Tag Archives: HEMRAJ

Stocks in the news (aot, big, bigc, esso, hemraj, jubile, perm, pstc, ratch, scc, smt, tmb) 25.01.16

AOT
AOT expects 1Q16 earnings of around Bt4.6bn, growing 22%YoY on the back of high tourist arrivals. Tourism high season in the first quarter should boost the company. (Khao Hoon, 25/1/16)
Comment: DM terminal 2 is already bustling like crazy
BIG
BIG expects its earning to reach a new high in 2016, growing 10% from 2015 driven by growing sales volume of new cameras. This year’s focus will be on the direct-from-phone printing services. The negative retained earnings have been cleared, allowing for dividend payout from FY2015 earnings. (Khao Hoon, 25/1/16)
Comment: I’ll know more about what they are planning to do later today, still am not convinced
BIGC
Charoen’s TCC Holding and the Chirathivat family’s Central group are considering a firstround bid (5-Feb-16) for the BIG C Supercenter chains in Thailand and Vietnam. (KhaoHoon, 25/1/16) Comment: Already mentioned in my random thoughts on how I think things will play out here
ESSO
ESSO to expand its car care business, the Mobil 1 Center, targeting 400 branches within 2018 (ThunHoon, 25/1/16)
Comment: That will be going up against quite the competitive market
HEMRAJ
Hemraj Energy Co, a subsidiary of the listed company Hemaraj Land and Development Plc, has signed a joint-venture agreement with Gulf MP to develop five small power plant (SPP) projects within Hemraj’s industrial estate, totaling 630MW and worth Bt34bn. The projects are expected to complete within 2017 (KhaoHoon, 25/1/16)
JUBILE
The company targets an earnings growth of 15% in 2016, raising contribution from diamond showrooms to 13-15% of earnings. It plans to boosts sales via branch expansion and renovation, as well as new product launches and marketing campaigns. (KhaoHoon, 25/1/16)

Continue reading Stocks in the news (aot, big, bigc, esso, hemraj, jubile, perm, pstc, ratch, scc, smt, tmb) 25.01.16

Stocks in the news (advanc, csl, ecf, global, gunkul, hemraj, jubile, kbs, lh, loxley, mk, smart, treit, tu) 25.11.15

ADVANC
Advanced Wireless Network (AWN) paid Bt20.493 billion to the National Broadcasting and Telecommunications Commission (NBTC) yesterday as the first installment of the 1,800MHz license upfront fee. (Khao Hoon, 25/11/15)
Comment: And TRUE hadn’t paid their first part yet. Surprised much? Eyes are now fully focused on the remaining 900 MHz that should be up for bidding in December, we think it’s something that both DTAC and ADVANC have to win, each for their own business reasons otherwise DTAC is effectively out of the telco game and ADVANC won’t have enough spectrum. Now would JAS come to ruin the party for all the incumbents by pushing the price up just as they had done in the first round of bidding?

CSL
CSL expects 2016 revenue growth of 1-3%. It is focusing on the ICT business and is expected to have net profit of Bt300mn. (Khao Hoon, 25/11/15)

ECF
ECF expects 2016 revenue growth more than 12% and revenue in 2015 of Bt1.3bn. It also plans to use its rights to produce Disney-themed furniture to expand its market. (Khao Hoon, 25/11/15)

GLOBAL
GLOBAL expects 2016 revenue to grow 10-15%. It plans to partner in Cambodia and use Bt2bn to expand the business in Thailand. (Thun Hoon, 25/11/15)
Comment: We have never really cared much for this company only because we were always worried about its inventory turnover and HMPRO, as a business, is by far a better choice. But if and its a big if, GLOBAL can expand further in Cambodia, Laos etc etc and have a strong foothold in both markets then I may be more interested, but still their inventory management has me scratching my head.

GUNKUL
GUNKUL to partner with Super to build 11 solar farms for a total of 87 MW. It expects to generate electricity this month. (Thun Hoon, 25/11/15)

HEMRAJ
HEMRAJ plans to sell land in Hemraj Eastern Seaboard 2 to MG. It will sign the contract tomorrow (26/11/15). (Thun Hoon, 25/11/15)
Comment: We are just waiting for that last divvy.

