Lates News

Citigroup published a research report pointing out that Samsonite's first quarter adjusted net profit fell 40% year-on-year to $52 million, lower than expected, mainly due to a high base, weak consumer sentiment, and changes in wholesale timings in North America, leading to weak revenue and operating leverage performance falling short of expectations. The bank expects the company's profit pressure to continue in the following quarters due to the ongoing impact of tariffs on consumer demand and profit margins. Management expects that despite a lower base, second quarter revenue will still decline by single digits year-on-year. The bank has lowered its profit forecast by 22% to 29% based on more cautious sales and profit margin outlook and tariff uncertainty, lowering the target price from HK$26 to HK$19.7 while maintaining a "buy" rating.