Hi Investment & Securities said on the 18th that Maeil Dairy Products has continued to have solid market dominance in the dairy sector. As a result, the company maintained both its investment opinion 'buy' and its target price of 100,000 won.
In the first quarter, Maeil Dairy recorded sales of 369.8 billion won and operating profit of 18 billion won. Compared to the same period last year, sales increased 3.3% and operating profit decreased 14.1%.
Operating profit was slightly below market expectations of 22 billion won, but this is a temporary phenomenon.
"Although operating profit fell short of market expectations, sales were in line with the consensus, and considering the improved cost ratio, it is unlikely that future concerns will continue as it was an issue of quarterly distribution of sales costs," said Hi Investment & Securities Co.
Currently, Maeil Dairy is continuing its external growth in related categories thanks to increased demand for "Tetra Pak," a packaging material that has a relatively competitive edge in online and other delivery.
In fact, growth continues in grain beverages, Sangha Orgainc Farm and juice along with Tetra Pak, and "Selex" products can be distributed at room temperature, adding strength to high growth.
Reporter Lee Dong-hoon usinvestmentidea2020@gmail.com
