Revenue for the first quarter period came in at US$456.6 million, 1.2% lower y-o-y, driven by lower sales in the Philippines, but partially offset by higher sales in US and higher exports of fresh and packaged pineapples and other products. In the 4QFY2022 period, Del Monte recorded a 14% y-o-y growth.
PhillipCapital Research analyst Paul Chew has kept a “buy” rating on Del Monte with an unchanged target price of 69 cents, pegged to a 10x FY2022 ended April P/E, a 30% discount to the industry valuation due to its smaller market cap and higher gearing.
This comes on the back of the group’s recent results announcement, which saw losses widened in 1QFY2023 by 266.6% to US$30.5 million ($42.6 million) from US$18.3 million. However, excluding one-off costs (from redemption fees, write-off of deferred financing costs and ticking fees) the group would have recorded earnings of US$19.6 million, 7.2% y-o-y higher than the previous year.
