Public Bank. Malaysia Company Guide

Transcription

1 Malaysia Company Guide Version 6 Bloomberg: PBK MK Reuters: PUBM.KL Refer to important disclosures at the end of this report DBS Group Research. Equity 3 Feb 2017 BUY Last Traded Price ( 2 Feb 2017): RM20.14 (KLCI : 1,673.48) Price Target 12-mth : RM22.50 (12% upside) (Prev RM22.60) Potential Catalyst: Sustainable and robust earnings deliveries Where we differ: Our TP is higher than consensus as we believe its consistent earnings delivery could help re-rate its share price Analyst Sue Lin LIM suelinlim@dbs.com Lynette CHENG lynettecheng@alliancedbs.com What s New 4Q/FY16 earnings ahead of consensus; revenue growth supported by superior loan growth 2017 remains a challenging year; cautious guidance but above industry growth still expected Lower loan, deposit and credit cost assumption led us to trim FY17-18F earnings by 2-3% Maintain BUY, with lower TP of RM22.50; remains our top pick among Malaysian banks Price Relative RM Feb-13 Feb-14 Feb-15 Feb-16 Feb-17 (LHS) Relative KLCI (RHS) Relative Index Forecasts and Valuation FY Dec (RMm) 2016A 2017F 2018F 2019F Pre-prov. Profit 6,745 7,076 7,611 8,265 Net Profit 5,207 5,471 5,892 6,389 Net Pft (Pre Ex.) 5,207 5,471 5,892 6,389 Net Pft Gth (Pre-ex) (%) EPS (sen) EPS Pre Ex. (sen) EPS Gth Pre Ex (%) Diluted EPS (sen) PE Pre Ex. (X) Net DPS (sen) Div Yield (%) ROAE Pre Ex. (%) ROAE (%) ROA (%) BV Per Share (sen) ,047 1,141 P/Book Value (x) Earnings Rev (%): (2) (3) N/A Consensus EPS (sen): N/A Other Broker Recs: B: 11 S: 4 H: 9 Source of all data on this page: Company, DBS Bank, Bloomberg Finance L.P Stellar delivery despite challenges Still making headway amid challenging times, BUY. (PBK) is our top pick among Malaysian banks. Our BUY rating is premised on its sustainable earnings and robust asset quality. Despite macro headwinds, we expect PBK to continue to deliver above-industry growth and dominant market share in mortgages, auto and SME segments. Contribution from the unit trust business will continue to differentiate it from peers. PBK s ability to safeguard its asset quality despite years of outperforming industry growth attests to the success of its prudent practices. 4Q/FY16 net profit above consensus expectations. 4Q16 earnings were largely driven by recoveries and lower taxes but were operationally underpinned by robust revenues and expense trends. NIM improved q-o-q due to active management of its wholesale deposit balances vs growing core deposits while loan yields were largely stable. Non-interest income stayed strong driven largely by unit trust fees and banking-related commissions. Overall, PBK delivered a stellar set of FY16 earnings despite challenges faced in the industry. Loan and deposit growth moderated from a year ago, albeit still above industry levels. A final DPS of 32 sen was declared, bringing fullyear DPS to 58 sen (43% payout). Capital ratios and assetquality indicators stayed robust. Trim earnings by 2-3% over FY17-18F; PBK will still defy headwinds. We have imputed lower loan and deposit growth of 7% and 5% respectively (previously 8% for both). The impact was mitigated by a lower credit cost assumption of 6bps (from 9bps). Although growth expectations have moderated slightly and the industry appears to be seeing more challenges ahead, PBK remains the silver lining in the banking sector as its financial metrics (such as loan growth, deposit growth, asset quality and cost efficiency) remain superior to its peers. Valuation: Our target price of RM22.50 (implying 2.3x FY17F BV) is derived using the Gordon Growth Model and assumes 9% cost of equity, 4% long-term growth and 15% ROE (previously 16%). PBK s premium valuation vs. peers is justified, as it continues to deliver solid growth and quality trends, contrary to peers. Key Risks to Our View: Failure to sustain above-industry growth and asset quality. A key de-rating factor for PBK would be the failure to sustain its excellent growth and asset quality track record, as well as faltering market share in segments which it excels in. At A Glance Issued Capital (m shrs) 3,861 Mkt. Cap (RMm/US$m) 77,770 / 17,575 Major Shareholders (%) Tan Sri Dato' Dr Teh Hong Piow (%) 21.8% Employees Provident Fund (%) 15.4% Free Float (%) m Avg. Daily Val (US$m) 25.6 ICB Industry : Financials / Banks ed: CK / sa: BC, PY

