Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
1
INTERIM FINANCIAL STATEMENTS
FOR THE FINANCIAL QUARTER ENDED
31 MARCH 2015
Registered Office
Ground Floor, East Block
Wisma Selangor Dredging
142-B Jalan Ampang
50450 Kuala Lumpur
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
2
INTERIM FINANCIAL STATEMENTS
UNAUDITED STATEMENTS OF FINANCIAL POSITION AS AT 31 MARCH 2015
Group and Bank Unaudited Audited 31 March 31 December Note 2015 2014 RM’000 RM’000 ASSETS Cash and short-term funds 179,829 358,672 Deposits and placements with other institutions 9 247,392 233,115 Hedging financial instruments 10 - 1,630 Securities held-for-trading 11 5,680 5,099 Securities held-to-maturity 12 1,442,322 1,426,084 Financing and advances 13 5,052,153 4,774,809 Other assets 35,282 32,758 Statutory deposits with Bank Negara Malaysia 221,364 216,364 Investment properties 105,000 105,000 Property and equipment 14,461 13,051 Intangible assets 29,600 31,706 Deferred tax assets 72,645 72,645 Total Assets 7,405,728 7,270,933 LIABILITIES AND SHAREHOLDER’S EQUITY Liabilities Deposits from customers 14 5,439,421 5,477,854 Deposits and placements of banks and other financial institutions 15 913,773 777,289 Hedging on financial instruments 10 2,661 685 Bills and acceptances payable 15,137 12,551 Other liabilities 66,535 48,940 Subordinated Sukuk 246,808 232,883 Total Liabilities 6,684,335 6,550,202 Shareholder’s equity Share capital 1,000,000 1,000,000 Reserves (278,607) (279,269) Total Shareholder’s Equity 721,393 720,731 Total Liabilities and Shareholder’s Equity 7,405,728 7,270,933 COMMITMENTS AND CONTINGENCIES 22 1,443,573 1,732,323 CAPITAL ADEQUACY 24 Core capital ratio 13.808% 13.832%Risk-weighted capital ratio 20.493% 20.167% The Interim Financial Statements should be read in conjunction with the audited financial statements of the Group and the Bank for the year ended 31 December 2014
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
3
INTERIM FINANCIAL STATEMENTS UNAUDITED STATEMENTS OF COMPREHENSIVE INCOME
FOR THE 1st QUARTER ENDED 31 MARCH 2015
1st Quarter Ended Period Ended Group and Bank Group and Bank
Note
31 March2015
RM’000
31 March2014
RM’000
31 March 2015
RM’000
31 March2014
RM’000 Revenue 92,615 82,767 92,615 82,767 Income derived from investment of depositors’ funds and others
16
84,875
75,203
84,875
75,203
Income derived from investment of shareholders’ funds
17
7,740
7,564
7,740
7,564
Allowance for impairment on financing
18
(4,015)
(2,374)
(4,015)
(2,374)
Other expenses directly attributable to the investment of the depositors’ funds
(4)
(2)
(4)
(2)
Total distributable income 88,596 80,391 88,596 80,391 Income attributable to depositors 19 (49,040) (38,914) (49,040) (38,914)
Total net income 39,556 41,477 39,556 41,477
Personnel expenses (17,128) (18,938) (17,128) (18,938) Other overheads and expenditures (21,766) (20,980) (21,766) (20,980)
Profit before zakat and taxation 662 1,559 662 1,559
Zakat - - - -
Taxation - - - -
Net profit for the period 662 1,559 662 1,559
The Interim Financial Statements should be read in conjunction with the audited financial statements of the Group and the Bank for the year ended 31 December 2014.
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
4
INTERIM FINANCIAL STATEMENTS UNAUDITED STATEMENT OF CHANGES IN EQUITY
FOR THE 1st QUARTER ENDED 31 MARCH 2015
The Interim Financial Statements should be read in conjunction with the audited financial statements of the Group and the Bank for the year ended 31 December 2014.
