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VCB [Reiterate BUY +20%] - Delivering on high expectations - Update

Company Research

18 May 2015

USD1bn govt bond purchase yet to be booked, nevertheless 1Q15 NIMs jumped 16bps vs 4Q14 (annualised), and key to sustaining lofty VCB expectations. Many contrasting movements in credit metrics but nothing concerning – Group 2 drops while Group 4 jumps, overdue up to 3 months jumps while overdue over 3 months nudges up, tell-tale signs Cir02/2013 leaving imprint (across all banks).
Tags: VCB

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