FSMART expects revenue in 2Q15 will be robust, supported by the addition of top-up machines to bring its total to 50,000. It will also book revenue from selling advertising. It is confident that total revenue in 2015 will grow 40% from Bt1.16mn in 2014. (Kao Hoon, 2/6/15)
Comment: Still an amazing cash flow generating machine business
INET expects 36% profit growth in 2015 to Bt600-700mn. It will focus on the cloud business supported by more demand. It targets to increase cloud business activities to 30-40% of its portfolio. In 1Q15 it reported a margin of 26.79%, up from 2014’s 22.17%. It plans to budget for system development. (Tun Hoon, 2/6/15)
Comment: Not the first company to say they are expanding into the cloud business, it all depends if they will use a system like Amazon and just resell or their own, if their own then margins could be rubbish, if reselling far better, asset light and depending upon how well they sell, amazing margins.
MCS gaining from weak baht. It is confident that 2015 revenue will reach 10,000 million yen, supported by its backlog of 150,000 tons. (Tun Hoon, 2/6/15)
Comment: It’s always been a great company, but I’m not 100% convinced that its cheap at these levels
Japan’s Marubeni negotiating to buy 46.98% of ML for no less than Bt2.2/share. It plans to use the company as a base to lend to Japanese clients. (Kao Hoon, 2/6/15)
ARROW expects strong 1Q15 earnings backed by rising revenue. It expects 20% revenue growth this year and has a chance to get one of the Red Line contracts value at Bt40mn. (Kao Hoon, 19/03/15)
Subsidiary CP Retail Link Co., Ltd. expects 2015 revenue of Bt3.4bn or 15% YoY growth from last year and will expand over 50 service centers this year. (Kao Hoon, 19/03/15)
JMT plans to bid for the new bad loan portfolio worth of Bt10bn. The company has about Bt62bn loans currently which it expects to book as revenue through 2020. This year the firm expects 50% earnings growth driven by better collection of bad loans. (Kao Hoon, 19/03/15)
Comment: The issue with JMT is that despite its absolutely amazing growth, they will need to raise additional capital to continue growing at this pace.
EARTH expects higher region coal price to lift 1Q15 profit above Bt3.8bn. Management remains confident that its sales volume will reach 10mt in 2015 due to higher demand. It plans to acquire more mines with reserves of 40mt, conclusion by 4Q15. (Thun Hoon, 12/03/15)
Comment: The owners have been pledging their shares for a ton of equity financing hence the odd management trades we have seen over the past 2 years.
EGCO unveils 5-year plan. This will focus on power plants under development. The company confirms its plan to expand in ASEAN and Asia Pacific region with required equity IRR of more than 10%. (Krungthep Thurakij, 12/03/15)
FANCY reports three major shareholders sold 28.46% of total shares via big-lot transaction to two new investors at Bt3.5/share. Management says this will not affect the controlling power of the existing major shareholders and the company’s business plan for particle board production and rubber wood in Surat Thani. (Thun Hoon, 12/03/15)
Comment: It’s been a dying industry for a long time and I don’t see things changing.
HEMRAJ says land demand has been recovering since early 2015. Demand is being seen from both existing and new clients. It expects to sell 1,400 this year and is developing new land for potential clients. It plans to restructure after the end of the tender offer by WHA in March. (Thun Hoon, 12/03/15)
Comment: The question is how many assets will be sold by HEMRAJ in order to help WHA fund the acquisition? The Koh Lan is apparently being sold + a REIT will be set up for its factories + their office building could still be sold.
U-Tapao to be developed for commercial use — The Transportation Ministry says that Airportd of Thailand (AOT) and U-Tapao airport will coordinate to develop U-Tapao airport for commercial aircraft and passengers. Currently, U-Tapao airport serves only charter flights with passengers at 100K/year, far below its capacity at 800K/year. They plan to sign an MoU soon. AOT will act as consultant for operations and marketing strategy. (Matichon,11/02/15)
CPF expects revenues growth at 10% this year or Bt43bn driven by growing overseas business. (KhaoHoon,11/02/15)
Comment: The issue with CPF is two fold, its aquamarine biz is still performing poorly and the earnings from cpall are still crap.
DTAC announced 2014 net profit of Bt10.7bn, up 1.5% YoY. It announced a dividend of Bt2.34/share for 4Q14 or Bt6.91/share for 2014. For 2015, it expects revenue to continue to grow and set capex at Bt14bn. (KhaoHoon,11/02/15)
Comment: That’s a pretty nice dividend!
May not make provisions for lawsuit — BANPU may not set provisions for lawsuit by Siva after the Laos government found that BANPU has the right to terminate the contract with Mr. Siva. Management expects this case to take years before a decision is made. (Khao Hoon, 14/12/12)
BTS plans US$1.5bn IPO for infrastructure fund — Thailand’s sole elevated-railway operator, BTS Group Holdings PCL, aims to raise at least US$1.5bn next year through an initial public offering of an infrastructure fund, a deal that would ranks as the country’s largest-ever IPO. “We are aiming to launch the IPO in February,” BTS Group investor relations official Chama Savetbodi said. (The Wall Street Journal, 14/12/12)
Comment: infrastructure fund plays all around, wouldn’t be shocked to see BTS hit 8 baht.
Just received this in my mailbox, its a rather nifty little infographic showing which publicly listed companies in Thailand will benefit from the recent issuance of 3G licenses to the telecom operators.
Source: Not sure, if someone knows do inform me so I can credit them properly
- BTS – The owner just bought THB 2.56 bn worth of shares
- BGH – The president continues to accumulate with another THB 20 mn worth of shares
- SYMC – Quite interesting to see a director of the board sell THB 20.5mn worth of shares. This company has secure cashflows for the next 10 years, but it is trading slightly expensive.