Goldman Sachs released a research report stating that CKI Holdings (01038) is rated as “neutral”. Considering the latest business trends, the earnings per share forecast for Long Jian from 2024 to 2026 has been lowered by 3% to raised by 6%, and the target price has been raised from HKD 52 to HKD 57.7.
The report states that CKI Holdings' performance in the first half of the year met expectations, with a net profit of 4.3 billion yuan. The main contribution came from its UK business, which grew steadily by 17% to 1.9 billion yuan, and its Australian business, which grew by 5% to 0.864 billion yuan. The group maintains a progressive dividend policy, with a mid-term dividend growth of 1.4% to 72 Hong Kong cents, which means a stable dividend payout ratio of 42%.