Kuala Lumpur – AEON Credit Service (M) Berhad has reported net profit of RM265.03 million for the financial year ended 28 February 2017, an increase of 16.1% from a net profit of RM228.22 million in the financial year ended 29 February This resulted in increase in earnings per share from 149.02 sen in financial year ended 29 February 2016 to 174.55 sen* for the financial year ended 28 February 2017. Total revenue for the financial year ended 28 February 2017 of RM1.10 billion represented growth of 14.2% over the previous financial year revenue of RM965.23 million.

Meanwhile, the revenue for the current Q4 was RM290.84 million or growth of 12.6% over RM258.29 million the corresponding quarter last year. The net profit recorded for the quarter of RM80.05 million represented growth of 17.5% over RM68.13 million for the same quarter last year.

Growth in assets and revenue for the year was driven by strong performance from vehicle easy payment and personal financing schemes. Total transaction and financing volume in Q4 and for the financial year ended 28 February 2017 increased by 3.5% to RM991.03 million and 11.0% to RM4.02 billion respectively as compared with the previous year corresponding periods. Total financing receivables of RM6.44 billion as at end of February 2017 represented growth of 19.1% from RM5.40 billion at the end of the previous financial year.

Non-performing loans (NPL) ratio was 2.28% as at 28 February 2017 compared to 2.47% as at end of previous financial year. Meanwhile, the net credit cost ratio for the year on average financing receivables was lower at 3.31% compared to 4.20% in the preceding financial year.

The Company expects to be able to maintain its current financial performance in the financial year ending 28 February 2018, based on the implementation of its business plans, on the back of favourable economic outlook forecast for the year. AEON Credit’s Board of Directors has recommended a final single tier dividend of 32.50 sen per share for the financial year ended 28 February 2017 for shareholders’ approval at its forthcoming Annual General Meeting in June 2017. The interim and final dividends totalling 63.0 sen for the year represent an increase of 6.0% from total dividends of 59.45 sen paid out for the last financial year. The dividend payout ratio against annual net profit is 34.2%.