2 WHAT S NEW Another stellar year despite challenges Highlights Strong revenues led by robust loan growth and improved NIM. Overall, PBK delivered a stellar set of FY16 earnings despite challenges faced in the industry. The strong RM1.4bn (+19.8% q-o-q; -0.6% y-o-y) net profit in 4Q16 drove FY16 earnings higher to RM5.2bn (+2.9% y-o-y) which was 5% above consensus expectation and a marginal 2% above our forecasts. Notably, FY15 net profit base was higher due to several non-recurring items, including a gain from revaluation of properties of RM107m and opportunistic realised investment gains. Loan and deposit growth moderated from a year ago at 7.5% y-o-y and 2.9% y-o-y respectively (FY15: 11.6%; 8.9%), albeit still above industry levels. NIM in fact improved y-o-y contrary to expectation of a slippage, thanks to its active deposit management. We note that PBK had reduced its costly wholesale deposit balances y-o-y. Strong 4Q16 earnings. 4Q16 earnings were largely driven by recoveries and lower taxes but were operationally underpinned by robust revenues and expense trends. NIM improved q-o-q due to active management of its wholesale deposit balances vs growing core deposits while loan yields were largely stable. Reclassification of certain non-interest income items to net interest income; muted impact on NIM. A reclassification of certain items in PBK s non-interest income (from dividend income to net interest income) resulted in a decline in fee income y-o-y. The reclassification, however, only led to a 2% improvement in net interest income y-o-y but this has minimal impact on NIM. Excluding this anomaly, overall non-interest income stayed strong driven largely by unit trust fees and banking-related commissions. Net asset value for its funds under management at its fund management operations grew 8% y-o-y to RM70.3bn in Superior loan and deposit growth. Despite the challenging operating environment, PBK continued to deliver superior loan and deposit growth at above industry levels. The segments contributing to its healthy loan growth include residential and SME loans. Its deposit growth paled in comparison to loan growth, as the deposit market continued to shrink. Even then, PBK managed to post core deposit growth (ex-wholesale deposits) of 5.3% y-o-y vs 3.6% at the industry level. The weaker deposit growth vs loan growth led to a higher loan-to-deposit ratio of 94% at end-dec 16. Asset quality stayed robust. Absolute NPLs increased by 10% y-o-y, attributable to an increase in residential and working capital-impaired loans. Nonetheless, gross NPL ratio remained low at 0.5% (vs the industry s 1.6%). Provisions increased but were within expectations at 7bps while loan loss coverage ratio stayed high at 103% (248% including regulatory reserves). Strong capital ratios; higher annual DPS. PBK remains well capitalised with CET1/Tier 1/Total ratio of 11.4/12.2/15.5%. A final DPS of 32 sen was declared, bringing full-year DPS to 58 sen (FY15: 56 sen) equivalent to a 43% payout ratio. Outlook Cautious guidance for 2017, albeit still superior to industry. Despite challenging times ahead, we believe PBK will continue to deliver sustainable earnings growth, albeit slower. ROE is targeted at 14-15%. Its loan growth is expected to moderate to 6-7% while deposit growth is targeted at 5-6%. Loan-to-deposit ratio would clearly increase. Growing retail deposits would be its focus. Getting funding from wholesale deposits would be managed. NIM is still guided for a midsingle digit compression, largely from sustained deposit competition. Better-than-expected NIM management could pose upside risk to our earnings forecasts. It would be imperative for PBK to continue focusing on generating stronger fee income growth to ensure that its earnings growth does not get eroded significantly. Contribution from its asset management business will continue to set the bank apart from peers. With rising regulatory and compliance costs, a higher 33-34% cost-to-income ratio was guided. Asset quality is still expected to stay stable but management did caution on possible stress as collections are getting challenging. That said, management is still targeting for a <1% NPL ratio and credit cost to be <15bps. Total CAR is targeted above 13% while dividend payout ratio should stay close to current levels. Trim earnings by 2-3% for lower loan, deposit and NIM assumptions. In accordance to management guidance, we have toned down loan and deposit growth to 7% and 5%, respectively (8% previously). The impact was mitigated by a lower credit cost assumption of 6bps (from 9bps previously), given the positive surprise in credit cost in FY16. We maintain our assumption of 4bps NIM compression, which is in line with management guidance. Overall, this results in an ROE forecast of c.15%. Valuation and recommendation Maintain BUY, lower TP of RM22.50 post earnings adjustment. PBK remains the top pick in our Malaysian bank universe. Our TP, which implies 2.3x FY17F BV, is derived using the Gordon Growth Model and assumes 9% cost of equity, 4% long-term growth and 15% ROE (previously 16%). In our view, PBK s premium valuation vs. its Malaysian and ASEAN peers is justified for a quality defensive bank. Page 2

