- July’s 3-month SORA was up 5bps m-o-m to 3.69% and 3-month HIBOR was up 26bps m-o-m to 5.10%.
- 2Q23 SG bank earnings were slightly above expectations. PATMI rose 35%, supported by NII growth of 37% y-o-y. Guidance for FY23e NIMs (from 2.05- 2.20% to 2.10-2.20%) and loans growth (maintained at low to mid-single digit). Interim dividend jumped 39% y-o-y in 1H23.
- - Read this at SGinvestors.io -
- Maintain OVERWEIGHT. We remain positive on Singapore banks. Bank dividend yields are attractive at ~6.0% with upside surprise in dividends due to excess capital ratios and push towards higher ROEs. SGX is another major beneficiary of higher interest rates.
3M-SORA growth flattish; 3M-HIBOR rebounds in July
- - Read this at SGinvestors.io -
- Hong Kong interest rates continued to surge and reversed the decline from 1Q23. The 3-month HIBOR was up 26bps m-o-m to 5.10%, the highest the 3-month HIBOR has reached since Dec 2022’s 3-month HIBOR of 5.29%. July’s 3-month HIBOR improved by 324bps y-o-y and was 82bps higher than 2Q23 3-month HIBOR average of 4.28%.
Singapore Banks' 2Q23 Results Highlights
Continued NII and NIM growth boost earnings
- Read more at SGinvestors.io.
Above is the excerpt from report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full report in PDF @ https://www.stocksbnb.com/.
Glenn Thum Phillip Securities Research | https://www.stocksbnb.com/ 2023-08-11
More reports on banking & finance sector:
Analyst Reports on Singapore Banking & Finance Sector
Read also:
Analyst Reports on DBS Group
Analyst Reports on OCBC Bank
Analyst Reports on United Overseas Bank (UOB)
