We reiterate our BUY rating with a total return of 26%. Three-year PEG looks attractive at 0.8. H1 2017 PBT +14% YoY mainly driven by Software Outsourcing (+24%) and Telecom (+19%), whose margins broadened due to the absence of last-mile costs in HCMC and Hanoi. We project 19% FY17 PBT growth for Software Outsourcing thanks to strong Japanese revenue. New US contracts, albeit small in value early on, will also start contributing in H2 2017.
• We expect Telecom Services PBT to jump 19% in F