[%dIGJ%]
Research by Kenanga
Underperform – TP RM114.90

“Going Slow on Price Hikes"

NESTLE's 1HFY24 results disappointed due to weak domestic sales and higher marketing expenses, which also drove its 1HFY24 net profit lower by 24% YoY. The price hikes from 1 Jul 2024 may prompt further downtrading by consumers. We cut our FY24-25F net profit forecasts by 13% and 7%, respectively, trim our TP to RM114.85 (from RM115.00). Maintain UNDERPERFORM.

Analyst:
Cheow Ming Liang 
[%XtKy%]

$KLSE-NESTLE
Research by Kenanga
Underperform – TP RM114.90

“Going Slow on Price Hikes"

NESTLE's 1HFY24 results disappointed due to weak domestic sales and higher marketing expenses, which also drove its 1HFY24 net profit lower by 24% YoY. The price hikes from 1 Jul 2024 may prompt further downtrading by consumers. We cut our FY24-25F net profit forecasts by 13% and 7%, respectively, trim our TP to RM114.85 (from RM115.00). Maintain UNDERPERFORM.

Analyst:
Cheow Ming Liang 
cheowml@kenanga.com.my

$NESTLE / 4707 (NESTLE (MALAYSIA) BERHAD)