- Aztech’s 3Q23 record-high earnings of S$30.9m (+48.6% y-o-y/+0.5% q-o-q) beat our forecast, with 9M23 forming 82% of our full-year estimate. IoT devices continued to be a key growth driver, driving an 11.1% y-o-y revenue growth.
- - Read this at SGinvestors.io -
- Maintain BUY with an 11% higher target price of S$1.11 for Aztech after raising our EPS forecasts.
3Q23 earnings above expectations.
- Aztech Global (SGX:8AZ)’s 3Q23 net profit of S$30.9m (+48.6% y-o-y/+0.5% q-o-q) is a record high and exceeded our forecast. 9M23 net profit of S$73.8m (+15.9% y-o-y) accounts for 82% of our full-year estimate.
- - Read this at SGinvestors.io -
- Aztech also enjoyed greater economies of scale, higher interest income and lower net fair value loss on its foreign exchange contracts.
- Despite higher income tax expenses incurred due to a S$5.5m one-time deferred tax provision from an overseas subsidiary’s retained earnings, Aztech recorded an improvement in net margin to 10.9% (+2.3ppt y-o-y).
Orderbook remains resilient with normalised lead time.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
John Cheong UOB Kay Hian Research | Heidi Mo UOB Kay Hian | https://research.uobkayhian.com/ 2023-10-17
Read also UOB's most recent report:
2024-02-26 Aztech Global - 2023 Results Above Expectations; Raise Target Price By 13%.
Price targets by 2 other brokers at Aztech Target Prices.
Listing of research reports at Aztech Analyst Reports.
Relevant links:
Aztech Share Price History,
Aztech Announcements,
Aztech Dividends & Corporate Actions,
Aztech News Articles
