
Tisco Financial Group Plc (TISCO)
TISCO continued on its sprint with brisk new loans and higher fee income. However, surging costs prevented topline growth from making its way to the bottomline. The stars have yet to align in the bank’s favour. TISCO’s 1Q12 results came in 3% above our expectation. Given the strong loan growth, we nudge up our FY12-13 net profit estimates by 3-5% and our target price, still set at 1.5x FY12 P/BV (GGM: 14% ROE, 11.7% COE, 7% growth). Maintain Neutral.