Logo of Phnom Penh Post newspaper Phnom Penh Post - ACLEDA reports 20% less net profit in Q1

ACLEDA reports 20% less net profit in Q1

Content image - Phnom Penh Post
ACLEDA Bank Plc reported net interest income – a measure of a bank’s financial performance – of $109.25 million in January-March, up 7.83 per cent year-on-year. ACLEDA

ACLEDA reports 20% less net profit in Q1

Mainboard-listed commercial bank ACLEDA Bank Plc’s net profit for the first quarter ended March 31 fell 20 per cent to $35.36 million from $44.10 million last year as a result of widening net impairment loss, interest expense, and general and administrative expenses.

However, net interest income, a measure of a bank’s financial performance, rose 7.83 per cent to $109.25 million compared to $101.34 million in the corresponding period last year, according to a filing with Cambodia Securities Exchange.

Revenue climbed 11.90 per cent to $174.88 million in the first quarter from $156.27 million in 2021, thanks to interest income, which accounted for nearly 90 per cent of the revenue.

ACLEDA chairman Chhay Soeun said the bank is expected to do better in 2022, given its heavy investment in digital infrastructure and the construction of a large high security data centre.

He said the disaster recovery data centre will help data storage in a highly protected environment.

“With the digital infrastructure and upgraded products and services, the bank is confident of facing future challenges,” Soeun said.

In addition, the recovery of the manufacturing sector on the back of exports growth and the expansion of agriculture commodity exports are expected to augur well for ACLEDA as the bulk of borrowers are from agri-related businesses.

Meanwhile, the bank saw an increase in total deposit at $5.9 billion, up 3.21 per cent from a year ago while total loan outstanding grew 6.7 per cent to $5.8 billion.

Return on Average Assets (ROAA) was 0.44 per cent whereas Return on Average Equity was 2.91 per cent.

It said that the recovery in manufacturing exports and expansion of agricultural commodity exports will augur well for ACLEDA as bulk of borrowers are involved in the agri-related businesses.

On April 29, ACLEDA president and group managing director In Channy said the pandemic saw more customers embracing the use of fintech. Up till January this year, digital transactions were around 94 per cent.

“In January, I said the number of ACLEDA’s digital transactions through digital banking was about 94 per cent. In 2022, we want to push that number to 97 per cent for all operations.

“We really want more than three million of our customers to sign up [to use] our digital systems [via the app]. Currently, only around 70,000 customers have yet to sign up,” he said.

MOST VIEWED

  • Capital-Poipet express rail project making headway

    The preliminary results of a feasibility study to upgrade the Phnom Penh-Poipet railway into Cambodia’s first express railway indicate that the project would cost more than $4 billion and would take around four years to complete. The study was carried out by China Road and

  • Thai boxers to join SEA Games’ Kun Khmer event

    The Cambodian SEA Games Organising Committee (CAMSOC) – together with the Kun Khmer International Federation (KKIF) and Khmer Boxing Federation – have achieved a “great success” by including Kun Khmer in the upcoming biennial multi-sports event on its home soil for the first time, said a senior

  • Bullets to bracelets: Siem Reap man makes waste from war wearable

    Jewellery is often made from valuable gemstones like emeralds or diamonds and precious metals like gold or silver, or valueless things like animal horns. But a man in Siem Reap has approached the manufacture of delicate pieces from a different angle. His unique form of

  • Second Hungary business forum set for H2

    Cambodia has asked Hungary to provide GSP- (Generalised System of Preferences) Plus facilities for when the Kingdom sheds its least-developed country (LDC) label, as the two countries prepare to hold a second business forum in the second half (H2) of this year to expand trade

  • 61% of 2022 imports came from just 3 markets

    The three largest exporters to Cambodia – mainland China, Vietnam and Thailand – accounted for 60.94 per cent of the Kingdom’s total merchandise imports last year, at $18.245 billion, which was up 11.99 per cent over 2021, according to the General Department of Customs and Excise. Cambodia’s total imports

  • CPP sets out five primary strategic goals for 2023-28

    The Cambodian People’s Party (CPP) on January 29 concluded its two-day extraordinary congress, setting the party’s priority goals for 2023-2028. The ruling party’s congress was attended by more than 3,000 members from across the Kingdom, including the members of the permanent and central committees,