PETALING JAYA: Public Bank Bhd posted a net profit of RM1.36 billion in the third quarter ended Sept 30, 2021, 2.3% lower than the RM1.39 billion in the same quarter of the previous year, attributed to lower investment income due to the unfavourable market conditions, lower fee income and other income and higher other operating expenses, which were partially offset by a higher net interest income.
Revenue for the quarter stood at RM4.81 billion, a 6.2% decline from RM5.13 billion posted in the same quarter of the previous year.
In the first three quarters of this year, the group’s net profit saw a 14.8% improvement to RM4.28 billion against RM3.72 billion registered in the same period of the previous year, supported mainly by its core business of lending and deposit-taking. Revenue for the period declined 4.1% to RM14.76 billion from RM15.39 billion previously.
Public Bank’s founder and director, Tan Sri Teh Hong Piow (pix), said that during these trying times, the group had undertaken multiple proactive initiatives in its business strategies and placed greater emphasis on risk management and productivity.
Public Bank registered a net return-on-equity of 12.4% and an efficient cost-to-income ratio of 31.7% during the nine months ended September 2021.
“The group was able to achieve continued loans and deposit growth, albeit at a moderate pace. As at end-September 2021, the group’s funding position remained stable with gross loan to fund and equity ratio of 79.7%.”
As for prospects, Teh said the bank will remain steadfast in its efforts to strengthen its balance sheet, uphold its strong asset quality as well as enhance cost efficiencies further despite the continued challenging environment.
“While embracing the changes stemming from the pandemic, the group will continue its pursuit of digital transformation and product innovation to strengthen long term business growth.
“With its resilient fundamentals, the group remains well placed to navigate any challenges ahead and spur business growth as the country moves toward post-pandemic recovery,” he said in a statement.