Stocks in the news (akr, arrow, beauty, big, cgh, epg, harn, malee, mc, plat, pstc, sgp, spa, sr, tfg, tog, tta, vibha, vgi, wha) 17.11.16
AKR
AKR targets 2017 revenue growth of 40% to Bt2.3bn on the back of transfers. It plans to expand abroad. It expects projects in the Philippines and Indonesia to contribute revenue this year. It targets 10% growth in sales from ASEAN in 2016. (Thun Hoon, 17/11/16)
ARROW
ARROW targets 2017 revenue growth of 10-15% to Bt1.6bn aided by its conduit business. It expects 2016 revenue to grow 10-15% to Bt1.4bn. Its backlog is Bt270mn which is expected to be booked this year. It plans to set up a subsidiary to expand its business line. (Thun Hoon, 17/11/16)
BEAUTY
Suwin Kraibhubes, CEO and his wife sold 300mn shares or a 10% stake to local and foreign funds. Shares were priced at Bt11, giving it a total of Bt3.3bn. This transaction gives the fund a 56% stake and free float of 72.83%. The CEO confirms that he is still the major shareholder at 25.94% and this change will not affect management of the company. (Kao Hoon, 17/11/16)
Comment: And apparently there was a lot of demand for this and it was still oversubscribed despite the current lofty valuations
BIG
BIG expects growth in 4Q16 on seasonality. It expects sales to be raised by the Photo Fair 2016 (Nov 30 – Dec 4) as new products are launched. It expects 2017 revenue and net profit to mark a record high. It will pay a dividend of Bt0.07/share, XD on Dec 1. (Thun Hoon, 17/11/16)
Comment: The issue here is that despite the amazing growth that the company has experienced everything YoY in 2017 is going to look average, unless chinese tourists suddenly decide that buying cameras in thailand is attractive…
CGH
CGH expects a strong performance in 4Q16 in every business unit. It plans to expand its securities business by 10-15 branches and has a goal of raising revenue from institutional clients by 200%. It is studying the acquisition of alternative energy and property businesses to support long term growth. (Thun Hoon, 17/11/16)
EPG
EPG board approved an interim dividend of Bt0.10, XD on Nov 22. It reported 6MFY16 net profit of Bt778mn or growth of 10%YoY. It plans to improve the quality of its three product groups to expand to the world market and AEC. (Kao Hoon, 17/11/16)
HARN
HARN expects 2017 revenue of Bt1.2-1.3bn, facilitated by M&As. It plans to expand in Myanmar and Cambodia by negotiating takeovers with local parties. It expects 2016 revenue to achieve target. It is ready to take part in private and public bids. (Thun Hoon, 17/11/16)
MALEE
MALEE expects 4Q16 earnings to be robust backed by higher demand in the year-end holiday season. It expects 2016 revenue growth of 20%. It targets 2017 revenue growth of 10-15%. It plans to launch new products that will lift it to #2 position in its market. It plans to expand to ASEAN and for exports to comprise 50%. It is talking to a prospective partner. It targets 2018 revenue to reach Bt10bn. (Thun Hoon, 17/11/16)
Comment: It is quite incredible what they’ve accomplished. I’m not sure one would want to bet against them at this moment
MC
MC expects 4Q16 revenue to be this year’s highest. It expects 2016 revenue to grow 15% as targeted. It plans to set up 30 distribution centers. It expects 2017 revenue to grow 15% and plans to launch a weekly marketing campaign. (Kao Hoon, 17/11/16)
Comment: The issue here is the bottom line growth hasn’t been there, but kudos to the management for doing ok despite the softness in the retail market
PLAT
PLAT reported 9M16 net profit of Bt523mn, up 14%YoY, with revenue of Bt1.38bn (+7%YoY). Behind this is higher leasable area and revenue from hotels. It expects healthy growth in 4Q16 on seasonality. (Thun Hoon, 17/11/16)
PSTC
PSTC expects to COD 29.2MW from 5.2MW in 4Q16. It expects earnings to recover aided by supplying electricity. It expects to reach 50MW PPA at the end of this year. (Thun Hoon, 17/11/16)
SGP
SGP expects to benefit from higher LPG price, which will lift 4Q16 earnings back to the black. It targets 2016 sales volume of 3mn tons. It expects to complete a deal for a power business in Myanmar in 1Q17. (Thun Hoon, 17/11/16)
SPA
SPA targets 2017 revenue to grow not less than 30%, adding at least 10 branches. It plans to expand to the hotel business and launch its franchise in Laos and Vietnam. (Thun Hoon, 17/11/16)
SR
SR signed a contract to design and install an electric system and oil warehouse management. Project value is Bt112mn and is due to be handed over in 2018. It reports backlog of more than Bt579mn. (Kao Hoon, 17/11/16)
STEC
STEC set up a subsidiary, STECON Power Co., Ltd to engage in the power business, which it expects to generate sustainable income. (Kao Hoon, 17/11/16)
TFG
TFG will be put in the MSCI Global Small Cap index effective Nov 30. It expects a new high for 2016 revenue and profit after expanding in Thailand and abroad. (Kao Hoon, 17/11/16)
Comment: I still don’t see their earnings justifying their lofty valuations. Oh well obviously proven wrong by the market
TOG
TOG revised down its 2016 revenue target growth to 8% as sales in Europe slowed from the Brexit effect. It expects a net profit margin of 11%, lower than last year. However, it is confident that 2017 revenue will continue to grow. (Kao Hoon, 17/11/16)
Comment: Now what is interesting here is that they are launching their own brand. If they can pull it off then its going to change the way one looks at this OEM manufacturer.
TTA
TTA expects 4Q16 performance to be good on a rise in BDI to over 1,000. It expects bulk business to meet breakeven point while other businesses (ocean engineering, coal, fertilizer) to contribute good net profit. (Thun Hoon, 17/11/16)
Comment: Argh I’m in two minds on this name, yes they will benefit from the increase in shipping rates but they are still one of the oddest companies around! They bought a friggin laser game company!
VGI
VGI has budgeted Bt412.5mn to acquire 40% of Demo Power. It expects to do integrated marketing and promotions for customers. (Kao Hoon, 17/11/16)
VIBHA
VIBHA targets 2017 revenue growth of 10% and plans to expand its customer base. It plans to renovate Bangpo hospital; this will contribute revenue next year. (Thun Hoon, 17/11/16)
WHA
WHA maintains its 2016 target revenue of Bt17bn and expects 4Q16 to be the highest. It expects 2017 net profit to continue to grow. It plans to list WHAUP on the SET in 1Q17. (Kao Hoon, 17/11/16)