Bank Muamalat Profit before Tax surges by 231.8% to RM140.6 million for financial year ended 31 March 2010

EBank Muamalat Profit Before Tax surges by 231.8% to RM140.6 million for financial period ended 31 March 2010
Kuala Lumpur – Bank Muamalat Malaysia Berhad is pleased to report its performance for the 15-month period ending 31 March 2010. Profit before tax rose strongly to RM140.6 million or 231.8% higher compared to previous year (annualized at RM112.5 or 165.4%).

Significant improvements in financing recoveries and asset quality, a moderate expansion in our financing base and prudent rebalancing of our investment portfolio have led to a substantial increase in total distributable income by RM127.0 million or 21.8%. Ample liquidity and softer monetary policy which prevailed throughout the year and the implementation of several cost saving initiatives further contributed towards enhancing our earnings. Net profit for the period stood at RM97.5 million compared to RM30.2 million in 2008.

At RM16.7 billion, total assets increased by 15.9% and net financing rose by RM587.7 million as compared to previous year. Reflecting our continued focus on prudent recovery and credit initiatives, net non-performing financing ratio registered significant improvement from 4.4% at the end of the preceding year to 3.0% as at March, 2010. During the same period, deposits from customers grew markedly to RM14.9 billion or 19.7%.

The overall strong performance was supported by comparatively robust core and risk-weighted capital ratios of 13.9% and 17.5% respectively. Please refer to the financial report for further details, which is available online in the Corporate Overview section at www.muamalat.com.my.