Revenue for the quarter increased to RM1.05 billion from RM816.28 million in the corresponding quarter the previous year.
Moving forward, the bank said it set continuous effort to build on its core strengths, improving its mobile banking application and building strategic partnerships that benefits all parties involved as Malaysia’s economy steadily recovers.
“The bank looks to provide financial solutions across segments through its retail banking distribution and premier wealth banking.
“In addition, the newly established institutional banking target operating model also focuses on client centricity while manufacturing the right products,” it said in its Bursa filing.
The bank also aimed to double its Shariah-ESG assets to RM4 billion by the end of 2025 and continue its contribution to Malaysia’s net-zero ambitions. – NST ONLINE