DFI Retail Group shares up 5% after rise in Q3 underlying profit
The group commits to lifting its dividend payout ratio from 70% in FY2026 to 80% in FY2027
[SINGAPORE] Shares of DFI Retail Group rose 5.6 per cent on Tuesday (Oct 27) morning, after the retailer posted a 17 per cent year-on-year increase in its third-quarter underlying profit for the period ended Sep 30.
Shares of DFI opened at US$3.40, and then rose to US$3.57 at 9.43 am. This was a 5.6 per cent increase from its previous closing price of US$3.38.
The counter ended the day up 5 per cent or US$0.17 at US$3.55, with 2.6 million shares having changed hands.
The latest gains extend DFI’s upward price trend since the start of October, and comes after DFI’s positive results for the third quarter.
DFI raised its full-year underlying earnings guidance to between US$295 million and US$305 million, with the lower end of the range up from the US$285 million previously guided.
The group also committed to lifting its dividend payout ratio from 70 per cent in FY2026 to 80 per cent in FY2027.
During the quarter, DFI announced that it would assume restaurant associate Maxim’s existing interest in the Starbucks licensed business, a move which analysts are positive on.
Research houses such as DBS Group Research and CGS International remain positive on the conglomerate.
CGSI maintained an “add” recommendation on DFI with a target price of US$5.50, while DBS Group Research reiterated its “buy” call on the stock with an unchanged target price of US$4.50.
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