PETALING JAYA: Malaysia Building Society Bhd’s (MBSB) net profit in the first quarter ended March 31, 2022 (1Q22) fell 8.2% to RM58.2mil from RM63.41mil in the same quarter last year.

       MBSB, in a statement, said the lower profit was due to lower non-funded income and higher operating expenditure on technology and personnel-related expenses.

       “The group’s impairment charge dropped RM16.7mil or 9.5% on a year-on-year basis, while minimal modification losses of RM8.96mil was incurred in 1Q22 under the URUS programme,” it said.

       It also recorded a higher gross impaired ratio of 5.89% compared to 4.60% in the preceding quarter, mainly arising from the expiry of the repayment assistance and impairment of several corporate financing facilities.

       “We expect gross impaired financing to normalise in subsequent quarters with efforts underway to restructure and recover the financing,” MBSB said.

       Its revenue for the quarter dipped 2.4% to RM664.55mil from RM680.98mil a year ago.

       MBSB

       Acting chief executive officer Datuk Nor Azam said: “The reopening of the economy augurs well for the country, and we expect improved confidence from both consumer and businesses, which will contribute positively towards the overall activity of the Malaysian economy.”

       Nor Azam said although its gross financing only grew by 0.7% during the first quarter, MBSB is set to see higher growth in the coming quarters as some of these financing facilities are at various stages of disbursements.