UBS: WH Group's (00288) substantial profit growth expected in the first quarter, target price raised to 7.6 Hong Kong dollars.

UBS released a research report stating that WH Group (00288) is expected to achieve significant growth in profit in the first quarter of this year. The operating profit is expected to increase by nearly 20% year-on-year to 600 million USD, with strong performance in the U.S. business and stable performance in the European business. However, the Chinese business is relatively weak, with soft sales of packaged meat products expected to drag down the profitability in the Chinese market. UBS reiterated its "buy" rating on WH Group, raising the target price from 7.4 Hong Kong dollars to 7.6 Hong Kong dollars, and slightly adjusting the earnings forecast for the company for the next two years.