UBS observes a strong first half for Pushpay Holdings with beats on revenue, gross margins and operating income. With no growth in the total number of churches, the slowdown in the front book was greater than the broker expected. UBS is concerned and not sure if it’s due to covid-19 or something more structural. On the assumption the front book growth resumes in FY22-23.
UBS retains its Neutral rating with the target rising to NZ$8.35 from NZ$8.
PPH Price at posting:
$7.63 Sentiment: Hold Disclosure: Held
