AIT
AIT expects revenue to be in line with forecast at Bt6.2bn as it has managed to convert Bt3.75bn of its backlog into revenue. The company is waiting on additional projects worth Bt720mn, with plans to bid for another Bt8.09bn. Management said it has no concern over 2015 as the NCPO is working to stimulate the economy. (Khao Hoon, 06/06/14)
Comment: The majority of AIT’s backlog does come from TOT and CAT, so its a good thing that they can begin issuing new projects for firms like AIT, LOXELY and SAMART to bid for projects again.

DRT
DRT: 2H14 performance better than 1H14 because the NCPO is working on lifting the economy. It maintains revenue growth of 10% YoY and will keep gross profit margin close to 2013 at 10.18%. It will invest Bt100mn to improve machinery efficiency. (Khao Hoon, 06/06/14)
Comment: Everyone’s 2H14 should in theory look better

GEL
GEL board approves purchase of 251.01mn MILL common shares and 249.56mn preferred shares, MILL-PA, lifting its ownership to 20% in furtherance of its goal of becoming leading integrated construction material business. It sold total investment in AQUA, an 8.94% stake with a gain of Bt44.55mn to be used to expand. It will focus on core or related businesses. (Khao Hoon, 06/06/14)
Comment: This sounds a bit more like an investment firm versus a civil engineering firm, although why MILL? Steel has been rubbish for years and will continue to be for quite a while!

JUBILE
JUBILE expects 2H14 will be better than 1H14 due to the easing in the political situation and recovery in purchasing power. It maintains revenue of Bt1.8bn in 2014, +15-20% YoY, and is preparing to open Thailand’s largest jewelry shop in 3Q14. (Khao Hoon, 06/06/14)
Comment: See above!

NEP
NEP sets revenue growth target of 30% YoY backed by capacity expansion. It is confident that gross margin will be positive in 2014 and it will be in the black in two years. It is looking for a partner to set up a factory in Myanmar with Bt100mn investment. (Khao Hoon, 06/06/14)

PREB
PREB will continue to increase its backlog as it plans to both bid for civil contracts and will undertake its own property development projects. It expects to win Bt3bn worth of civil contracts. The management says its project Tempo Sarthorn-Whuttagard will continue to push net profit with its high margin. (Tun Hoon, 06/06/14)
Comment: PREB is a perfect example of a construction company that expanded vertically into property development.

PTT
PTT hit by group share sell-off — Shares of PTT and its subsidiaries yesterday suffered from a sell-off, jolted by investors’ mounting anxiety that proposed energy reforms could take a toll on their future profitability. (Bangkok Post, 06/06/14)

SAT
SAT expects the industry to bottom in 2Q14, with some recovery in the second half of the year. The company forecasts earning to drop by 7-10%, citing politics and slow consumption. The management expects that with recovery, stock prices should recover returning SAT to SET100. (Khao Hoon, 06/06/14)
Comment: Random thought – does the fact that it’s harder to get a driver’s license mean less cars will be sold?

SGP
SGP expects to recover in 2Q14 because LPG price has increased. It maintains 2014 revenue of Bt76bn, +15% YoY. (Khao Hoon, 06/06/14)
Comment: SGP, their stock price dived when 1Q14 numbers were released, however if you were a half-decent analyst you would’ve realised it.

SOLAR
SOLAR relieved that 1MW solar rooftop does not require type 4 factory permission. It is confident that revenue will grow at least 30% YoY in 2014 and aims to invest in Cambodia. (Khao Hoon, 06/06/14)

TAE
Thai Agro Energy surges in SET debut — Shares of Thai Agro Energy Plc (TAE), the country’s third-largest ethanol maker, scored the biggest first-day gain of 2014 yesterday, nearly tripling their initial public offering price. (Bangkok Post, 06/06/14)

TVD
TV Direct (Malaysia) working with Telekom Malaysia, a large telecommunications company, to launch TV Direct Showcase as a 24-hour shopping home channel, boosting revenue growth. It is the first home shopping channel in Malaysia. Songpol, CEO, maintains revenue of Bt2.5bn, +15% YoY. (Khao Hoon, 06/06/14)