MERRILL Lynch expects contract manufacturer MFS Technology's profit to grow 55 per cent to $54.4 million for the financial year ending Sept 30.

For the financial year ending Sept 30, 2007, it expects MFS' earnings to expand by another 10.3 per cent to $59.9 million.

Merrill has raised its target price on MFS to $1.01 from 77 cents.

MERRILL, Jan 9

Rating: BUY