By DayakDaily Team
KUCHING, Feb 26: AFFIN Group (AFFIN) reported a Profit Before Taxation (PBT) of RM755.7 million for the financial year ended Dec 31, 2025, marking a steady increase of RM54.7 million or 7.8 per cent from RM701.0 million in the previous year.
The growth in PBT was mainly driven by a higher net income of RM271.8 million, partially offset by an increase in operating expenses of RM33.9 million and an allowance for impairment losses of RM31.2 million, compared to a write-back of RM151.4 million in FY2024.
AFFIN Group President and Group CEO Datuk Wan Razly Abdullah highlighted the company’s strong performance, driven by its highest-ever net income and a 47.4% increase in operating profit.
“Our ongoing asset quality efforts have driven the Gross Impaired Loan (GIL) ratio to an all-time low of 1.64 per cent, while our robust capital and liquidity positions provide a solid foundation to capture opportunities in 2026, strengthen earnings quality, and build long-term shareholder value,” he said in a media release today.
The Group’s fourth-quarter PBT reached RM215.6 million, an 18.4 per cent increase quarter-on-quarter, boosted by Net Interest Margin expansion and a 30.5 per cent growth in fee-based income from foreign exchange, fees, and commissions.
AFFIN’s total asset base grew to RM124.1 billion, supported by loans and financing, which expanded 10.4 per cent YoY to RM79.5 billion.
Looking ahead, Wan Razly said the economic outlook for Malaysia in 2026 remains constructive, with real GDP growth forecast at 4.0–4.5 per cent, underpinned by resilient domestic demand, sustained investment, and stronger external trade flows.
Globally, easing inflation is expected to support consumption, though geopolitical risks remain a consideration.
On business strategy, AFFIN reported strong customer growth and diversification: “Our brand elevation and strategic collaborations drove a 13 per cent increase in CASA customers, reaching 1.74 million. Expansion in Islamic Structured Products and landmark investment banking advisory projects have improved wealth and advisory income. We maintain a robust business pipeline of RM14 billion, providing a clear runway into 2026.”
The Group also earned industry recognition for its capital market initiatives. AFFIN received the Best New Bond Award by The Asset for its US$300 million senior unsecured notes issuance in June 2025, marking its debut in the US dollar bond market. Affin Hwang Investment Bank was similarly recognised for Best Primary Placement for the Pavilion REIT RM360 million placement.
Reflecting its strong capital position and performance, AFFIN’s Board has proposed a final dividend of 8.53 sen per share, totalling RM216 million.
“This dividend is a tangible acknowledgment of shareholders’ trust and support as we continue executing the AFFIN Axelerate 2028 (AX28) Plan, our strategic roadmap to deepen core earnings, enhance efficiency, and build sustainable, long-term value,” concluded Wan Razly. — DayakDaily
