CIMB Group 1Q Net MYR1.39 Billion Vs MYR1.01 Billion

   By Jason Ng 
 

KUALA LUMPUR--CIMB Group Holdings Bhd (1023.KU), Malaysia's second-largest bank by assets, said Tuesday that net profit in the first three months of the year surged 38%, boosted by a one-time gain from its sale of a stake in a joint venture.

Net profit for the quarter ended March was 1.39 billion ringgit ($461.6 million) compared with MYR1.01 billion a year earlier, CIMB Group said in a statement to the Malaysian stock exchange.

The company raised MYR515 million during the quarter by disposing its 51% stake in an insurance joint venture with Aviva PLC (AV). Without the sale, net profit would have grown by only 4.2%, it said.

"We remain mindful of macroeconomic challenges ahead as regional policy-makers respond to slower external demand, domestic inflationary pressures and strong liquidity inflows," CIMB Group Chief Executive Nazir Razak said in a separate statement.

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