Non-distributable Group and Bank
Share Capital
Statutory Reserve
Available-for-sale
reserve Accumulated
lossesTotal
At 1 January 2015 1,000,000 3,975
- (283,244) 720,731Total comprehensive income for the financial period - -
- 662 662
At 31 March 2015 1,000,000 3,975 - (282,582) 721,393
At 1 January 2014 1,000,000 1,574
- (285,658) 715,916Total comprehensive income for the financial period - -
- 1,546 1,546
At 31 March 2014 1,000,000 1,574 - (284,112) 717,462
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
5
INTERIM FINANCIAL STATEMENTS UNAUDITED CONDENSED STATEMENT OF CASH FLOWS
FOR THE 1st QUARTER ENDED 31 MARCH 2015
Group and Bank 31 March
2015 31 March
2014 RM’000 RM’000 CASH FLOWS FROM OPERATING ACTIVITIES Profit before zakat and taxation 662 1,559
Adjustments for: Depreciation of property and equipment 1,586 1,863 Amortisation of intangible assets 3,304 3,161 Allowance for impairment on financing 5,887 3,695 Bad debt on financing – Recovered (1,872) -
Unrealised loss from foreign exchange translations 2,293 1,843 Unrealised loss on revaluation of securities held-for-trading/
investment properties
(375)
- Operating cash flow before workings capital changes 11,485 12,121 (Increase) / decrease in Operating Assets Deposits and placements with banks and other financial institutions (14,277) (16,809) Financing and advances (281,357) 125,583 Other assets (2,360) 4,737 Statutory deposits with Bank Negara Malaysia (5,000) (3,196)
Increase / (decrease) in Operating Liabilities Deposits from customers (38,433) 196,398 Deposits and placements of banks and other financial institutions 138,460 (17,563) Hedging financial instruments (606) - Bills and acceptances payable 2,586 1,048 Other liabilities 17,166 (11,195)
Net cash (used in)/generated from operating activities (172,336) 291,124 CASH FLOWS FROM INVESTING ACTIVITIES Purchase of property and equipment (2,996) (2,077) Purchase of intangible asset (1,198) (477) Securities held-to-maturity (2,313) (383,563)
Net cash used in investing activities (6,507) (386,117)
NET DECREASE IN CASH AND CASH EQUIVALENTS (178,843) (94,993) CASH AND CASH EQUIVALENTS - As at the beginning of the period 358,672 455,387
- AS AT END OF THE PERIOD 179,829 360,394
The Interim Financial Statements should be read in conjunction with the audited financial statements of the Group and the Bank for the year ended 31 December 2014.
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
6
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 1. BASIS OF PREPARATION The unaudited condensed interim financial statements have been prepared in accordance with the
applicable requirements of MFRS 134: Interim Financial Reporting in Malaysia issued by Malaysian Accounting Standards Board (MASB), Financial Reporting for Islamic Banking Institution policy issued by Bank Negara Malaysia (BNM), the provisions of the Companies Act, 1965 and Shariah requirements.
The unaudited condensed interim financial statements should be read in conjunction with the audited
financial statements for the year ended 31 December 2014. The explanatory notes attached to the consolidated condensed interim financial statements provide an explanation of events and transactions that are significant to an understanding of the changes in the financial position and performance of the Group since the year ended 31 December 2014.
2. ACCOUNTING POLICIES The significant accounting policies and methods of computation applied in the unaudited condensed
interim financial statements are consistent with those adopted in the most recent audited financial statements for the year ended 31 December 2014, except for the adoption of the following:
Amendments to MFRS 119: Defined Benefits Plans: Employee Contributions Annual improvements to MFRSs 2010 - 2012 cycle Amendments to MFRS contained in the documents entitled “Annual Improvements 2011-2013 cycle” Amendments to MFRS 3: Business Combination Amendments to MFRS 8: Operating Segments Amendments to MFRS 13: Fair Value Measurement Amendments to MFRS 116: Property, Plant and Equipment Amendments to MFRS 124: Related party disclosures MFRS 138: Intangible Asset
The adoption of MFRSs above do not have any financial impact on the Group and the Bank as they mainly help to clarify the requirements of or provide further explanations to existing MFRSs.
The following MFRSs and IC Interpretations have been issued by the MASB and are not yet effective:
Effective for the financial period beginning on or after 1 January 2016: MFRS 11: Accounting for acquisitions in Joint Operations Amendments to MFRS 127: Equity Method in Separate Financial Statements Amendments to MFRS 10 and MFRS 128: Sale or Contribution of Assets between an Investor and its Associate or Joint Venture Amendments to MFRSs contained in the document entitled “Annual Improvements to MFRSs 2012–2014 Cycle” MFRS 14: Regulatory Deferral Accounts Amendments to MFRS 116 and MFRS 138: Clarification of Acceptable Methods of Depreciation and Amortisation Amendments to MFRS 116 and MFRS 141: Agriculture: Bearer Plants Effective for the financial period beginning on or after 1 January 2017: MFRS 15: Revenue from Contracts with Customers
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
7
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 2. ACCOUNTING POLICIES (CONTINUED)
Effective for the financial period beginning on or after 1 January 2018: MFRS 9: Financial Instruments (IFRS 9 Financial Instruments as issued by IASB in July 2014)
3. AUDITORS’ REPORT ON PRECEDING ANNUAL FINANCIAL STATEMENTS
The auditors’ report on the audited annual financial statements for the financial year ended 31 December 2014 was not qualified.
4. COMMENTS ABOUT SEASONAL OR CYCLICAL FACTORS The operations of the Group and the Bank were not materially affected by any seasonal or cyclical factors in the 1st Quarter Ended 31 March 2015.
5. UNUSUAL ITEMS DUE TO THEIR NATURE, SIZE OR INCIDENCE There were no unusual items affecting the assets, liabilities, equity, net income or cash flows of the Group and the Bank in the 1st Quarter Ended 31 March 2015.
