Stocks in the news (big, ori, wph, trc, susco, akr, intuch, irpc, d) 06.11.17
BIG
BIG has bottomed out after entering high season and is changing its strategy to sell cameras and mobile phones in order to accelerate its earnings recovery in 4Q17. (Thun Hoon, 6/11/17)
Comment: Still have my doubts on their ability to continue pushing new cameras to the market, unlike iPhones its a different consumer behaviour trend
ORI
ORI plans to expand to strategic areas in EEC, targeting the launch of projects worth Bt12bn. It also plans to expand to the logistics hubs business, partnering with Nomura with an investment budget of Bt500mn. It says 9M17 presales reached Bt11bn and expects revenue to be at least Bt9bn. (Thun Hoon, 6/11/17)
Comment: Given that they do have a track record of launching projects in the region, I wouldn’t bet against them finding decent plots of land
WPH
WPH says 4Q17 earnings will increase in tandem with high season of tourism which will increase the number of foreign patients. It expects its hospital in Ao Nang to open in 4Q18, which will support 2018 net profit. It also says that it is negotiating to acquire 3-4 hospitals and clinics in the South. (Khao Hoon, 6/11/17)
Comment: What does this 1 little hospital group have that the larger players don’t?
TRC
TRC expects to receive the contract for PTT’s natural gas transmission no.5 phase2, worth Bt9-10bn. The results are expected to be announced this year. It expects this project will increase its backlog from the current level of Bt6bn. It also plans to make new investment both domestic and overseas to increase revenue in the long term. (Thun Hoon, 6/11/17)
Comment: As written for years, this company seems to always win every pipeline project from PTT
SUSCO
SUSCO’s 2018 revenue outlook is outstanding on continuing rise in oil price. Its revenue from CLMV is also expected to grow by 7-8% and demand is still increasing significantly. It believes 2017 sales will reach 1.2mn liters and revenue will reach Bt20bn. (Thun Hoon, 6/11/17)
Comment: Still a B-grade slowing moving version of PTG
AKR
AKR says 2017 earnings may turn positive from 2016 net loss of Bt62.18mn after beginning to book revenue from backlog of Bt300mn in 3Q17. It believes 2017 earnings will grow 10-15% and plans to further expand its electrical transformer and solar cells business overseas. (Thun Hoon, 6/11/17)
INTUCH
INTUCH reports 3Q17 net profit of Bt2.928, growing by 10% on a higher share of profit from ADVANC. 9M17 net profit is Bt8.919bn, down 36%. It projects 2017 revenue from selling and servicing will reduce by 10-12% from last year. (Khao Hoon, 6/11/17)
IRPC
IRPC reports 3Q17 net profit of Bt3.247mn, growing by 149% on an increase in 3Q16 after sales quantity and price, which increased GIM to US$16, plus inventory gains. (Khao Hoon, 6/11/17)
Comment: Should read: “Because of inventory gains”
D
D’s shareholders approved an investment budget of Bt450mn to build a specialized dental hospital, which is expected to open in 2019 and make a profit of Bt10mn in the first year. It says 2017 revenue will grow by 5% from strong performance in 2H17. (Khao Hoon, 6/11/17)
Comment: I have been looking for a dentist group that performs well in Thailand, but it just doesn’t seem to exist