Del Monte

Del Monte: ($0.355) Strong 4QFY16 backed by solid Asia performance
- Del Monte swung to 4QFY16 headline net profit of US$19.2m from a net loss of US$4.2m a year ago, bringing full year earnings to US$51.5m (FY15: US$43.2m loss), beating street estimates.
- Stripping out one-off gains, 4QFY16 core net profit was US$10.8m (4QFY15: US$0.8 loss), on the back of strong results across Asia.
- 4QFY16 revenue slid 2.8% to US$520.1m, as lower sales in the US (-7%) was partially offset by stronger performance in the Philippines (+6%, +12% local currency), and S&W brand (+8%) in the rest of Asia.
-Trading at 8.1x consensus FY17e P/E
- Street has 3 Buy and 1 Hold ratings with mean TP of $0.53