3 Quarterly / Interim Income Statement (RMm) FY Dec 4Q2015 3Q2016 4Q2016 % chg yoy % chg qoq FY15 FY16 % chg yoy Net Interest Income 1,654 1,736 1, , , Islamic Income Non-Interest Income (17.1) 9.8 2, ,094.4 (10.5) Operating Income 2,497 2,467 2, , , Operating Expenses (749) (815) (805) 7.5 (1.1) (2,915.2) (3,211.5) 10.2 Pre-Provision Profit 1,748 1,652 1, , , Provisions 106 (93.7) 37.3 (64.7) (139.8) (146.8) (192.3) 31.0 Associates 4.41 (0.4) 0.09 (97.9) nm (82.0) Exceptionals nm nm - - nm Pretax Profit 1,858 1,558 1,793 (3.5) , , Taxation (351) (306) (293) (16.3) (4.0) (1,370.2) (1,286.6) (6.1) Minority Interests (14.7) (14.4) (16.5) (11.8) 14.8 (59.1) (60.6) 2.5 Net Profit 1,492 1,238 1,483 (0.6) , , Growth (%) Net Interest Income Gth Net Profit Gth 24.2 (1.4) Key ratio (%) NIM NPL ratio Loan-to deposit Cost-to-income Total CAR Source of all data: Company, DBS Bank Page 3

4 Margin Trends CRITICAL DATA POINTS TO WATCH Earnings Drivers: NIM compression largely from funding cost pressures. Like its peers, PBK expects continued pressure on NIM arising from higher cost of funds and is guiding for NIM to decline by midsingle digits in FY17F. PBK will be focusing on garnering core deposits (CASA and FD) while managing expensive wholesale deposits. Loan yields are expected to stay stable. RM m 2.4% 7, % 6, % 5, % 4, % 3, % 2, % 1, % 0 2.0% Net Interest Income Net Interest Income Margin Strong consumer franchise to defy headwinds. PBK has consistently beat industry loan growth and for 2017, it targets around 6-7% growth. The bank expects growth in deposit to be at 5-6%. Despite the weaker consumer sentiment, we expect loan growth to remain resilient as its key portfolio lies in the mass market. The bank is expected to maintain its market share positions, particularly in the mortgages, auto and SME segments. Consumer loans make up close to 60% of PBK s loan book. Gross Loan & Growth RM m 350, , , , , ,000 50, % 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% Asset management contribution drives non-interest income. Sustainable and growing contribution from its asset management arm, Public Mutual, continues to differentiate PBK from its peers. Despite the volatile market, Public Mutual continued to deliver profits and grow its assets under management (FY16: RM70bn). This business unit is a key driver of recurring income. On top of that, PBK also has a strategic bancassurance partnership with AIA Group that enables the group to offer life, health and investment-linked products to its customers. Although bancassurance s contribution is still small as a percentage of non-interest income, its growth has been strong. 350, , , , , ,000 50,000 0 Gross Loan (LHS) RM m Gross Loan Growth (%) (YoY) (RHS) Customer Deposit & Growth Customer Deposits (LHS) Customer Deposits Growth (%) (YoY) (RHS) 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% PBK has the lowest cost-to-income ratio in the industry at c.30%. The bank intends to keep that at 33-34% in FY17. We forecast its cost-to-income ratio to inch up. The cost containment measures, coupled with its targeted income growth, should keep ROE at around 15% in FY17. RM bn 404, , , , ,633 Loan-to-Deposit Ratio Trend 106% 101% 96% Small regional franchise. Apart from domestic operations, PBK also has a regional presence, in Hong Kong, Sri Lanka, Laos, Cambodia, and Vietnam. That said, overseas operations remain a small contributor to PBK, at about 9% of PBT. Since April 2016, PBK has full control of its Vietnam operations. At this juncture, operations remain small. PBK intends to build its franchise in Vietnam in the retail segment. While it is still keen on expanding regionally, PBK s mode of expansion will remain organic. 304,633 91% 284,633 86% 264, ,633 81% Loans Deposit Loan-to-Deposit Ratio (RHS) Cost & Income Structure 33.0% 12, % 10, % 8, % 6, % 4,000 2, % 30.0% % Net Interest Income Non-interest Income Islamic Banking Income Cost-to-income Ratio Source: Company, DBS Bank Page 4

