Maybank’s financial results for 2024, announced on Wednesday, underscored a year marked by robust growth, improved asset quality, and a strong commitment to sustainability and shareholder returns.

The Malaysian banking giant reported a 7.9 percent increase in net profit, reaching RM10.09 billion (US$2.27 billion), while profit before tax climbed 9.3 percent to RM13.70 billion. This performance was driven by an 8.1 percent rise in net operating income to RM29.57 billion.

Notably, non-interest income surged by 22.6 percent to RM9.88 billion, buoyed by strong contributions from wealth management, investment banking, global markets, and insurance. Additionally, net fund-based income saw a modest growth of 2.0 percent to RM19.69 billion, reflecting steady performance across its loan portfolio.

Strength in Loan and Deposit Growth

Maybank's Group loans grew by 5.3 percent year-on-year, with impressive gains across key markets – Malaysia (8.2 percent), Singapore (8.9 percent), and Indonesia (11.7 percent). This was complemented by a healthy deposit expansion of 6.5 percent, driven by significant growth in Singapore and steady increases in Malaysia and Indonesia.

Improved Operational Efficiency and Credit Quality

Pre-provisioning operating profit rose 8.2 percent to RM15.11 billion, thanks to a controlled increase in overheads. The bank also improved its credit quality, with net impairment provisions falling by 2.0 percent to RM1.65 billion and the net credit charge-off rate dropping from 31 bps to 26 bps.

Solid Capital and Liquidity Position

Maybank maintained a robust capital position with a total capital ratio of 18.04 percent and a CET1 capital ratio of 14.90 percent. Liquidity metrics remained strong as well, with the Group’s Liquidity Coverage Ratio (LCR) at 134 percent and the Loan-to-Deposit Ratio (LDR) at 90.7 percent.

Shareholder Returns and Dividend Payout

In line with its commitment to rewarding shareholders, Maybank declared a full-year dividend of 61 sen per share, combining an earlier 29 sen with a second interim dividend of 32 sen. This translates to a payout ratio of 73% and a dividend yield of 6.0 percent, reinforcing the bank’s strong shareholder returns.

Sectoral and Regional Highlights

The financial results were underpinned by strong performance across various business segments. The Community Financial Services and Global Banking segments both reported healthy increases in profit before tax, while Islamic Banking and the insurance arm, Etiqa, delivered substantial gains.

In key home markets such as Singapore and Indonesia, the bank’s growth was further enhanced by targeted strategies in digital enablement, customer relationship management, and innovative product offerings.

Looking Ahead

With FY25 marking the final phase of its M25+ strategic journey, Maybank is poised to leverage its strong financial footing, enhanced digital capabilities, and comprehensive sustainability initiatives to deliver exceptional value to its stakeholders.

The leadership’s focus on deepening customer relationships and integrating innovative financial solutions sets the stage for continued success in an evolving regional landscape.