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THAILAND EQUITY RESEARCH
Page | 1 | PHILLIP SECURITIES (THAILAND)
AP (Thailand)
More growth ahead
THAILAND | SET | PROP | COMPANY REPORT BLOOMBERG AP TB l REUTERS AP.BK Stellar showing in FY17 AP reported a set of strong presales numbers in FY17. Total presales clocked in at Bt42.9bn, which was 65% above its target of Bt26bn thanks largely to stronger-than-expected condo presales on the back of an overwhelming response for its newly launched condo projects and a 9% beat in SDH/TH presales. Revenue came in line with its target at Bt22bn while revenue at its JV with Mitsubishi Real Estate also matched its target at Bt6.2bn. FY17 profit seen up 14% y-y We expect AP to deliver profit growth of 14% y-y to Bt3bn in FY17 from Bt2.7bn in FY16 on the back of rising revenue, stable margins, tight expense controls and higher profit from JV. For the year, revenue is estimated to be 7% higher than a year earlier at Bt21bn while the share of profit from JV is projected to rise 26% y-y to Bt466mn from Bt370mn a year ago. We also forecast AP to shell out a dividend of Bt0.37/share for FY17. FY18 revenue growth target set at 9% though presales set to drop 22% in line with new project launch plan AP plans to roll out 34 new projects this year, up from 24 projects last year but the total value of new project launches is on par with last year at Bt49bn. Under the plan, much of the focus will shift to SDH/TH rather than condo launches as reflected by a 20% increase in the value of new SDH/TH launches to Bt30bn this year from Bt25bn last year. The value of new condo launches on the other hand drops by 21% to Bt19bn this year from Bt24bn last year. With the above new project launch plan, management has guided for a drop of 22% y-y in FY18 total presales on expectations that (i) SDH/TH presales will rise 21% y-y, and (ii) condo presales will drop 45% y-y. Even though presales are expected to drop in FY18, management has set a revenue growth target of 9% to Bt23.2bn for FY18, of which around Bt6bn would come from backlog carried over from end-FY17 into FY18 and the rest from SDH/TH revenue and sales of condo inventories earned during the year. For its JV with Mitsubishi Real Estate, the revenue target is set at Bt8bn for FY18, of which around Bt7.4bn or 93% has already been covered by backlog. Strong run of profit growth set to continue into FY18 We expect AP to enjoy a strong run of profit growth well into FY18 on the back of further revenue expansion and higher share of profit from JV. As our view is generally in line with management’s guidance, we therefore nudge our FY18 profit outlook for AP higher by 5% to reflect the above business targets. We forecast its revenue will grow further by 9% y-y to Bt23.1bn in FY18. Even though AP has a backlog of only Bt6bn carried over into FY18, we believe better SDH/TH revenue and sales of condo inventories should put it on course to meet the target. Margins tend to be a bit higher while SG&A expenses should remain well under control. The share of profit from JV is predicted to rise 31% y-y to Bt609mn in FY18 from an estimate of Bt466mn in FY17 on expectations that JV will see its revenue rise further by 27% y-y. On this basis, we now expect AP to achieve sequential profit growth of 14% y-y in FY18. Compelling valuation in relative P/E terms with dividend yield of between 4%-5% We believe AP continues to deserve a ‘BUY’ rating in light of its continued strong profit growth profile for FY18 and compelling valuations with a dividend yield of roughly 4%-5%. At current valuation levels of 7x P/E, AP is still trading at a big discount to its historical average of 9x while it is also expected to dole out a dividend of Bt0.34/share and Bt0.39/share for FY17-FY18 respectively, translating into a yield of between 4%-5%. The above profit upgrade also leads us to bump up our FY18 target price for AP to Bt10/share.
Ref. No.: CO2018_0119
Closing Price(Bt) 8.55
Target Price(Bt) 10.00 (+21.51%)
COMPANY DATA
O/S Shares (mn) : 3,146
Market Cap. (Btmn) :
Market Cap. (USDmn) :
52‐WK Hi/Lo (Bt) : 9.45/6.95
3M Average Daily T/O (mn) : 10.28
Par Value (Bt) : 1.00
MAJOR SHAREHOLDERS (%)
1. Mr. Anupong Asavapokin 21.3
2. Thai NVDR Co.,Ltd. 9.7
3. NORTRUST NOMINEES LTD‐CL AC 6.2
PRICE PERFORMANCE (%)
1MTH 3MTH 1YR
ABS ‐7% ‐6% 16%
REL TO SET INDEX ‐5% ‐10% 1%
PRICE VS SET INDEX
Source: Bloomberg, PSR
KEY FINANCIALS
FYE Dec FY15 FY16 FY17E FY18E
Sales(Btmn) 22,203 20,336 22,010 24,059
Net Profit(Btmn) 2,623 2,703 3,073 3,501
EPS (Bt) 0.83 0.86 0.98 1.11
P/E (X) 10.3 10.0 8.8 7.7
BVPS (Bt) 5.53 6.08 6.76 7.53
P/B (X) 1.5 1.4 1.3 1.1
DPS (Bt) 0.30 0.30 0.34 0.39
Dividend Yield (%) 3.5 3.5 4.0 4.6
ROE (%) 15.66 14.58 15.00 15.38
Debt/Equity (X) 1.47 1.45 1.44 0.93
Source: Company, PSR Est.
