PPB Group Poised for Earnings Recovery -- Market Talk

Dow Jones
2025/05/29

0456 GMT - PPB Group's earnings likely bottomed in 2024, with recovery underway in 2025, says Kenanga IB analyst Khoo Teng Chuan. Its associate Wilmar is seen benefiting from rising demand for food fast-moving consumer goods in growing middle-class markets in China India, and Southeast Asia, he says. Wilmar's midstream segment should also improve as its Australian sugar operations stabilize after the end of a wage dispute, he adds. PPB's grain and agribusiness margins may strengthen on softer commodity prices and a firmer ringgit, while its cinema business may recover with more blockbuster releases and niche formats, he reckons. Contributions from its township development are also set to begin this year, offering a new earnings stream, Khoo says. Kenanga maintains an outperform rating on PPB and keeps its target price at MYR15.00. Shares are 1.4% higher at MYR11.58. (yingxian.wong@wsj.com)

 

(END) Dow Jones Newswires

May 29, 2025 00:57 ET (04:57 GMT)

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