Head of Research, Krungthai XSpring

Waraporn Wiboonkanarak

Head of Research

A full service Thai brokerage

Krungthai XSpring

Krungthai XSpring is a full service broker. The company provides a wide range of investment services such as Securities Brokerage, Derivative Agent Business, Securities Borrowing and Lending, Securities Trading, Underwriting, Financial Advisory, Wealth Advisory, Private Fund Management and International Markets Securities Trading. 

In terms of credibility, Fitch Ratings has assigned Krunghtai XSpring a long-term rating of AA- and a national short-term rating of F1+ with stable outlook.

Thematic (Sector/Industry)

<ul><li>KTX expects the SET Index to rise, with the resistance at 1,405/1,416 points and the support at 1,352/1,335 points.</li><li>Positive factors include the continued buying of equities by foreign investors given that the SET remains a laggard and a good safe haven after most global equity markets hit all-time highs.</li><li>Meanwhile, the downside risks to the economic slowdown may increase again after the world's major central banks continued to send signals about maintaining policy interest rates at a high level. </li></ul>

KTX expects the SET Index to rise, with the resistance at 1,405/1,416 points and the support at 1,352/1,335 points.Positive factors include the continued buying of equities by foreign investors given that the SET remains a laggard and a good safe haven after most global equity markets hit all-time highs.Meanwhile, the downside risks to the economic slowdown may increase again after the world's major central banks continued to send signals about maintaining policy interest rates at a high level. 

Monthly Report: March 2024 - Recommended Stocks in March

Thai Equity - Bottom-up - Equities, Pi Securities PCL, Thailand

Pi Research

Thai Equity - Bottom-up - Equities

Leading, full-service investment firm in Thailand

Pi Securities PCL, Thailand

Pi Securities is a well known securities company with 40 years experience in the industry, serving more than 60,000 clients. We offer one - stop service providing full range of financial products and services including extensive Brokerage, Proprietary Trading (Equities and Bonds), Advisory Services, Structured Products.

Moreover, our new research team tailored for institutional clients to focus on mid to small cap of Thai equities and trading strategies. Our services offered to our premium clients also include arrangement of company or site visits to with the managements of Thai listed companies.

Note: Effective on 1 March 2022, Country Group Securities PCL changed its name to Pi Securities

Equity Bottom-Up

<ul>
<li>Maintain BUY recommendation with a target price of Bt12.50 MC’s FY1Q23 (July-Sep 2022) net profit came in at Bt116m (+392%YoY, -5%QoQ), in-line with our expectation and BB consensus estimated.</li>
<li>Strong profit recovery in FY1Q23 Its net profit came out at Bt116m (+392%YoY, -5%QoQ). The 9M22 result accounted for 20% of full-year net profit in FY2023 (July’22-June’23).</li>
<li>Revenue was at Bt759m (+73%YoY, +1%QoQ), driven by sales from free-standing shop channel (+91%YoY) and sales of department stores channel (+115%YoY) which offset the soften online sales (-19%YoY).</li>
</ul>


Maintain BUY recommendation with a target price of Bt12.50 MC’s FY1Q23 (July-Sep 2022) net profit came in at Bt116m (+392%YoY, -5%QoQ), in-line with our expectation and BB consensus estimated.
Strong profit recovery in FY1Q23 Its net profit came out at Bt116m (+392%YoY, -5%QoQ). The 9M22 result accounted for 20% of full-year net profit in FY2023 (July’22-June’23).
Revenue was at Bt759m (+73%YoY, +1%QoQ), driven by sales from free-standing shop channel (+91%YoY) and sales of department stores channel (+115%YoY) which offset the soften online sales (-19%YoY).


<ul>
<li>From MC’s outlet store site visit, we believe MC outlet store to be a key earnings driver in FY2023 (July’22-Jun’23) given its potential to generate revenue with high profitability relative</li>
<li>Positive toward Site visit at MC outlet Mr. James Richard Amatawiwat (CEO) said that the company aims to be a leading fashion and lifestyle retail businesses in Thailand. </li>
<li>We have visited the first MC outlet outside PTT station at Muangthong Thani. MC outlet is a free standing store with a variety of products such as MC jeans,T-shirts, shorts</li>
</ul>


