ICar Asia is conserving cash, by cutting back on personnel. Cash receipts in the March quarter were well below forecasts because of the slump in new and used car advertising.

Morgans observes the only consolation is that competitors are doing it tougher and the company is well-placed for a rebound once personal movement is relaxed across Southeast Asia.

Add rating maintained. Target is reduced to $0.42 from $0.45.

Sector: Media.

Target price is $0.42.Current Price is $0.19. Difference: $0.23 - (brackets indicate current price is over target). If ICQ meets the Morgans target it will return approximately 55% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2020 Acquisdata Pty Ltd., source FN Arena