Inari Amertron Berhad's latest results showed EPS below expectations, while revenue remained solid. Analysts raised their forecasts for the next fiscal year, and the target price also increased.
Following Inari Amertron Berhad's latest earnings announcement, shareholders saw the share price rise 13% to RM2.56. Statutory EPS was RM0.034, approximately 32% below analysts' expectations, while revenue was RM1.2 billion, broadly in line with forecasts.
Following the latest results, analysts forecast next fiscal year's revenue at RM1.41 billion and EPS at RM0.069. However, they had previously forecast revenue of RM1.42 billion and EPS of RM0.07 before the earnings announcement, meaning next year's forecasts were revised slightly lower.
Although analysts revised their profit forecasts for next year, the consensus target price was raised 8.9% to RM2.59, with the most bullish and most bearish estimates ranging from RM1.85 to RM3.40. Growth is expected to remain close to industry levels beyond next year.
Compared with its industry peers, the company's growth rate is also expected to be broadly in line with the industry average over the longer term, with revenue growth forecast at approximately 19% per year through the end of 2027. By contrast, the growth outlook for peers over the same period is approximately 16% per year, implying relatively stronger growth for the company.