6. CHANGES IN ESTIMATE There were no changes in estimates of amounts reported in prior financial years that have a material effect in the 1st Quarter Ended 31 March 2015.
7. DEBT AND EQUITY SECURITIES There were no issuances, cancellation, repurchases, resale or repayments of debt and equity securities in the 1st Quarter Ended 31 March 2015.
8. DIVIDENDS PAID There were no dividends paid during the 1st quarter and three months ended 31 March 2015.
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
8
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 9. DEPOSITS AND PLACEMENTS WITH BANKS AND OTHER FINANCIAL INSTITUTIONS
10. HEDGING FINANCIAL INSTRUMENTS 11. SECURITIES HELD-FOR-TRADING
12. SECURITIES HELD-TO-MATURITY
Group and Bank
Unaudited 31 March
2015
Audited 31 December
2014 RM’000 RM’000 At amortised cost Unquoted : Islamic government securities in Malaysia 1,404,223 1,418,459
Islamic private debt securities in Malaysia 38,099 7,625 1,442,322 1,426,084
Group and Bank
Unaudited 31 March
2015
Audited 31 December
2014 RM’000 RM’000 Foreign financial institutions 247,392 233,115
Fair ValueGroup and Bank Notional
Amount
Assets Liabilities RM’000 RM’000 RM’000Unaudited 31 March 2015 Foreign currency forward contracts 24,461 - 2,661 Audited 31 December 2014 Foreign currency forward contracts 38,398 1,630 685
Group and Bank
Unaudited 31 March
2015
Audited 31 December
2014 RM’000 RM’000 At fair value Quoted securities: Unit Trust 5,680 5,099
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
9
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES
(a) Financing and advances analysed by types and Shariah contracts are as follows:
Unaudited31 March 2015
Group and Bank
Bai’ Bithaman
Ajil
Qard
Total net financing and
advancesAt amortised cost RM’000 RM’000 RM’000Term Financing: Corporate financing 3,066,973 - 3,066,973 Home financing 1,184,341 - 1,184,341 Personal financing 726,787 - 726,787 Vehicle financing 85,047 - 85,047 SME financing 81,774 - 81,774 Shop-house financing 40,321 - 40,321 Charge cards - 1,908 1,908Gross financing and advances 5,185,243 1,908 5,187,151 Less: Impairment allowance - Collective assessment (92,353) - Individual assessment (42,645) Total net financing and advances 5,052,153
Audited31 December 2014
Group and Bank
Bai’ Bithaman Ajil
Qard
Total net financing and
advances RM’000 RM’000 RM’000At amortised cost Term Financing:
Corporate financing 2,762,340 - 2,762,340Home financing 1,179,749 - 1,179,749Personal financing 749,463 - 749,463
SME financing 86,297 - 86,297Vehicle financing 86,142 - 86,142Shop-house financing 38,443 - 38,443Charge cards - 2,086 2,086
Gross financing and advances 4,902,434 2,086 4,904,520 Less: Impairment allowance - Collective assessment (86,569) - Individual assessment (43,142)Total net financing and advances 4,774,809
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
10
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES (CONTINUED)
(b) Financing and advances analysed by type of customers are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Individuals 2,005,097 2,022,625 Foreign entities 1,736,947 1,569,851 Domestic business enterprise 1,410,438 1,148,660 Domestic non-bank financial institutions 34,669 163,384 5,187,151 4,904,520
(c) Financing and advances analysed by profit rate sensitivity are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Fixed rate: Corporate financing 1,541,591 1,253,219 Personal financing 726,787 749,463 Vehicle financing 85,047 86,142 SME financing 81,774 86,297 Home financing 17,576 18,402 Charge card 1,908 2,086 Shop-house financing 1,059 1,074 Variable rate:
Corporate financing 1,525,382 1,509,121 Home financing 1,166,765 1,161,347 Shop-house financing 39,262 37,369 5,187,151 4,904,520
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
11
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES (CONTINUED)
(d) Financing and advances analysed by maturity structure are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Due within three months 605,895 471,687 More than three months to one year 450,237 351,243 More than one year to five years 2,186,605 2,082,619 More than five years 1,944,414 1,998,971 5,187,151 4,904,520
(e) Financing and advances analysed by geographical distribution are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Malaysia 3,635,267 3,367,791 Saudi Arabia 1,525,382 1,509,121 Other Countries 26,502 27,608 5,187,151 4,904,520
(f) Financing and advances analysed by economic purpose are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Purchase of securities 1,625,794 1,571,317 Working capital 1,338,607 1,087,655 Purchase of property – residential property 1,195,559 1,191,375 Personal use 726,787 749,463 Purchase of commercial complex 130,272 131,256 Purchase of vehicles 85,047 86,142 Others 41,483 39,437 Purchase of shop-house 40,321 38,443 Charge card 1,908 2,086 Purchase of industrial buildings and factories 1,373 1,384 Construction - 5,962 5,187,151 4,904,520
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
12
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES (CONTINUED)
(g) Financing and advances analysed by sectors are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Household 2,038,404 2,055,803 Telecommunication 1,525,382 1,508,979 Manufacturing 428,125 316,478 Finance intermediation 394,489 230,516 Construction 288,705 303,623 Wholesale & Retail trade 221,163 263,184 Real estate, renting and business activities 181,167 130,586 Transportation 57,510 54,596 Electricity, gas and water supply 46,483 34,893 Agriculture, hunting and related service activities 3,303 3,484 Fishing, Operation of Fish Hatcheries, Fish Farms and Services Activities Incidental to Fishing
1,373
1,384
Other business 899 827 Forestry, logging and related services activities 148 167 5,187,151 4,904,520
(g) Movements in impaired financing and advances
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 At 1 January 75,098 101,374 Impaired during the financial period / year 28,702 121,621 Reclassified as non impaired (6,127) (39,002) Recoveries (19,977) (79,119) Write-off (601) (29,776) 77,094 75,098 Ratio of net impaired financing and advances to gross financing and advances less individual impairment allowances 0.67% 0.66%
Included in amount classified as impaired during the financial period is profit accrued on
impaired financing of RM 19,884,052 (2014: RM101,350,235).
