Stocks in the news (ask, bla, demco, egco, gfpt, gold, gunkul, kce, nep, ptsc, ratch, sawad, siri, spa, susco, tu, thcom, wha) 10.08.16
ASK
ASK expects revenue and loan growth of not less than 15% on seasonality. It plans to issue a debenture to replace the old one of Bt7.3bn that is expiring. (Thun Hoon, 10/08/16)
Comment: It’s more likely that the continued improvement will come from decreased financing costs
BLA
BLA reported 2Q16 net profit of Bt9.3bn thanks to reversal of provisions. It will pay a dividend of Bt0.32/share, XD on Aug 25. (Khao Hoon, 10/08/16)
Comment: Despite the short term respite it’s still going to be tough for insurance co’s to make $ on their investment portfolio’s given these low yields
DEMCO
DEMCO says its 60MW wind power at Khao Kor commenced operations. It expects this to contribute Bt40mn income in 2017. It expects 2016 revenue to grow 10-15%. Its backlog is Bt7bn, of which it expects to book Bt6bn this year. It plans to take part in Bt10bn in bids. (Thun Hoon, 10/08/16)
Comment: The issue surrounding Demco is still because of the loss of production payments
EGCO
EGCO reported 2Q16 net profit of Bt2.04bn (+46%). This brought 1H16 net profit to Bt4.63bn (+58%). ( Khao Hoon, 10/08/16)
GFPT
GFPT reported 2Q16 net profit of BT380.79mn (+90%) backed by lower feed costs and growth in GFN and McKey. It expects 2H16 earnings to be good on seasonality. It expects exports to reach 6,500ton/quarter. It expects 2016 gross profit to grow 14%. (Thun Hoon, 10/08/16)
Comment: Every chicken/pork company has had a wonderful 2Q and it looks like chicken prices are continuing to increase into the 2H16
GOLD
GOLD reported 2Q16 net profit of Bt359.38mn, which brought 1H16 net profit to Bt560.77mn driven by large transfers from property stimulus measures. It expects 2016 revenue to reach its target of Bt10bn. (Khao Hoon, 10/08/16)
GUNKUL
GUNKUL reported 1H16 net profit of Bt267.7mn, up 20%. It has set up a subsidiary to engage in the biomass power business. It expects 2016 revenue to grow 30%. It targets capacity to reach 1,000MW within five years. (Khao Hoon, 10/08/16)
KCE
KCE reported 2Q16 net profit of Bt811mn (+65.6%) which was a record high. This came from higher sales. Its gross margin was 35.5% thanks to its new plants. It expects 2H16 performance to grow steadily because its new 3 will start up. It will pay an interim dividend of Bt1/share, XD on Aug 19, PD on Sep 9. (Thun Hoon, 10/08/16)
Comment: These are wonderful gross margins for a electronic manufacturer
NEP
NEP expects 3Q16 earnings to be good backed by large orders. It says local and foreign investors are interested in joining with it in a JV in order to invest in the power and utilities businesses. It expects to show a net profit in 2017 after wiping out Bt879mn in retained losses. (Thun Hoon, 10/08 /16)
PTSC
PSTC is talking to a prospective partner to invest in a 50MW power plant. It has submitted the documents to ERC for 1,000MW PPA.It plans to ask board approval to acquire more power plants on Aug 30. It expects 2H16 earnings to be good aided by 45.3MW PPA. It expects this to contribute Bt1bn revenue per year. (Thun Hoon, 10/08/16)
RATCH
RATCH expects 2016 revenue to surge aided by new power plants. It targets long term capacity of 10,000MW. It plans to take part in upcoming bids in Indonesia, Philippines, and Laos. It is interested in investing in a new business to lift revenue, such as transportation. It has already bought the bid documents for MRT Yellow and Pink lines. It expects to get at least one contract. (Thun Hoon, 10/08/16)
SAWAD
SAWAD reported 2Q16 net profit of Bt434mn (+49%) with a small portion of bad debt of only 3.27%. It expects this to be the result of branch expansion. Its portfolio rose to Bt16.9bn. There was a big-log transaction involving 3mn SAWAD shares with an average price of Bt43.13, for a total valued of Bt115mn. (Khao Hoon, 10/08/16)
Comment: Both SAWAD and MTLS are still expected to show these amazing growth numbers through to 2017
SIRI
SIRI announced presales of Bt14.5bn. It expects presales to reach Bt42bn by the end of this year. It plans to launch Bt34.6bn in projects in 2H16. It expects its projects to get a good response and sustain growth. (Thun Hoon, 10/08/16)
SPA
SPA reported 2Q16 revenue of Bt174mn, up 39%YoY while net profit grew 30% from last year’s Bt30.66mn. It plans to broaden its customer base in 2H16. It plans to open more branches. It targets 2016 revenue growth of 40%. (Thun Hoon, 10/08/16)
Comment: One could call SPA a leveraged bet on the tourism industry
SUSCO
SUSCO expects sustainable growth after a rise of 20% in 2H16 net profit. It has budgeted Bt200mn to open 250 stations within 2017. It expects to focus on non-oil business to support revenue. It plans to expand to neighboring countries. (Thun Hoon, 10/08/16)
TU
TU reported 2Q16 earnings of Bt1.52bn (+16.9%). Its sales marked a record high of Bt34.44bn. It also has lower interest expense. It will pay an interim dividend of Bt0.32/share, XD on Aug 18. (Khao Hoon, 10/08/16)
THCOM
THCOM plans to expand abroad to AEC and South Asia. It expects this to broaden its customer base after launching Thaicom 8. It reported 2Q16 net profit of Bt591mn with revenue of Bt2.9bn. ( Thun Hoon, 10/08/16)
WHA
WHA expects to repay debt of Bt12bn. It expects to pay a dividend from 2016 earnings. It expects 2016 revenue to be higher than Bt17bn. It is budgeting Bt43bn for its five-year business expansion plan. (Khao Hoon, 10/08/16)