MWG – US$10bn revenue target by 2020 lifts sentiment

■ Mobile World’s share price surged 6% today, following the optimistic speech by the
company’s CEO over the Tet New Year holiday.
■ The company is aiming for a 50% share of the home electronics and mobile phone
retailing markets, and a 10% share of the grocery market.
■ We expect MWG’s revenue to grow by about 75% in FY16, and net profit to rise by
more than 50%, driven by a near-doubling in the number of MWG’s retail outlets.
■ MWG’s new mini-grocery format is slated for a HCMC roll-out in 2017 (~200 stores),
followed by a nationwide rollout in 2018 (we expect ~2,000 stores).
■ These positive developments prompt us to raise our target price by 10%.