Latest news with #CIMBGroupHoldingsBhd
The Star
a day ago
- Business
- The Star
CIMB Niaga posts 1H25 pre-tax profit of RM1.13bil
CIMB Niaga president director Lani Darmawan. PETALING JAYA: PT Bank CIMB Niaga Tbk (CIMB Niaga) has reported a consolidated profit before tax of 4.4 trillion rupiah or about RM1.13bil for the first half of 2025 (1H25), supported by consistent loan growth, a healthy funding profile, as well as strong capital and liquidity positions. Earnings per share stood at 137.43 rupiah, reflecting solid profitability in a competitive operating environment. 'In 1H25, CIMB Niaga delivered a balanced performance, reflecting the resilience of our strategy and the discipline of our execution,' said Lani Darmawan, the bank's president-director. 'We recorded healthy and prudent loan growth in line with our risk appetite and market dynamics, while maintaining stable asset quality, robust capital and liquidity, and a well-diversified revenue base, all of which reinforce the strength of our franchise,' Lani said. CIMB Niaga is an indirect 91.44% subsidiary of CIMB Group Holdings Bhd . As of June 30, the bank's total consolidated assets reached 357.9 trillion rupiah, solidifying its position as Indonesia's second-largest privately owned bank. Total loans increased by 6.8% year-on-year (y-o-y) to 231.8 trillion rupiah, driven by broad-based growth across key segments. Corporate banking led with a 9.3% increase, while small and medium enterprises expanded by 7.3% and consumer banking grew 4.7%. Within retail lending, auto loans stood out, surging 26.7% y-o-y. At the same time, the lender also reported strong performance on the funding side, as total deposits rose to 261.9 trillion rupiah, an increase of 4.8% y-o-y, while current accounts and savings accounts (Casa) grew by 10.9% to 180.6 trillion rupiah, boosting the Casa ratio to 69%. 'This growth reflects stronger customer relationships and enhanced digital touchpoints,' CIMB Niaga stated. Capital and liquidity indicators remain robust, with a capital adequacy ratio of 24% and a loan-to-deposit ratio of 87.3%, supporting ongoing lending capacity and operational resilience. CIMB Niaga's Islamic banking arm, CIMB Niaga Syariah, retained its position as the largest syariah business unit in Indonesia. As of June, syariah financing reached 59.6 trillion rupiah, up 2.5% y-o-y, largely due to growth in the wholesale and commercial segments. Total third-party deposits under the syariah unit stood at 48.2 trillion rupiah. The bank highlighted its focus on expanding low-cost funding through strategic Islamic partnerships and deeper community engagement. Lani said sustainability also remained a strategic focus for the bank in 1H25.
The Star
2 days ago
- Business
- The Star
CIMB Niaga posts 1H25 pre-tax profit of IDR4.4 trillion
PETALING JAYA: PT Bank CIMB Niaga Tbk (CIMB Niaga) has reported a consolidated profit before tax of 4.4 trillion rupiah for the first half of 2025 (1H25), supported by consistent loan growth, a healthy funding profile, as well as strong capital and liquidity positions. Earnings per share stood at 137.43 rupiah, reflecting solid profitability in a competitive operating environment. 'In 1H25, CIMB Niaga delivered a balanced performance, reflecting the resilience of our strategy and the discipline of our execution,' said Lani Darmawan, the bank's president director. 'We recorded healthy and prudent loan growth in line with our risk appetite and market dynamics, while maintaining stable asset quality, robust capital and liquidity, and a well-diversified revenue base, all of which reinforce the strength of our franchise.' CIMB Niaga is an indirect, 91.44% subsidiary of CIMB Group Holdings Bhd . As of June 30, the bank's total consolidated assets reached 357.9 trillion rupiah, solidifying its position as Indonesia's second largest privately owned bank. Total loans increased by 6.8% year-on-year (y-o-y) to 231.8 trillion rupiah, driven by broad-based growth across key segments. Corporate banking led with a 9.3% increase, while small and medium enterprises (SMEs) expanded by 7.3% and consumer banking grew 4.7%. Within retail lending, auto loans stood out, surging 26.7% y-o-y. At the same time, the lender also reported strong performance on the funding side, as total deposits rose to 261.9 trillion rupiah, an increase of 4.8% y-o-y, while current account-savings account (CASA) grew by 10.9% to 180.6 trillion rupiah, boosting the CASA ratio to 69.0%. 