Malaysia Building Society Bhd (MBSB) saw a 50% increase in fourth-quarter net profit , reaching RM301.15 million, propelled by a one-off gain of RM354 million from the acquisition of MIDF Group.

Revenue for the quarter ended Dec 31, 2023 (4Q23)rose by 4.5% to RM698.05 million.

The full-year net profit stood at RM491.81 million, marking a 6.9% year-on-year increase.

MBSB's financing for the year grew by 9% to RM42.04 billion, mainly driven by expansion in commercial and retail financing.

MBSB's group CEO, Rafe Haneef, outlined the strategic direction for the future, emphasising the focus on expanding current accounts and savings accounts (Casa), enhancing the financing base, boosting non-funded income, and optimising costs.

The Casa ratio increased to 7.06% from 6.22% in FY2022, driven by contributions from corporate customers and SMEs, while term deposits surged by 34.68% to RM9.28 billion.

The group aims to leverage synergies between MBSB and MIDF, particularly targeting improved customer service and innovative solutions for SMEs and retail customers.

Following the completion of the MIDF acquisition in October 2023, PNB emerged as a substantial shareholder with a 12.78% stake, and EPF's shareholding was reduced to 57.45%.

MBSB's transformative programs over three years aim to enhance return on equity.

MIDF, now a wholly owned subsidiary, focuses on investment banking, development finance, and asset management.

MBSB shares concluded the day's trading with a marginal decline of 1 sen or 1.3%, closing at 76 sen, resulting in the group's market capitalisation standing at RM6.21 billion.