Bank Islam Net Profit Up 9.8 Pct To RM139.12 Mln In 2Q
KUALA LUMPUR, Aug 26 (Bernama) -- Bank Islam Malaysia Bhd's net profit for the second quarter ended June 30, 2026 (2Q 2026) rose by 9.8 per cent to RM139.12 million from RM126.68 million a year ago, driven by higher net income and lower total overheads.
Revenue climbed 6.3 per cent year-on-year (y-o-y) to RM1.36 billion from RM1.28 billion previously, the bank stated in a Bursa Malaysia filing today.
The bank's net income rose by RM74.7 million, or 10.8 per cent, driven by higher net fund-based income, fees and commission income, and net gains on revaluation of financial assets at fair value through profit or loss (FVTPL) and on foreign exchange.
Its Group Retail Banking’s net income was lower by 16.1 per cent as compared to 2Q 2025, while Group Institutional Banking’s net income increased by 5.5 per cent to RM262.7 million for 2Q 2026.
For the cumulative 6 months (1H 2026), Bank Islam delivered a net profit of RM254.15 million compared with RM252.95 million previously, supported by higher net fund-based income and stronger fee and commission income
Meanwhile, revenue increased to RM2.61 billion from RM2.50 billion a year ago.
Total net income increased by 5.1 per cent y-o-y to RM1.43 billion, driven primarily by higher net fund-based income and stronger fee and commission income, partially offset by lower gains from the sale of securities.
Total overhead expenses rose by 3.9 per cent y-o-y to RM855.9 million, reflecting its continued investments in talent, digital capabilities, and technology infrastructure to enhance the customer experience, strengthen operational efficiency, and support business resilience.
Bank Islam’s gross financing grew 7.5 per cent y-o-y to RM77.9 billion, reflecting continued customer demand and growth across both Retail Banking and Institutional Banking segments.
It said customer deposits and investment accounts increased by RM4.2 billion, or 5.1 per cent y-o-y, to RM86.9 billion, providing a strong funding base to support financing expansion.
Chief executive officer Raja Datin Paduka Teh Maimunah Raja Abdul Aziz said Bank Islam’s resilient performance reflects the strength of its fundamentals and the commitment as the bank continues to navigate an evolving operating environment.
"Our strategic renewal will be anchored on simplification, automation and digitalisation. We are reviewing our processes, operating model and cost structure to eliminate complexity, improve execution effectiveness and deliver faster, more seamless and intuitive customer experiences.
"At the same time, we will invest purposefully in talent development and technology, accelerate digital adoption and build a core banking architecture and infrastructure that strengthens the group’s agility and resilience," she said.
Raja Teh Maimunah said that the development of new lines of business will enable Bank Islam to better serve a broader range of customer needs, diversify its business segments and revenue streams, and further enhance the reach and relevance of Islamic financial solutions.
-- BERNAMA