It recorded a net profit of RM2.17 billion in the quarter ended Sept 30, 2022, accounting for a 28.5% increase over the same quarter in 2021.
It said higher net fund and fee-based income as well as a 25.2% year-on-year (y-o-y) reduction in net impairment losses were the main drivers for the 41.4% rise in its profit before tax (PBT) to RM3.21 billion compared with the previous corresponding quarter.
In a statement to the media today, Maybank said its net operating income rose 20.6% y-o-y to RM7.41 billion, driven by a 48% increase in net fee-based income to RM2.12 billion from RM1.43 billion a year earlier, as well as a 12.2% rise in net fund-based income to RM5.3 billion from RM4.72 billion previously.
Maybank attributed the improvement in net fee-based income to mark-to-market gains in financial liabilities and foreign exchange gains.
It said its net fund-based income also rose on better loans growth across all home markets while its net interest margin expanded thanks to a rising interest rate environment.
This, it said, led to a 20.8% rise in pre-provisioning operating profit to RM4.02 billion compared with the corresponding quarter in 2021.
However, the bank said, overhead costs also rose, from RM2.82 billion to RM3.39 billion on normalising business activities, inflationary adjusted spend and higher IT expenses.
Maybank said its cost-to-income ratio improved marginally to 45.8% from 45.9% previously as income growth outpaced cost growth.
It’s net impairment losses also registered a decline of 25.2% to RM840 million from RM1.13 billion a year earlier.
Comparing Q3 with Q2 of the current financial year, the PBT saw an uptick of 20.3% from RM2.67 billion, net operating income rose 8.5% and net impairment losses declined by 27.2%.
Net profit for Q3 was 16.6% higher than that for Q2.
Comparing the nine-month period to Sept 30, 2022 with the corresponding period of the previous year, Maybank saw a group PBT increase of 8.3% to RM8.85 billion from RM8.17 billion, driven by better net operating income of RM20.72 billion, up 8.2% y-o-y from RM19.15 billion.
Maybank said the increase in net operating income was led by an 8.1% y-o-y rise in net fund-based income of 8.4% to RM5.34 billion.
Costs grew from RM8.56 billion to RM9.4 billion due to higher expenses related to revenue and IT needs as well as inflationary adjusted items such as personnel costs.
Maybank group president and CEO Khairussaleh Ramli said the financial services group would continue to drive income growth across its loan portfolio and fee income streams while maintaining discipline over the monitoring of its asset quality.
“While Asean economies are expected to continue their growth, albeit at a slower rate, we will keep our strong liquidity and capital positions to manage potential downside risks that could emerge in the operating environment,” he added.