Bursa’s 1H earnings boost confidence - The Star
Bursa’s 1H earnings boost confidence The Star
Source: The Star · August 3, 2026 at 4:05 AM · AI-assisted report

MALAYSIA, 3 AUGUST 2026 —
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Bursa Malaysia Bhd's recent earnings announcement for the first half of the financial year 2026 has boosted market sentiments and reinforced confidence in the stock exchange. The company's strong financial performance has led to a positive response from research houses, with two maintaining a "buy" call, one placing an "outperform" call, while another had a "hold" call, and one being "neutral".
Market Impact
The first half of the financial year 2026 saw Bursa Malaysia generate RM26.1 billion from 36 initial public offerings (IPOs), exceeding its initial target. As a result, the company raised its IPO market capitalization target to RM34 billion from RM28 billion. Total revenue for the period grew 19.1% to RM425 million, while net profit stood at RM144.6 million. Operating revenue increased to RM411.7 million, with trading revenue growing to RM258.2 million and non-trading revenue hitting RM153.5 million. An interim dividend of 16.5 sen per share for the first half of 2026 was declared.
MBSB Research noted that the company's strong earnings were supported by stronger securities trading revenue and higher listing and issuer services revenue. The research house also highlighted several potential developments that will support Bursa Malaysia's medium-term growth, including proposed enhancements to the LEAP Market to expand fundraising access for micro, small, and medium enterprises and mid-tier companies. Bursa Malaysia's collaboration with Hong Kong Exchanges and Clearing, together with the Securities Commission and the Securities and Futures Commission of Hong Kong, may lead to more dual listings between Malaysia and Hong Kong.
CIMB Research commented on the MY Value Up programme, stating that it has been broadly positive, with companies outside the 88 targeted firms actively engaging with authorities. The research house also noted that Bursa Malaysia is in the process of formulating its 2027 to 2030 strategic roadmap, which will be aligned with both the Capital Market Masterplan 2030 and its own MY Value Up initiative. However, CIMB Research expects a weaker second half of 2026, citing a decline in average daily volume (ADV) at less than RM3 billion in July, which suggests investor participation remains cautious despite positive structural catalysts.
According to CIMB Research, equity ADV is expected to moderate to about RM2.65 billion in the second half of 2026 from RM3.5 billion in the first half, amid general election-related uncertainty and ongoing geopolitical risks. Despite this, the research house maintains its FY26 to FY28 earnings forecasts, assuming equity ADVs of RM3.1 billion to RM3.3 billion and derivatives average daily contracts of 96,900 to 105,100. CIMB Research maintains a "hold" call on the stock with a target price of RM8.65.
Other research houses, such as Kenanga Research and TA Research, also provided their perspectives on Bursa Malaysia's earnings announcement. Kenanga Research expects the third quarter to be subdued but anticipates an expansionary budget will push for a better fourth quarter. As a result, the research house has nudged up its target price from RM9.25 to RM9.60. TA Research, on the other hand, will keep its "buy" call on the stock with a target price of RM9.55. MBSB Research maintained its neutral recommendation with a target price of RM8.85, citing the company's resilient earnings, strong dividend payout, and improving non-trading revenue contribution.
The positive earnings announcement from Bursa Malaysia is expected to have a positive impact on the Malaysian stock market, with potential implications for investors and stakeholders. As the company continues to grow and expand its services, it is likely to attract more investors and listings, which could lead to increased market activity and liquidity. The collaboration with Hong Kong Exchanges and Clearing is also expected to enhance the company's reputation and attract more international investors.
In conclusion, Bursa Malaysia's strong earnings announcement for the first half of 2026 has boosted market sentiments and reinforced confidence in the stock exchange. With a positive outlook and several potential developments on the horizon, the company is well-positioned for medium-term growth. As the Malaysian stock market continues to evolve, Bursa Malaysia is likely to play a key role in shaping the country's capital market landscape. With a strong foundation and a clear strategic roadmap, the company is expected to continue delivering value to its stakeholders and contributing to the growth and development of the Malaysian economy. Details on the company's future plans and strategies are expected to be announced in the coming months, and investors will be closely watching the company's progress.
Related: Bursa Malaysia · Malaysia