Daily Brief Financials: USD, Schloss Bangalore Ltd, Woori Financial Group , KKR & Co, Aoyama Zaisan Networks Co Lt, Picton Property Income, Tejon Ranch , Intercontinental Exchange and more

• Markets are still active, with major moves in rates and currency
• There are conflicting signals in the bond market, with concerns over inflation and the economy slowing down
• Steven Englander from Standard Chartered discusses the dynamics of JGB and UST yields

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• SLR reform is a high priority for US banking regulators, with potential changes to how Treasuries are calculated
• The timeline for SLR reform is still in the early stages, with regulatory processes and personnel confirmations needing to be completed first
• Potential scenarios for SLR reform include carving out reserves and dealer holdings of Treasuries from the SLR denominator to address liquidity and market functioning concerns

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Schloss Bangalore’s Rs3,500 crore IPO includes a Rs2,500 crore fresh issue largely earmarked for debt repayment, with limited allocation toward growth investments.
• The company operates 13 ultra-luxury hotels under The Leela brand, delivering premium ARR and F&B-led revenue, but with relatively modest scale versus larger peers.
• While expansion plans are underway with 678 new keys by FY28, the IPO is priced at a rich ~12x EV/Sales—significantly above Oberoi’s ~8x, despite being half its size.

• The Samsung Fire & Marine Insurance (000815 KS) vs. Woori Financial Group (316140 KS) Price-Ratio has deviated two standard deviations from its one-year average, highlighting a potential tactical opportunity.
• Statistical and fundamental arguments are provided for and against a relative value trade in this pair that derives from two different industries.
• Trade setup, statistical properties, factor exposure, risk management strategies, and key events are discussed.

• KKR & Co. Inc. reported its first quarter 2025 results, showcasing a robust performance and strategic initiatives.
• The fee-related earnings per share increased to $0.92, marking a 22% rise year-over-year, while total operating earnings per share climbed 16% to $1.24.
• Adjusted net income per share noted a 19% uptick to $1.15.

• AZN demonstrated continued positive growth momentum in Q1 FY12/25, with sustained strength in the Wealth Consulting business and ADVANTAGE CLUB formations.
• While operating profit was impacted by integration costs and business investments in the form of higher personnel costs and SG&A, we believe these investments will enhance the company’s position to monetize Japan’s demographic and wealth transfer megatrend.
• We think the company remains on track to meet its FY12/25 targets and deliver longer term growth.

Picton announced FY25 results, reporting post-tax profits of £37.3m, a TAR of 8.1% and a 2.7% dividend increase to 3.8p per share, representing the fifth consecutive annual increase since 2020. The dividend uplift is underpinned by 5% growth in EPRA earnings to £22.8m (4.2p per share), maintaining robust dividend cover of 113%. This demonstrates management’s ability to deliver earnings growth despite challenging market conditions, with improved occupancy to 94% and successful rental negotiations achieving 7–10% uplifts on lettings and renewals. Earnings quality is enhanced by the focus on industrial assets, which now comprise 64% of the portfolio and delivered 8.1% contracted rent growth, positioning Picton to benefit from the resilient logistics sector.

• Zacks Small-Cap Research Note for Tejon Ranch (TRC)

• Intercontinental Exchange, Inc. (ICE) has demonstrated a notable performance in the first quarter of 2025, achieving record revenues of $2.5 billion, a notable 8% increase year-over-year.
• This expansion was coupled with a 16% rise in earnings per share (EPS) to $1.72, thanks to strategic growth across its diverse operating segments despite ongoing macroeconomic uncertainties.
• However, the results also present challenges such as increased operating expenses driven by currency fluctuations and increased personnel-related costs, potentially constraining future profitability margins.