AH expects 1Q18 results will be outstanding and expects 2018 earnings to again make a new high as vehicle production has increased by 2mn. It is negotiating for joint venture and acquisition deals and plans to research setting up factories in Malaysia, Indonesia and Vietnam. It also plans to conduct a roadshow in the US, Singapore and Hong Kong. (Thun Hoon, 10/1/18)
AMA is going to receive new ships with capacity of 13,221 DWT on January 23 and plans to put them in service on March 1, 2018, which will provide solid revenue growth in 1Q18. It also plans to buy two more ships to support growth in the future. (Khao Hoon, 10/1/18)
AOT reports 2.95bn passengers during new year holiday, growing by 7%. There were 17,200 flights, up 4%. Passengers and flights in Suvarnabhumi airport alone grew by 4.4% and 4.2%. (Khao Hoon, 10/1/18)
Comment: The positives are well known monopoly + capacity expansion, the negatives I can think of other than valuation are a potential decrease in the rate of growth from Chinese tourists with Korea back the ok to visit list and that expansion work on the airport hasn’t really changed in the past 6 months, so delays are to be expected.
DIGI signed a contract to partner with Alipay and WeChat Pay, becoming a leader in full service provider for payments. It expects 2018 online payments will reach Bt10bn with 10,000 stores acting as sellers. It is going to launch Digi Pay. (Thun Hoon, 10/1/18)
FPI is going to book its share of profit from its company in India and targets 2018 sales at Bt300mn. It plans to raise revenue proportion from OEM to 35% and reports current orders at Bt150mn. It says it is negotiating investing in a 30 MW power plant, which it expects to finalize in 1Q18. It targets 2018 revenue to grow by 10%. (Thun Hoon, 10/1/18)
GGC has budgeted Bt7bn to investment in four big projects: building methyl ester production plant, pure glycerin production project, special type of oleochemical production project and biocomplex phase 1, all of which will supply growth in the future. (Khao Hoon, 10/1/18)
ORI says it has Bt15bn in completed projects ready to transfer and plans to launch 12 new projects worth Bt25bn this year, most in 2Q-3Q18. It believes 2018 presales will grow by 50% and reach Bt18bn and projects 2018 revenue at Bt14bn. (Thun Hoon, 10/1/18)
Comment: I worry about their ability to maintain the existing backlog, there aren’t that many projects that ORI can just go an acquire an equity stake in to boost pre-sale figures
SIMAT signed MOU to buy 80% of a silk screen printing business to extend its business line for electrical appliance circuit boards. It expects to finalize this deal in 1Q18 and believes it will provide strong revenue and earnings growth. (Thun Hoon, 10/1/18)
VGI continues to expand in Southeast Asia. It is negotiating with a partner in Indonesia to invest in transit media after budgeting Bt105mn to buy shares in PBSB, an OOH media provider in Malaysia. It believes 2018 results will achieve its targets. (Thun Hoon, 10/1/18)
WICE plans to budget Bt100mn to acquire a company. It says 1Q18 earnings growth will be higher than last year, as it is going to book revenue and earnings from UWT. It aims to become a leader in logistics in Asia within four years and targets 2018 revenue growth at 30%. (Khao Hoon, 10/1/18)
Comment: This acquisition has been on the cards since last month, so that’s 2 achieved for WICE with an apparent 3rd on the way.