Continue reading Stocks in the news (advanc, csl, ecf, global, gunkul, hemraj, jubile, kbs, lh, loxley, mk, smart, treit, tu) 25.11.15

REITs are a go!

The other day the cabinet came out with a ruling that:

  • Approved the waiver of value added tax, specific business tax & stamp duty for transferring assets from property funds into REITs.
  • Approved the waiver of income tax for unit-holders of property funds that are converted into REIT

So what?

  • This should pave the way for conversion from property funds into REITs as major transaction costs have been cleared, as Thai property funds can no longer increase capital unless they convert into REITs.
  • The conversion will help extend the lives of the property funds especially those with leasehold assets.
  • The REITs will be able to gear up more at maximum of 60% of total asset value (REITs with investment grade rating) or 35% of total assets for those REITS without investment grade rating, vs 10% of NAV for property funds
  • Yields could increase anywhere from 10-60% for each new conversion to a REIT in the market.

Who could this be good for? Well the usual suspects, CPN, WHA, HEMRAJ, TICON, and any other type company that has property assets that generate a yield, I’m still waiting for the day that hospitals here will do REITS

Stocks in the news (aq, bmcl, becl, bem, chow, drt, epg, hemraj, kcm, mcs, ml, polar, ratch, siri, stec, t, true, tvo) 30.09.15

AQ
AQ expects net profit this year after 2014 net loss of Bt285.61mn on backlog of Bt300- 400mn. It plans to launch a new project “AQ Shadi Phaholyothin-Rangsit” in 2H15. (Thun Hoon, 30/09/15)
Comment: Despite the quality of its projects, the stock is rather expensively valued.
BECL/BMCL
BECL expects the cabinet will okay the merger with BMCL in October. It expects BEM (Bangkok Expressway and Metro Plc) will begin to trade in January 2016. (Khao Hoon, 30/09/15)
Comment: There’s nothing new here in terms of stories nor valuation, in the end its a good move for CK to not have to inject additional capital into BMCL
CHOW
CHOW has done a JV with BCP to invest in a 50MW solar power plant in Japan. It will invest no more than Bt380mn. (Khao Hoon, 30/09/15)
DRT
DRT expects sales to peak in 2016 although 2015 sales may be hurt by the economic slowdown. It plans to expand abroad. It targets exports to comprise 30% of revenue within three years. It expects to benefit from the government’s stimulus. (Thun Hoon, 30/09/15)
Comment: That’s rather ambitious by DRT, unless the Thai portion of the business is going to collapse. 

Continue reading Stocks in the news (aq, bmcl, becl, bem, chow, drt, epg, hemraj, kcm, mcs, ml, polar, ratch, siri, stec, t, true, tvo) 30.09.15

Stocks in the news (bjc, chow, earth, forth, hemraj, ktp, malee, planb, rs, susco, tapac, trubb) 29.09.15

BJC
BJC is talking to many prospective partners (in Laos, Vietnam, Cambodia) to take over local and international companies, which is expected to be finalized soon. It has budgeted Bt2.25bn for investment. It expects 2015 revenue to grow 10% as targeted. (Thun Hoon, 29/09/15)
CHOW
CHOW is talking to prospective partner to invest in solar power plant. It targets capacity of 200MW by 2016. It expects 3Q15 earnings to be peak, aided by large orders in steel and selling electricity. It expects 2015 earnings to be good. It plans to list subsidiaries next year. (Thun Hoon, 29/09/15)
Comment: I’m still incredibly impressed by their shift to solar and their openness to expand internationally
EARTH
EARTH is considering investing solar energy business in Italy which it expects to be concluded soon. It targets five coal mines in five countries within five years. (Thun Hoon, 29/09/15)
Comment: And yet what is management doing with their shares? I don’t quite feel very comfortable with their practises.
FORTH
FORTH expects some 3Q15 earnings growth on the back of new projects. It plans to bid for a Bt500mn job at the end of this year. It expects 2015 revenue to achieve target of Bt5bn. It plans to increase revenue by managing 4G network systems. (Thun Hoon, 29/09/15)
Comment: And again the real value here is purely in FSMART more than anything else 

