AEON Credit Service has recorded revenue growth of 11.0% to RM417.84 million for the third quarter ended 30 November 2022 (“Q3FYE23”) as compared to the RM376.47 million recorded in the preceding year corresponding quarter ended 30 November 2021 (“Q3FYE22”).
The company’s transaction and financing volume increased by 30.3% to RM1.55 billion as compared to RM1.19 billion recorded in Q3FYE22 in tandem with strategic marketing campaigns to drive sales growth and notable progress of digitalisation.
Correspondingly, the gross financing receivables increased by RM987.16 million or 10.3% to RM10.59 billion in Q3FYE23 as compared to RM9.61 billion recorded in Q3FYE22. The Non-Performing Loan ratio was 2.54% as compared to 1.75% in the preceding year while the loan loss coverage ratio stood at 297% as compared to 410% in the preceding year’s corresponding quarter.
For the quarter under review, AEON Credit registered a profit before tax of RM101.58 million compared to RM164.03 million recorded in the preceding year corresponding quarter attributed to the higher impairment losses on financing receivables of RM143.41 million recorded in Q3FYE23 compared to RM33.09 million for the preceding year‘s corresponding quarter, partially offset by lower other operating expenses.
On a nine-month financial review basis, AEON Credit’s total revenue was higher by 3.9% at RM1.21 billion compared to RM1.16 billion recorded in the preceding year ended on 30 November 2021. While the transaction and financing, volume surged by 40.6% to RM4.65 billion, as compared to RM3.31 billion recorded.
Moving forward, AEON Credit will be embedding sustainable financing into its funding strategies to enhance ESG practices. The Group has recently secured a total of RM500 million Sustainability-Linked Loans (“SLL”) to expand its sustainable financing portfolio and carbon emission reduction activities.
