- We remain positive on Sheng Siong as we see growth fuelled by new outlet wins, the performance of its new stores, and better operating efficiency with plans for a new distribution centre.
- Outlook is positive, based on domestic supermarket consumption, new store outlook, and its China operations.
- - Read this at SGinvestors.io -
3Q23 earnings in line.
- Sheng Siong (SGX:OV8)'s 3Q23 earnings of S$35m (+6% y-o-y) and revenue of S$346m (+4% y-o-y) were in line, albeit within 2.5% below our expectations.
- Revenue growth was largely led by six new stores – which opened between FY22 and 9M23 – at +2.2% y-o-y, while SSSG increased by 1.8%. Annualised sales per sq ft remained robust, growing 1% y-o-y to S$2,237.
- - Read this at SGinvestors.io -
- China operations were profitable – excluding its fifth store, which only opened this year, its four stores there are all profitable.
Outlook is still positive.
- Read more at SGinvestors.io.
Alfie Yeo RHB Securities Research | https://www.rhbgroup.com/ 2023-10-27
Read also RHB's most recent report:
2024-02-28 Sheng Siong - New Stores & Consumption Driving Growth; BUY.
Price targets by 4 other brokers at Sheng Siong Target Prices.
Listing of research reports at Sheng Siong Analyst Reports.
Relevant links:
Sheng Siong Share Price History,
Sheng Siong Announcements,
Sheng Siong Dividends & Corporate Actions,
Sheng Siong News Articles