Continue reading Stocks in the news (bjc, chow, earth, forth, hemraj, ktp, malee, planb, rs, susco, tapac, trubb) 29.09.15

Stocks in the news (cho, ck, egco, eforl, hemraj, hmpro, ifec, qtc, singer, sport, syntec, tcmc, thani, tks, tpoly) 28.09.15

CHO
CHO expects to sign NGV bus contract, worth Bt1.735mn in mid-October. It expects to bid for more electric bus projects. It maintains 2015 revenue growth of 10% with Bt600bn backlog. (Khao Hoon, 28/09/15)
Comment: Again wonderfully positioned to benefit from this NGV bus , BUT post these sales earnings will decline to what they normally are.

CK
CK says it is ready for upcoming mega projects valued at Bt200bn which is expected to be approved by the cabinet soon. It expects the M&A between BECL and BMCL to be done after the PPP Act has been approved. (Thun Hoon, 28/09/15)
Comment: Every contractor is loving these mega projects and in reality there isn’t a capacity constraint.

EGCO
EGCO expects 2H5 earnings to be better than 1H15. It expects 2015 net profit to be close to 2014’s Bt7.7bn. It plans to construct more 6-7 projects, 1,700MW in capacity from the existing 3,700MW. It targets capacity of 5,000MW in 2019. (Khao Hoon, 28/06/15)

EFORL
EFORL expects 2H15 to turn around on the back of large orders, decreasing cost, and extra gain from selling WCIH shares. It expects 2015 net profit of Bt255mn. (Khao Hoon, 28/09/15)

Continue reading Stocks in the news (cho, ck, egco, eforl, hemraj, hmpro, ifec, qtc, singer, sport, syntec, tcmc, thani, tks, tpoly) 28.09.15

Stocks in the news (apco, beauty, big, fsmart, hemraj, kcar, kkc, mint, pace, ptt, rml, samco, sena, spa, super) 08.09.15

APCO
APCO expects 2H15 revenue to be better than 1H15’s Bt189mn on expanding via online and launching new products. It targets 2015 net profit of Bt118mn on the back of high margin product and cost control. (Khao Hoon, 08/09/15)
Comment: And they are somehow launching a HIV/AIDS medicine as well.

BEAUTY
BEAUTY targets export to comprise 6% from 2% by focusing on India and the Middle East where it has a customer base. It plans to sign a contract with a distributor in Indonesia this month. It expects earnings to mark a record high this year. (Bangkokbiznews, 08/09/15)
Comment: They do have substantial amount of cash on the b/s relative to assets ~30% today.

BIG
BIG expects 2015 net profit to grow 100% from 2014’s Bt137mn on the back of higher bargaining power with suppliers. It has budgeted Bt100mn to renovate old branches and open new branches. (Thun Hoon, 08/09/15)

FSMART
FSMART plans to set up new version of Boonterm top-up machine in 208 SAWAD branches aiming at 200 branches/month. It is looking for other prospective partners. It targets top-up revenue to reach Bt15bn from 60,000 existing top-up machines. Management expects revenue from advertising will grow significantly in 4Q15. (Thun Hoon, 08/09/15)
Comment: And this machine continues to grow and grow

Continue reading Stocks in the news (apco, beauty, big, fsmart, hemraj, kcar, kkc, mint, pace, ptt, rml, samco, sena, spa, super) 08.09.15

Stocks in the news (ajd, ajp, big, brock, fer, fpi, hemraj, wha, ivl, kcm, mjd, mill, pap, pcsgh, pdi, ptg, ptt, sappe, syntec, tk, tsr, tta, tuf) 09.07.15

