Among others, DFI expects to grow its underlying profit at a CAGR of 11%–15% and reach US$310 million ($402.2 million) to US$350 million by 2028. In its most recent FY2024, its underlying profit was up 30% to US$201 million. It has also indicated a new dividend policy with a 70% payout ratio, effective from the final dividend of 2025, up from the previous 60% payout guidance.
DFI Retail Group’s share price is a long way from its peak of more than US$13 back in 2013. Still, with a series of divestments of underperforming businesses and a recent commitment to meet higher financial targets, it is among the best-performing component stocks of the Straits Times Index year to date.
As of Dec 10, DFI Retail’s share price has lost 2.0% to close at US$3.99. If analysts who were sufficiently impressed following the company’s inaugural investor day are right, there is still some room to go.
