Food & Beverages Sector: A more lucrative 2H22
- Premium sales to sustain a strong momentum. Most commodity prices peaked out by 2Q22 to minimise cost pressures. More efficient COVID-19 measures in China should also reduce business disruption.
- Key F&B operators are well-poised to record decent sales & higher margins in 2H22. Benefitting from an ultra-hot summer this year, beverage players could score at least a high-single digit revenue growth in 2H22.
- We prefer leading players in breweries (Bud APAC and CR Beer), non-alcoholic drinks (Uni-President China), and dairies (China Mengniu)
