Equity Analysis /
Malaysia

MY : InNature Bhd - 3Q21: FMCO adversely affected earnings

    Walter Aw
    Walter Aw

    Research Analyst

    CGS-CIMB
    22 November 2021
    Published by

    9MFY21 core net profit of RM7.3m came in below expectations, mainly due to tight movement restrictions across all of its operating markets in 3QFY21. However, we project a strong recovery in 4QFY21 as mall footfall rebounds, coinciding with the year-end festivities. 4Q is usually seasonally stronger. We think the recovery looks priced in at this juncture. Reiterate Hold with a higher TP of RM0.76 (18x CY23F P/E) as we roll over valuations to CY23F.