Citi favours further acquisitions for Australia's Viva Leisure

Viva Leisure

11/06/2024 22:34

** Analysts at Citi are of the view that earnings from Viva
Leisure's  VVA.AX  acquisition of eight new recreation clubs are
EBITDA margin accretive
    ** Brokerage maintains "buy" rating and target price of
A$2.50/shr on stock
    ** Citi upgrade FY25 EBIT estimates by 7.5% to reflect
EBITDA accretive acquisition of the health club owner
    ** Further margin accretive acquisitions and club
maturations should help drive margin benefits - brokerage
    ** Stock has fallen 1.6% YTD, as of last close

 (Reporting by Shivangi Lahiri in Bengaluru)
 ((shivangi.lahiri@thomsonreuters.com))