(Kuala Lumpur, 11th) Mahkota Housing $MBSB (1171.MY)$ announced yesterday the unexpected 2.75 cents per share interim dividend, some analysts believe that the bank may distribute an additional dividend between March and June 2025, increasing the total annual dividend to 3.5 cents per share.
The aforementioned 2.75 cents per share interim dividend will be ex-dividend on December 23 and paid out on January 6, 2025.
According to the local financial media "The Edge", Mahkota Housing used to announce dividends only in June of each year for the previous fiscal year.
BIMB Securities analyst pointed out that after the unexpected dividend yesterday, Mah Sing is expected to distribute dividends for the 2024 fiscal year totaling 3.5 sen per share, with the next dividend possibly falling in the next quarter of next year, while the weekly dividend yield is equivalent to 4.7%.
"We also believe that Mah Sing will maintain a full-year dividend of 3.5 sen in the 2025 and 2026 financial years."
In terms of performance prospects, the analyst remains cautious about the short-term outlook of Mah Sing, noting that the Banks needs to make more efforts to reduce its Gross Impaired Loans (GIL) ratio and drive its Return on Equity (ROE).
Currently, the analyst maintains profit expectations for Mah Sing, with net profit forecasts for the 2024 and 2025 financial years at 0.329 billion Ringgit and 0.480 billion Ringgit respectively.
Therefore, the analyst also maintains a "Hold" rating for Mah Sing Group, with the target price remaining at 80 cents.