Maybank Indonesia posts strong 9-month earnings

PETALING JAYA: PT Bank Maybank Indonesia Tbk saw its net profit after tax and minority interest (patami) register 1.3 trillion rupiah (RM416 million) for the nine months to September 2016, a 118.4% increase from 592.2 billion rupiah achieved in the first nine months of 2015.

A healthy rise in net interest income (NII), improvement in fee-based income, continuous cost management efforts and outstanding achievement in syariah banking contributed to the overall improved performance for the period.

The bank reported a 14.8% increase in its NII to 5.5 trillion rupiah in the quarter to September 2016 from 4.8 trillion rupiah in the previous corresponding period, attributable to the bank’s discipline in loan pricing and active funding management. It also saw improvement in its net interest margin (NIM) from 4.8% in September 2015 to 5.1% in September 2016.

The bank’s fee-based income rose 21.4% from 1.6 trillion rupiah in September 2015 to 1.9 trillion rupiah in eSeptember 2016, mainly driven by bancassurance fees from its new partnership with Allianz, treasury-related fees, retail administration and other services provided by the bank.

Cost management efforts have resulted in improvement of its cost-to-income ratio which improved to 55.9% in September 2016 from 64.3% in September 2015.

The bank recorded a modest loan growth of 4.4% as at September 2016 to 116.4 trillion rupiah from 111.5 trillion rupiah at September 2015. The bank’s SME and commercial loans growth continued to be the backbone, generating 14.7% growth in revenue to 48.7 trillion rupiah.

Maybank Indonesia president director Taswin Zakaria said the bank continued to demonstrate improvement at the operating level in the first nine-month period.

“Our core business performance significantly improved as our rigorous risk and cost management measures as well as disciplined approach towards pricing and growth are in place.

“We are optimistic to be able to conclude the financial year of 2016 with commendable results,” he said.