Uni-President Enterprise China (00220) continued to rise in the afternoon, rising 5.5dlxcasino.35%, currently quoted at HK$7.09, with a turnover of HK$87.6465 million.
The Daiwa report pointed out that Uni-President Enterprise's first-quarter profit in China doubled to 457 million yuan year-on-year, mainly driven by a year-on-year expansion of gross profit margin by 4 to 5 percentage points, of which about 2 percentage points came from higher utilization.dlxcasinoAbout 1 percentage point comes from the contribution of raw material cost mitigation.
The bank believes that Uni-President will benefit from improved competitive dynamics in China's soft drink industry in the first half of this year, strong demand, and the impact of higher retail prices by major competitors Master Kong and Coca-Cola. In addition, the bank believes that Uni-President can gain sales share through a stable pricing strategy. It raised its 2024 - 2026 profit forecast by 23% to 26%, raised its target price from HK$6 to HK$7.8, and upgraded its rating from "hold" to "Buy".