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DRC [M-PF +3.0%] - Q1 2016 reinforces our view of muted growth ahead - Update

Company Research

13 Jun 2016

We reiterate our MARKET PERFORM rating on DRC as Q1 2016 NPAT growth of 1% was in line with our expectation. We retain our view of a single-digit earnings growth period ahead for DRC as future revenue growth will mainly come from the low-margin radial tire segment while price competition continues to weigh on the company’s profitability.
Tags: DRC

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