1H22: Earnings Above Market Expectation; Solid Results Due To Expansion And Cost Control
Attributable net profit grew 28% yoy, above market expectation. In 1H22, Poly Property Services reported solid results from its 2G business expansion and stable gross profit margins thanks to effective cost control. The slower growth in 2C VAS and 59% hoh rise in receivables were partly due to COVID-19 restrictions. Management reiterated its 2022 growth target and commitment to sustainable and high quality growth. We lower our earnings estimate. Upgrade to BUY. Target price: HK$54.71.
