Page 29 - Bank Muamalat_AR24

ANNUAL REPORT 2024 1 2 Message from Leadership 3 4 5 6 7 8 27

PERFORMANCE REVIEW: HIGHLIGHTS OF THE YEAR FINANCIAL REVIEW: RESILIENCE
AND PROGRESS
In 2024, our objectives were clear, and our execution was focused, reflecting our
commitment to sustainable growth in a dynamic environment. Our core strategic The consistent double-digit revenue
intent was to position the Bank for long-term competitiveness and value creation growth, achieved despite a volatile
through responsible financing and digital innovation. economic environment, stands as a
testament to our collective efforts and
Specific strategic advancements were rolled out along with promotions and resilience towards sustainable growth.
campaigns celebrating our 25th anniversary milestone. To enhance customer
journeys, we soft-launched the ATLAS Digital Banking to our staff, improved We delivered robust total revenue
customer service on social media, upgraded our i-Muamalat online portal and growth of 20.8% at the Group level,
mobile banking, and enhanced Muamalat Corporate Transaction Banking (MCTB) rising from RM1.78 billion to RM2.15
to include statutory features such as Employee Provident Fund (EPF), income tax, billion. This was supported by a 21.6%
and social security. This led to significant customer growth: Retail customers expansion in gross funded income,
grew 13.8% y-o-y, Non-bumi SMEs financing value grew to become 34% of total stemming from yield optimisation
SME financing, and we onboarded 1,007 new non-retail customers. and consistent financing growth,
complemented by a 7.9% year-on-year
Concurrently, we diligently streamlined internal processes, achieving faster increase in core fee-based income
turnaround times in disbursements and documentation–all geared towards driven by forex and wealth management
serving our customers more efficiently. This led to achieving a market-competitive activities. Despite funding pressures,
turnaround time (TAT) of 99.3% for all retail products disbursements in FY2024. the Bank recorded a Profit Before Tax
(PBT) of RM129.3 million. In addition,
In building a future that prioritises environmental, social and governance goals,
our progress includes fostering inclusive growth and social finance by expanding we are pleased to report a healthy
access to finance for SMEs, supporting education and affordable housing through double-digit financing growth of
initiatives like iTEKAD, waqf, and Jariah Fund. Our efforts in Climate Change and 14.12%, primarily within the household
Environmental Stewardship include alignment with net zero by 2050, integrating sector.
climate risk by supporting clients’ green transition, and selectively managing Our deposit growth truly reflects
exposure in high-carbon sectors. We continued to ensure responsible governance the increasing trust placed in Bank
and risk management by embedding ESG across frameworks, and actively engaged Muamalat by the Malaysian public. We
with stakeholders for transparency. are deeply grateful that total deposits
grew by 11.17%, with a notable 3.89%
We also introduced innovative Shariah-compliant products, notably partnering
with INCEIF University to support the education sector via the Muamalat increase in Current Account and Savings
Education Financing, and introduced third party Wakalah Zakat for individuals and Account (CASA) deposits. Individual
organisations, furthering our commitment to social welfare. depositors, in particular, contributed
a significant 45.06% growth, a clear
More details on page 7 indicator of our improved brand
positioning and the effectiveness of our
marketing campaigns in resonating with
their needs.

We have also maintained sound asset
quality, keeping our gross impaired
financing ratio at a healthy 1.05%,
well below the industry average of
1.44%, thereby contributing to portfolio
resilience. Our capital management
remained prudent, with a Tier 1 Capital
ratio of 12.41% and a Total Capital
ratio of 16.74%, ensuring a robust
capital base to support growth and
meet regulatory requirements.