RHB Bank 40 net income 905 million ringgit, +8.5% YoY

RHB Bank 40 net income 905 million ringgit, +8.5% YoY

RHB Bank Reports Record Quarterly Net Profit of RM904 Million, Up 8.5% Year-on-Year

RHB Bank Bhd (KL:RHBBANK) reported a record net profit of RM904 million for the third quarter ended September 30, 2025 (3QFY2025), marking an 8.5% year-on-year (YoY) increase compared to RM833.2 million in the same period of 2024. This growth was driven by a 4.6% expansion in non-interest income and a 0.8% rise in net interest income.

The bank's allowance for credit losses declined sharply by 92% in the quarter, reflecting improved credit quality and prudent risk management. Gross loans grew 8% YoY, outpacing the 6.5% increase in customer deposits, while the non-performing loan (NPL) ratio improved by 0.27 percentage points to 1.50%.

For the nine-month period ending September 30, 2025, RHB Bank's net profit reached RM2.46 billion, up from RM2.29 billion in the prior-year period. However, non-interest income fell 5.6% YoY during this timeframe, contrasting with a 3.8% growth in net interest income.

Analyst sentiment remains positive, with 14 analysts recommending a "buy" and three advising a "hold" for RHB Bank shares. Smartkarma's analysis highlights the bank's strong fundamentals, including a 4.0 Smart Score, with notable strengths in dividends and momentum. The bank's CEO, Datuk Mohd Rashid Mohamad, attributed the performance to "steady momentum across core segments, supported by strong liquidity, prudent credit management, and disciplined cost control".

Despite macroeconomic uncertainties, RHB Bank emphasized its resilience, noting a contraction in net interest margin to 1.80% and a significant reduction in expected credit losses. No dividend was declared for the quarter, though the bank distributed 15 sen per share in September 2024.

The results underscore RHB Bank's strategic focus on balancing growth with risk mitigation, positioning it as a key player in Malaysia's banking sector.