A2M 2.48% $7.02 the a2 milk company limited

Ann: 1H23 Results Presentation, page-108

  1. 775 Posts.
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    it would be more likely that EPS growth accelerates from here. First of all,

    1. Revenue is projected to grow at around 10% p.a
    2. gross margin at 13.8% is projected to improve to high teens/ early twenties especially if they get USA and MVM profitable and by reducing marketing investment at current unprecedented levels.
    3. hIgher revenue, reduces overheads as a % of sales
    4. Full year of new product rollout and increase velocity from products in new stores
    5. Re-igniting of Diagou resellers with China opening and students in Aust and NZ.

    Based on the above, I would say EPS should grow 20% p.a from here up to 2026 so FY23 at 21 cents, FY24 at 26 cents, FY 25 at 32 cents and FY 26 at 38 cents
 
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