0057 GMT - Collins Foods' sales growth has picked up but is still lagging expectations for the fast-food franchiser's fiscal 2H, RBC analyst Michael Toner notes. The 3.9% sales growth at its KFC Australia restaurants is an improvement on the 2.7% seen across its fiscal 1H, but Toner points out that the average analyst forecast for the 2H is 4.1%.He writes in a note to clients that KFC Australia is holding up well in a challenging trading environment. Toner adds that Europe is the main drag on overall performance, with 1H revenue falling 11% short of his forecast. RBC has a sector-perform rating and A$9.00 target price on Collins shares, which are down 3.5% at A$8.315. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
December 02, 2024 19:57 ET (00:57 GMT)
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