For its 1QFY206, Sheng Siong reported earnings of $43 million, up 12% y-o-y, revenue was up 12% to $452 million, in line with Yeo's estimates. Thanks to a better sales mix, gross margins improved by 0.7 points to 31.
Alfie Yeo of RHB Bank Singapore has turned more bullish on Sheng Siong Group as he sees continued earnings growth from new stores. Along with his "buy" call, Yeo has raised his target price for the supermarket chain to $3.45 from $3.02 after applying a higher valuation multiple.
This current FY2026, Yeo expects Sheng Siong to report higher earnings, driven partly by its 12 new stores that were opened in FY2025.