From MC’s outlet store site visit, we believe MC outlet store to be a key earnings driver in FY2023 (July’22-Jun’23) given its potential to generate revenue with high profitability relative
Positive toward Site visit at MC outlet Mr. James Richard Amatawiwat (CEO) said that the company aims to be a leading fashion and lifestyle retail businesses in Thailand. 
We have visited the first MC outlet outside PTT station at Muangthong Thani. MC outlet is a free standing store with a variety of products such as MC jeans,T-shirts, shorts


<ul>
<li>Maintain BUY recommendation for MC with a target price of Bt11.5 MC’s FY4Q22 (Apr-Jun 2022) net profit came in at Bt122m (+581%YoY, +11%QoQ), in-line with BB consensus estimated.</li>
<li>Strong profit recovery in FY4Q22 MC’s net profit was at Bt122m (+581%YoY, +11%QoQ) in FY4Q22 (Apr-Jun 2022) driven by solid revenue recovery and a record high of GPM at 65.6%.</li>
<li>Revenue was at Bt752m (+42%YoY, +2%QoQ), driven by sales from free-standing shop channel (+37%YoY) and sales of department stores channel (+56%YoY) which offset the soften online sales (-27%YoY).</li>
</ul>


Maintain BUY recommendation for MC with a target price of Bt11.5 MC’s FY4Q22 (Apr-Jun 2022) net profit came in at Bt122m (+581%YoY, +11%QoQ), in-line with BB consensus estimated.
Strong profit recovery in FY4Q22 MC’s net profit was at Bt122m (+581%YoY, +11%QoQ) in FY4Q22 (Apr-Jun 2022) driven by solid revenue recovery and a record high of GPM at 65.6%.
Revenue was at Bt752m (+42%YoY, +2%QoQ), driven by sales from free-standing shop channel (+37%YoY) and sales of department stores channel (+56%YoY) which offset the soften online sales (-27%YoY).


<ul>
<li>MC reported FY2Q22 (end Dec 21) earnings at 231m (+2%YoY, +879%QoQ) driven by the all-time high gross margin of 65.1%.</li>
<li>Better product mix and channel management resulted in impressive gross margin in FY2Q22. Meanwhile, revenue was at Bt995m (-12%YoY,+127%QoQ) ,QoQ recovering from temporary closure of offline channel in previous quarter.</li>
<li>We expect FY3Q22E earnings to increase slightly YoY but drop QoQ,due to seasonal factor and still have a positive outlook inFY22 earnings supported by purchasing power recover post epidemic crisis</li>
</ul>


MC reported FY2Q22 (end Dec 21) earnings at 231m (+2%YoY, +879%QoQ) driven by the all-time high gross margin of 65.1%.
Better product mix and channel management resulted in impressive gross margin in FY2Q22. Meanwhile, revenue was at Bt995m (-12%YoY,+127%QoQ) ,QoQ recovering from temporary closure of offline channel in previous quarter.
We expect FY3Q22E earnings to increase slightly YoY but drop QoQ,due to seasonal factor and still have a positive outlook inFY22 earnings supported by purchasing power recover post epidemic crisis


MC: FY2Q22 Earnings Grew Both YoY and QoQ

Thailand

MC Group Public Company Limited manages sales and distribution, mainly, of products under trademarks and brands owned by the group of companies.

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MC Group Pcl (MC TB)

Monthly Report: March 2024 - Recommended Stocks in March

Positive factors include the continued buying of equities by foreign investors given that the SET remains a laggard and a good safe haven after...

Krungthai XSpring

MC : Strong Profit Recover YoY in FY1Q23

Maintain BUY recommendation with a target price of Bt12.50 MC’s FY1Q23 (July-Sep 2022) net profit came in at Bt116m (+392%YoY, -5%QoQ), in-line...

Pi Securities PCL, Thailand

MC : MC Outlet Expansion as a Key Driver

From MC’s outlet store site visit, we believe MC outlet store to be a key earnings driver in FY2023 (July’22-Jun’23) given its potential to...

Pi Securities PCL, Thailand

MC : Healthy Margin Drove FY4Q22 Profit

Maintain BUY recommendation for MC with a target price of Bt11.5 MC’s FY4Q22 (Apr-Jun 2022) net profit came in at Bt122m (+581%YoY, +11%QoQ), in...

Pi Securities PCL, Thailand

MC: FY2Q22 Earnings Grew Both YoY and QoQ

MC reported FY2Q22 (end Dec 21) earnings at 231m (+2%YoY, +879%QoQ) driven by the all-time high gross margin of 65.1%. •Better product mix and...

Pi Securities PCL, Thailand

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