- First Resources (SGX:EB5)'s 1Q23 headline PATMI was below our / consensus expectations. Headline PATMI was in part dragged by FX translation losses.
- We are keeping our earnings forecasts as we anticipate stronger earnings in the coming quarters but more pronounced recovery in 2H on seasonally higher output, and lower fertiliser cost. Maintain BUY & target price of S$1.85 for First Resources on 11x FY23 PER, its -1 standard deviation of 5-year mean.
1Q23: Results below expectations, hurt by FX losses
- - Read this at SGinvestors.io -
- - Read this at SGinvestors.io -
- Lower y-o-y revenue were due to moderated CPO ASP in 1Q as well as lower sales volume impacted by a net inventory build-up of 19,000t (1Q22: net inventory build-up of 31,000t).
Downstream margins affected by DMO obligations
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://maybanktrade.com.sg/.
Ong Chee Ting CA Maybank Research | https://www.maybank-ke.com.sg/ 2023-05-15
Read also Maybank's most recent report:
2024-03-01 First Resources - FY23 Results below Expectations; Downgrade To HOLD.
Price targets by other brokers at First Resources Target Prices.
Listing of research reports at First Resources Analyst Reports.
Relevant links:
First Resources Share Price History,
First Resources Announcements,
First Resources Dividends & Corporate Actions,
First Resources News Articles
