OUR CAPITALS... ...ENABLE VALUE-ADDING The bank that advances prosperity for all VISION To provide solutions that deliver value MISSION Our Value Creation Business Model Our value-creating business model drives sustainable growth by delivering benefits that go beyond financial returns. This entails aligning our capitals with our strategies and business activities to identify actions that strengthen stakeholder relationships, meet their needs, and maximise the value we create together. Internally, this approach fosters innovation, improves operational efficiency, and supports ESG progress. In doing so, we align with environmental and social priorities, positioning ourselves as a responsible and forwardthinking organisation while ensuring our ability to generate long-term shared value for all our stakeholders. T Think Customer A Act with Integrity A Advance Beyond T Take Charge TAAT VALUES INPUTS FINANCIAL CAPITAL The funds available for achieving growth and fulfilling our financial commitments, and our ability to access and manage these funds, which play a critical role in long-term value creation. • Total Assets: RM96.8 billion • Total Equity Group: RM7.7 billion • Total Customer Deposits: RM80.9 billion • Market Capitalisation: RM5.6 billion HUMAN CAPITAL Our valued human assets, comprising employees, knowledge, experience, and skills, which hold substantial economic value and significantly contribute to our overall value. • 5,668 employees nationwide, comprising 2,830 males and 2,838 females • 58 employee engagement sessions held at the bank level • Investment in Training and Development MANUFACTURED CAPITAL The physical assets and infrastructure essential for our operations, which require effective management to ensure smooth functioning and maintain our competitive edge. • 135 branches and 982 Self-service Terminals (SSTs) across Malaysia • 18 SME hubs, 46 Ar-Rahnu outlets, and 7 Bureau de Change outlets • Invested RM102 million in IT and technological advancements INTELLECTUAL CAPITAL Our intangible assets such as intellectual property, digital systems and proprietary solutions, crucial in the banking sector where innovation and technological advancements drive industry changes. • A strong brand value built over 40 years as a pioneering, pure-play, full-fledged Islamic financial institution • Participated in leadership initiatives such as JC3 and the CEO Action Network SOCIAL AND RELATIONSHIP CAPITAL Our strong reputation and positive relationships with all stakeholders, including society at large, which build trust and garner support for driving our strategic initiatives forward. • 4.7 million customers • RM309.0 million spent on local suppliers • Proportion of Spending on Local Suppliers 89% NATURAL CAPITAL The natural resources we consume, including water, land, and energy, and our active promotion of sustainable practices to mitigate environmental risks. • Electricity usage: 15.4 million kWh • Water consumed: 158.7 million ℓ • Total energy consumption: 15.7 million kWh • Sheets of paper used: 49.1 million Read pages 146-147 for more details. FC HU MF IN SR NT OUR STRATEGIC ROADMAP: LEAP25 SP Sustainable Prosperity VBC Values-based Culture CE Community Empowerment RE Real Economy CC Customercentricity D Digitalisation Read pages 64-74 for more details. KEY MARKET TRENDS • Digital Acceleration and Cashless Growth • Climate Change and Sustainability • Expanding Markets for Islamic Financial Services • The Evolving World of Work • The Evolving Fintech Landscape • Heightened Cybersecurity Concerns Read pages 44 to 49 for more details. KEY RISKS and MITIGATION CR Credit Risk NFR Non-Financial Risk MR Market Risk TCR Technology and Cyber Risk RORBB Rate of Return Risk in Banking Book SNC Shariah NonCompliance Risk LR Liquidity Risk RCR Regulatory/ Compliance Risk SR Strategic Risk CRR Climate-related Risk Read pages 57 to 62 for more details. MATERIAL MATTERS SRF Sustainable and Responsible Finance CESF Community Empowerment and Social Finance CX Customer Experience SSC Sustainable Supply Chain EEI Emissions and Environmental Impact GGC Good Governance and Conduct EHS Employee Well-Being, Health and Safety DPS Data Privacy and Security TD Talent and Development CRO Climate Risks and Opportunities DEI Diversity, Equity and Inclusion Read pages 50-56 for more details. Our commitment to Shariah principles demonstrates our focus on good governance, integrity, and nation-building. UNDERPINNED BY OUR OVERARCHING GOVERNANCE Read pages 273-278 for more details. Bank Islam Malaysia Berhad ◆ Integrated Annual Report 2024 32
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