“Note that 3Q has always been the best quarter for Wilmar due to the festive demand in China and India. Our US$300 million to US$320 million expectation is a significant drop from 3QFY2022’s US$796.7 million,” they add.
UOB Kay Hian analysts Leow Huey Chuen and Jacquelyn Yow Hui Li have downgraded Wilmar International (SGX:F34
) to “hold” with a lower target price of $3.80 from $4.30 previously.
In their Oct 19 report, the analysts point out that Wilmar’s 3QFY2023 ended September earnings are likely to be weaker than their initial expectations. Based on key market indicators and trends, UOBKH is expecting a core net profit of US$300 million ($412 million) to US$320 million for the quarter, which could be its lowest 3Q profit since 2017.