5 Balance Sheet: Unrivalled asset quality. PBK leads the industry in terms of asset quality with an enviable NPL ratio of 0.5%. The bank s ability to safeguard its asset quality despite years of outperforming industry growth attests to the success of its prudent practices. Given its strong credit culture, we expect its NPL ratio and credit cost to remain low and stable. PBK is well-capitalised, boosted by the RM5bn rights issue completed in PBK aims to keep total capital ratio at not less than 13%. It does not have a dividend reinvestment plan but its dividend payout ratio has been stable at slightly more than 40%. Share Price Drivers: PBK is trading at premium valuation vs. peers. This is justified for a quality defensive bank. PBK is currently trading close to - 2SD of its 10-year P/BV mean. This represents a good opportunity to accumulate the stock to gain exposure to longterm sustainable earnings. 1.0% 0.9% 0.8% 0.7% 0.6% 0.5% 0.4% 0.3% 0.2% 0.1% 0.0% 17.0% 16.0% 15.0% 14.0% 13.0% 12.0% Asset Quality NPL Ratio Provision Charge-Off Rate Capitalisation (%) Consistent earnings delivery. PBK s consistent earnings delivery and robust underlying trends amid a challenging operating environment could act as the key catalysts for the stock. Betterthan-expected NIM management could pose upside risk to our earnings forecasts. 16.0% 14.0% 12.0% 10.0% Tier-1 CAR ROE (%) Total CAR Key Risks: Sharp deterioration in retail growth prospects. PBK s consumer loan growth did not weaken following Bank Negara s tightening measures over the last three years, although we expect pockets of speculative and high-end properties to soften. As PBK s key portfolio focus is the mass market, we expect its loan growth to remain resilient. Company Background Berhad provides a range of commercial banking and financial services, which include unit trust management, financing for the purchase of licensed public vehicles, and other financial services. The group's overseas operations include branches in Hong Kong, Sri Lanka, Laos, Cambodia, and Vietnam. 8.0% 6.0% 4.0% 2.0% 0.0% Forward PE Band (x) (x) sd: 16.1x sd: 15.3x 14.5 Avg: 14.4x sd: 13.6x -2sd: 12.8x 11.5 Feb-13 Feb-14 Feb-15 Feb-16 (x) PB Band (x) Feb-13 Feb-14 Feb-15 Feb-16 +2sd: 3.46x +1sd: 3.07x Avg: 2.69x -1sd: 2.3x -2sd: 1.91x Source: Company, DBS Bank Page 5

6 Key Assumptions FY Dec Gross Loans Growth Customer Deposits Growth Yld. On Earnings Assets Avg Cost Of Funds Expect loan growth to outpace the industry s Income Statement (RMm) FY Dec Net Interest Income 6,377 6,920 7,093 7,433 7,853 Islamic Income ,017 1,098 1,186 Non-Interest Income 2,340 2,094 2,386 2,724 3,111 Operating Income 9,546 9,956 10,496 11,256 12,150 Operating Expenses (2,915) (3,211) (3,420) (3,645) (3,885) Pre-provision Profit 6,631 6,745 7,076 7,611 8,265 Provisions (147) (192) (183) (188) (216) Associates Exceptionals Pre-tax Profit 6,491 6,554 6,899 7,430 8,057 Taxation (1,370) (1,287) (1,380) (1,486) (1,611) Minority Interests (59.1) (60.6) (48.3) (52.0) (56.4) Preference Dividend Net Profit 5,062 5,207 5,471 5,892 6,389 Net Profit bef Except 5,062 5,207 5,471 5,892 6,389 Growth (%) Net Interest Income Gth Net Profit Gth Margins, Costs & Efficiency (%) Spread Net Interest Margin Cost-to-Income Ratio Business Mix (%) Net Int. Inc / Opg Inc Non-Int. Inc / Opg inc Fee Inc / Opg Income Oth Non-Int Inc/Opg Inc Profitability (%) ROAE Pre Ex ROAE ROA Pre Ex ROA Source: Company, DBS Bank Page 6

