Excluding the foreign exchange (forex) loss of US$10 million, FR’s core net profit for 1QFY2023 should be at US$29 million, UOB Kay Hian analysts Jacquelyn Yow Hui Li and Leow Huey Chuen highlight. This accounts for about 14% of UOBKH’s full-year assumption, which the analysts deem to be within their expectations.
RHB Bank Singapore analysts have downgraded First Resources (FR) (SGX:EB5
) to “sell”, lowering their target price to $1.20 from $1.60 previously following the planter’s below-expectations 1QFY2023 ended March results.
In their May 15 note, the analysts point out that FR’s 1QFY2023 net profit plunged 74% y-o-y to US$19.3 million ($25.8 million). This only makes up 8%-9% of RHB’s FY2023 earnings forecast, largely due to lower average selling prices achieved as well as lower fresh fruit bunches (FFB) output.
