Singaporean multinational technology company Grab Holdings has released its unaudited financial results for the first quarter ended March 31, 2024, revealing a significant increase in customer deposits in its digital bank business.
Customer deposits in Grab’s digital bank business were USD 479 million at the end of the first quarter of 2024.
This is a significant increase from US$36 million in the year-ago period and US$374 million in the previous quarter.
grab We operate two digital banks. His GXS Bank in Singapore is a joint venture with Singapore-listed telecom giant Singtel. launched GX Bank Berhad, Malaysia’s first digital bank, will open to the public in August 2022. operational From November 2023 onwards.
This growth was driven by Grab’s digital bank in Malaysia, GXBank, doubling its deposit customers, from 131,000 at the end of 2023 to 262,000 by March 2024. Notably, more than 90% of GXBank’s deposit customers are also Grab users.
Grab streamlined its cost base across its GrabFin business, which offers a wide range of payments, lending and insurance products, and its digital bank, with total operating expenses improving by 15% year-on-year and 14% sequentially.
The improvement compared to the same period last year was due to the following personnel cost reductions. Last year’s mass layoffs Further optimization of cost of funds, credit costs and compliance costs relative to revenue.
Grab continues to focus on lending to ecosystem partners through GrabFin, with total disbursements increasing 64% year-on-year and 9% sequentially.
The loan portfolio ended the quarter at US$363 million, up from US$196 million in the same period last year. As of March 31, 2024, approximately 80% of GXS Bank’s FlexiLoan customers were also Grab users.
The company maintained a prudent approach to credit risk, with non-performing loans (those with maturities exceeding 90 days) accounting for 2% of its loan portfolio.
Featured image credit: grab
