[%tBRz%]
Research by HLIB
HOLD  – TP RM10.80

"Lower provisions boost”

Maybank’s 2Q24 profit rose 2% QoQ given lower loan loss allowances, effective tax rate, and impairment write-back of financial assets. Moreover, NIM expanded sequentially and GIL ratio ticked down. However, loans growth tapered. Overall, results were in line with expectations and hence, forecasts were unchanged. All in all, we still believe Maybank’s risk-reward profile is balanced. Although most headline financial indicators and dividends stayed resilient, we are now slightly concerned of the Fed rate cuts and currency headwinds that could potentially impact its Singapore operations. Retain Hold with a higher GGM-TP of RM10.80 (from RM9.60), based on 1.3x FY25 P/B.

   Analyst:
Chan Jit Hoong, CFA, CPA
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$KLSE-MAYBANK
Research by HLIB
HOLD  – TP RM10.80

"Lower provisions boost”

Maybank’s 2Q24 profit rose 2% QoQ given lower loan loss allowances, effective tax rate, and impairment write-back of financial assets. Moreover, NIM expanded sequentially and GIL ratio ticked down. However, loans growth tapered. Overall, results were in line with expectations and hence, forecasts were unchanged. All in all, we still believe Maybank’s risk-reward profile is balanced. Although most headline financial indicators and dividends stayed resilient, we are now slightly concerned of the Fed rate cuts and currency headwinds that could potentially impact its Singapore operations. Retain Hold with a higher GGM-TP of RM10.80 (from RM9.60), based on 1.3x FY25 P/B.

   Analyst:
Chan Jit Hoong, CFA, CPA
jhchan@hlib.hongleong.com.my