BCPG expects 3Q18 earnings to be a record high as it will book extra gain from the sale of a solar farm project. The Bt3bn solar farm project will be sold to a mutual fund in Japan and the deal will be completed in September. (Thun Hoon, 18/9/18)
BRR is setting up a food packaging factory with a budget of Bt300mn. The factory will be completed in 1Q19. It is setting up a sugar refinery as well, hoping to widen product margin. It is looking for partners to invest in two sugar mills. It expects 2H18 results to be better HoH after sugar price passed its nadir. This year average sugar price is US$0.12-0.13/pound. It targets revenue growth of 20% next year. (Thun Hoon, 18/9/18)
CHEWA is maintaining its revenue target growth at 20% to Bt2.4bn this year. Current backlog is Bt800mn and all of this will be booked as revenue in 2H18. It plans to launch two property development projects with total value of Bt1.7bn in 4Q18. It targets revenue growth of 20% next year. (Kao Hoon, 18/9/18) (Kao Hoon, 18/9/18)
Comment: Effectively a small focused real estate developer trying to break up to THB 4-5bn in revenues buttttt this takes time unless they raise a lot of equity – as they recently did..
DCC expects 3Q18 results to be outstanding. It is renovating 61 stores. It plans to increase tile price by an average 5%, widening its net profit margin to 15% this year. It is confident that revenue growth will beat its target of 10% this year. (Thun Hoon, 18/9/18)
Comment: the share price movement is pricing this in, but the numbers have yet to prove yet…
GUNKUL facing a lawsuit filed by 98 villagers in Khuntod and Teparak. The villagers say the license issued by the Energy Regulatory Commission (ERC) for the 60MW Saran wind farm construction to GUNKUL subsidiary was illegal. The villagers asked the court for an emergency investigation and to shut down the power plants temporarily until the verdict. (Kao Hoon, 18/9/18)
Comment: Hmmm is it this game again? Remember the ALRO noise 2 years ago?
HTECH expects 2H18 results to be outstanding after it set up new machines to resolve the bottleneck. It is able to receive more orders and raise its utilization rate. It is standing by its revenue growth target of 10% this year. It plans to purchase new machines to increase production capacity. The installation is expected to finish next year. (Thun Hoon, 18/9/18)
PORT raised its revenue growth target to 15% from 10% after seeing good growth in all four businesses. It expects 2H18 results to be good, supported by high season. It expects the acquisition of a logistics company to be completed by year-end. (Kao Hoon, 18/9/18)
PSTC is planning to partner with a local company with high capitalization to undertake the 342km northeast oil pipeline project. It has more than billion baht in cash for the project and will not need to make a capital call. Management targets revenue growth of 200% this year. (Thun Hoon, 18/9/18)
SCN completed the acquisition of 49% GEP Thailand shares and is now the major shareholder. It is making a private placement of 21.69mn shares priced at Bt4.5 per share. It will use the proceeds to invest in a 220 MW solar power plant in Minbu, Myanmar. This will be the biggest solar power plant in ASEAN. In the first phase, the power plant will generate 50MW in Jan 2019. Average IRR is more than 10% per year. (Kao Hoon, 18/9/18)
SPI signed an MOU to partner with PTTGC to develop textile products from plastic waste. It has a goal of developing Thailand’s textile products to be competitive globally. (Kao Hoon, 18/9/18)
TRUBB expects 3Q18 results to be good, supported by THB depreciation and new orders. It targets revenue growth of 10% this year supported by demand growth. It plans to list subsidiary Latex System on mai. The decision will be made in 4Q18 (Thun Hoon, 18/9/18)
Comment: The THB hasn’t really depreciated
TVD says there has been a good response to its campaign, “19th anniversary of TVD, shop every day and be in a drawing for a gift every week”, raising sales volume by 7% in the four months of the campaign. It will expand TV Direct showcase branches in three second-tier cities in October, raising sales from the provinces. (Kao Hoon, 18/9/18)