'This growth reflects stronger customer relationships and enhanced digital touchpoints,' CIMB Niaga stated. Capital and liquidity indicators remain robust, with a capital adequacy ratio of 24% and a loan-to-deposit ratio of 87.3%, supporting ongoing lending capacity and operational resilience. CIMB Niaga's Islamic banking arm, CIMB Niaga Syariah, retained its position as the largest Sharia business unit in Indonesia. As of June, Sharia financing reached 59.6 trillion rupiah, up 2.5% y-o-y, largely due to growth in the wholesale and commercial segments. Total third-party deposits under the Sharia unit stood at 48.2 trillion rupiah. The bank highlighted its focus on expanding low-cost funding through strategic Islamic partnerships and deeper community engagement. Notably, Lani said sustainability remained a strategic focus in 1H25. 'With sustainability being a key priority, nearly 25% of the bank's total financing, or equivalent to 57.6 trillion rupiah, supports a just transition, low-carbon economy, and the United Nations Sustainable Development Goals,' she pointed out. CIMB Niaga also participated in the launch of the Indonesia Carbon Exchange in January and took steps to reduce its operational carbon footprint, including the installation of solar panels at one of its Yogyakarta branches in June 2025. Looking ahead, Lani said the bank will continue to allocate capital strategically to drive sustainable growth and stronger risk-adjusted returns. 'As we stay true to our purpose of advancing customers and society, our focus remains clear to provide banking solutions that are simpler, better, and faster, enabling customers to thrive and supporting inclusive progress for the communities we serve,' said Lani.
New Straits Times
4 days ago
- Business
- New Straits Times
Tariff uncertainties to pose little impact on CIMB's FY2026: Group CEO
KUALA LUMPUR: CIMB Group Holdings Bhd says the prevailing uncertainty surrounding global tariff policies will not have a direct impact on its financial performance for the financial year ending 2026 (FY2026). This will be due to the group's diversified income strategy and sustainable operational efficiency. CIMB Group chief executive officer Novan Amirudin said while global tariffs could potentially weigh on regional economic growth, the impact on the bank remains limited and largely depends on how the additional costs are distributed along the supply chain. "It depends on whether the costs are borne by producers in Asean, consumers in the United States, or absorbed by governments through incentives and supportive policies," he said during a fireside chat held in conjunction with CIMB's Asean Media Day today. He added that if restrictions on exports from China to the United States prompt manufacturers to relocate to Asean, any resulting oversupply could put pressure on local producers. "This situation could slow regional growth and indirectly affect the financial sector, as loan growth is closely tied to economic activity," he explained. Nevertheless, he said CIMB does not rely solely on interest income but has also strengthened its non-interest income streams. "About 30 per cent of the group's income comes from non-interest sources, including transaction fees, foreign exchange, payment solutions and advisory services. "These initiatives are aligned with our Forward 30 strategy, which emphasises revenue stream diversification," he said. On the recent Overnight Policy Rate (OPR) cut by Bank Negara Malaysia, he said the move impacts the lending rates offered to customers. CIMB also adjusted its deposit rates, such as fixed deposits, which are now at lower levels. "A lower OPR typically reduces funding costs. Therefore, the net impact on the bank depends on how much lending and deposit rates are adjusted. "If we are able to reduce deposit rates further, we can still maintain our net interest margins," he said.