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
13
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES (CONTINUED)
(h) Movements in the allowances for impaired financing and advances Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Collective assessment allowance At 1 January 86,569 96,781 Allowance made during the period / year (Note 18(b))
5,784
16,135
Amount written off - (26,347) Closing balance 92,353 86,569
As % of total gross financing and advances less individual impairment allowances
1.80% 1.78%
Individual assessment allowance At 1 January 43,142 44,041 Allowance made during the financial period / year (Note 18(a))
304
3,247
Amount recovered during the financial period / year (Note 18(a))
(200)
(717)
Amount written off (601) (3,429) Closing balance 42,645 43,142
(i) Impaired financing analysed by geographical distribution are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Malaysia 77,094 75,098 77,094 75,098
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
14
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 13. FINANCING AND ADVANCES (CONTINUED)
(j) Impaired financing analysed by economic purpose are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Working capital 41,287 41,553Purchase of properties - residential 16,268 17,945Personal use 17,095 14,086Purchase of shop-house 1,235 820Charge card 227 218Purchase of transport vehicles 982 476 77,094 75,098
(k) Impaired financing analysed by sector are as follows:
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Household 35,877 33,545Manufacturing 36,223 36,223Wholesale & retail trade 4,869 5,205Other business - -Real estate, renting and business activities 71 71Construction 54 54 77,094 75,098
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
15
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 14. DEPOSITS FROM CUSTOMERS
(a) By type of deposit Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000Savings deposits Qard 49,282 52,150Mudarabah 124,929 127,400 Demand deposits Qard 449,516 456,456Mudarabah 459,781 473,975 Term deposit Commodity Murabahah 2,415,177 2,449,228 General investment account Mudarabah 42,141 53,922Wakalah 1,897,814 1,864,015
781 708Other deposits 5,439,421 5,477,854
(b) By type of customer
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Business enterprises 1,569,644 1,573,634Government and statutory bodies 1,146,025 1,280,875Individuals 315,400 293,589Others 2,408,352 2,329,756 5,439,421 5,477,854
(c) By maturity structure
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Due within three months 3,859,483 4,100,609More than three months to one year 1,544,769 1,377,245More than one year to five years 35,169 - 5,439,421 5,477,854
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
16
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 15. DEPOSITS AND PLACEMENTS OF BANKS AND OTHER FINANCIAL INSTITUTIONS
Group and Bank Unaudited
31 March 2015
Audited 31 December
2014 RM’000 RM’000 Non-Mudharabah Funds Licensed Islamic banks 514,918 446,169Licensed Financial Institutions 398,855 331,120 913,773 777,289
16. INCOME DERIVED FROM INVESTMENT OF DEPOSITORS’ FUNDS AND OTHERS
1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
201531 March
201431 March
2015 31 March
2014 RM’000 RM’000 RM’000 RM’000Income derived from investment of: (i) General investment
deposits 504 876 504 876
(ii) Other deposits 84,371 74,327 84,371 74,327 84,875 75,203 84,875 75,203 (i) Income derived from investment of general investment deposits
1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
2015 31 March 2014 31 March 2015 31 March 2014
RM’000 RM’000 RM’000 RM’000Finance income and hibah Financing and advances 498 856 498 856Money at call and deposit with financial institutions
6
20
6
20
Total finance income and hibah 504 876 504 876
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
17
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
16. INCOME DERIVED FROM INVESTMENT OF DEPOSITORS’ FUNDS AND OTHERS (CONTINUED)
(ii) Income derived from investment of other deposits
17. INCOME DERIVED FROM INVESTMENT OF SHAREHOLDERS’ FUNDS
1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
2015 31 March
201431 March
2015 31 March
2014 RM’000 RM’000 RM’000 RM’000Finance income and hibah Money at call and deposit
with financial institutions
113
233
113
233 Other operating income
- Net gain from foreign exchange translations
2,144
2,333
2,144
2,333
- Realised gain on gold 587 906 587 906 - Unrealised loss on revaluation of securities held-for-trading
374
-
374
- - Rental Income 1,500 1,084 1,500 1,084 - Others 80 94 80 94 Other income
- Service charges 1,943 1,947 1,943 1,947 - Commission received 999 967 999 967 7,740 7,564 7,740 7,564
1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
201531 March 2014 31 March
2015 31 March
2014 RM’000 RM’000 RM’000 RM’000Finance income and hibah Financing and advances 69,758 62,970 69,758 62,970Securities held-to-maturity 13,877 9,911 13,877 9,911Money at call and deposit with financial institutions
681
1,246
681
1,246
Accretion of discount 55 200 55 200 84,371 74,327 84,371 74,327
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
18
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
18. ALLOWANCE FOR IMPAIRMENT ON FINANCING 1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
