Latest news with #PublicBankBhd
The Star
6 days ago
- Business
- The Star
Public Mutual declares over RM20mil in distributions for three funds
KUALA LUMPUR: Public Bank Bhd 's wholly-owned subsidiary, Public Mutual Bhd, has declared distributions totalling over RM20mil for three funds. In a statement, the unit trust company announced a gross distribution of 3.75 sen per unit for the Public Select Bond Fund, 0.20 sen per unit for the Public Dividend Select Fund, and 0.10 sen per unit for the PB ASEAN Dividend Fund. Public Mutual is Malaysia's largest private unit trust company, with more than 180 funds under its management. It is also an approved private retirement scheme (PRS) provider, managing nine PRS funds.
The Star
27-05-2025
- Business
- The Star
Trading ideas: Public Bank, U Mobile, Kerjaya, Samaiden, Titijaya, PeterLabs, Shin Yang, NexG, Globaltec, Maybank, AMMB, PetGas, Hume Cement
KUALA LUMPUR: Here is a recap of the announcements that made headlines in Corporate Malaysia. Public Bank Bhd has failed in its appeal to set aside a RM560mn lawsuit filed by the National Feedlot Corporation and four others, including its chairman Datuk Seri Mohamad Salleh Ismail, after the country's apex court unanimously dismissed the bank's appeal. U Mobile Sdn Bhd has signed a RM2.4bn, 10-year deal with Telekom Malaysia Bhd to speed up its nationwide 5G rollout. Kerjaya Prospek Group Bhd , via wholly-owned subsidiary, Kerjaya Prospek Ventures Sdn Bhd, is acquiring 4.4mn shares and 935,900 new redeemable preference shares in Aspen Vision Land Sdn Bhd for RM98mn. Samaiden Group Bhd has bagged a RM100.8mn contract to undertake the engineering, procurement, construction and commissioning works for a large-scale solar photovoltaic power plant in Pasir Mas, Kelantan. Titijaya Land Bhd is proposing to acquire two property assets in Kota Kinabalu, Sabah, for RM105mn. Peterlabs Holdings Bhd has extended the suspension of its director Datuk Loh Saw Foong from his executive duties, pending the outcome of both its internal investigation and an ongoing probe by the Malaysian Anti-Corruption Commission. Shin Yang Group Bhd 's wholly-owned subsidiary Shin Yang Shipyard Sdn Bhd had signed a letter of intent with the Home Affairs Ministry for the proposed construction of the two offshore patrol vessels for Malaysian Maritime Enforcement Agency. NexG Bhd, formerly known as Datasonic Group Bhd , is developing a RM250mn secure identification document production facility as part of its global expansion strategy. Globaltec Formation Bhd's Australian-listed subsidiary, NuEnergy Gas Ltd, has commenced drilling the first of four wells under its Early Gas Sales Initiative in South Sumatra, Indonesia. Malayan Bank Bhd net profit edged up 4% YoY to RM2.6bn in 1QFY25, as income from interests and insurance offset a decline in non-interest income. AMMB Holdings Bhd closed FY25 with a 7.1% net profit growth YoY to RM2bn on the back of a higher net income of RM4.9bn from RM4.7bn in FY24. Petronas Gas Bhd 's net profit for 1QFY25 rose to RM468.8mn from RM456.7mn a year earlier although revenue declined to RM1.59bn from RM1.62bn previously. Hume Cement Industries Bhd posted a net profit of RM40.6mn for 3QFY25, down 33.4% from RM61.1mn a year ago, mainly due to lower cement sales volume.
New Straits Times
26-05-2025
- Business
- New Straits Times
Public Bank loses final bid to dismiss RM560mil NFCorp lawsuit
PUTRAJAYA: Public Bank Bhd has failed in its final attempt to set aside a RM560 million lawsuit filed by the National Feedlot Corporation (NFCorp) over an alleged breach of contract involving the protection of confidential bank account information. The Federal Court three-member bench led by Chief Judge of Malaya Datuk Seri Hasnah Mohammed Hashim in a unanimous decision today dismissed the bank's appeal to overturn the Court of Appeal's decision in allowing the suit in August 2023. The apex court also allowed NFC's cross-appeal, granting it the right to pursue exemplary and aggravated damages in its claim against the bank. On May 22, 2012, NFCorp, its chairman Datuk Mohamad Salleh Ismail, and the three subsidiary companies filed the suit against Public Bank over breach of contract to protect their bank account confidentiality. The appellants claimed that the leaked bank account information was used by the then PKR vice president Rafizi Ramli to bolster allegations that the plaintiffs leveraged a government loan to purchase eight KL Eco City properties.
New Straits Times
22-05-2025
- Business
- New Straits Times
Public Bank's Q1 below forecast, but dividend impact likely marginal
KUALA LUMPUR: Public Bank Bhd's core net profit for the first quarter ended March 31, 2025 (Q1) came in below expectations at RM1.75 billion due to the decline in non-interest income and a more normalised loan loss provision. CIMB securities Research said Public Bank Bhd's annualised Q1 net earnings came in 3.8 per cent and 6.8 per cent below the firm's and consensus forecasts, respectively, mainly owing to softer-than-expected net interest income. However, the firm said this is not unusual as Q1 is typically a shorter quarter. "Q1 earnings accounted for 24.1 per cent and 23.3 per cent of our and consensus full-year forecasts, respectively," it said in a note. At its results briefing, CIMB Securities said Public Bank indicated that its exposure to trade-related loans, including the exports and imports and logistics segments, stands at 2.0 per cent of domestic loans, and 3.0 per cent of total group loans. "The company hinted that it is still too early to provide an estimate on the impact from the US tariffs, but confirmed that most of its customers are primarily focused on domestic operations and are expected to remain quite resilient. "Consequently, it is maintaining its credit cost guidance at a low single- digit level," it said. CIMB Securities said that even if Public Bank's credit costs were to rise to the Covid-19 pandemic peak of 33 basis points and the central bank were to implement two policy rate cuts of 25 basis points each, the impact on its dividend would be minimal. Under such a scenario, the forecast for dividend per share may be downgraded by only one sen from 21.5 sen currently to 20.5 sen. However, the firm noted that the bank's dividend yield remains quite decent at 4.6 per cent for financial year 2025 even under this scenario. "We maintain 'Buy' on Public Bank with an unchanged target price of RM5.10. Dividend yield is expected to remain decent, even in a more stressed scenario," it added.
