Aeon Credit maintains cautious outlook amid global challenges
PETALING JAYA: Aeon Credit Service (M) Bhd will maintain a cautious outlook as geopolitical tensions, inflationary pressures and prevailing volatility in the global financial markets may continue to put a damper across the globe.

In a bourse filing, the financial services group said regardless of this, it will remain prudent and cautious about the current sentiment and instead, look to grow its quality assets while monitoring the inherent credit risks in its financing portfolios as part of its strategies to maintain its business momentum this year.

It also added it will continue enhancing its technological capabilities to improve operational efficiency while establishing an ecosystem to be built from the Aeon Group of Companies operating in Malaysia (Aeon Living Zone) to expand on its customer reach.

“Barring any unforeseen circumstances, the group expects to be able to maintain its business momentum by putting in place the appropriate measures for the financial year ending Feb 28, 2025,” it noted.

For its full financial year ended Feb 29, 2024, the group posted a revenue of RM1.91bil, an increase of 16.6% compared to RM1.64bil recorded in the same corresponding preceding year.

Its profit was higher at RM424.02mil compared to RM417.69mil a year ago.

The group said the increase was on the back of the incremental increase in revenue of RM272.25mil, partially offset by higher impairment losses on financing receivables that reflected an increase of RM122.08mil, and higher other operating expenses in line with increased transaction and financing volume.

Additionally, its loan loss coverage ratio stood at 221% as at February 29, 2024 as compared to 252% as at February 28, 2023.

On a quarterly results, the company posted a revenue of RM501.57mil for its fourth quarter ended Feb 29, 2024, compared to RM432.66mil for the same quarter last year while it registered a net profit of RM118.92mil against RM95.34mil a year ago.

Meanwhile, the group declared a final single-tier dividend of 14sen per share, which will be payable on July 25, 2024.
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PETALING JAYA: Aeon Credit Service (M) Bhd will maintain a cautious outlook as geopolitical tensions, inflationary pressures and prevailing volatility in the global financial markets may continue to put a damper across the globe.