Stocks in the news (cnt, delta, ete, fn, kce, lpn, mint, nch, pttgc, singer, siri, smit, spa, thana, tpipp, ttcl) 07.04.17
CNT
CNT has achieved its target signed projects in 1Q17 of Bt3.6bn. It expects to get Bt12bn in projects this year to bring backlog to a record high of Bt10bn. It expects 80% of backlog to be recognized this year. It is talking to a party to partner it in upcoming bids. (Thun Hoon, 07/04/17)
Comment: I’m still of the viewpoint that the infrastructure projects will boost the entire construction sector, not because the smaller players will win these large projects but because the larger players won’t complete in smaller projects anymore thereby reducing the risk of margin compression that has appeared in the past few years
DELTA
Local institutional investors are interested in DELTA shares on the back of its strong fundamentals and growth. It targets 2017 revenue growth of 10% from last year’s Bt47.6bn on the back of revenue from selling a subsidiary. It is budgeting Bt1bn to invest in Europe to increase revenue. (Thun Hoon, 07/04/17)
ETE
ETE expects 2017 revenue growth of 20-30%. It recently got two projects valued at Bt1.54bn which increased its backlog to Bt4.55bn. It expects to book Bt1.37bn of its backlog this year. It continues to take part in bids. (Kao Hoon, 07/04/17)
FN
FN expects 1Q17 net profit to grow 30% YoY aided by large demand. It expects 2Q17 performance to continue to grow on the back of seasonality and its new branch at Hat Yai. (Thun Hoon, 07/04/17)
Comment: Their new ayudhuya branch had rather brisk business when I visited it last weekend. So its a question of whether the new branches and store design pick up the slack from some of the underperforming ones
KCE
KCE targets 2017 net profit of Bt3.3bn, up 10%YoY brought by larger orders and its expansion plan. (Kao Hoon, 07/04/17)
LPN
LPN targets 1Q17 presales of Bt5.1bn with backlog of Bt5bn. It plans to launch three projects worth Bt3.15bn in 2Q17. It expects 2017 revenue to hit Bt10bn. (Kao Hoon, 07/04/17)
Comment: If you want a clear idea on the purchasing power left in low-mid end consumers, just track LPN
MINT
MINT is seeing signals of recovery in tandem with better tourism growth as well as business at home and abroad. It expects to book extra gain from selling property in Phuket, which will support its 1Q17 performance. (Thun Hoon, 07/04/17)
NCH
NCH expects 1H17 performance to be robust on the back of recovering demand. It expects the positive industry outlook to lift 2017 revenue to Bt1.7bn. It plans to launch a Bt3.7bn low-rise project which will increase its backlog from of Bt400mn. It expects this to cover revenue until mid-2018. (Thun Hoon, 07/04/17)
PTTGC
PTTGC’s shareholders approved acquisition of six related petrochemical companies from PTT for of Bt26.3-26.8bn. It expects to complete the transfer and book net profit of Bt2.4bn/year. (Thun Hoon, 07/04/17)
SINGER
SINGER expects 2016 sales growth of 30%. It plans to launch a marketing campaign during the Songkran festival to attract clients. (Kao Hoon, 07/04/17)
Comment: If thats the case then it would just be a recovery from the last few years of declining sales.
SIRI
SIRI will set up a subsidiary (Paranat Property) to engage in the condo business. It plans to launch four projects in 2Q17 valued at Bt12.6bn with presales target of Bt10bn. (Kao Hoon, 07/04/17)
Comment: This name is worth tracking, just because I feel as if we’ll see a sudden drop in marketing costs.
SMIT
SMIT targets 2017 revenue growth of 10% backed by growth in steel and machinery business and recovery in steel price. It recently got Bt50-60mn projects which it expects to book this year. It is budgeting Bt60mn to invest in new plants. It is talking to a prospective partner in Taiwan to expand to Vietnam. (Thun Hoon, 07/04/17)
SPA
Institutional investors are interested in SPA. It targets 41 branches at the end of 2017 from 34 now. It expects 2017 performance to mark a record high with revenue growth of 30%. (Thun Hoon, 07/04/17)
THANA
THANA targets 2017 revenue to hit Bt1.2bn, up 20%. It is dealing with a foreigner to do R&D for property development in Phuket and expects clarification in 3Q17. It plans to focus on online marketing, which it expects will double its visitors. (Thun Hoon, 07/04/17)
TPIPP
TPIPP expects solid earnings in 1Q17 brought by the power business. It expects 2017 performance to be good because it expects to operate 290MW in 4Q17. This will increase its capacity to 440MW. (Kao Hoon, 07/04/17)
Comment: Ouch the first IPO down in 2 years!
TTCL
TTCL plans to invest in a second coal power plant in Myanmar with capacity of 1280MW, worth Bt90bn which is expected to be finalized in 2018. It expects the first plant to start construction at the end of 2017 to beginning of 2018. It targets to get new projects of US$800mn of which Bt16bn is expected to be signed soon. It expects this to grow 2017 revenue by 10%. (Thun Hoon, 07/04/17)Stocks in the news (cnt, delta, ete, fn, kce, lpn, mint, nch, pttgc, singer, siri, smit, spa, thana, tpipp, ttcl) 07.04.17