Posted by hw0706 > 2012-05-23 08:04 | Report Abuse

Price: RM2.20 Target Price: RM3.38 Given that Bonia’s products are largely considered luxury goods, we see the strong sales growth as in indication that consumers have yet to tighten their belts, and are still willing to spend. The RM69.4m revenue contribution from Singapore based Jeco Group and better performance from its existing business boosted revenue and net profit by 46.9% and 72.9% respectively. We continue to like Bonia for: 1) its regional exposure via the Jeco Group, as well as its own boutiques and counters, and; 2) attractive valuations. Maintain BUY, with a revised FV of RM3.38, based on 11x FY12 EPS