This comes in addition to the steady growth seen in the group's key businesses of marine products manufacturing (MPM) and integrated livestock farming (ILF)
The research house maintained its buy rating on the stock with a higher target price of RM9.30 from RM8.50 previously.
According to Affin Hwang, the group has about 160 Family Mart stores, which puts it on track to achieving management's target of 300 stores by FY22.
"Notwithstanding the increasing store count, we gather that Family Mart generates classleading average revenue/store as compared to its peers, thanks to its higher focus on F&B / Ready-to-eat (RTE) products," it said.
Meanwhile, CPO prices have been on an uptrend due to expected demand growth for palm-oil products as compared to production.
The research house lifted its CPO average selling price assumption to RM2,500-RM2,600 per metric tonne for FY21-22E, from RM2,300-RM2,400 previously.
The MPM segment meanwhile continues to be driven by a ramp up in production of chilled and frozen surimi-based products.
In the ILF segment, Affin Hwang expects brighter prospects on the back of higher egg production, supported by favourable egg prices.
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