Week 06/05 – 10/05

This is a catch up post from 2 weeks, ago, 4 corporate news items caught my eye…

ADVANC sets 13-15% revenue growth target this year, takeover of 3BB to help doubling its broadband revenue, data business venture with GULF to COD 1Q25, but sees slower 2Q23 on seasonal.

Comment: The new major shareholder NEEDS the cash from AIS to be far higher…

BJC may continue to put off listing of BigC, after postponing an IPO in 2023, as weak SET overshadows improved profitability at its supermarket and hypermarket business. BigC’s operation margin could stay firm at ~6% this year on a better sales mix, effective promotion and inventory management & sales growth, Bloomberg Intelligence.

Comment: BJC should’ve just bought STARK. They would far outperform what they’ve done with BigC.….

ERW sees 1Q RevPar +10% yoy, OCC at 85%, 2 Hop Inn Sri budget hotels in Sri Racha & Ratchburi on track to cod by end of 2Q, mulls revising up room rate from recovery demand, firms on 15% FY24 RevPar growth target.

Comment: Grand Hyatt Erawan is finally making bank. You’re seeing this across all the 5-star luxury hotels in the country.

PTT’s 417kms gas pipeline spanning 7 provinces from Rayong to BKK has started operating, designed to supply gas volume of 2b scf/d, and up to 28 gas control stations were also built.

Comment: This is fascinating…and which listed contractor wins this..?

Others:

• SPALI said residential market has improved following the implementation of property measures last month, but interest rates should be cut to further stimulate growth, especially in the lower-income segment.
• IVL raised $500m syndicated term loan from HSBC and StanChart, part of plan to refinance upcoming maturities totaling $1.1b.
• BDMS sees higher contribution from insurance patients, sees increasing policy buyers at younger age group due to need for medical shield & protection for complex diseases, firms on 10% FY24 revenue growth target.
• TISCO expects credit cost accelerated to reach its peak in 3Q before stabilizing in 2025, NIM to expand in 2026, expects FY24 loan growth at low single digit from prudent measures on credit approval.
• TFM targets 10-15% CAGR over next 3 years, supported by feedmill exports, seeks M&A to boost growth.
• CENTEL’s 2 major new resorts will start welcoming guests in the Indian Ocean, Centara Mirage Lagoon Maldives in 4Q24 & Centara Grand Lagoon Resort Maldives on track to cod in 2025, Centara Karon Resort Phuket & Centara Grand Mirage Beach Resort Pattaya will be fully renovated by end of FY24.
• KBANK’s opted to slow the pace of its digital personal loan biz to refine its business model, improving control of the quality of its loan products.
• AOT sees FY24 passenger traffic thru SIA’s main terminal exceed 65m close to pre-pandemic level, the construction blueprint of eastern terminal expansion has been adjusted, Bt10b bidding process to open by Aug, the expansion will lift overall handling capacity by additional 15m to 75m from current standing at 60m plus 60k sq.m terminal area, offices & carpark.
• GFC upbeat 1Q earnings from robust traffic thru fertility clinic supported by Dragon year & fly-in patients, boosted from Chinese agencies patients to boost 2Q momentum, eyes 30% FY24 revenue growth target.
• BAFS is expected to report solid 1Q from refueling business after Energy Ministry reported 3M24 jet fuel consumption +19.1% yoy from positive tourism momentum.
• FLOYD wins 2 EPC contracts from Central Food Wholesales & HMPRO combined worth Bt115.56m, maintain 50% FY24 revenue growth target.
• SEAFCO reported 16 foundation work contracts signed in May worth Bt600m, lifts 5M24 to 32 projects at Bt875m, backlog above Bt1.6b, expects to secure at least 30% of Bt9b government infrastructure bidding in 2H, firms on Bt1.8b FY24 revenue target.
• MAJOR upbeats 2Q earnings supported by strong ticket sales during school holiday season, top hollywood & Thai movies hit theatre, tailwind from popcorn sales at cinema & 7-11.
• M anticipates FY24 SSSG top 5% supported by robust traffic thru MK hotpot from strong dine-in momentum, margin to recover as fresh foods price drop, eyes M&A to boost growth from Bt7.9b cash on hand, stock trades XD tomorrow Bt1.
• SUPER will book Bt4.8b revenue from disposal of 139.4mw Tantawan solar project to Levanta in Jun, will use proceed to expand renewable portfolio.