**Multiples and yields are based on latest closing price
VALUATION METHOD
P/E'18 (9x)
Danai Tunyaphisitchai, CFA
Capital Market Investment Analyst # 2375
Tel: 66 2 635 1700 # 481
15 February 2018
26,897
854
12 May 2017
Buy (Maintain)
0
3
6
9
12
15
Feb‐15 Feb‐16 Feb‐17 Feb‐18
AP TB EQUITY SETI (rebased)
Page | 2 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT
Investment Thesis AP notched stunning presales growth in FY17 and was one of the few
listed developers that beat full-year presales target. As revenue came in line with its target, we expect AP to deliver 14% y-y profit growth for FY17.
In our view, revenue should continue to be a key profit driver for AP in FY18 on the back of organic revenue growth and contribution from JV though management has guided for a drop of 22% y-y in FY18 total presales on expectations that condo presales will falter following the shift of focus to SDH/TH rather than condo launches. We also expect AP to achieve sequential profit growth of 14% y-y in FY18.
We believe AP continues to deserve a ‘BUY’ rating in light of its continued strong profit growth profile for FY18 and compelling valuations with a dividend yield of roughly 4%-5%. At current valuation levels of 7x P/E, AP is still trading at a big discount to its historical average of 9x while it is also expected to dole out a dividend of Bt0.34/share and Bt0.39/share for FY17-FY18 respectively, translating into a yield of between 4%-5%. The slight profit upgrade also leads us to bump up our FY18 target price for AP to Bt10/share.
Stellar showing in FY17 AP put in a stellar showing in terms of total presales and revenue in FY17. (1) Total presales clocked in at Bt42.9bn, which was 65% above its target of
Bt26bn due largely to stronger-than-expected condo presales. For the year, condo presales surpassed its forecast of Bt12.4bn at Bt28.1bn thanks chiefly to an overwhelming response for its three newly launched condo projects worth a combined value of Bt24.7bn, which had an average take-up rate of up to 89%, translating into presales of approximately Bt21.9bn. SDH/TH presales also exceeded its Bt13.6bn target by 9% at Bt14.8bn as its SDH/TH projects fitted homebuyers’ needs in terms of design and locations.
(2) Revenue came in line with its target at Bt22bn. Notwithstanding that AP had a backlog of only Bt4.6bn carried over from FY16 into FY17, solid SDH/TH revenue and brisk sales of condo inventories helped put it back on track to meet full-year revenue target. On the other hand, revenue at its JV with Mitsubishi Real Estate also matched its target at Bt6.2bn, of which Bt4.8bn came from backlog at the beginning of the year and the remaining Bt1.2bn from revenue earned during the year.
