Highlights

• 1H26 revenue of S$316.5m (+39% yoy) and PATMI of S$57.9m (+41% yoy) came in slightly above our estimates, forming 51%/53% of our forecasts respectively. 
   
• AUA hit a new high of S$36.1b (+33% yoy), with China AUA doubling yoy and strong net inflows of S$2.56b in 1H26 (+15% yoy).
   

• Maintain BUY with a higher target price of S$12.18, underpinned by better-than-expected earnings and continued momentum in AUA.
   

  

Analysis

• 1H26 earnings above expectations. iFAST Corporation (iFast) delivered 2Q26 revenue of S$162.0m and PATMI of S$29.8m, bringing 1H26 revenue to S$316.5m (+39.3% yoy) and 1H26 PATMI to S$57.9m (+40.7% yoy), forming 51%/53% of our forecasts respectively. Growth was driven by stronger contributions from Hong Kong's ePension division and continued strength in the core wealth management platform. 1H26 opex rose 47.0% yoy to S$143.7m (2Q26: S$72.7m, +36.4% yoy), mainly higher staff costs (+79.5% yoy in 1H26) tied to ePension headcount. However, management also expects staff costs to moderate going forward with fewer headcount contract renewals alongside existing AI efforts.
   

• New record-high AUA, broad-based across markets. Asset under administration (AUA) hit an all-time high of S$36.1b as at end-Jun 26 (+32.8% yoy, +10.7% qoq), driven by net inflows of S$1.31b in 2Q26 (1H26: S$2.56b). All markets posted record AUA: Singapore +30.0% yoy, Hong Kong +36.0% yoy, Malaysia +40.4% yoy, China +100.0% yoy, UK +25.2% yoy. China remains a standout, with AUA doubling yoy to S$990m and its segment loss narrowing 49% qoq to S$0.95m, potentially turning profitable by 2027.