GLONGHUI, May 7 | Jefferies released a report saying that BOCHK's operating profit for the first quarter rose 17% to HK$12.9 billion year-on-year, up 8% from the bank's forecast, mainly benefiting from better-than-expected non-interest income, which rose 4% year-on-year, 25% higher than the bank's expectations; better than anticipated operating expenses, which were 5% higher than the bank's expectations; and a good annualized credit cost ratio, falling 65 to 21 basis points quarterly, 4 basis points less than the bank's forecast. The bank expects the market to respond positively to stock prices. The results also confirm the bank's view that BOCHK has made steady progress in expanding its non-interest income business and protecting asset quality risks. The bank gave BOCHK a “buy” rating and a target price of HK$26.5.