From January 19, 2024, the Research Center will be moved to Vietcap IQ
toggle icon
logo text
logo symbol
toggle icon

DRC - Radial growth comes at expense of bias tyres; flat PBT guidance well-below our forecasts - AGM Note

Company Research

09 Apr 2015

DRC is guiding for flat profit growth in FY15 despite 11% increase in revenue on doubling of radial tire sales; guidance is well-below our forecast of 29% profit growth for 2015. DRC’s current radial tyre line-up is serving saturated niche category and at the same time chipping away at its own sales of higher margin bias tyres. AGM approves VND3,000 cash dividend (5% dividend yield at closing price of VND59,500 9/4/2015) and 10% stock dividend for FY14.

Contact us for a research access: (+84) 2 8888 2 6868