MEDIA RELEASE
For Immediate Release
MBSB UNVEILS STRATEGIC THREE-YEAR TRANSFORMATION PLAN
AT 54TH ANNUAL GENERAL MEETING
PETALING JAYA, 6 JUNE 2024 ─ Malaysia Building Society Berhad (MBSB or the Group) held its 54th Annual General Meeting (AGM), where shareholders passed all resolutions, including a significant proposal to rename the company from Malaysia Building Society Berhad to MBSB Berhad. This change reflects the Group's evolution into a larger banking entity following the successful merger with Malaysian Industrial Development Finance Berhad (MIDF) which was completed on 2 October 2023.
During the meeting, MBSB reported a Profit After Tax (PAT) of RM491.8 million for the fiscal year ended 31 December 2023, marking a 6.9% increase from the previous year. The Group's total financing grew by 9% to RM42.0 billion which surpassed the industry's growth average of 5%, while customer deposits surged by 30.58% year- over-year, reaching RM47.62 billion. Growth in deposits also marks progressive increase in CASA ratio from 6.22% to 7.06%.
The meeting, chaired by MBSB's Chairman, Dato' Wan Kamaruzaman Wan Ahmad, also approved a dividend of 3.5 sen per ordinary share.
Unveiling of FLIGHT26
A key agenda item at the AGM was the unveiling of FLIGHT26, the Group's strategic three-year business plan designed to boost profitability. Group Chief Executive Officer, Rafe Haneef, outlined the plan's four key missions: elevating the Group's CASA ratio to 20%, expanding the financing portfolio to RM50 billion, increasing non-funded income to 15% of net revenue, and achieving an optimal Cost to Income Ratio of 50% by 2026. These initiatives are expected to substantially improve the Return on Equity.
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"To realise these goals, FLIGHT26 is supported by TP30, comprising 30 transformation programmes. These include 12 programmes in Wholesale Banking, six in Commercial Banking, nine in Consumer Banking, and three in Digital Banking," Rafe added.
Group's Commitment to Sustainability
MBSB also highlighted its commitment to environmental and social responsibility, having developed a Net Zero Strategy and a Sustainable & Transition Finance Framework to guide its financing and investment activities. Significant achievements include MBSB Bank's green financing, which exceeded RM500 million, and MIDF's green portfolio, which now represents 13% of its total assets.
"In our operations, we focus not only on mitigating risks but also on unlocking new opportunities for growth and innovation. Our dedication to sustainability ensures the long-term viability of our business and the well-being of the communities we serve," Rafe concluded.
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About MBSB Group
Malaysia Building Society Berhad (MBSB) has been a vital contributor of the nation's financial services industry and economic development for more than 70 years. MBSB is also the financial holding company of MBSB Bank Berhad (MBSB Bank) and Malaysian Industrial Development Finance Berhad (MIDF). MBSB Bank is a progressive Islamic Bank that offers Shariah compliant banking facilities to retail, SME and corporate customers while MIDF is a financial services provider focusing on investment banking, development finance, and asset management.
For media enquiries, please contact: | |
Nik Surina Nik Abdullah | Najihah Sani |
Corporate Communications Department | Corporate Communications Department |
mbsbcorporatecomms@mbsb.com.my | mbsbcorporatecomms@mbsb.com.my |
03-7755 5561 | 03-7755 5567 |
MBSB
Level 25, Menara MBSB Bank, Lot 12, PJ Sentral, Persiaran Barat, Seksyen 52, 46200 Petaling Jaya, Selangor Website: www.mbsb.com.my
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