KUCHING: Hong Leong Bank Bhd (Hong Leong Bank) announced its result for the first quarter ended September 30, 2014 (1QFY15).
Managing director and chief executive officer, Tan Kong Khoon said the bank started the new financial year with a resilient set of results despite a challenging operating environment.
“Net profit after tax closed at RM548 million for 1QFY15 underpinned by growth in net interest income, improved operationg efficiencies and higher profit contributions from associates.
“Whilst business environment has seen a moderating growth during the quarter, we remain committed towards our strategic imperatives, operational improvement and business growth execution.”
Tan also outlined Hong Leong Bank’s cautiously optimistic stance on the Malaysian economy which is expected to chart a steady growth path going into next year, with anticipated boost from investment spending and continued exports growth.
In the regional context, growth will continue to be supported by gradual recovery in the world economy.
“The group remains highly focused on our strategic priorities, strengthening all businesses for sustainable profitability and portfolio growth.
“We will also continue to develop our new digital banking capabilities and improve the convergence of mulch-channels network distribution through our community banking approach and analytic, for a seamless customer experience.”
Meanwhile, the Hong Leong Financial Group Bhd (HLFG) observed a profit before tax (PBT) of RM747 million for the first quarter financial year 2015 (1QFY15).
“The operating environment both locally and overseas has been challenging,” said the group’s president and chief executive officer Raymond Choong.
“Although HLFG registered lower earnings year on year (y-o-y), mainly due to the impact of lower interest rates on the carrying value of our insurance liabilities, we continue to improve in key underlying business indicators.
“Our strategic plans remain on tract and we will build on our long term business and franchise values.”