0520 GMT - Food Empire's earnings may remain weighed by higher global coffee prices and higher costs due to the ongoing Russia-Ukraine conflict, UOB Kay Hian analysts write in a note. Revenue of the food-manufacturing company, which exports its products to Russia, may continue to be affected by a weaker ruble and high inventory levels in the country, they note. UOB KH expects gross margins to remain muted at 29%-30% over 2024-2026. UOB KH lowers its dividend forecast to S$0.05/share from S$0.10/ as it no longer expects a special dividend payout in 2024 amid near-term headwinds and the need to finance new production facilities. It downgrades the stock's rating to hold and trims target to S$1.00 from S$1.30. Shares are at S$0.987.(amanda.lee@wsj.com)
(END) Dow Jones Newswires
September 06, 2024 01:20 ET (05:20 GMT)
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