Public Bank's profit up 6% to US$310m in Q2

This brings the bank's profit to US$602m in the first half of 2017.

Public Bank’s 2QFY17 results were within expectations, but Maybank Kim Eng analysts are trimming FY18/19 net profit forecasts by 2%/1% on the back of higher credit cost assumptions ahead of MFRS9.

"Public Bank’s 2QFY17 net profit of MYR1.33b (US$310m) (+6% YoY, +7% QoQ) lifted 1HFY17 net profit to MYR2.58b (US$602m) (+4% YoY), making up 49% of our full-year forecast and consensus. Positively, NOII saw decent growth, aided by higher forex and fee income, while asset quality continues to be stable. On the flip side, loan growth has since slowed to 3% on an annualized basis, 4% at the group level. The group also continues to report negative JAWS due to the faster growth in operating expenses relative to income," it added.