BIMB Holdings: Upgrade to Hold - Strong Financing Growth

• Upgrade to HOLD. BIMB turned in decent 2Q results, with earnings from Bank Islam and Syarikat Takaful (STMB) surprising positively.
• 2Q12 net profit of MYR58m (-3% YoY, -10% QoQ) was above our and consensus expectations due to resilient NIMs and fairly mild credit charges, partly offset by a higher tax rate and higher expenses.
• Correspondingly, we raise our FY12-14 forecasts by 4-6% and our TP to MYR3.10 from MYR3.00. We upgrade our call to HOLD from SELL.

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Source: Maybank Research - 17 August 2012