Public Bank records higher 1H net profit of RM3.51bil, declares 10.5c div/share

KUALA LUMPUR: Depite significant headwinds, Public Bank Bhd said improved net interest and non-interest income underscored a resilient performance in the first half of 2025.

During the six-month period, the group said net profit was RM3.51bil, an increase from RM3.44bil in the same period in the previous year, while revenue was also higher at RM14.67bil against RM13.34bil in 1HFY24.

In the second quarter (2QFY25) alone, Public Bank posted a net profit of RM1.76bil, down from RM1.78bil in the year-ago quarter, which translated to an earnings per share of 9.11 sen against 9.18 sen previously.

The group reported quarterly revenue of RM7.35bil, an improvement from RM6.69bil in the previous corresponding period.

"The group’s core businesses continued to deliver

commendable performance, with return on equity standing at 12.6%, whilst cost management remained prudent with an efficient cost-to-income ratio of 35.3%," said managing director and CEO Tan Sri Tay Ah Lek in a statement.

In line with the performance, the board of directors declared an interim dividend of 10.5 sen, with ex-date on Sept 11, 2025, and payment date on Sept 24, 2025.

The bank said net interest and financing income grew 4.1% to RM5.65bil. Non-interest and non-financing income jumped 17.5% to RM1.61bil, spurred on by investment income, foreign exchange business as well as fee and commission income.

It said its 44.15% stake in general insurance provider LPI Capital Bhd contributed RM146.1mil, which accounted for about 9% of its total non-interest and non-financing income.

"Moving forward, the group will further capitalise

on strategic opportunities by leveraging on LPI’s agency force, as well as the Group’s large customer base to cross-sell products and services," said the group.

During the first half of 2025, Public Bank said its total loans grew at an annualised rate of 5.1%, with domestic loans rising at a higher rate of 6.1%.

Total deposits, meanwhile, increased at an annualised rate of 3.5% due to doestic deposits rising 4.1%.

"Resilient domestic demand continues to support

banking business growth," said Tay. 

He added that the group will continue to proactively grow its business leveraging on its core strength in the retail banking segment, while maintaining a strong focus on ESG initiatives and digital transformation to drive business growth.