Tailwinds subsiding

■ UG Healthcare (UGHC) reported an FY6/21 net profit of S$118.8m (+786%
yoy), in line with expectations.
■ Glove ASPs have been declining since Mar; UGHC could be more resilient
given its: 1) product mix, and 2) downstream presence in emerging markets.
■ Reiterate Add, with a TP of S$0.65. Valuation is undemanding at 6.1x CY22F
P/E, supported by net cash of S$49.8m (15% of market cap).