Affin Bank’s 2Q net profit falls on impairments

by TMR

Affin Bank Bhd’s net profit tumbled 40% year-on-year (YoY) to RM73.3 million partly due the increase in overhead expenses, allowance for credit impairment losses and allowance for impairment loss.

For the first half ended June 30, 2018 (1H18), net profits rose 3.05% year-on-year (YoY) to RM215 million as revenue rose 31.1% YoY to RM971 million attributable to the increase in net fee and commission income, Islamic banking income, net gain on financial instruments and other operating income. In a Bursa announcement yesterday, the banking  group noted for the first six-month under review, total assets increased by RM2 billion or 2.8% YoY to RM72 billion while total loan grew by RM1.75 billion or 3.8% to RM47.8 billion.

Group CEO Kamarul Ariffin Mohd Jamil (picture) said in a statement yesterday the bank will continue to improve its market position by focusing on opportunities in the retail, SMEs and corporate. The life insurance market is expected to record high single digit growth for 2018 and continue to grow at a moderate rate.