Company Coverage
99 Speed Mart Retail (99SMART MK): 2Q26: Within Expectations As SSSG Starts To Moderate
BUY (Maintained)
Current price:
Target price:
Upside:
RM3.59
RM4.10
+17.8%
Analyst
Highlights
- Results fell within expectations. SSSG decelerated but remained robust. 2H26 SSSG should moderate alongside a high base effect.
- Margins were unchanged as earnings grew at a moderate pace as a result.
- Maintain BUY with an unchanged target price of RM4.10. 99SM is a standout election beneficiary.
Analysis
- Within expectations. 99 Speed Mart Retail (99SM) posted a 1Q26 core profit of RM163.9m (-13.1% qoq, 7.0% yoy), bringing 1H26 core profit to RM352.5m (+18.2% yoy). The core profit is within expectations at 50% and 48% of our and consensus full-year earnings forecasts respectively. SSSG remained robust, underpinned by Sumbangan Asas Rahmah (SARA) subsidy spending, extended operating hours amid stable margins.
Highlights
- Results fell within expectations. SSSG decelerated but remained robust. 2H26 SSSG should moderate alongside a high base effect.
- Margins were unchanged as earnings grew at a moderate pace as a result.
- Maintain BUY with an unchanged target price of RM4.10. 99SM is a standout election beneficiary.
Analysis
- Within expectations. 99 Speed Mart Retail (99SM) posted a 1Q26 core profit of RM163.9m (-13.1% qoq, 7.0% yoy), bringing 1H26 core profit to RM352.5m (+18.2% yoy). The core profit is within expectations at 50% and 48% of our and consensus full-year earnings forecasts respectively. SSSG remained robust, underpinned by Sumbangan Asas Rahmah (SARA) subsidy spending, extended operating hours amid stable margins.
BUY (Maintained)
Current price:
Target price:
Upside:
RM3.59
RM4.10
+17.8%
Analyst
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This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at this link, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
