Recurring EPS Growth To Average 11% Through 2026 Despite Slower 2022 Retail Revenue

Conglomerate CK Hutchison Holdings, or CKH, is expected to continue to focus on acquisitions, spinoffs and cost containment in order to raise its profit. We think efforts to improve customer retention at its drugstore chain Watsons, and the tweaks to its portfolio of telecom activities will help drive profit on our view that activities are gradually normalizing post pandemic. The next six months, however, could still present some challenges in China and Hong Kong, given the omicron variant spread.