Glonghui, March 29 | Bank of America Securities published a research report saying that Nongfu Spring's sales last year increased by 28% year over year, 2% higher than market expectations, and net profit after tax increased by 42% year on year, 11% higher than market expectations. Nongfu Spring conservatively anticipates a double-digit increase in sales this year, believing that the previous high profit margins may be unsustainable due to rising commodity prices and increased competition. Bank of America raised its earnings forecast per share by 8% for this year and next two years, and raised the target price to HK$47 to reflect sales growth and reaffirm its “neutral” rating. It is expected that this year's sales and earnings per share will record as low as a medium ten-digit percentage increase.