a2 Milk Co's AGM update revealed underlying business performance is in line with company expectations, Citi notes, but the weaker NZD to CNY and USD is underpinning an FY23 revenue guidance upgrade and an FY23 margin guidance downgrade.Citi expects challenging industry conditions to continue and regulatory uncertainty to remain elevated as a2 awaits the outcome of its Chinese registration renewal under the new food safety standards.
Target rises to $4.51 from $4.38, Sell retained.
Media Updates, page-12031
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