Despite the resurgence of Covid-19 in Food Empire’s core markets, RHB Group Research believes that the group’s latest 3QFY2020 results were decent. With that, analyst Juliana Cai has kept her “buy” call on Food Empire with a higher target price of 80 cents from 72 cents previously.

To recap, Food Empire on Nov 11 issued a business update for its third quarter ended September, which posted a net profit after tax of US$6.3 million ($8.5 million), some 19.5% lower y-o-y. Revenue was also 8.5% lower y-o-y at US$70.3 million, as a result of the depreciating Russian and Ukrainian currencies, as well as lower sales from Vietnam due to Covid-19 disruptions.

See: Food Empire posts 19.5% drop in 3Q profit to $8.5 mil

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