by ANIS HAZIM / pic by TMR FILE
PUBLIC Bank Group Bhd is poised to deliver long-term business values on the back of the broader economic recovery in 2022 and Malaysia’s transition to the endemic phase.
Its founder and chairman emeritus Tan Sri Dr Teh Hong Piow (picture) in a statement said whilst Public Bank is cautiously optimistic of the economic outlook, the group remains mindful of the various domestic and external concerns that could impact the economy.
The group has recorded pre-tax profit and net profit attributable to shareholders of RM7.37 billion and RM5.66 billion respectively in financial year 2021 (FY21), compared to RM6.29 billion and RM4.87 billion in FY20.
“The higher profit was mainly due to the low base effect in 2020 as well as positive loans and deposits growth achieved in 2021,” he noted.
The group’s earnings per share also increased to 29.1 sen in FY21 from 25.1 sen in FY20.
He said that Public Bank continued to outperform its banking peers as the most cost-efficient bank in Malaysia with the lowest cost to income ratio of 31.6%, compared to the average cost to income ratio of 48.1%.
“In terms of asset quality, the group remains the best amongst all Malaysian banks with a gross impaired loans ratio of 0.3%, compared to the industry’s average gross impaired loans ratio of 1.4%,” he said.
It also continued to sustain a double-digit net return on equity of 12.4% which was well above the domestic banking peers’ average net return on equity of 8.9%.
Despite the challenging economic condition in 2021, Public Bank was able to maintain a stable dividend payout with a total dividend paid amounted to RM2.95 billion or 52.2% payout of its net profit in FY21.
On top of that, Public Bank has assisted about 24% of its borrowers with total loans of more than RM80 billion through various repayment assistance programmes, benefitting 438,000 individuals and businesses.
Public Bank said that it will continue to provide further repayment assistance as well as financing support to small and medium enterprises although some of the loans under the National People’s Wellbeing and Economic Recovery Package have expired.
On the environmental, social and governance (ESG) aspect, the group targets to achieve RM40 billion in ESG-friendly financing by 2025, of which RM25 billion financing is for purchases of energy-efficient vehicles and RM15 billion financing is for affordable homes.
Moreover, Public Bank will continue to make significant investments in technology to drive its innovation and maintain a competitive edge.
“To stay ahead, the group has accelerated its digital initiatives and implemented its multi-year digital roadmap in light of fast-moving digital and technology trends,” he further said.
Moving forward, Public Bank will continue to strive for business growth in its core business segments, maintain prudent credit policies and further improve cost efficiency, while pursuing all business opportunities and continuing to generate value for its stakeholders.
RELATED ARTICLES





