UACN | UAC of Nigeria Company Update : Increasing consumer sensitivity may cap volume growth
In its H1'22 results, UACN reported a N716 million loss driven by higher cost and a temperance in revenue growth across its key business segments. This underperformance and an increasing consumer sensitivity to price adjustments have necessitated an adjustment to our full-year projections and a reduction in our 12-month target price for UACN to N11.18 (vs 14.88 previously). In particular, we now project a five-year revenue CAGR of 5.9% (vs 11.5% in previous communication).