BEAUTY reported 3Q14 net profit of Bt81.3mn, +68.4% YoY. The company is preparing to launch a new marketing campaign in 4Q14 to stimulate sales and is confident that revenue will grow 30% YoY in 2014 with widen net profit margin to at least 20%. (Kao Hoon, 13/11/14)
Comment: One of the few companies to have fantastic performance this 3Q14. And admittedly it is one that I’ve missed.
BGH has six M&A deals planned for Q1 — SET-listed Bangkok Dusit Medical Services Plc (BGH), Thailand’s largest hospital group, has planned merger and acquisition deals with six local hospitals in the first quarter of next year. (Bangkok Post ,13/11/14)
Comment: The M&A machine that is BGH continues, I still wouldn’t be surprised to see them to a hospital REIT in the future (not that they need the cash)
Central Pattana plots more malls in Bangkok and upcountry – SET-listed shopping project developer Central Pattana Plc (CPN), a property arm of Central Group, is set to double the number of its domestic malls to around 50 by 2024. The company seeks to open 20 retail projects from 2018-24 that will require an investment of Bt15bn a year. (Bangkok Post ,13/11/14)
Comment: Mall Group can’t catch up with CPN no matter how hard they have recently started trying.
CEO of EUREKA acknowledges slowdown in auto industry in 2014 largely from political problems. The company plans to go overseas for investment diversification and expects recovery in 2015. It targets revenue of Bt800mn in 2015. Its board has approved setting up two companies to support revenue growth. (Thun Hoon, 13/11/14)
First trading day today — FIRE is expected to close higher than Bt5/share today as the market is interested IPO stocks. Management is confident that it will trade above its IPO price as it has solid fundamentals with profit growth of 15-17% over the past three years. (Kao Hoon, 13/11/14)
Golden Land to launch 11 housing projects next year — SET-listed developer Golden Land Property Development Plc plans to launch 11 new housing projects worth a combined Bt10bn and will sell the Bt5.5bn Sathorn Square building to a property fund next year. (Bangkok Post ,13/11/14)
Comment: The main value in GOLD today is the sale of its major assets into reits/property funds
JSP sold out its IPO shares as it has clear growth strategy and has great location for developing the second Sampeng market. The company focuses on community malls and will trade on 19 November 2014. Financial advisor reported IPO price of Bt2.6/share discounted by 161% with P/E at 18.6x against market P/E of 48.7. (Thun Hoon, 13/11/14)
LCD expects flat 2014 revenue YoY from 2013’s Bt348mn as its planned addition of branches has been delayed. The company is negotiating with a partner to jointly invest in new branches. 3Q14 net profit was flat from 2Q14 due to no new branch. (Kao Hoon, 13/11/14)
PPS’s 9M14 performance slowed due to sluggish economy and construction activity. 9M14 net profit was Bt16.6mn with revenue of Bt204.6mn. Profitability is still good due to cost management. The company is looking for a partner to support public and private projects in 2015. (Thun Hoon, 13/11/14)
PTTEP has strong financial health and expects cash of US$4bn on 2014 balance sheet. The company maintains petroleum sales volume growth estimate of 8% YoY and will hedge oil price risk. (Kao Hoon, 13/11/14)
TV business boosts RS profits – SET-listed RS Plc, Thailand’s second-largest entertainment company, posted a 111% year-on-year rise in third-quarter net profit to Bt262mn on revenue of Bt1.25bn, up by 37.4%, driven by its TV business. For the nine-month period, net profit was Bt329mn, up by 9% year-on-year, on revenue of Bt3.33bn, up by 38%. (Bangkok Post ,13/11/14)
SAWAD reported the record high earnings in 3Q14 of Bt224mn, +38% YoY. The company has Bt6.9bn loan portfolio and is confident that 2014 net profit growth will be 30% YoY. (Thun Hoon, 13/11/14)
Comment: Surprisingly great numbers here by SAWAD, no issues with Loss Loan Provisions
New president selected — THAI’s Board of Directors has approved the appointment of Mr. Charamporn Jotikasthira to be President and assigned the remuneration committee to negotiate remuneration and contract and purpose. (Kao Hoon, 13/11/14)
Comment: In theory this should be a positive, he is well known to be a thoughtful clear thinker.
TGPRO: double-digit growth QoQ in net profit in 3Q14 from 2Q14’s Bt8.5mn on many orders. The company expects peak earnings in 4Q14 on sales volume of 1.5-1.6 tons/month from 1.2-1.3 tons/month. EXIM Bank has approved a credit line of Bt300-400mn. It will book revenue from a large project. The company is studying listing a subsidiary and issuing warrants. (Thun Hoon, 13/11/14)
Thitikorn in ASEAN expansion – SET-listed Thitikorn Plc (TK), Thailand’s leading motorcycle hire-purchase company, is expanding into Laos and Cambodia to tap into ASEAN growth and reduce reliance on the domestic market. It has set up subsidiaries Sabaidee Leasing in Laos and Suosdey Finance Plc in Cambodia after being granted leasing licences. (Bangkok Post ,13/11/14)
Comment: TK is still the largest motorcycle leaser in Thailand today. Although they do move at a snail’s pace when it comes to expanding
VPO sets IPO price at of Bt2.7/share discounted by 15-20% from fair value. The company is ready to sell the IPO shares on 14-18 November and will list on the SET on 24 November. Management expects to use the Bt637mn from the IPO to repay debt and as working capital. The company is considering developing a biomass power plant with 10MW capacity. It said it received good response from investors during its road show. (Thun Hoon, 13/11/14)