Solid FY22F outlook on SCS demand
? FY21 net profit rose 31% yoy, driven by 42% revenue growth and 170bp
GPM decline.
? FY22F revenue could grow 16.5%, underpinned by strong order growth for
SCS for power tools and new product launches for EV battery suppliers.
? Reiterate Add. Ten Pao trades at an attractive 4.4x FY22F P/E, in our view.
Our TP of HK$3.86 is based on 7x FY23F P/E, on par with its peers.