HSI Enterprise, Vietnam produces securing sustainable earnings momentum - South Korea Securities

[Korea goyounghun financial newspaper reporter] was presented to Korea Investment & Securities 22 days in Vietnam, saying the production securing sustained earnings momentum BUY rating with a target price of ₩ 23,000 for the HSI Enterprise.

HS enterprise delivery in November last year, Adidas sneakers publicly traded global Original Equipment Production (OEM) vendors, and it has produced quantity in Vietnam.

Better while Korea Institute of Investment Securities "as in labor costs surge of Chinese shoes production base in Southeast Asia is emerging" and "HS enterprise has to achieve efficiency by securing a large-scale production factory in Vietnam shoes manufacturing high barriers to entry Vietnam competitive production base was diagnosed will last a considerable period of time. "

And researchers "in response to the rapid secured to optimize production capacity delivery in the management of the customer likely to continue my share Our Customers" and "production expansion and products and the diversification ready to grow primarily historical SPA type adidas NEO Label but explained that the production will be expanded to high value-added products, such as running shoes. "

He continued, "biggest customers sign Adidas will rise from Adidas market share of 13% in 2016 footwear production to the annual plan 7% increase by 2020 to 15.5% in 2018," he said, "thanks to the product portfolio, strengthening and economies of scale 2017-2018 revenue CAGR of 18%, operating profit is expected to increase by 24%, "he said.



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