Date: October 18, 2024
Broker: CGS International Securities Pte. Ltd.

Overview of CIMB Group Holdings Bhd

CIMB Group Holdings Bhd is one of Malaysia’s leading banking groups, providing a wide range of financial services across ASEAN, including consumer banking, commercial banking, investment banking, and asset management. The group has a robust regional presence, with operations extending to major markets in Southeast Asia.

Strong FY24 Forecast Driven by Singapore Operations

CIMB Group Holdings Bhd’s financial outlook for FY24 shows a positive trajectory, primarily driven by the performance of its Singapore operations. This highlights the importance of the group’s strategic expansion and robust market positioning in the region.

Key Drivers of Financial Growth

• Singapore as a Key Driver: The group’s Singapore division has been identified as the main contributor to the forecasted net profit for FY24, underlining its significance within the overall regional strategy.
• Diversified Service Offerings: CIMB’s ability to offer a comprehensive range of financial services, including retail and commercial banking, has helped strengthen its market position in Singapore, contributing to its positive financial outlook.

Strategic Focus on Regional Expansion

• Strengthening Regional Presence: The group’s success in Singapore is part of a broader strategy to enhance its regional footprint across key ASEAN markets. By focusing on high-growth areas, CIMB aims to boost its overall profitability.
• Balanced Growth Approach: CIMB’s strategic approach involves balancing growth across its diverse portfolio of services, ensuring steady contributions from multiple revenue streams.

Outlook

The focus on expanding and solidifying operations in key markets like Singapore is expected to drive CIMB’s growth in FY24. The group’s strategic emphasis on diversification and regional strength positions it well for sustained success in the ASEAN banking sector.