Brokers' take

Wilmar International > Buy UOB Kay Hian, May 11 May 11 close: S$ 3.16 Target price: S$4.10

WILMAR International (Wilmar) reported Q1 2018 core net profit of US$183 million, coming in below our expectation of US$320 million-US$360 million due to weaker-than-expected oilseed & grain margin and losses in the sugar division.

The anticipated increase in sales volume for sugar milling business, arising from the new sugar marketing programme introduced in 2017, is expected to be recognised in subsequent quarters.