[THE INVESTOR] Fila Korea’s earnings will improve in the third quarter, said Daishin Investment and Securities on Oct. 10 maintaining a “buy” recommendation and raising the target price to 60,000 won (US$53.00) from 50,000 won.
On the back of solid performance across sectors, its operating profit in the period will surge 67 percent on-year to 59.3 billion won. It has become capable of generating systematically stable profits in Korea and is also beginning to show results in the US and Europe as its brands are reevaluated in earnest, said analyst Yoo Jeong-hyeon.
The exchange rate also is favorable to the apparel company as 85 percent of its total revenue and profits are in US dollars, added the analyst.
By Hwang You-mee (firstname.lastname@example.org)