February 29, 2012

Padini Holdings: Maintain Buy - A strong FY12 shaping up

Stock Name: PADINI
Company Name: PADINI HOLDINGS BHD
Research House: MAYBANKPrice Call: BUYTarget Price: 1.70



Above expectations. Padini's net profit of RM28.6m for 2QFY12 (+97% YoY, +6% QoQ) was above our expectations, making up 35% of our full-year forecast. Cumulatively, 1HFY12 net profit of RM55.5m (+69% YoY) accounted for 67% of our estimates for FY12. We revise our earnings estimates for FY12 and FY13 upwards by 5-6% p.a. following the impressive results and consequently raise our TP to RM1.70 (+6%), based on CY12 PER target of 12x (unchanged).

Maybank Research 29 Feb 2012

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