KUALA LUMPUR (Aug 27): Hong Leong Financial Group Bhd (KL:HLFG) said its net profit in the recently-ended quarter rose nearly 5% from a year earlier, helped by lower taxations amid a drop in income.
Net profit for the three months ended March 31, 2026 (3QFY2026) was RM748.66 million compared with RM714.12 million in the same period a year earlier. Year-on-year, net interest income rose 2.6% year-on-year to RM1.02 billion, while non-interest income fell 13.9% to RM379.35 million.
No interim dividend was declared.
Hong Leong Financial Group, the financial services arm of tycoon Tan Sri Quek Leng Chan's empire, said it remains well-positioned to pursue future opportunities even as it is wary of external headwinds from geopolitical uncertainties.
Hong Leong Financial Group derives most of its earnings from its commercial banking unit Hong Leong Bank Bhd (KL:HLBANK). The group also runs investment banking and asset management under Hong Leong Capital Bhd (KL:HLCAP) as well as insurance under unlisted HLA Holdings Sdn Bhd.
Both Hong Leong Bank and Hong Leong Capital also announced their results on Tuesday. At Hong Leong Capital, net profit in 3QFY2026 fell 7.7% to RM10.07 million as an 8.6% decline in net interest income offset the 5.2% growth in non-interest income.
HLA Holdings, meanwhile, reported a 5.2% increase in pre-tax profit, mainly driven by improved investment income from equities and higher contributions from associate MSIG Insurance (Malaysia) Bhd (MSIG Malaysia), which offset weaker net insurance service results due to higher claims.
For the nine months ended March 31, 2026, Hong Leong Financial Group’s net profit rose 3.7% to RM2.49 billion from RM2.4 billion over the same period a year earlier.
Annualised return on average equity was 10.1%, while the conglomerate’s book value per share increased to RM29.60 as at March 31, 2026 from RM27.80 a year earlier.
At Tuesday’s noon break, shares of Hong Leong Financial Group slipped four sen or 0.21% to RM18.74, giving it a market capitalisation of RM21.5 billion.