AEON Credit Service's Net Profit Higher At RM95.16 Mln In 1QFY2027

KUALA LUMPUR, July 9 (Bernama) -- AEON Credit Service (M) Bhd’s net profit for the first quarter ended May 31, 2026 for the financial year (FY) 2027 (1QFY2027) rose to RM95.16 million from RM77.54 million in 1QFY2026. 

In a filing with Bursa Malaysia, the financial services provider said revenue increased by 7.9 per cent to RM647.56 million from RM599.92 million previously, mainly attributable to stronger loan and financing growth. 

Meanwhile, its non-performing loans (NPL) ratio increased to 2.60 per cent compared with 2.57 per cent in 1QFY2026, mainly due to cost-of-living pressures affecting certain customer segments, particularly younger and lower-income groups.

AEN Credit added that corrective actions have been taken to address the NPL ratio increase. 

Meanwhile, its loan loss coverage ratio remained healthy at 195 per cent as at May 31, 2026, versus 217 per cent at May 31, 2025. 

Despite Bank Negara Malaysia's projection that the Malaysian economy will expand by 4.0-5.0 per cent in 2026, driven by domestic demand and sustained investment activity, the group said it will continue to adopt a cautious and prudent business approach.

The decision takes into consideration heightened geopolitical tensions in West Asia, which have disrupted global supply chains, persistent inflationary pressures arising from elevated global oil prices and ongoing volatility in global financial markets. 

"The group remains focused on growing quality financing assets and continues to closely monitor inherent credit risks within its financing portfolio, while enhancing its information technology capabilities to improve operational efficiencies and maintain disciplined cost management.  

"The group will leverage the broader AEON ecosystem in Malaysia through its 51 per cent subsidiary, AEON360 Sdn Bhd, to strengthen customer loyalty, expand its customer base and enhance the overall customer experience," it said. 

Barring any unforeseen circumstances, the group expects to be able to sustain its business momentum through the continued implementation of appropriate strategic and operational measures for FY2027 ending Feb 28, 2027.   

-- BERNAMA