Borneo Post
24-07-2025
- Business
- Borneo Post
CIMB: Asean must tell better stories to attract global capital
Novan says Asean markets are filled with strong companies and promising ideas but these have not been highlighted effectively on the global stage. KUALA LUMPUR (July 23): Asean companies and economies must do a better job of telling their success stories if the region wants to attract more global capital, said CIMB Group Holdings Bhd (CIMB) chief executive officer Novan Amirudin. He said the region has strong fundamentals such as a young population, a rising middle class, fast gross domestic product (GDP) growth and steady inflows of foreign direct investment. However, these strengths have not been translated into global investor confidence because Asean has not promoted its investment potential well enough, according to Novan. 'We all know the benefits of Asean. But the one thing that Asean hasn't done enough is storytelling. 'There's a lot of investment proposition (in the region). But we haven't been telling enough stories about what is available here,' he said during the bank's Asean Media Day earlier this week at its headquarters. He said Asean markets are filled with strong companies and promising ideas but these have not been highlighted effectively on the global stage. Instead, he said capital continues to flow to the United States where companies are backed by compelling narratives. 'Malaysia has 30 million people and the US has 300 million, about ten times more. But the market cap of the US is 140 times larger than Bursa Malaysia. It just doesn't make sense,' he said. He said the large gap exists because a significant amount of capital is currently parked in the US market. He explained that the size of the US capital market is driven not just by economic strength but by compelling stories that attract long-term investments. Companies there are able to communicate their value, vision and potential that resonate with global investors. Novan noted that the US financial markets currently hold close to US$30 trillion in foreign-owned assets, with about US$6 trillion coming from East Asian governments and economies. He said the current geopolitical climate is pushing some of that capital to look for new destinations. 'We in Asean must make sure we are ready to capture our fair share of that capital,' he added. However, he warned that any story told to the market must be backed by strong delivery. 'The last thing we want is to promote stories we can't execute. That will drive capital away instead of attracting it,' he said.
Borneo Post
23-07-2025
- Business
- Borneo Post
CIMB able to weather effects of rising tariffs
While tariffs are an external factor beyond the bank's control, Novan (left) says CIMB has levers in place to cushion potential impacts on its financial performance. KUALA LUMPUR (July 23): CIMB Group Holdings Bhd is confident it can weather the effects of rising tariffs and economic uncertainties through a mix of income diversification, operational efficiency, and risk management, said group chief executive officer Novan Amirudin. He said while tariffs are an external factor beyond the bank's control, it has levers in place to cushion potential impacts on its financial performance. 'We at CIMB have reconstituted our portfolio over the last few years. We've exited businesses that were very hard to operate. We've reduced our risk profile, we've reduced our credit losses, we've increased our coverage ratio. 'Our portfolio looks extremely strong and we are in a good place. And that would be one more area that can help our financial statement. 'Tariffs is one factor that would impact a company's or a bank's financials. But it's how we then choose to play with the different levers to offset that situation, and not every company is the same in that regard. 'We will do what it takes to make sure that we are resilient,' he said during the bank's Asean Media Day on Monday (July 21). He acknowledged that rising tariff could hurt economic growth which in turn may affect loan growth but stressed that the bank is not solely dependent on loans for income. 'Around 30 per cent of our income comes from non-interest sources, such as foreign exchange, payments, and advisory fees. This has been a key part of our Forward30 strategy to rebalance income streams,' he said. Novan added that even in a low interest rate environment where net interest margins are narrowing, CIMB is actively improving operational efficiency through tools such as technology and artificial intelligence. 'We are focused on becoming operationally efficient. That reduction in cost can help our bottom line,' he said. He also highlighted that tariff changes often lead to shifts in supply chains, which may affect different sectors in Asean unevenly. 'Some supply chains may move out of China and redirect exports to Asean. This could increase supply in some markets, like cars for example, and affect local players. We have to watch these shifts closely,' he said. He reiterated that tariffs are just one factor and cannot be viewed in isolation. 'There are many other things within our control. We cannot sit back and say because there are tariffs, our financials will get impacted. We will pivot our strategies and manage what we can,' he said. He said the bank will do what it takes to be nimble, to pivot its strategies, to look at its efficiencies, portfolio, credit losses, non-interest income, and cost of funds to mitigate impacts as a result of tariffs. asean CIMB Financing tariffs