2015 31 March
201431 March
2015 31 March
2014 RM’000 RM’000 RM’000 RM’000Allowance for impaired financing and advances:
(a) Individual assessment allowance
- provided during the financial quarter
304 1,992
303 1,992
- written back (200) - (200) -
(b) Collective assessment allowance
- (write-back) / provided during the financial quarter
5,784 1,703
5,784 1,703
(c) Bad debts on financing
- recovered (1,872) (1,321) (1,872) (1,321) 4,015 2,374 4,015 2,374
19. INCOME ATTRIBUTABLE TO DEPOSITORS 1st Quarter Ended Period Ended Group and Bank Group and Bank 31 March
2015 31 March
201431 March
2015 31 March
2014 RM’000 RM’000 RM’000 RM’000 Deposits from customers - Mudharabah 2,134 1,869 2,134 1,869- Non-Mudharabah 41,539 33,778 41,539 33,778
Deposits and placements of banks and other financial institutions
- Non-Mudharabah 5,367 3,267 5,367 3,267 49,040 38,914 49,040 38,914
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
19
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 20. SUBSEQUENT EVENTS There were no material events subsequent to the end of the reporting date that require disclosure or
adjustments to the unaudited interim financial statements. 21. CHANGES IN THE COMPOSITION OF THE GROUP There were no changes in the composition of the Group since the last audited financial statements as at
31 December 2014.
22. COMMITMENTS AND CONTINGENCIES In the normal course of business, the Group made various commitments and incurred certain
contingent liabilities with legal recourse to their customers. No material losses are anticipated as a result of these transactions.
The commitments and contingencies and the related risk-weighted exposures of the Group as are as follows: Unaudited
31 March 2015Audited
31 December 2014
Principal amount
Credit equivalent
amount
Risk weighted
amount
Principal amount
Credit equivalent
amount
Risk weighted
amountGroup and Bank RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 Transaction-related contingent items 307,305 153,653 124,665 271,985 135,993 111,340Trade-related contingencies
18,181
3,636
3,532
28,481
5,696
5,112
Irrevocable commitments to extend credit:
- Maturity not exceeding one year
675,899
135,180
134,836
891,517
178,303
178,025
- Maturity exceeding one year
418,387
205,828
184,664
481,761
237,443
212,299
Foreign exchange-related contracts
369
-
-
20,974
-
-
Miscellaneous 23,432 5 5 37,605 495 495 1,443,573 498,302 447,702 1,732,323 557,930 507,271
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
20
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
23. FINANCIAL RISK MANAGEMENT
Market Risk – Profit Rate Risk
The Group is exposed to various risks associated with the effects of fluctuations in the prevailing levels of yield/profit rate on its financial position. The rate of return risk is the potential impact of market factors affecting rates on returns in comparison with the expected rates of return for investment account holders. Yield/profit rate is monitored and managed by the ALCO to protect the income of its operations. The assets and liabilities at carrying amount are categorised by the earlier of the next contractual repricing dates and maturity dates as follows:
Group and Bank Non-trading book Unaudited 31 March 2015
Up to 1 month
>1-3 months
>3-12 months
1 to 5 years
> 5 years
Non- profit
sensitive
Trading
book Total
Effective profit rate
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 %Assets Cash and short term funds 98,511 - - - - 81,318 - 179,829 0.37 Hedging financial instruments - - - - - - - - -
Deposits and placements with other financial institutions
-
148,085
98,723
-
-
584
-
247,392 0.71
Securities held-for-trading - - - - - - 5,680 5,680 Securities held-to-maturity - - - - 1,437,176 5,145 - 1,442,322 3.99 Financing and advances - Unimpaired 1,497,322 257,186 445,120 2,153,498 715,787 41,145 - 5,110,056
5.59 - Impaired(1) - - - - - (57,903) - (57,903)Other assets(2) - - - - - 478,353 - 478,353 Total assets 1,595,833 405,271 543,843 2,153,498 2,152,963 548,642 5,680 7,405,728
Liabilities
Deposits from customers 1,782,330 1,556,391 1,527,240 35,161 - 538,299 - 5,439,421 3.22 Deposits and placements with other financial institutions
411,457
250,000
250,267
-
-
2,049
- 913,774
3.54
Hedging financial instruments - - - - - - 2,661 2,661 - Bills and acceptance payable - - - - - 15,137 - 15,137 - Other liabilities - - - - - 66,534 - 66,534 - Subordinated sukuk - - - - 246,808 - - 246,808 -
Total liabilities 2,193,787 1,806,391 1,777,507 35,161 246,808 622,019 2,661 6,684,335 Shareholders’ fund - - - - - 721,393 - 721,393
Total liabilities and shareholders’ fund 2,193,787 1,806,391 1,777,507 35,161 246,808 1,343,412 2,661 7,405,728
On-balance sheet profit sensitivity gap (597,955) (1,401,120) (1,233,664) 2,118,337 1,906,155 (794,773) 3,019 Off-balance sheet profit sensitivity gap - - - - - 1,443,573 -
Total profit sensitivity gap (597,955) (1,401,120) (1,233,664) 2,118,337 1,906,155 648,800 3,019
Note: (1) This is arrived at after deducting the collective and individual impairment allowance from the outstanding gross non
performing financing. (2) Other assets include property and equipment, deferred tax assets and statutory deposits with Bank Negara Malaysia.
