Stocks in the news (advanc, chow, cmo, mint, ori, pttep, thcom, title, tta, utp) 03.11.17
ADVANC
ADVANC reports 3Q17 net profit of Bt7.469bn, growing by 14% in tandem with the increase in total revenue, while EBITDA increased by 15% to Bt17.589bn because of effective cost and expense management. It plans to invest Bt5bn to expand its high-speed internet network. (Thun Hoon, 3/11/17)
Comment: The news that 1) the NBTC set the price high 2) JAS is allowed to bid has caused ADVANC, DTAC and TRUE to all collapse
CHOW
CHOW is increasing production capacity to 100 MW within 2017 and expects 35-40% growth in the steel business in 2017. It plans to run the production at its two mills at full capacity next year. It says its investment in energy is beginning to provide returns and plans to add 50-70 MW production capacity in 2018. (Thun Hoon, 3/11/17)
CMO
CMO signals sharp rise in 4Q17 revenue after getting a new project worth Bt50mn and entering high season. It believes earnings will turn around this year. It plans to expand to overseas, which it expects to bring in over Bt10mn and also plans to sell its franchise in the theme park business. (Thun Hoon, 3/11/17)
MINT
MINT subsidiary has taken 50% in Avani Huahin Resort & Villas for Bt765mn and has set up a new subsidiary, MHG Management Tunisia, for hotel management. (Khao Hoon, 3/11/17)
ORI
ORI is partnering with Nomura Real Estate to launch a big new luxury condo project worth Bt11bn, Park in Thonglor. It will target high end customers and foreigners. Construction is planned to begin in in 2018. (Khao Hoon, 3/11/17)
Comment: They are going to have to find a way to maintain their revenue after the Soi 24 project is done
PTTEP
PTTEP currently has cash of Bt135bn and is looking for new investment opportunity in upstream and LNG businesses. It is hastening petroleum exploration in order to increase reserve and production volume. It reports normalized profit of Bt7.278bn in 3Q17. (Thun Hoon, 3/11/17)
THCOM
THCOM reports shrinkage in 3Q17 earnings to Bt65.22mn from a drop in revenue from its satellite business. It plans to change its strategy to focus on selling Thaicom 8 satellite channels and penetrate emerging markets. (Thun Hoon, 3/11/17)
TITLE
TITLE provides 145.45% return on its first trading day. It opened at Bt5.40 and rose to hit Bt5.50, up 150% from its IPO price of Bt2.2. It says it has backlog of Bt691mn which will be booked as revenue through next year. (Thun Hoon, 3/11/17)
TTA
TTA will benefit from an increase in freight in 2018, raising its revenue from shipping. It plans to buy three more ships to support rising demand. (Khao Hoon, 3/11/17)
UTP
UTP expects 2017 revenue growth will be better than 2016’s and is going to increase production capacity in order to support rising orders. It plans to control costs to increase net profit margin and plans to penetrate the Chinese and Myanmar markets. it expects 2017 sales to reach 5,000-7,000 tons. (Thun Hoon, 3/11/17)
Xavi
A buying opp is opening up for telcos, investors are panic selling after seeing the draft tor spec and pricing. Still has to go through public consult. Doubt JAS goes near spdctrum this time given the starting prices are even worse than the winning price hey bid last time.
Pon
It’s just incredible that JAS is allowed to bid again…
The dark horse in all of this for me is still TRUE, are they still adamant on proving that they are #1? And if so will they continue to push things far beyond their existing balance sheet can manage?
Xavi
Well they have to inflate competition somehow. 4 spectrum and only 3 realistic bidders. NBTC risks the 3 incumbents walking away at these prices which means they get nothing.
Xavi
I still believe NBTC artificially inflated the last auction market by deliberately making spectrum scarce. There is much less appetite this time especially at these prices.