Bank Rakyat’s first quarter profit up 18.3% to $123mn

Growth in overall financing balance and excellent asset quality fueled the increased in profit.

Bank Rakyat Bhd has recorded an 18.3% jump in net profit to RM369.8mil ($123.11 million) on the back of a 16.1% increase in gross income to RM1.3bil ($432.54 million) for its first quarter ended March 31.

The improved profit was mainly contributed by the increase in financing income in line with the strong growth in overall financing balance and superior asset quality.

Its total deposits grew by 28.3% to RM 51.29 bil ($17.06 billion), while its liquidity position remained strong at 30.4%. Bank Rakyat’s net income after profit distribution to depositors grew by 1.3% to RM847.7mil ($282.05 million), driven by continued strong growth in quality financing, deposits, as well as improvement in asset quality, as written in a report in The Malaysian Star.

Income from financing stood at RM1.08bil ($359.34 million) compared to RM974.1mil ($324.1 million), of which RM 993.6 mil ($330.59 million) were from consumer banking, while commercial banking accounted for RM91mil ($30.28 million).