E-mall operator HK Tech Venture falls most in over a month on guidance miss

Hong Kong Technology Venture Co

11/01/2022 03:47

** Shares of multi-media group and e-shopping mall operator
Hong Kong Technology Venture  1137.HK  fall 6.5% to HK$8.16,
their biggest daily percentage decline since Dec. 6
    ** Co says annual gross merchandise value (GMV) on order
intake of its ecommerce business amounted to HK$6.57 bln
($842.63 mln) for 2021, as compared to HK$6.60 bln–HK$7 bln
target, amid slow recovery and fierce competition in Hong Kong
retail sector  urn:newsml:reuters.com:*:nFWN2TQ0P1
    ** Daiwa reiterates "outperform" rating on the stock but
trims TP to HK$10 from HK$11, to reflect a more normalised
earnings level while the brokerage believes the firm's new
target for the next few years in GMV is realistic 
    ** Daiwa says it would take some time to regain investor
confidence after a series of execution-related setbacks in 2021
including guidance miss, failed promotional strategies, delay in
rollout of unmanned stores, and last-mile fulfilment issues
    ** Hang Seng consumer goods and services index  .HSCGSI 
slips 1%, Hang Seng Composite Index on consumer staples
 .HSCICS  climbs 0.1% and Hang Seng Index  .HSI  up 0.1%



($1 = 7.7970 Hong Kong dollars)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))