The Star
22-05-2025
- Business
- The Star
Public Bank rings in profit in 1Q
PETALING JAYA: Public Bank Bhd , the nation's third-largest lender by asset size, remains confident in the positive outlook for the Malaysian economy, despite acknowledging that global growth will be increasingly susceptible to policy and political uncertainties. Looking at its own operations, the lender emphasised that ensuring it remains well-capitalised at all times to support business growth is a top priority. It also aims to optimise returns to stakeholders, underpinned by a healthy capital and liquidity position. This, coupled with resilient asset quality and prudent loan loss reserves, will enable the group to generate sustainable returns, it added. Releasing its results for the first quarter ended March 31 (1Q25) yesterday, Public Bank saw a 5.6% year-on-year (y-o-y) climb in net profit to RM1.75bil, translating to an earnings per share of 9.04 sen, up from 8.52 sen. Revenue grew by 10% to RM7.31bil. The group attributed the improved performance to growth in net interest income, as well as a surge in non-interest income (NOII) contribution from its newly acquired insurance business, and higher investment and foreign-exchange (forex) income. Public Bank also saw steady growth in loans and deposits, with annualised rates of 5.6% and 3.5%, respectively. Other key financial metrics included a net return on equity (ROE) of 12.4%, a cost-to-income ratio of 35%, a gross impaired loans ratio of 0.5%, a loan-to-fund and equity ratio of 83.9%, and strong capital ratios, with Common Equity Tier 1 at 14% and total capital at 16.8%. Delving deeper into the numbers, the lender's net interest and financing income rose by 3.5% to RM2.8bil. This was supported by stable net interest margins and healthy loan and deposit growth. Meanwhile, NOII surged by 18.9% to RM772.1mil, driven by contributions from LPI Capital Bhd 's general insurance business, along with improved investment and forex earnings. Public Bank reported that the NOII growth was largely due to the recent acquisition of a 44.15% stake in the insurer, which added RM32.6mil to net profit attributable to shareholders. Notably, it anticipates further growth in NOII through synergies and cross-selling opportunities with LPI. Concurrently, Public Mutual Bhd, Public Bank's wholly-owned unit trust subsidiary, contributed RM208mil to pre-tax profit, representing 9% of the group's total. Public Mutual held a 33.9% retail market share, with RM97bil in net asset value across 185 unit trust funds. Meanwhile, domestic operations, which account for over 94% of total loans, remained solid, with a impaired loans ratio of 0.4%, significantly below the industry average of 1.4%. Public Bank reported that its loss coverage ratio stood at 159.9%, well above the industry's 91.2%, and reached 233.4% when including regulatory reserves, reflecting prudent risk management. Public Bank managing director and chief executive Tan Sri Dr Tay Ah Lek commented that despite prevailing challenges in the operating environment, the group's latest financial performance reflects the resilience and strength of its fundamentals. 'Prudent cost management yielded an efficient cost-income ratio of 35%, coupled with continued top-line growth, and ROE stood at 12.4%,' he pointed out. As of March 2025, the group's total loans reached RM430.1bil, with domestic loans growing by 6.3% to RM403.9bil, attributed to notable increases in residential property financing, hire purchase financing, and commercial property financing. 'These segments maintained strong market shares of 20.1%, 32.5%, and 32%, respectively. 'Deposits supported a solid liquidity position, with a gross loan-to-fund and equity ratio of 83.9%,' said the bank in a statement. Compared to the previous quarter ended Dec 31, the group saw a 3% decline in net profit, dropping from RM1.8bil, despite turnover increasing from RM7.06bil. The lender attributed the lower quarter-on-quarter profitability primarily to the reversal of over-provision of tax in the preceding quarter. Losses on foreign currency translation and cash flow hedges in the current quarter, compared to gains recorded in the previous quarter, as well as gains on remeasurement of defined benefit plans and revaluation of property in the prior quarter, also contributed to the difference in sequential profitability. In a report released earlier this month, CIMB Securities named Public Bank among its top picks for the banking sector, citing attractive dividend yields. However, the research house kept its 'neutral' call on the industry as a whole. An April report from Philip Capital observed that Public Bank is a 'recognised quality name' within the banking sector, consistently holding one of the highest asset qualities. Additionally, the research house noted that the lender has increased its dividend payout ratio guidance to 60% and is targeting a 2025 ROE of approximately 13%. 'Our key assumptions are a sustainable ROE of 12.7%, a cost of equity of 8.9%, and a long-term growth rate of 3.5%,' it said, while also putting a 'buy' recommendation on the counter. CIMB Securities and Philip Capital have set respective target prices of RM5.10 and RM5.30 for Public Bank. Looking ahead, the bank said it will continue to support the financing of residential properties, in tandem with the government's initiatives to promote home ownership, especially for first-time home buyers. It will also continue to support financing for the purchase of passenger vehicles and for small and medium enterprise.
