CAGAMAS SUSTAINS POSITIVE BUSINESS MOMENTUM IN 2022

CAGAMAS SUSTAINS POSITIVE BUSINESS MOMENTUM IN 2022
(From left to right: Abdul Hakim Amir Bin Zainol, Senior Vice President, Finance; Dato' Bakarudin Ishak, Chairman Cagamas Holdings Berhad and Datuk Chung Chee Leong, President/Chief Executive Officer Cagamas Berhad)

Kuala Lumpur, 28 April 2023 – Cagamas Holdings Berhad (“the Group”) today announced its 2022 financial performance and business activities after the Group’s 16th Annual General Meeting.

The Group continued to sustain a positive business momentum with a profit before tax and zakat (“PBT”) of RM446.3 million for the financial year ended 31 December 2022 (“FY22”), compared with RM427.9 million in 2021 (“FY21”). Cagamas Berhad (“Cagamas”) remains the key operating subsidiary that contributed 67% of the total group profit for FY22.

The Group recorded a total acquisition of RM19.3 billion worth of housing mortgages and financings from Financial Institutions (“FI”) under the Purchase with Recourse (“PWR”) scheme in 2022, an increase of 39.9% from FY21. Total funds raised in 2022 rose by 29.7% to RM24.9 billion, of which RM22.4 billion was raised through debt securities and RM2.5 billion via interbank transactions. As at end of December 2022, outstanding Cagamas debt securities stood at RM40.2 billion, a year-on-year increase of 14.9%. Of the entire amount, conventional bonds comprised RM20.2 billion while RM20.0 billion were sukuk.

Chairman Dato’ Bakarudin Ishak said, “The Group remained resilient, and continued to improve its business performance despite strong headwinds emanating from uncertainty in economic activities and heightened global volatility in the financial markets.”

“In advancing our sustainability agenda, the Group saw an increase of 56.2% in social and sustainability-related conventional bonds and sukuk issuances totalling RM1.6 billion. Skim Saraan Bercagar and Skim Saraan Bercagar Islamik continued to progress with loans/financings approved, valued at RM24.5 million.”

Meanwhile, Skim Rumah Pertamaku (“SRP”) which is administered by Cagamas SRP Bhd, recorded a significant increase in new loans/financings approved, valued at RM7.0 billion in 2022, and cumulatively totalled RM21.1 billion as at December 2022. Both SRP and Skim Perumahan Belia have helped 99,940 households since inception, of which 88.2% comprised B40 group and 90.5% comprised youths aged 35 years and below.

On the outlook for 2023, Dato’ Bakarudin said, “Moving forward, the Group will continue to adopt proactive collaborations with industry players to develop alternative liquidity and structured funding solutions to facilitate market liquidity for a wider spectrum of counterparties. The Group is also exploring new growth propositions within its existing products to promote broader access to home ownership.”