• Food today, mops tomorrow – We view Q1 FY3/26 results as a strong start, demonstrating strong earnings momentum at the Food Group, with an unexpected user retention-driven strategy implemented at the Direct Selling Group. Incorporating the impact of non-recurring events experienced in Q1 FY3/26, we expect the Food Group to deliver results above unchanged FY guidance, while the Direct Selling Group is likely to prioritize strengthening long-term business fundamentals over near-term profitability. We maintain our earnings estimates, with the view that the Food Group provides a stable earnings stream, and longer-term fundamentals are showing some signs of improvement at the Direct Selling Group.
