RHB Bank profit up 18.4% to $138.84m in Q3

Net interest income rose 5%.

RHB Bank extended its double-digit earnings growth of 18.4% YoY and 1.5% QoQ to $138.84m (RM578.6m) in Q3 on the back of rising net interest income, according to UOB Kay Hian.

The quarterly profits increase was boosted by loan growth which rose 4% and a consequent expansion in net interest margin which expanded 4bp. Bank earnings were also lifted by a 44% decline in provisions from higher recoveries as well as the absence of O&G related provisions which impacted provisions in Q3 2017.

Also read: RHB Bank waives instant transfer fees on online platform

“The group managed to sustain a positive operating JAW in 3Q18 on both a yoy and qoq basis, leading to a further improvement in cost-to-income ratio to 48.9% vs 2Q18’s 49.4% and 3Q17’s 50.1%. We have penciled in a relatively stable cost-to-income ratio assumption of 49.4% and 48.6% over 2018 and 2020,” analyst Alexander Margaronis said in a report.

Gross impaired loan (GIL) ratio inched up mildly by 4bp to 2.37% in Q3 but credit costs remained benign and loan loss coverage (LLC) ratio held stable at 104.2%.

Also Read

AusPayNet welcomes Aussie gov’t retirement of cheques by 2029

Japan Post Bank posts $1.44b net income for H1 FY2025/3

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit