Huge reserve pipeline pending conversion
? Greentown Service (GTS) reported a 20% increase in core net profit for
FY21, with final DPS flat yoy at HK$0.20.
? Its reserve GFA is still higher than its managed GFA, implying a solid pipeline
available for conversion to managed GFA in the next few years.
? Despite a rise in its average days of trade and other receivables, we think
GTS’s collection risk is still low. Reiterate Add with a lower TP of HK$7.4.