Shares of Samsonite International S.A.
1910,
+12.67%
rose in Thursday trade after the company reported interim results on Wednesday after market close. The luggage maker’s shares climbed as much as 15% to 20.60 Hong Kong dollars (US$2.63), taking year-to-date gains to 26%. The stock was last 12% higher.
Samsonite reported profit of US$56.3 million for the first half, compared with a loss of US$142.5 million a year earlier. Net sales rose 59% to US$1.27 billion. “2Q22 sales and adjusted EBITDA margin beat our estimates on a better-than-expected sales recovery and operating leverage,” Jefferies analysts said in a research note. “On the back of good performance in July and Aug to date, the company has raised its sales forecast for 2022, with a more positive outlook,” the analysts said. “Recovery trend has been encouraging, with effective cost-saving exercises and cash-generation initiatives,” Jefferies added. Jefferies raised its target price to HK$25.41 from HK$23.91 and maintained a buy rating.