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
21
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
23. FINANCIAL RISK MANAGEMENT (continued)
Market Risk - Profit Rate Risk (continued)
Non-trading book Bank Audited 31 December 2014
Up to 1 month
>1-3 months
>3-12 months
1 to 5 years
> 5 yearsNon- profit
sensitive
Trading
book TotalEffective
profit rate
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 % Assets Cash and short term funds 305,305 - - - - 53,367 - 358,672 1.09 Hedging financial instruments - - - - - - 1,630 1,630 - Deposits and placements With banks and other financial institutions - 130,410 102,466 - - 239 - 233,115 1.10 Securities held-for-trading - - - - - - 5,099 5,099 - Securities Available-for-sale - - - - - - - - - Securities held-to-maturity - 7,626 - - 1,399,198 19,260 - 1,426,084 3.98 Financing and advances - performing 1,405,403 199,766 1,856,685 559,291 785,067 23,210 - 4,829,422 5.50
- - non performing(1) (54,613) - (54,613) Other assets(2) - - - - - 471,524 - 471,524 Total assets 1,710,708 337,802 1,959,151 559,291 2,184,265 512,987 6,729 7,270,933
Liabilities
Deposits from customers 1,995,249 1,576,157 1,364,254 - - 542,194 - 5,477,854 2.90 Deposits and placements of banks and other financial institutions
380,000
365,000
30,000
-
-
2,289
- 777,289 3.89 Hedging financial instruments - - - - - - 685 685 - Bills and acceptance payable - - - - - 12,551 - 12,551 - Other liabilities - - - - - 48,940 - 48,940 - Subordinated Sukuk - - - - 232,883 - - 232,883 -
Total liabilities 2,375,249 1,941,157 1,394,254 - 232,883 605,974 685 6,550,202
Shareholders’ fund - - - - - 720,731 - 720,731
Total liabilities and shareholders’ fund 2,375,249 1,941,157 1,394,254 - 232,883 1,326,705 685 7,270,933
On-balance sheet profit sensitivity gap (664,541) (1,603,355) 564,897 559,291 1,951,382 (813,718) 6,044 Off-balance sheet profit sensitivity gap - - - - - 1,732,323 -
Total profit sensitivity gap (664,541) (1,603,355) 564,897 559,291 1,951,382 918,605 6,044
Note: (1) This is arrived at after deducting the collective and individual impairment allowance from the outstanding gross non
performing financing. (2) Other assets include property and equipment, deferred tax assets and statutory deposits with Bank Negara Malaysia.
