Stocks in the news (bem, bts, egco, irpc, jmart, kbank, lhbank, pttep, siri, tpipl) 03.04.17
BEM
BEM expects revenue growth of 10% for rail operations and 2% for expressway, on the back of a full year of revenue from the MRT Purple Line and Sri Rat outer ring. It plans to buy 35 new trains. The MRT Blue Line extension is expected to open ahead of schedule, boosting ridership above 800,000 trips per day. (Thun Hoon, 03/03/17)
Comment: Anyone surprised by their ability to continue growing and become the transportation play in Thailand since the merger? Now when will they do their own infrastructure fund
BTS
BTS expect to sign the Pink and Yellow line contracts soon, boosting its revenue outlook. (Thun Hoon 03/03/17)
EGCO
EGCO expects the close the deal to take over a power plant in Indonesia by 2Q17. It will continue to look for more investment opportunities in Thailand and abroad with an investment budget of Bt30bn. EGCO is confident that 2017 earnings will continue to grow from the previous year. (Thun Hoon 03/03/17)
IRPC
IRPC expects its major maintenance to be completed as per schedule. ( Kao Hoon, 03/03/17)
JMART
JMART expect to boost is camera sales with the “JayCamera Show 2017” event. It expects the camera market to expand 30% this year, bringing its camera business growth to above 30%. It plans to maintain its margin in the range of 8-10%. (Thun Hoon 03/03/17)
Comment: Stealing market share from BIG? Or is there enough room in the market for 2 players?
KBANK
KBANK maintains loan growth target of 4-5%, after signs of improvement in 1Q17. It plans to focus more on expanding its bancassurance and mutual fund business. It is confident in its earnings growth target of 4-5% over the previous year. (Kao Hoon 0 3/03/17)
LHBANK
LHBANK will call for a shareholder meeting on April 24 to approve the sale of of 7.5 billion shares to a Taiwan bank at Bt2.2 per share. LH and QH will dilute their combined holding to 35.6% from the current 55.3%. (Kao Hoon 03/03/17)
PTTEP
PTTEP expects to benefit from the new Thailand petroleum concession which it expects to be within this year. (Thun Hoon 03/03/17)
SIRI
SIRI expect revenue to be around Bt34bn in 2017, issuing new debt to replace the maturing one. IRI plans to issue 3-year name-registered senior-unsecured debenture with bondholder’s representative with a total value not exceeding Bt2bn, and offer an interest rate of 3.4% per annum. It will issue the debenture via BBL and SCB in April, and will use the proceeds to repay the maturing bond and to expand its business. (Thun Hoon 03/03/17)
Comment: Unsecured debt at a 3.4% cost. This is ridiculously low, well done to SIRI.
TPIPL
TPIPL confirms that it will not sell its 5.9 billion shares in TPIPP for one year, in a bid to boost investor confidence as TPIPP begin its first trading day on April 5. TPIPL board approved a new accounting policy that will reduce its depreciation cost by Bt1.30bn/year. (Kao Hoon 03/03/17)