Hanwha Investment & Securities predicted on the 9th that F&F will continue to rise in corporate value as China's growth momentum and solid Korean businesses are added due to the recovery of the duty-free market. The investment opinion was 'buy'and the target price was raised from 550,000 won to 610,000 won.
According to Hanwha Investment & Securities, F&F's consolidated sales and operating profit in the first quarter of this year rose 71.1 percent and 304.2 percent year-on-year to 285.7 billion won and 70 billion won, respectively, far exceeding market expectations.
The operating profit ratio also stood at 24.5%, the highest quarterly level ever. The overall earnings growth was led by sales to China at duty-free shops, Shanghai and Hong Kong subsidiaries.
In addition, Discovery, which performed well last year under the Covid-19 situation, recorded another high growth. MLB China expansion is progressing faster than expected.
Sales of Shanghai Corporation are expected to increase 295.6% year-on-year to 294.9 billion won this year. It is encouraging that it is expected to record about 300 billion won in two to three years in China.
Reporter Lee Dong-hoon usinvestmentidea2020@gmail.com
