Swing Media

Swing Media: FY12 results that were in line with our expectation with HK$50.4m net profit (+4.7% YoY) on the back of HK$865.3m revenue (+2.8% YoY) as its current optical disc business continued to deliver. While market for optical media has been cannibalised by internet and mobile devices, demand for Swing Media’s products remain resilient. Going forward, DMG expect FY13 to be an exciting year for the group with two new businesses contributing significantly to the full year performance. DMG Reiterate BUY, with an unchanged TP of $0.244 based on 0.5x (industry average) FY13 P/B.