In-depth Analysis: Expect net loss in 3Q21 in profit warning due to consumption voucher; gradual recovery in FY22

What’s New

  • Expect a net loss in 3Q21 due to increased competition caused by the Government’s consumption voucher scheme
  • GMV growth was higher at 17% y-o-y from Aug to Nov21 vs. 11% in 1H21 
  • Revising down earnings by 52%, 46%, 22% for FY21, FY22 and FY23 respectively after incorporating higher marketing costs and investments for new business
  • Remain key beneficiary of rising online sales growth in HK. Maintain BUY despite lower TP of HK$10.0