BIMB Integrated Annual Report 2017

DEAR SHAREHOLDERS, It was a year of smooth transitions, strong operations and strategic planning to catalyse our value creation journey. BIMB Holdings Berhad (“BHB” or “the Group”) performed admirably in a lacklustre economic environment and continued to display highest Return on Equity amongst listed financial institutions for the fourth consecutive year. , our net profit grew 10.88% to RM619.8 million from RM559.0 million in 2016 with revenue growth of 5.48% to RM3.7 billion from RM3.5 billion previously. This was achieved on the back of robust risk management and good asset quality. SMOOTH TRANSITIONS I would like to start my letter to you by thanking our Group Chief Executive Officer (“GCEO”) of BHB and Managing Director (“MD”) of Bank Islam Malaysia Berhad (“Bank Islam”) Dato’ Sri Zukri Samat who retired on 9 June 2017. As the GCEO and MD, Dato’ Sri Zukri Samat brought together a highly talented management team grounded on ethical conduct and laid the groundwork for effective talent management and succession initiatives. This has assured a smooth transition as the Board warmly welcomed Encik Khairul Kamarudin who took over the reins as the CEO of Bank Islam on 14 June 2017 and CEO of BHB on 9 August 2017. As the Bank’s former Deputy Chief Executive Officer, Encik Khairul Kamarudin was part of the succession plan that has been put in place. My own tenure ended at the end of January 2018 this year, and so I take this opportunity to also welcome my successor Tan Sri Haji Ambrin Buang, who I believe has much to contribute to the further progress of BHB. The Board has great confidence in his leadership to continue executing the strategy formulated to propel BHB and its Group to greater heights. We strongly believe that we are on the right strategic path. In fulfilling our fiduciary duties to you, our valued shareholders and stakeholders, the Board regularly examines strategic options while ensuring the Group continues to focus on strengthening integrity and corporate responsibility as drivers of the Group’s sustainability agenda. We remain committed to our long-term targets and objectives. On the back of these dynamic results a dividend payout of 14% was made on 25 January 2018 which translates to the highest ever payout of RM229.3 million. 23 Overview Value Creation Accountability Financial Statements Sustainability Performance Data Shareholders Information 21 st AGM Information Management Discussion & Analysis