- DFI Retail Group (SGX:D01) reported US$4.6b revenue in 1H23 on par with 1H22, forming 49% of our FY23 estimates, which was in line with expectations.
- DFI also reported US$33m underlying profit, below consensus and our expectation of US$55m on weaker than expected operating profits from Grocery Retail and Home Furnishing segments, offset by strength of Health & Beauty segment.
Impairment loss for Giant Malaysia was lower than expected.
- - Read this at SGinvestors.io -
Potential further one-off gains from sale of properties.
- - Read this at SGinvestors.io -
- Also recall that DFI has put up its Jelita Shopping Centre for sale at a guided price of S$85m in Jun-23 (US$64m equivalent). We believe this sale could materialize in 2H24 (shopping center sales typically take around 1 year to finalize). Given the buoyant property market, we believe DFI will record a considerable profit upon sale and cash proceeds will likely go towards paring down its debt.
Declared interim dividend of US$0.03.
- Read more at SGinvestors.io.
Above is the excerpt from report by DBS Group Research.
Clients of DBS may access the full report in PDF @ https://www.dbs.com/insightsdirect/.
Zheng Feng CHEE DBS Group Research | Andy SIM CFA DBS Research | https://www.dbs.com/insightsdirect/ 2023-07-31
Previous report by DBS:
2023-04-24 DFI Retail Group - Sum Of The Parts Worth More Than The Whole.
Price targets by 3 other brokers at DFI Retail Target Prices.
Listing of research reports at DFI Retail Analyst Reports.
Relevant links:
DFI Retail Share Price History,
DFI Retail Announcements,
DFI Retail Dividends & Corporate Actions,
DFI Retail News Articles
