[%KtZt%] 
Research by HLIB
BUY  – TP RM1.55

"A weak 2QFY24”

DRB reported core PATMI RM8.3m for 2QFY24, which brought 1HFY24 to RM92.5m, below both our expectation (29.1%) and consensus (28.9%), affected by poor showings from automotive (shorter working quarter and scheduled plant shutdowns), bank (higher provision) and PosM (reduced volume). Nevertheless, we expect an improved 2H24 on stronger automotive contributions and normalised bank performance. We maintain BUY on DRB with a lower TP of RM1.55 (from RM1.65), based on 20% discount to SOP of
RM1.93.  

 Analyst:
Daniel Wong
[%KAqY%]

$KLSE-DRBHCOM 
Research by HLIB
BUY  – TP RM1.55

"A weak 2QFY24”

DRB reported core PATMI RM8.3m for 2QFY24, which brought 1HFY24 to RM92.5m, below both our expectation (29.1%) and consensus (28.9%), affected by poor showings from automotive (shorter working quarter and scheduled plant shutdowns), bank (higher provision) and PosM (reduced volume). Nevertheless, we expect an improved 2H24 on stronger automotive contributions and normalised bank performance. We maintain BUY on DRB with a lower TP of RM1.55 (from RM1.65), based on 20% discount to SOP of
RM1.93.  

 Analyst:
Daniel Wong
kkwong@hlib.hongleong.com.my