7 Quarterly / Interim Income Statement (RMm) FY Dec 4Q2015 1Q2016 2Q2016 3Q2016 4Q2016 Net Interest Income 1,654 1,685 1,700 1,736 1,800 Islamic Income Non-Interest Income Operating Income 2,497 2,504 2,425 2,467 2,561 Operating Expenses (749) (788) (803) (815) (805) Pre-Provision Profit 1,748 1,716 1,622 1,652 1,755 Provisions 106 (67.0) (68.9) (93.7) 37.3 Associates (1.2) (0.4) 0.09 Exceptionals Pretax Profit 1,858 1,652 1,552 1,558 1,793 Taxation (351) (407) (281) (306) (293) Minority Interests (14.7) (15.3) (14.4) (14.4) (16.5) Net Profit 1,492 1,230 1,256 1,238 1,483 Growth (%) Net Interest Income Gth Net Profit Gth 24.2 (17.6) 2.1 (1.4) 19.8 Consistent earnings delivery Balance Sheet (RMm) FY Dec Cash/Bank Balance 14,831 10,684 5,796 3,535 2,150 Government Securities 4,379 2,794 2,375 2,018 1,716 Inter Bank Assets Total Net Loans & Advs. 271, , , , ,186 Investment 54,955 56,698 59,901 62,811 64,845 Associates Fixed Assets 1,423 1,528 1,589 1,653 1,719 Goodwill 2,376 2,604 2,604 2,604 2,604 Other Assets 13,789 13,278 13,507 13,670 13,743 Total Assets 363, , , , ,001 Customer Deposits 301, , , , ,833 Inter Bank Deposits 9,970 11,811 13,582 15,620 17,963 Debts/Borrowings 11,667 11,514 11,514 11,514 11,514 Others 8,657 11,390 9,579 10,305 11,105 Minorities 1,077 1,150 1,199 1,251 1,307 Shareholders' Funds 31,231 34,213 37,316 40,646 44,279 Total Liab& S/H s Funds 363, , , , ,001 Source: Company, DBS Bank Page 7

8 Financial Stability Measures (%) FY Dec Balance Sheet Structure Loan-to-Deposit Ratio Net Loans / Total Assets Investment / Total Assets Cust. Dep./Int. Bear. Liab Interbank Dep / Int. Bear Asset Quality NPL / Total Gross Loans NPL / Total Assets Loan Loss Reserve Coverage Provision Charge-Off Rate Capital Strength Total CAR Tier-1 CAR Lowest NPL ratio among peers Source: Company, DBS Bank Target Price & Ratings History RM S.No. Date of Report Closing Price 12-mth T arget Price Rating 1: 02 Feb BUY 2: 04 Feb BUY 3: 25 Feb BUY 4: 01 Mar BUY 5: 02 Mar BUY 6: 24 Mar BUY 7: 04 Apr BUY 8: 20 Apr BUY 9: 03 May BUY 10: 04 May BUY 11: 02 Jun BUY : 03 Jun BUY Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 13: 04 Jul BUY 14: 12 Jul BUY Note : Share price and Target price are adjusted for corporate actions. 15: 14 Jul BUY 16: 29 Jul BUY 17: 01 Aug BUY 18: 05 Aug BUY 19: 02 Sep BUY 20: 05 Sep BUY 21: 06 Oct BUY 22: 21 Oct BUY 23: 24 Oct BUY 24: 31 Oct BUY 25: 07 Nov BUY 26: 06 Dec BUY 27: 07 Dec BUY 28: 10 Jan BUY 28 Source: DBS Bank Analyst: Sue Lin LIM Lynette CHENG Page 8

