Date of Report: October 18, 2024
Broker: CGS International Securities
Overview
CIMB Group Holdings Bhd is one of the leading banking groups in Malaysia, providing a range of financial products and services across multiple countries in the ASEAN region. The group’s performance outlook for FY24 is optimistic, with key contributions coming from its operations in Singapore.
Key Driver of Growth
- Singapore as the Growth Engine:
The report highlights that CIMB’s Singapore operations are the key driver for its projected net profit (NP) in FY24. This indicates that the Singapore branch’s strong performance is playing a crucial role in boosting the group’s overall financial health.
Market Position and Strategy
- Focused Regional Expansion:
CIMB’s strategy includes leveraging its strong regional presence, particularly in high-growth markets like Singapore, to drive profitability. The focus on expanding and strengthening operations in strategic locations aligns with its long-term growth objectives.
Analyst Remarks
The report underscores the importance of CIMB’s diversified operations across Southeast Asia, with a specific emphasis on the positive contributions from Singapore. The bank’s strategic focus on this market reflects its approach to capturing growth opportunities in the region and supporting its financial targets for FY24.
