Lower target price for Axiata due to delays at Celcom

KUALA LUMPUR: CIMB Equities Research has lowered  its target price for Axiata from RM7.20 to RM7 as it reduced its FY15 and FY16 net profit forecasts by 11.5% and 8.4% to factor in some delays to Celcom’s earnings recovery and higher depreciation.

It said on Thursday Axiata’s 4Q14 core net profit fell 13.7% on-quarter (-20.8% on-year) on weaker earnings from Celcom, Dialog and Robi.