Malayan Banking Bhd reports modest earnings growth in the third quarter

Malayan Banking Bhd (Maybank) disclosed its financial results for the third quarter ended 30 September 2025, showing a 3.2 % rise in net profit to RM2.62 billion (RM21.7 sen per share) compared with RM2.53 billion in the same period a year earlier. The jump was driven by stronger operating income and a reduction in impairment charges, while revenue slipped marginally to RM16.6 billion from RM16.7 billion a year earlier.

Income drivers

  • Net interest income and Islamic banking income both increased, together accounting for a 2.7 % rise in earnings‑per‑share growth.
  • Non‑interest income (NoII) surged by 37 %, reflecting higher fee‑based revenue and other operational gains.
  • The bank maintained its target of at least 11.3 % return on equity for the year, underscoring the strength of its profitability metrics.

Market reaction

On 20 November 2025 the stock closed at RM9.90, down 6.46 % from the prior close. The 52‑week range for the share sits between RM9.32 and RM10.76. Market capitalization is approximately MYR119.6 billion, with a price‑to‑earnings ratio of 11.63 and a dividend yield of 12.25 % (MYR 5.96 per share).

Currency backdrop

The Malaysian ringgit has strengthened against the Singapore dollar, with one Singapore dollar now purchasing roughly RM3.19. This appreciation improves spending power for Malaysians in Singapore but may deter Singaporean shoppers from visiting Malaysia, potentially influencing cross‑border retail volumes—a factor that may affect Maybank’s retail and international banking segments.

Outlook

Maybank’s latest quarterly report shows steady profitability and a resilient income mix. The bank’s focus on expanding both interest and non‑interest income streams, coupled with a supportive currency environment, positions it to maintain earnings growth and return‑on‑equity targets for the remainder of the fiscal year.