To this end, the analysts have also lowered their target price to 96 cents from $1.63 previously.
Analysts at UOB Kay Hian (UOBKH) and DBS Group Research have kept and downgraded Delfi to “hold” after the confectionery manufacturer released its 1QFY2024 ended March results, expecting the company to face challenging near-term headwinds.
These include pressured Indonesia consumers, fierce market competition and high cocoa prices, say DBS’s Chee Zheng Feng and Andy Sim. The analysts expect these headwinds to pressure sales volume and margins — accordingly, DBS has trimmed its FY2024 revenue and earnings estimate by 10.8% and 20.9% respectively.
