First Read Phu Nhuan Jewelry Management addresses PNU-Lab controversy; UBS views potential impacts

Research evidence excerpt

First Read Phu Nhuan Jewelry Management addresses PNU-Lab controversy; UBS views potential impacts

BS, diluted) (D)

margins that are broadly in line with internal targets. Given the typically stronger H2 UBS Cons.

seasonality, underpinned by wedding demand and year-end festivities, management 12/26E 4,708.75 6,762.02

12/27E 5,398.66 7,679.71

remains confident in meeting the FY26 revenue and earnings targets (+37%/+21% YoY,

12/28E 6,155.30 8,486.88

respectively) approved at the AGM, implying remaining 9M26 sales growth of 24% and

a net profit decline of no more than 10% YoY. We view the recent PNJ Lab controversy Trang Nguyen

as a potential near-term overhang on PNJ’s jewelry business, with possible risks to Analyst

consumer trust, diamond demand, and store traffic. Although the direct financial impact trang-za.nguyen@ubs.com

remains uncertain, we believe weaker customer confidence could lead to softer sales +65-6495 2495

and higher return rates over the coming quarters. Alex Manoonpol

Analyst

Customers' reaction in recent days; inventory management updates alex.manoonpol@ubs.com

+662-613 5770

The CEO framed customer reaction as a manageable, short-lived spike, with buy-back

and inspection traffic increasing after last Thursday’s news but normalizing toward Permada Darmono

business-as-usual within days. Management reaffirmed AGM-registered FY2026 Analyst

revenue and PAT targets, supported by a seasonally stronger H2 from wedding season permada.darmono@ubs.com

+65-6495 3137

and year-end festivities. It acknowledged a temporary inventory increase from customer

diamond buybacks following the incident, but said volumes have moderated and remain

under control. The added inventory is already reflected in H226 forecasts and is expected