Margin pressure likely in 2H21
■ We deem 1H21 core net profit of RM295m (+5.9% yoy) to be below our
expectations, due to weak HORECA sales higher-than-expected costs.
■ Despite expecting margin pressure from cost pressures in 2H21, Nestle aims
to mitigate the impact via ongoing hedging policies and better cost control.
■ Maintain Hold, with lower DCF-based TP of RM135.40.