9 DBS Bank recommendations are based an Absolute Total Return* Rating system, defined as follows: STRONG BUY (>20% total return over the next 3 months, with identifiable share price catalysts within this time frame) BUY (>15% total return over the next 12 months for small caps, >10% for large caps) HOLD (-10% to +15% total return over the next 12 months for small caps, -10% to +10% for large caps) FULLY VALUED (negative total return i.e. > -10% over the next 12 months) SELL (negative total return of > -20% over the next 3 months, with identifiable catalysts within this time frame) Share price appreciation + dividends Completed Date: 3 Feb :02:36 (MYT) Dissemination Date: 3 Feb :04:40 (MYT) GENERAL DISCLOSURE/DISCLAIMER This report is prepared by DBS Bank Ltd. This report is solely intended for the clients of DBS Bank Ltd, DBS Vickers Securities (Singapore) Pte Ltd, its respective connected and associated corporations and affiliates only and no part of this document may be (i) copied, photocopied or duplicated in any form or by any means or (ii) redistributed without the prior written consent of DBS Bank Ltd. The research set out in this report is based on information obtained from sources believed to be reliable, but we (which collectively refers to DBS Bank Ltd, its respective connected and associated corporations, affiliates and their respective directors, officers, employees and agents (collectively, the DBS Group )) do not make any representation or warranty as to its accuracy, completeness or correctness. Opinions expressed are subject to change without notice. This document is prepared for general circulation. 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The DBS Group may have positions in, and may effect transactions in securities mentioned herein and may also perform or seek to perform broking, investment banking and other banking services for these companies. Any valuations, opinions, estimates, forecasts, ratings or risk assessments herein constitutes a judgment as of the date of this report, and there can be no assurance that future results or events will be consistent with any such valuations, opinions, estimates, forecasts, ratings or risk assessments. The information in this document is subject to change without notice, its accuracy is not guaranteed, it may be incomplete or condensed and it may not contain all material information concerning the company (or companies) referred to in this report and the DBS Group is under no obligation to update the information in this report. This publication has not been reviewed or authorized by any regulatory authority in Singapore, Hong Kong or elsewhere. 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They are not to be construed as recommendations to trade in the physical commodity or in the futures contract relating to the commodity referred to in this report. DBS Vickers Securities (USA) Inc ("DBSVUSA")"), a U.S.-registered broker-dealer, does not have its own investment banking or research department, has not participated in any public offering of securities as a manager or co-manager or in any other investment banking transaction in the past twelve months and does not engage in market-making. Page 9

10 ANALYST CERTIFICATION The research analyst(s) primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views. The analyst(s) also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in the report. The DBS Group has procedures in place to eliminate, avoid and manage any potential conflicts of interests that may arise in connection with the production of research reports. As of 3 Feb 2017, the analyst(s) and his/her spouse and/or relatives who are financially dependent on the analyst(s), do not hold interests in the securities recommended in this report ( interest includes direct or indirect ownership of securities). The research analyst(s) responsible for this report operates as part of a separate and independent team to the investment banking function of the DBS Group and procedures are in place to ensure that confidential information held by either the research or investment banking function is handled appropriately. COMPANY-SPECIFIC / REGULATORY DISCLOSURES 1. DBS Bank Ltd, DBS Vickers Securities (Singapore) Pte Ltd (''DBSVS''), their subsidiaries and/or other affiliates do not have a proprietary position in the securities recommended in this report as of 30 Dec DBS Bank Ltd does not market make in equity securities of the issuer(s) or company(ies) mentioned in this Research Report. Compensation for investment banking services: 3. DBSVUSA does not have its own investment banking or research department, nor has it participated in any public offering of securities as a manager or co-manager or in any other investment banking transaction in the past twelve months. Any US persons wishing to obtain further information, including any clarification on disclosures in this disclaimer, or to effect a transaction in any security discussed in this document should contact DBSVUSA exclusively. Disclosure of previous investment recommendation produced: 4. DBS Bank Ltd, DBS Vickers Securities (Singapore) Pte Ltd (''DBSVS''), their subsidiaries and/or other affiliates may have published other investment recommendations in respect of the same securities / instruments recommended in this research report during the preceding 12 months. Please contact the primary analyst listed in the first page of this report to view previous investment recommendations published by DBS Bank Ltd, DBS Vickers Securities (Singapore) Pte Ltd (''DBSVS''), their subsidiaries and/or other affiliates in the preceding 12 months. 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