Maybank announced a net profit of $584 million (MYR 2.48 billion) for the first quarter ended 31 March 2026 (1Q FY26) compared with $610 million (MYR 2.59 billion) a year earlier, reflecting resilient earnings supported by improved net interest margins (NIM), disciplined cost and asset quality management and higher core fees, namely wealth and IB related fees, as well as higher Global Markets (GM) sales. However, this was partially offset by lower trading income amid challenging market environment during the quarter.

Non-interest income (NoII) declined to $468 million (MYR 1.99 billion) during the quarter due to weaker trading and markets-related income. Net fund-based income grew 3.2% year-on-year (YoY) to $1.20 billion (MYR 5.11 billion), driven by improved NIM and stable loans growth. Net operating income stood at $1.67 billion (MYR7.10 billion) compared with $1.81 billion (MYR 7.71 billion) previously.

NIM improved to 2.14% from 2.04% a year earlier, a 10 basis points (bps) uplift YoY, supported by lower cost funding mix and a higher CASA ratio of 41.1% across home markets. Return on equity (ROE) remained healthy at 11.2%.

Cost management remained a priority, with operating expenses reducing by 5.3% YoY and 3.1% quarter-on-quarter (QoQ), despite an increase in technology investment costs. As a result, the group’s cost-to-income ratio (CIR) closed at 49.9%.

Gross impaired loans (GIL) ratio stood at 1.34%, while loan loss coverage (LLC) remained at a reasonable level at 104.4%, or 113.6% excluding provision reclassification relating to a significant restructured borrower. Net credit charge-off (NCC) ratio improved to 10 bps, reflecting lower provisions for corporate borrowers, partially offset by additional overlays arising from emerging macroeconomic and geopolitical risks which stood at $ 565 million (MYR 2.4 billion).

Compared with the preceding quarter, net profit declined 7.3% from 4Q FY25, while PBT decreased 11.6%, mainly due to softer market-related income and lower trading contributions. The impact, however, was partially mitigated by improved NIM, disciplined cost management and lower NCC.

Group loans expanded 0.9% YoY (3.4% YoY excluding foreign exchange (FX) impact) to $ 161.1 billion (684.5 billion), supported primarily by growth in Malaysia, which increased 5.5%, in Singapore which rose 3.6%. In Malaysia, expansion was driven by both Community Financial Services and Global Banking businesses, reflecting resilient domestic demand and continued business activity across key sectors. CASA grew across all home markets of Singapore, Indonesia, and Malaysia by 27.6%, 22.5%, and 7.5%, respectively. This reflects disciplined execution of our funding strategy to strengthen low-cost and stable funding. As a result, the CASA ratio improved to 41.1%.

Liquidity coverage ratio (LCR) stood at 133.3%, while net stable funding ratio (NSFR) remained comfortably above regulatory requirements at 113.3%. Group CET1 and total capital ratios remained strong at 14.96% and 18.47% respectively, providing adequate buffers above regulatory requirements.

Maybank president and group chief executive officer, Dato’ Sri Khairussaleh Ramli, said the group’s 1Q FY26 performance reflects the strength and resilience of its diversified franchise and disciplined execution amid volatile market conditions.

“Maybank continued to deliver steady earnings supported by stronger net interest margin, prudent cost management and broadly stable asset quality during the quarter. We also saw continued progress across several key businesses, particularly wealth management, investment banking and flow business, reflecting the strength of the group’s customer franchise.

“Our balance sheet fundamentals remain sound with strong capital and liquidity buffers, as well as continued CASA strength across our home markets, enabling us to continue supporting individuals, SMEs and large corporates.

“As we progress with ROAR30, we are focused on deepening regional connectivity across ASEAN and advancing sustainable growth across the region, while maintaining prudent risk management amid ongoing macroeconomic and geopolitical uncertainties.”