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
22
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY
a) The capital adequacy ratios of the Group and the Bank below are disclosed pursuant to the requirements of Bank Negara Malaysia's Risk Weighted Capital Adequacy Framework (Basel II) - Disclosure Requirements (Pillar 3):
Group and Bank Unaudited
31 March 2015
Audited31 December
2014 RM’000 RM’000CET 1/Tier-1 capital Paid-up share capital 1,000,000 1,000,000Accumulated losses (279,269) (279,269) 720,731 720,731Less: Deferred tax (72,645) (72,645)Total Tier-1 capital 648,086 648,086 Tier-2 capital Collective assessment allowance 66,963 63,909Subordinated Sukuk 246,808 232,883Total Tier-2 capital 313,771 296,792 Capital base 961,857 944,878
CET 1 / Core capital ratio
13.808%
13.832%
Risk-weighted capital ratio 20.493% 20.167%
b) The breakdown of risk-weighted assets by each major risk category is as follows:
Group and Bank Unaudited
31 March 2015
Audited31 December
2014 RM’000 RM’000 Credit risk 4,232,078 4,226,788Market risk 122,545 119,562Operational risk 338,971 338,971 4,693,594 4,685,321
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
23
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY (continued)
Unaudited31 March 2015
Audited31 December 2014
Group and Bank Risk Risk Gross Net Weighted Capital Gross Net Weighted Capital Exposure Class Exposures Exposures Assets Requirements Exposures Exposures Assets Requirements RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 Credit Risk On-Balance Sheet Exposures Sovereigns/Central Banks 1,625,586 1,625,586 - - 1,634,858 1,634,858 - - Banks, Development Financial Institutions & MDBs 399,390 397,472 109,181 8,735 555,711 555,711 111,142 8,891 Corporate 3,102,845 3,089,608 2,412,098 192,968 2,798,795 2,785,280 2,347,538 187,803 Regulatory Retail 841,618 841,014 630,761 50,461 871,638 870,303 652,727 52,218 Residential Real Estate (RRE) Financing 1,167,480 1,167,480 582,684 46,615 1,161,337 1,161,337 587,818 47,025 Other assets 70,080 70,079 38,099 3,048 43,233 43,233 7,626 610 Defaulted Exposures 9,944 9,944 11,554 924 10,733 10,733 12,666 1,013 Total for On-Balance Sheet Exposures 7,216,943 7,201,183 3,784,377 302,751 7,076,305 7,061,455 3,719,517 297,560 Off-Balance Sheet Exposures
Off-balance sheet exposures other than OTC derivatives or credit derivatives
498,301 498,302 447,702 35,816
557,930 557,930 507,271 40,582
Total for Off-Balance Sheet Exposures 498,301 498,302 447,702 35,816 557,930 557,930 507,271 40,582 Total On and Off-Balance Sheet Exposures 7,715,244 7,699,485 4,232,079 338,567 7,634,235 7,619,385 4,226,788 338,142 Large Exposures Risk Requirement Market Risk Foreign Currency Risk 122,545 9,803 119,562 9,565 Operational Risk 338,971 27,118 338,971 27,118
Total RWA and Capital Requirements 4,693,594 375,488 4,685,321 374,825
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
24
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY (continued) Unaudited
31 March 2015 Group and Bank Exposures after netting and Credit Risk Mitigation
Risk weights
Sovereigns/Central Banks
Banks, Development
Financial Institutions & MDBs
Corporate
Regulatory Retail
Residential Real
Estate
Other Assets
Total
Exposure
Total Risk Weighted
Assets Performing Exposures
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
0% 1,625,586 - - - - 31,980 1,657,566 - 20% - 300,433 370,206 - - - 670,639 134,128 35% - - - - 341,167 - 341,167 119,408 50% - 98,957 - - 659,520 - 758,477 379,239 75% - - 1,525,382 957,567 212,820 - 2,695,769 2,021,827 100% - - 1,494,141 - 33,682 38,099 1,565,922 1,565,922 150% Total 1,625,586 399,390 3,389,729 957,567 1,247,189 70,079 7,689,540 4,220,524
Defaulted Exposures
35% - - - - - - - - 50% - - - - - - - - 100% - - - 56 6,666 - 6,723 6,722 150% - - - 789 2,432 - 3,221 4,832 Total - - - 845 9,098 - 9,944 11,554 Total Performing and Defaulted
1,625,586
399,390
3,389,729
958,412
1,256,287
70,079
7,699,484
4,232,078
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
25
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY (continued) Audited
31 December 2014 Group and Bank Exposures after netting and Credit Risk Mitigation
Risk weights
Sovereigns/Central Banks
Banks, Development
Financial Institutions & MDBs
Corporates
Regulatory Retail
Residential Real
Estate
Other Assets
Total
Exposure
Total Risk Weighted
Assets Performing Exposures
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
0% 1,634,858 - - - - 35,607 1,670,465 - 20% - 557,629 75,578 - - - 633,207 126,641 35% - - - - 338,719 - 338,719 118,552 50% - - - - 634,617 - 634,617 317,309 75% - - 1,509,121 970,590 240,381 - 2,720,092 2,040,068 100% - - 1.560,096 - 43,831 7,626 1,611,553 1,611,552 150% - - - - - - - - Total 1,634,858 557,629 3,144,795 970,590 1,257,548 43,233 7,608,653 4,214,122
Defaulted Exposures
35% - - - - - - - - 50% - - - - - - - - 100% - - - 57 6,808 - 6,865 6,865 150% - - - 753 3,114 - 3,867 5,801 Total - - - 810 9,922 - 10,732 12,666 Total Performing and Defaulted
1,634,858
557,629
3,144,795
971,400
1,267,470
43,233
7,619,385
4,226,788
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
26
