AMMB Group saw its total income grow 1.6% YoY to RM4.73 billion for FY23, driven by NII, which grew 8.1% YoY, underpinned by an 8.5% expansion in loans. NII represented approximately 75% or RM3,540.7 million o total income. The remaining 25% of total income or RM1,197.0 million came from NoII, which saw a decline of RM192.8 million or 13.9% YoY, primarily due to the AmGen divestment coupled with decreased fee income from Investment Banking and Retail Wealth.
Benefiting from the decrease in net impairment charge, the group delivered a robust 15.5% growth in the year’ PATMI, reaching RM1,735.2 million. From Continuing Operations, PATMI touched RM1,742.2 million, marking a strong 27.5% YoY growth. Reported ROE for FY23 also saw an improvement, moving up to 10.0% from the previous year’s 9.3%.
Total gross loans and financing portfolio saw a broad-based expansion across all business segments growing by 8.5% or RM10.2 billion to RM130.2 billion. Loans in Retail Banking grew RM4.0 billion (+5.8%), Wholesale Banking grew RM3.6 billion (+11.6%) while Business Banking grew RM2.5 billion (+13.1%). Customer deposits experienced a healthy growth of 6.3% to RM130.3 billion (FY22: RM122.6 billion). This growth it said was primarily driven by a steady increase in Retail deposits. Time deposits increased 2.6% YoY, while CASA balances showed a more substantial increase of 13.2% to RM48.8 billion. As a result, our CASA mix improved to 37.4% (FY22: 35.2%). The Group’s LCR stood at 149.2% (FY22: 158.5%).
Commenting on the result, CEO Dato’ Sulaiman Mohd Tahir CEO said “FY23 wrapped up on a high note, marked by a robust PATMI, underscored by significant contributions from the majority of our key business divisions. Importantly, we have met and surpassed the ambitious goals we set at the start of the year, including achieving an ROE of 10%, fortifying our balance sheet, and paying out a much-improved dividend payout ratio to reward our valued shareholders.”
The group has declared a final dividend of 12.3 sen per share, bringing the total dividend for the year to 18.3 sen or a dividend payout ratio of 35%.
