AGE targets 2018 coal sales growth of 20-25% and plans to penetrate Chinese and Vietnamese markets next year. It expects revenue proportion from overseas will increase to 30%. It says the establishment of a joint venture company with a Chinese partner will be completed within 1Q17 and targets sales in China to reach 300,000 tons. It also says its factory in Vietnam will start commercial operations on January 2018 and it expects sales to reach 200,000 tons. (Thun Hoon, 25/12/17)
Comment: I’m not sure that there is a necessity for more coal players in China at the moment and I doubt that AGE would really be able to break into that market
ECF says there will be a big change for its company next year after getting numerous furniture orders from foreign buyers in 1Q18. It also plans to further expand its energy business. It expects to close the deal for a 30MW power plant in 1Q18 and plans to expand to a new business in Malaysia. (Thun Hoon, 25/12/17)
GUNKUL targets 2018 revenue to grow by 20%, with ECP backlog of Bt800-900mn and plans to bid for Bt10bn in new projects, of which it expects to receive 10-15%. It is going to start up another 200MW and is negotiating for a new 100MW power plant investment. It projects to have PPAs covering 500MW in three years. (Thun Hoon, 25/12/17)
JMT targets 2018 earnings growth of 30% from this year, as its debt management portfolio is expanding continuously. It plans to get new bad debt worth Bt53bn, which will be added to its existing portfolio of Bt130bn. This will generate revenue for 10 years. (Thun Hoon, 25/12/1 7)
Comment: Within a decade they could have THB 1 trn of bad debt in their portfolio
PTT has budgeted Bt246bn for investment in 2018 with a 5-year investment budget of Bt341bn, in which it will focus on generating growth for its company and respond to global changes. It plans to expand its non-oil business significantly and to raise gross margin to 35% within five years. It also plans to add 420 Amazon outlets next year. (Thun Hoon, 25/12/17)
SEAFCO expects to receive a big project from the bidding for foundation construction of One Bangkok project worth Bt3bn, of which it expects to get Bt1bn. The results of the bidding will be reported in early 2018. (Thun Hoon, 25/12/17)
Comment: With the way the market is valuing the company, this could drive the mkt cap up by 5x the project value..please note: I’m not saying rush out to buy it..
SMT says its business has bottomed out and targets 2018 revenue to grow by 40-50% or Bt2.5-3bn from the expansion of its customer base. It also plans to enter the Australian market. (Thun Hoon, 25/12/17)
Comment: This supposed turnaround has taken far longer than the CEO guided a year ago, not too surprised, turnaround’s don’t happen over night, normally 3-5 years from my experience at best.
TACC is going to sell its products in 1,000 Family Mart branches in China and projects revenue proportion from B2C will rise to 35% from 13%. It targets 2018 earnings to grow by 12% and believe its B2B business fundamentals are solid. It also plans to increase the donut production capacity to 50,000 pieces per day in response to a far larger demand than anticipated. (Thun Hoon, 25/12/ 17)
TTW expects 2018 earnings will make a new high. It targets 2018 tap water sales volume to grow by 5% and has budgeted Bt3.3bn to increase capacity of Krathum Baen tap water production plant by 100,000 cubic meters as good growth in exports has raised water demand from the industrial sector. This will raise 2018 total capacity to 1.02mn cubic meters. (Thun Hoon, 25/12/17)