LKF Partners

CIMB GROUP HOLDINGS BERHAD (CIMB 1023)

| Result Updates

QUARTERLY RESULTS

Quarter Ending Jun-24 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25
Q2 Q3 Q4 Q1 Q2 Q3 Q4
Interest Income 6,223,142 6,257,540 6,107,326 6,042,578 5,840,320 5,764,190 5,713,344
Interest Income – Financial Assets FV 430,488 414,286 426,813 444,006 451,561 447,938 440,924
Interest Expense (3,840,222) (3,778,486) (3,738,568) (3,664,119) (3,493,682) (3,393,407) (3,274,493)
Modification Loss (568) (649) (741) (5,875) (10,213) (25,585) (14,311)
Net Interest 2,812,840 2,892,691 2,794,830 2,816,590 2,787,986 2,793,136 2,865,464
Islamic Banking Income 1,229,372 1,186,440 1,201,928 1,214,309 1,266,745 1,307,099 1,170,630
Net Fee & Commission Income 621,186 604,082 548,970 614,768 581,689 614,517 569,198
Other Operating Income 939,142 1,058,376 782,338 853,341 965,341 1,232,962 813,637
Other Operating Expenses (2,573,400) (2,670,353) (2,624,523) (2,579,705) (2,551,217) (2,791,484) (2,704,510)
Prov for Loan Losses (298,989) (343,166) (358,344) (311,021) (451,217) (314,628) (257,432)
Loan Writebacks 0 0 0 0 47,078 (15,799) 48,963
Joint Ventures 1,533 1,491 16,683 15,566 148 16,605 55,984
Associates (2,030) 1,038 483 3,189 1,039 131 934
Profit Before Tax 2,729,654 2,730,599 2,362,365 2,627,037 2,647,592 2,842,539 2,562,868
Tax Expense (720,939) (657,035) (508,691) (599,385) (717,330) (720,484) (614,407)
Profit After Tax 2,008,715 2,073,564 1,853,674 2,027,652 1,930,262 2,122,055 1,948,461
Non-controlling Interests (47,758) (43,201) (53,297) (54,272) (41,520) (44,095) (28,991)
Net Profit After Tax 1,960,957 2,030,363 1,800,377 1,973,380 1,888,742 2,077,960 1,919,470
Diluted EPS (sen) 18.29 18.88 16.72 16.72 17.55 19.28 17.77
BALANCE SHEET
Gross Loans 444,703,244 436,968,014 452,241,004 450,141,792 449,161,635 448,212,626 452,956,115
Impaired Loans (11,306,204) (10,531,902) (10,077,525) (9,950,442) (9,710,032) (8,797,292) (8,035,685)
Net Loans 433,397,040 426,436,112 442,163,479 440,191,350 439,451,603 439,415,334 444,920,430
Fin Investm (FV through P&L) 50,958,266 52,142,933 52,683,146 57,724,418 59,495,102 67,434,799 64,700,485
Debt Instrum (FV through CI) 73,501,025 78,327,063 78,881,355 82,015,794 81,346,594 85,474,811 85,328,683
Debt Instrum (Amortized) 78,542,140 76,757,799 78,663,456 83,783,748 80,878,046 82,414,818 80,128,693
Other Assets 18,153,525 19,782,929 16,005,996 19,047,952 22,107,951 22,335,625 103,646,099
Total Assets 743,535,452 745,022,073 755,130,703 769,553,886 769,243,066 778,529,650 778,724,390
Deposits from Customers 461,651,135 441,094,508 471,950,866 464,416,920 467,432,909 473,091,431 477,755,341
Deposits from Financial Institutions 42,904,156 44,659,886 45,444,581 50,287,839 45,191,984 49,356,263 49,907,561
Financial liabilities (FV through P&L) 13,140,648 12,731,903 12,893,866 12,568,702 11,786,746 11,597,839 13,183,149
Bonds, Sukuk and debentures 14,649,707 14,412,197 16,396,547 15,262,383 15,186,134 15,408,975 17,119,234
Other borrowings 10,722,481 11,557,751 10,546,914 14,806,783 14,186,628 13,575,881 13,175,494
Subordinated Obligations 11,157,756 11,303,860 11,912,807 11,331,750 11,341,462 13,834,126 12,291,174
Total Liabilities 673,021,561 676,604,514 684,291,813 699,196,612 697,352,441 706,638,573 706,816,624
Net Assets 70,513,891 68,417,559 70,838,890 70,357,274 71,890,625 71,891,077 71,907,766
Share Capital 29,263,432 29,358,521 29,439,251 29,476,981 29,567,403 29,646,708 29,774,000
Shareholders Equity 68,984,951 66,754,135 69,243,796 68,745,373 70,354,175 70,321,350 70,361,115

ANALYST RATINGS

Results Announcement Date: 27 February 2026 (Closing Share Price: RM8.04)
Below is a summary of analyst ratings and forecasts for CIMB Bank Malaysia Berhad (CIMB Bank) following the Results Announcement Date.

