Stocks in the news (dod, dtac, gulf, htech, mint, mjd, ske, sky, spvi, ssp, takuni) 17.10.18
DOD
DOD is preparing for 3Q18 budget approval. It expects growth in 4Q18, supported by increase of OEM orders It expects revenue to be strong this year and it is preparing to set up a second raw material extraction plant in November-December. (Kao Hoon, 17/10/18)
DTAC
DTAC subsidiary DTN submitted a bid for 900Mhz spectrum auction. The NBTC will open the bidding on Oct 28 and scrapped plans at the last minute to appeal a ruling by the Central Administrative Court on the grace period for DTAC. DTAC reported a loss of Bt921mn in 3Q18. (Kao Hoon, 17/10/18)
Comment: And so…they’ll pay THB 38 bn for it…
GULF
GULF expects revenue of Bt32bn next year, backed by beginning commercial operation of four power plants with total electricity production capacity of 400MW. It expects revenue of Bt20bn this year. It is looking for power plant investment in ASEAN. Its wind and solar farm in Vietnam will start commercial operations next year. (Kao Hoon, 17/10/18)
HTECH
HTECH expects to benefit from growth in HDD demand, lifting its revenue. It expects a good 3Q18 performance report. It targets revenue growth of 10% this year. (Thun Hoon, 17/10/18)
MINT
MINT is working with Vietnam Investment Group to do venture capital. It purchased a franchise “The Coffee Club” in Vietnam and plans to add coffee shops to reach 100 shops in five years. This is its fourth food brand in Vietnam. (Kao Hoon, 17/10/18)
Comment: And they’ll continue to go around the region.
MJD
MJD’s current backlog is Bt18bn and this will be booked as revenue through 2021. It is confident that revenue will grow YoY with a presales target of Bt30bn this year. (Kao Hoon, 17/10/18)
Comment: A lot of this backlog is due to the large project at Phrom Phong, should they successfully transfer everything then there will be a tremendous amount of cash on the balance sheet.
SKE
SKE expects 4Q18 results to grow YoY supported by high demand for NGV. It is looking for parties to expand NGV filling stations along the gas pipeline. The Mae Krating biomass power plant will start commercial operations in the middle of next year. (Thun Hoon, 17/10/18)
SKY
SKY is preparing to present next year’s strategy plan to its board. Management says revenue this year will be outstanding, reaching Bt10bn, backed by backlog of Bt2.5bn. It expects to get a new job soon. (Thun Hoon, 17/10/18)
SPVI
SPVI expects new iPhone to support sales in 4Q18. Management expects sales growth to beat its target of 5-10%, backed by sales growth in all distribution channels. It continues to expand corporate customers and service business to bump margin up. (Thun Hoon, 17/10/18)
Comment: My iphone loving friends say that buyers will wait for the XR to be released and then one should expect a big bump in sales. And if this is the case for SPVI then expect the same for COM7
SSP
SSP will book revenue from commercial operations of a power plant in Mongolia in 4Q18. It already started to book revenue from solar farm in Vietnam. It expects net margin to widen to 47% from last year’s 38% because of no extra expense. (Thun Hoon, 17/10/18)
TAKUNI
TAKUNI continues to gain construction jobs. It gained two construction projects worth Bt361.9mn recently. This lifted its backlog to Bt3.16bn. Management expects revenue from construction to reach 60% of total revenue, with 30% from gas distribution and 10% from others. (Thun Hoon, 17/10/18)