[UBS expects Hang Seng Bank's net profit to fall 17% year-on-year in the first half of the year
Rating "neutral"] UBS research report pointed out that Hang Seng Bank (00011.HK)'s earnings per share in the first half of this year are expected to decline sharply due to the compression of net interest income (NII) and the increase in expected credit loss (ECL) expenses. Hang Seng Bank will announce its first-half 2025 results on July 30, and its net profit is expected to fall 17% year-on-year. UBS pointed out that Hang Seng Bank is currently trading at 1.3 times the one-year forward price-to-book ratio, maintaining a "neutral" rating on the stock with a target price of HK$112. It is expected that Hang Seng Bank's dividend yield in 2025 will be 5.4% (based on the target price) and the repurchase yield will be 1%.
