AmBank Group sustained its growth streak to deliver another resilient performance. 9MFY22 PBP was up 10% to RM2 Billion while PATMI increased by 28% to RM1.1 billion as compared to the same period last year. This was achieved on the back of RM3.5 billion in revenue which saw a 3% increment.
Group Chief Executive Officer, Dato’ Sulaiman Mohd Tahir said the Group’s prudent and disciplined cost management allowed it to lock in a CTI ratio of 43.4%. 9MFY22 net credit cost was higher at 72 bps (50 bps excluding overlay). Total overlay reserves were retained at RM945 million, from RM900 million last quarter. The group announces an annualised ROE of 9.2%.
NII grew by 15.5% YoY on the back of 6.6% loans growth while NIM was higher at 2.06% (9MFY21: 1.85%). Non-interest income (NoII) decreased by 16.4% YoY, due to lower trading and investment income from Group Treasury and Markets as well as Insurance. This was offset in part by higher fee income from Corporate Banking and Investment Banking.
Reflective of the Group’s cost discipline, overall expenses fell 4.4% YoY to RM1,536.9 million. Cost-to-income ratio improved to 43.4% from 47.0% a year ago, registering a positive JAWS of 7.9%. Consequently, profit before provision grew 10.4% YoY.
Gross loans and financing grew 4.0% or RM4.5 billion YTD to RM119.3 billion with growth seen across diversified segments as the economic recovery gained momentum in this quarter. Retail Banking loans remained the main driver, increasing by RM2.7 billion primarily contributed by Mortgage loans as well as Personal Financing, offset by a reduction in Auto Finance. This was followed by Wholesale Banking and Business Banking loans with an increase of RM1.1 billion and RM792 million respectively.
Deposits from customers increased by 3.5% YTD to RM124.7 billion. Time deposits increased 3.0% YTD with CASA balances up by 4.6% to RM37.4 billion. CASA mix was higher at 30.0% (FY21: 29.7%). Importantly, the Group remains highly liquid, with a liquidity coverage ratio (LCR) of 164.0% as at 31 December 2021.
Dato’ Sulaiman concluded, “Supported by our resilient fundamentals, we expect to continue supporting the revival of the Malaysian economy while doubling our efforts to further spur the bank’s growth and financial strength in a sustainable manner.”