AJD
AJD is talking to a prospective partner which is expected to be finalized in 3Q15-4Q15. This deal will increase AJD’s competitive advantage by broadening its market abroad. It is looking for a partner who has a PPA to invest in a solar farm. (Thun Hoon, 09/07/15)
Comment: Again another PPA/renewable switch
AJP
AJP will ask shareholder okay to change its name to DCORP on August 3. It plans to invest in alternative energy with a budget of Bt3bn. (Khao Hoon, 09/07/15)
Comment: See above
BIG
BIG expects robust earnings in 2Q15. It plans to introduce a new product “Mirrorless” which will have a gross margin of 21%. It targets 2015 revenue to grow 10%. It plans to open five outlets in 2H15. It plans to wipe out retained losses soon. (Thun Hoon, 09/07/15)
BROCK
Property companies are interested in taking over BROCK as it is debt free with strong fundamentals. It is talking with a Chinese partner to invest Bt10bn in property in Phuket. It expects 2Q15 earnings to be good and plans to launch a new project worth Bt400-500mn. (Thun Hoon, 09/07/15)

Continue reading Stocks in the news (ajd, ajp, big, brock, fer, fpi, hemraj, wha, ivl, kcm, mjd, mill, pap, pcsgh, pdi, ptg, ptt, sappe, syntec, tk, tsr, tta, tuf) 09.07.15

Co Visit: WHA Corporation Plc (WHA)

WHA ready to cover all logistics bases

WHA began in 2003 with the vision to be a leader in built-to-suit modern warehouses and distribution centres. We saw that Thailand’s logistics cost to GDP was very high at 18% and that there was an opportunity to help the country and the industry to reduce the cost.

wha

WHA will look at opportunities across the region, say Somyos (right) and Jareeporn Anantaprayoon.

WHA Corporation Plc is the leader in premium built-to-suit warehouse, distribution centre and factory development in Thailand and the region. Somyos Anantaprayoon, president and chief executive, and managing director Jareeporn Anantaprayoon discuss the company’s strategy and outlook.

Please explain WHA’s history.

We began with one warehouse and today have nearly 2 million square metres of developed and available land with more than 90% utilisation. We have gained recognition from leading multinationals and large Thai conglomerates for helping to improve their logistics and operations with our total solutions.

What is WHA’s business model?

Our business model focuses on recurring income from long-term leases and service agreements of our properties. After incubating our assets for a period of time, WHA monetises them by annually selling some mature assets to our WHA Premium Growth Freehold and Leasehold Real Estate Investment Trust (WHART), our SET-listed REIT. This allows us to generate high profits for our shareholders with a limited amount of capital, low risk and still maintain ownership.

The other business model we utilise is sale and long-term leaseback, which helps our clients to minimise initial investment costs, minimises tax payments and increases asset utilisation.

Continue reading Co Visit: WHA Corporation Plc (WHA)

Stocks in the news (amata, cho, demco, esso, earth, fer, gunkul, hemraj, kkp, mcs, smt, super, ticon, tmb, trt, uwc) 20.05.15

AMATA
MD says AMATA is preparing to set up REITs. The REITs will pool 88 industrial plants in AMATA Nakorn Chonburi and AMATA City Rayong. (Khao Hoon, 20/05/15)
Comment: The main reasons to have any shares in AMATA at this point are because of its REIT and Amata Vietnam listing.

CHO
CHO expects to win NGV bidding project worth Bt1.7bn. The auction will be held in May. It expects 2Q15 earnings to rise to Bt200mn. The company will get jobs worth Bt180mn from abroad. (Thun Hoon, 20/05/15)

DEMCO
Backlog Bt6.09bn after signing a contract with EGAT and EA. It expects to book more than Bt4.5bn in revenue in 2Q15-4Q15. It plans to bid for more government projects. It is confident revenue will grow to Bt6bn as targeted. (Khao Hoon, 20/05/15)
Comment: Demco’s earnings are solid for the next few years without any issue, but the key upside is the if/when WEH can be listed.

ESSO
Investors from European oil company dealing to buy ESSO stock from a fund, taking 7.34% or 283.75mn shares for Bt12/share. The deal is expected to be concluded soon. The company believes business will trend up this year. (Thun Hoon, 20/05/15)
Comment: Well the replacement value of ESSO is approximately 12-14 baht/share, but I still have my doubts that ESSO will sell this company just yet, it’s been in the rumour mill for the past 6 years

Continue reading Stocks in the news (amata, cho, demco, esso, earth, fer, gunkul, hemraj, kkp, mcs, smt, super, ticon, tmb, trt, uwc) 20.05.15