AEON Credit Service (M) Bhd has reported a 15% year-on-year increase in revenue to RM599.92 million for the first quarter ended 31 May 2025 (1Q FY26), driven by stronger loan and financing growth. However, the company posted a 27% year-on-year decline in net profit to RM77.5 million, equivalent to an earnings per share of 15.19 sen.
The decline in earnings was primarily attributed to higher operating and interest expenses, lower other income, and increased losses from an associate. AEON Credit noted that the group continues to adopt a cautious business stance in light of persistent global trade and tariff policy uncertainties, ongoing geopolitical tensions, inflationary pressures and continued volatility in global financial markets.
During the quarter under review, the non-performing loan (NPL) ratio rose to 2.57% from 2.46% a year earlier. The group has initiated corrective measures to address the increase in credit risk.
AEON Credit reaffirmed its commitment to prudent financial management and risk controls amid a challenging macroeconomic backdrop.
-The Star