Rating Target Price EPS
FY2026 (E)
EPS
FY2027 (E)
DPS
FY2026 (E)
DPS
FY2027 (E)
Remarks
As at 2/3/26
Affin Hwang Investment Bank Buy 9.60 0.766 0.823 0.43 0.47
Maybank Investment Bank Hold 8.60 0.77 0.82 0.48 0.51
RHB Investment Bank Buy 9.00 0.77 0.82 0.48 0.51
Hong Leong Investment Bank Buy 9.90 0.771 0.81 0.505 0.531
Average 9.067 0.769 0.821 0.463 0.497
Subsequent Ratings
Hong Leong Investment Bank (21/4/26) Buy 9.80 0.764 0.80 0.501 0.525
Public Investment Bank (21/4/26) Outperform 9.20 0.764 0.807 0.497 0.525
*(E) = Estimate/Forecast

Results Announcement Date: 28 November 2025 (Closing Share Price: RM6.95)
Below is a summary of analyst ratings and forecasts for CIMB Group Holdings Bhd as at 1 December 2025:

Rating Target Price EPS
FY2025 (E)
EPS
FY2026 (E)
DPS
FY2025 (E)
DPS
FY2026 (E)
Remarks
Affin Hwang Investment Bank Buy 8.50 0.73 0.76 0.47 0.49
Maybank Investment Bank Buy 8.60 0.73 0.77 0.47 0.48
Public Investment Bank Outperform 8.60 0.729 0.752 0.452 0.474
RHB Investment Bank Buy 8.55 0.72 0.75 0.47 0.48
UOB Kay Hian Buy 8.30 0.725 0.772 0.474 0.505
Average 8.51 0.73 0.76 0.47 0.49
*(E) = Estimate/Forecast

COMMENTARY

CIMB Results Update (Dec 2025)

CIMB Group Results Update FY2025Q4 (DECEMBER 2025)

Results Announcement Date: 27 February 2026 (Closing Share Price: RM8.04)

For the fourth quarter ending 31/12/25, Net Profit of RM1.92 bil was up 6.7% from pcp on the back of loan loss writebacks and lower credit losses.

For the full FY2025, Net Profit was up slightly from RM7.73 bil to RM7.86 bil (EPS 71.3 sen). Expected Credit Loss of RM1.38 bil was at a similar level to FY2024.

Excluding loan impairments and writebacks, Profit before Tax for FY2025 came in at RM11.9 bil compared to RM11.5 bil for FY2024.

Other Operating Income for FY2025 was RM6.25 bil compared to RM6.2 billion for FY2024.

Cost-to-Income Ratio increased to 49.9% for the quarter. CIR for FY2025 was 47.3%, up slightly from 46.9% in FY2024.

Net Loans of RM444.9 bil was up 0.6% from 31/12/25, while Customer Deposits inched up 1.2% to RM477.8 bil. An RM11.5 bil drop in deposits from Individuals was offset by a RM12.7 bil increase from Businesses. Deposits from Government & Statutory Bodies increased by RM5.6 bil.

Management’s targets for FY2026 as follows:

  • Asset growth of 5-7%
  • NIM 2.08-2.18% (FY25: 2.13%)
  • CIR < 47%
  • Credit cost 25-35bps (FY25: 31bps)
  • ROE: 11.0 to 11.5%

Management believes it is on track to hit an ROE of 12-13% in FY27, to be achieved via tighter cost discipline, increased focus on Non-Interest Income (wealth, treasury, transaction banking) and capital reallocation from Indonesia and Thailand to higher ROE business in Malaysia (~12%) and Singapore (~18%)

This translates into a prospective Net Profit of RM7.6 to RM8.0 bil (EPS 71 to 75 sen). Management is looking to maintain a Dividend Payout Ratio of 55% (excluding any potential special dividends).

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