Super

Super: CS has unrated report on the counter. Note that while Super primarily sees itself as a branded consumer business in the coffee/ cereal space, its food ingredients business (57% of revenues) has been the bigger driver of growth over the past few years. Going forward, management expects growth of food ingredients business to normalise towards 20% YoY levels. Management is also planning to diversify into botanical herbal extractions to drive the next leg of growth. Geographically, Super is keen on consolidating its presence in key markets in ASEAN and East Asia. In ASEAN - Indonesia, Thailand and Myanmar provide growth opportunities, but there are some signs of consumer demand slowdown. In East Asia, Super is more optimistic on China – with plans to increase ad spend. Overall, management expects volume growth rates to normalize towards high teen levels with the already high utilisation rates in the food ingredients segment. But management will focus on better efficiency and new product segments/geographies to drive the next leg of sustainable growth for the overall Group.