[%LqtC%] 
Research by RHB
Neutral – TP RM1.35

“Coming Off From a 1Q Seasonal Peak”

We recently had a meeting with management to discuss AEON CoM’s outlook and strategies. We remain cautious about AEON’s prospects due to increasing competition from neighbourhood and niche grocery stores, and an oversupply of retail space. We foresee muted earnings growth ahead and choose not to stretch our valuation further.

Analyst:
Tai Yu Jie
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Soong Wei Siang
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$KLSE-AEON 
Research by RHB
Neutral – TP RM1.35

“Coming Off From a 1Q Seasonal Peak”

We recently had a meeting with management to discuss AEON CoM’s outlook and strategies. We remain cautious about AEON’s prospects due to increasing competition from neighbourhood and niche grocery stores, and an oversupply of retail space. We foresee muted earnings growth ahead and choose not to stretch our valuation further.

Analyst:
Tai Yu Jie
tai.yu.jie@rhbgroup.com
Soong Wei Siang
soong.wei.siang@rhbgroup.com