iFAST Corporation Ltd is set to experience accelerated profit growth in the second half of 2025, driven by its expanding Hong Kong business. The company’s net revenue for the second quarter of 2025 reached S$80.0 million, marking a 30.4% year-on-year increase, as the onboarding of trustees for Hong Kong’s e-Mandatory Pension Fund (eMPF) project progresses. This growth is expected to continue, with iFAST forecasting increased profitability in the upcoming quarters, according to a CGS International report.
The Hong Kong segment’s contribution to iFAST’s overall performance has been significant, with net revenue from this region growing by 40.1% year-on-year in the second quarter. Despite lowering its full-year pre-tax profit guidance for Hong Kong from HK$500 million to HK$380 million, iFAST remains optimistic about exceeding these targets as revenue recognition accelerates in the latter half of the year.
iFAST’s core business has also shown resilience, with assets under administration rising by 5.9% quarter-on-quarter to S$27.2 billion. This growth is supported by increased unit trust subscriptions and a substantial rise in customer deposits for its UK banking operations.
The company has raised its earnings per share estimates for 2025 to 2027 by up to 4.1%, reflecting improved revenue contributions from Hong Kong. Consequently, iFAST’s target price has been lifted to S$9.20, supported by a projected 27.8% compound annual growth rate in earnings per share from 2024 to 2027.
Looking ahead, iFAST aims to leverage its growing Hong Kong operations and UK banking contributions to sustain its upward trajectory. However, potential risks include missing revenue guidance for Hong Kong and stagnant assets under administration, which could impact its wealth management business.
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