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY (continued)
Group and Bank Unaudited
31 March 2015 Principal Risk-weighted RM’000 RM’000 0% 1,657,566 - 20% 670,639 134,128 35% 341,167 119,408 50% 758,477 379,239 75% 2,695,769 2,021,826 100% 1,572,645 1,572,645 150% 3,221 4,832 Risk-weighted assets for credit risk 7,699,484 4,232,078 Risk-weighted assets for market risk 122,545 Risk-weighted assets for operational risk 338,971 Total risk-weighted assets 4,693,594
Group and Bank Audited
31 December 2014
Principal Risk-
weighted RM’000 RM’000 0% 1,670,465 - 20% 633,207 126,641 35% 338,719 118,552 50% 634,617 317,309 75% 2,720,092 2,040,068 100% 1,618,418 1,618,417 150% 3,867 5,801 Risk-weighted assets for credit risk 7,619,385 4,226,788 Risk-weighted assets for market risk 119,562 Risk-weighted assets for operational risk 338,971 Total risk-weighted assets 4,685,321
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
27
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA 24. CAPITAL ADEQUACY (continued)
Disclosure on Off Balance Sheet and Counterparty Credit Risk Unaudited
31 March 2015 Audited
31 December 2014
Group and Bank
Principal amount
Credit equivalent
amount
Risk
weighted amount
Principal amount
Credit equivalent
amount
Risk
weighted amount
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 Transaction-related contingent items 307,305 153,653 124,665 271,985 135,993 111,340 Short term self liquidating trade related contingencies 18,181 3,636 3,532 28,481 5,696 5,112 Foreign exchange related contracts - One year or less 369 - - 20,974 - - Credit derivative contracts - One year or less 23,432 5 5 37,605 495 495 Other commitments, such as formal standby facilities and credit lines, with an original maturity of over one year
407,167
205,828
184,664
470,301
235,151
210,580
Other commitments, such as formal standby facilities and credit lines, with an original maturity up to one year
675,899
132,936
133,153
891,517
178,303
178,025
Unutilised credit card lines 11,220 2,244 1,683 11,460 2,292 1,719 1,443,573 498,302 447,702 1,732,323 557,930 507,271
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
28
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
25. SEGMENTAL INFORMATION
Group and Bank Unaudited
31 March 2015
Retail
BankingTreasury &
Money Market
Corporate Investment
Banking Total RM’000 RM’000 RM’000 RM’000 Total revenue 52,250 33,319 7,046 92,615 Result Segment result 32,135 3,323 4,102 39,560Unallocated corporate expenses
(38,898)
Profit before zakat and taxation 662
Zakat and taxation -
Net profit for the financial period
662
Other comprehensive income - Securities available-for-sale -Total comprehensive income for the financial period
662
Other information Segment assets 2,070,510 369,088 3,261,140 5,700,738Unallocated corporate assets 1,704,823Total assets 7,405,561 Segment liabilities 2,752,736 3,600,458 - 6,353,194Unallocated corporate liabilities 330,916Total liabilities 6,684,110
Other segment items Capital expenditure 1,208 - 173 1,381Unallocated capital expenditure 2,471
3,852 Depreciation 1,567 67 239 1,873Unallocated depreciation 3,018 4,891 Other non-cash (income)/expenses 1,071 - 2,944 4,015
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
29
EXPLANATORY NOTES PERSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS 134 (“MFRS 134”) AND GUIDELINES ON FINANCIAL REPORTING FOR LICENSED ISLAMIC BANKING INSTITUTIONS ISSUED BY BANK NEGARA MALAYSIA
25. SEGMENTAL INFORMATION (Continued)
Group and Bank Audited
31 December 2014
Retail BankingTreasury &
Money Market
Corporate Investment
Banking Total RM’000 RM’000 RM’000 RM’000 Total revenue 192,416 133,787 30,024 356,226 Result Segment result 59,438 76,013 28,529 163,980Unallocated corporate expenses
(153,978)
Profit before zakat and taxation
10,002
Zakat and taxation (5,200)
Net profit for the financial year
4,802
Other comprehensive income: - Securities available-for-sale -Total comprehensive income for the financial year
4,802
Other information Segment assets 1,961,972 540,864 3,081,754 5,584,590Unallocated corporate assets 1,686,343Total assets 7,270,933 Segment liabilities 2,916,142 3,339,001 - 6,255,143Unallocated corporate liabilities
295,059
Total liabilities 6,550,202
Other segment items Capital expenditure 2,758 61 190 3,009Unallocated capital expenditure
8,530
11,539 Depreciation 7,209 238 971 8,418Unallocated depreciation 12,020 20,438 Other non-cash (income)/expenses 15,086 - 1,494 16,580
AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD
(Incorporated in Malaysia)
Company No. 719057-X
30
26. Review of performance for the financial quarter ended 31 March 2015 against the corresponding
financial quarter of the preceding year
For the financial period ended 31 March 2015, the Group and the Bank recorded a net profit of RM0.66 million as compared to net profit of RM1.56 million in the preceding year’s corresponding period.
27. Prospects for 2015
2015 will be a challenging year for the Bank amid the concerns over tighter regulatory environment, asset quality and unstable global economy. Nevertheless, the Bank is geared to face all challenges and is drawing up a road-map to strengthen its presence.