ADVANC is talking to TOT to become a business partner; it expects this to be finalized in August. ADVANC is ready to bid for both 1800 and 900 spectra in the 4G auction. It plans to expand its market in 2H15. It targets 2015 revenue growth of 3%. (Khao Hoon, 11/08/15)
BCP targets run at rate of 110,000 bpd despite the fall in oil price. It targets 2014 EBITDA of Bt10.4bn as it achieved 72% of its target in 1H15. (ASTV, 11/08/15)
CCP’s backlog is Bt2.3bn and it expects to bid for more, especially local government jobs and private projects. It expects 2015 revenue to be close to 2014 Bt2.6bn. It expects to benefit from dual track and high speed train projects. (Thun Hoon, 11/08/15)
Comment: Another beneficiary from the potential infrastructure projects
CKP has accelerated construction of Bang-Pa-In and Xayaburi hydroelectric power plants. It expects 2Q15 earnings of Bt131.02mn compared to 2Q14’s Bt35.38mn. (Thun Hoon, 11/08/15)
Comment: We still believe that its fairly priced despite all this earnings growth, there’s nothing really new to report from this co for the time being
The growth of the renewable sector Thailand has been remarkable to say the least, here are some key facts:
- The capacity of renewable energy for electricity generation has been rising substantially and is expected to reach a record high of 9,200 megawatts by year-end, according to the Department of Alternative Energy Development and Efficiency.
- As of May, domestic hydropower plants provided about 3,000 MW, followed by biomass (2,500), solar farms (1,300), biogas (326) and wind farms (225).
- Mini hydropower plants provide 142 MW, while waste-to-energy plants contribute 75 MW.
- The capacity to generate power from renewable sources is expected to be limited from next year due to the country’s limited transmission lines. Thailand is expected to have extra capacity of only 800 MW from 2016-18.
- Under the Renewable Energy Development Plan, Thailand will be able to generate power from renewable sources of 19,600 MW by 2036 when total capacity from all sources is due to rise to 50,000 MW.
Source: Bangkok Post
So who are the key players? Well off the top of my head you have EA, SPCG, GUNKUL, SOLAR, DEMCO, IFEC, TSE, EGCO, RATCH, UAC, TPCH, CKP and several several several several others. Now there’s still at least 10,000 MW worth of new renewable projects to be given out, so this entire sector is going to continue to growing well for the next 20 years now the fun part is to understand which one of the aforementioned names are going to have the capacity necessary to fully capitalise on Thailand’s long term push for renewable energy.
Expects 12% growth in 2015. It plans to invest Bt6.0bn in order to expand the number of hospital to 50. 1Q15 earnings will grow due to an increase in the number of clients (Khao Hoon, 20/04/2015)
Comment: Despite a relatively tepid growth rate, these valuation levels still hold because 1) It’s the biggest and arguably the best hospital play in Thailand 2) It is the only hospital group that has proven its ability to continue expanding well 3) They are still actively looking for M&A deals
Split par from Bt5 to Bt1, effective April 20. This will increase the number of shares from 1.1bn to 5.5bn. (Khao Hoon, 20/04/15)
Comment: Retail will love this!
Issues clarification of news – Khun Phongsak Sirikoop, CEO and M.D. of DEMCO clarifies news printed in a local paper: 1) It has not yet announced 1Q earnings. 2) It has not provided any information with regards to the process of selling Khun Nopporn’s shares. 3) It has also not released information regarding the purchaser of WEH stock in an equal proportion to Khun Nopporn’s shares. (Khao Hoon, 20/04/15)
Comment: Again the main item for DEMCO is whether or not WEH can be listed, once its solved the stock price may again head back up to high teens
There was a FTSE index re-balancing that occurred on Friday, here’s the breakdown:
- Large cap inclusion: TRUE (from mid cap); exclusion: BAY.
- Mid cap inclusion: none; exclusion: TRUE (from large cap).
- Small cap inclusion: CK, BMCL, SUPER, GUNKUL, GFPT, TICON, CHG, CKP, KCE; exclusion: CPNRF, SUC.
- All-world inclusion: none; exclusion: BAY.
- All-Cap (LMS) inclusion: CK, BMCL, SUPER, GUNKUL, GFPT, TICON, CHG, CKP, KCE; exclusion: BAY, CPNRF, and SUC.
Hot off the presses:
The FTSE Global Equity Index Semi-Annual Review which will take place as of the close of Mar 20, 2015.
BAY will be removed from FTSE All-World and FTSE Large-Cap and TRUE is upped to Large Cap from Mid Cap.
FTSE Large Cap: Add: TRUE
FTSE Mid Cap: No addition
FTSE Small Cap: Add: CK, BMCL, SUPER, GUNKUL, GFPT, TICON, CHG, CKP, KCE
Delete: CPNRF, SUC
FTSE All-World: No addition
AIT sets a revenue growth target at 10% to Bt6.8bn with backlog on hand of Bt2bn. The firm also has potential projects of Bt10bn that will come up for bidding this year. (Khao Hoon, 19/02/15)
Comment: This company still continues to confound me with its consistent growth, with its capital increase 2 years ago, they are still able to maintain a damn consistent growth path. Well done to management.
Board says ‘no’ to infrastructure fund — AOT’s board decided not to set up an infrastructure fund to raise money for the second phase at Suvarnabhumi, saying the cost of setting up the infrastructure fund is high and the firm still has ample liquidity. AOT will reduce the cost of the project to Bt61.7bn from Bt62.5bn (Khao Hoon, 19/02/15)
Comment: Would you believe that this stock price is up 10x in the past 4/5 years? Actually a clever decision on the part of the board (a first!), they do have some THB 44 bn in cash on the balance sheet, so well done to them in actually choosing the correct path.
BEAUTY expects strong 1Q15 compared with 1Q14 as they see rising demand following the political unrest last year. The firm is set to open about 15 new shops in CLMV countries. (Khao Hoon, 19/02/15)