Advertisements

Weak 1QFY22 not a concern

■ While 1QFY6/22 core net profit of RM1.6m (-76.9% yoy) was at 7% of our FY22 forecast, we deem it in-line as we expect stronger quarters ahead.
■ We expect STC to record better results from 2QFY22 onwards, mainly backed by higher sales (industrial lighting and transformers).
■ Reiterate Add, with a higher TP of RM1.17 (12x CY23F P/E).

Advertisements