BofAS maintained an Underperform rating for MINSHENG BANK due to a decline in net profit by 9.6% year-on-year, primarily driven by a significant increase in provision expenses. Although pre-provision profit increased, the overall financial metrics, including a slight drop in the core tier-1 capital adequacy ratio and return on equity, indicate ongoing pressure from provisions. The broker set a target price of HKD3.6 for H-shares.
