[%tIcv%] 
Research by CGS
Add – TP of MYR 1.18

“Faster earnings recovery in 2H24F onwards” 

We raise our core net profit estimates for FY24F/25F/26F by 49.5%/78.5%/20.9% post 2QFY10/24 analyst briefing held on 24 Jun 24 as we factor in a faster earnings recovery, driven by higher revenue growth and recovery in gross margins. We believe new store openings in FY24F and continued growth in private consumption will support revenue growth and improve utilisation rates at its food processing centre (FPC) – the key drag on Mynews’ earnings since its launch in 2019. This will drive Mynews back to profitability in FY24F and drive FY25F core net profit (RM33m) above pre-Covid-19 high (RM27.6m)

Analyst(s):
LEW Cheng Wei
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Prem JEARAJASINGAM
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$KLSE-MYNEWS 
Research by CGS
Add – TP of MYR 1.18

“Faster earnings recovery in 2H24F onwards” 

We raise our core net profit estimates for FY24F/25F/26F by 49.5%/78.5%/20.9% post 2QFY10/24 analyst briefing held on 24 Jun 24 as we factor in a faster earnings recovery, driven by higher revenue growth and recovery in gross margins. We believe new store openings in FY24F and continued growth in private consumption will support revenue growth and improve utilisation rates at its food processing centre (FPC) – the key drag on Mynews’ earnings since its launch in 2019. This will drive Mynews back to profitability in FY24F and drive FY25F core net profit (RM33m) above pre-Covid-19 high (RM27.6m)

Analyst(s):
LEW Cheng Wei
chengwei.lew@cgsi.com
Prem JEARAJASINGAM
prem.jearajasingam@cgsi.com