FY17 profit growth likely to meet target We expect AP to deliver profit growth of 14% y-y to Bt3bn in FY17 from Bt2.7bn in FY16 on the back of rising revenue, stable margins, tight expense controls and higher profit from JV. For the year, revenue is estimated to be 7% higher than a year earlier at Bt21bn on expectations that 4QFY17 revenue will come in at Bt7.7bn, of which (i) Bt5.7bn will come from backlog at end-3QFY17, (ii) Bt1.7bn from revenue realized from SDH/TH presales of Bt3.1bn during the period, and (iii) another Bt300mn from sales of condo inventories. AP achieved revenue of Bt13.3bn in 9MFY17. Margins should remain stable and SG&A expenses would remain well under control. The share of profit from JV is also projected to rise 26% y-y to Bt466mn from Bt370mn a year ago based on assumption that JV saw its revenue jump 32% y-y to Bt6.2bn. FY18 revenue growth target set at 9% though presales set to drop 22% in line with new project launch plan AP plans to roll out 34 new projects this year, up from 24 projects last year but the total value of new project launches is on par with last year at Bt49bn. Under the plan, much of the focus will shift to SDH/TH rather than condo launches as reflected by a 20% increase in the value of new SDH/TH launches to Bt30bn this year from Bt25bn last year. The value of new condo launches on the other hand drops by 21% to Bt19bn this year from Bt24bn last year. AP will stick to its strategy of forming JV to develop large condo projects and launch more SDH/TH projects in new market segments to diversity risks and differentiate itself from its rivals. With the above new project launch plan, management has guided for a drop of 22% y-y in FY18 total presales on expectations that (i) SDH/TH presales will rise 21% y-y amid an increasing
Page | 3 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT number of project launches, and (ii) condo presales will drop 45% y-y due to a high base effect of FY17 when the figures were inflated by a surprisingly strong take-up rate of 89% for its newly launched projects compared to normal levels of between 40%-60%. Even though presales are expected to drop in FY18, management has set a revenue growth target of 9% to Bt23.2bn for FY18, of which around Bt6bn would come from backlog carried over from end-FY17 into FY18 and the rest from SDH/TH revenue and sales of condo inventories earned during the year. For its JV with Mitsubishi Real Estate, the revenue target is set at Bt8bn for FY18, of which around Bt7.4bn or 93% has already been covered by backlog. Strong run of profit growth set to continue into FY18 We expect AP to enjoy a strong run of profit growth well into FY18 on the back of further revenue expansion. As our view is generally in line with management’s guidance, we therefore nudge our FY18 profit outlook for AP higher by 5% to reflect the above business targets. Even though AP has a backlog of only Bt6bn carried over into FY18, we forecast its revenue will grow further by 9% y-y to Bt23.1bn on expectations that it will realize revenue of around Bt14bn from projected SDH/TH presales of Bt18bn in FY18, and it will recognized condo revenue of Bt3.1bn from the Bt3.5bn super luxury Vittorio Sukhumvit 39 and the remaining Bt3.5bn value of condo inventories. Margins tend to be a bit higher while the share of profit from JV is predicted to rise 31% y-y to Bt609mn in FY18 from an estimate of Bt466mn in FY17 on expectations that JV will see its revenue rise further by 27% y-y. On this basis, we now expect AP to achieve sequential profit growth of 14% y-y in FY18. Compelling valuation in relative P/E terms with dividend yield of between 4%-5% We believe AP continues to deserve a ‘BUY’ rating in light of its continued strong profit growth profile for FY18 and compelling valuations with a dividend yield of roughly 4%-5%. At current valuation levels of 7x P/E, AP is still trading at a big discount to its historical average of 9x while it is also expected to dole out a dividend of Bt0.34/share and Bt0.39/share for FY17-FY18 respectively, translating into a yield of between 4%-5%. The above profit upgrade also leads us to bump up our FY18 target price for AP to Bt10/share.
Page | 4 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT
Financials
Income Statement Cash Flow
FYE Dec, Btmn FY15 FY16 FY17E FY18E FYE Dec, Btmn FY15 FY16 FY17E FY18E
Revenue 22,203 20,336 22,010 24,059 CFO
EBITDA 3,698 3,070 3,463 3,872 PBT 3,356 3,321 3,787 4,224
Depreci a ti on & Amorti s a ti on 50 42 49 54 Adjus tments 400 ‐200 ‐302 ‐343
EBIT 3,648 3,028 3,413 3,819 WC changes ‐2,907 ‐2,243 ‐4,083 4,819
Net Finance (Expense )/Inc ‐257 ‐182 ‐174 ‐205 Ca sh genera ted from ops 849 878 ‐599 8,700
Othe r i tems 137 84 65 0 Others ‐1,318 ‐1,275 ‐1,498 ‐1,406
As socia te s & JVs ‐207 371 467 610 Cashflow from ops ‐468 ‐397 ‐2,097 7,294
Excepti ona l i tems 137 84 65 0 CFI
Profit Before Tax 3,322 3,300 3,770 4,224 CAPEX, net ‐29 ‐31 ‐221 ‐80
Ta xa ti on ‐699 ‐598 ‐703 ‐723 Others 198 ‐702 ‐712 ‐1,927
Profit After Tax 2,623 2,703 3,067 3,501 Cashflow from investments 169 ‐732 ‐933 ‐2,007
Non ‐control l i ng Inte res t 0 0 ‐6 0 CFF
Net Income, reported 2,623 2,703 3,073 3,501 Sha re i s s ua nce 0 0 0 0
Net Income, adj. 2,486 2,619 3,008 3,501 Loans , net of repa yments 278 2,142 5,302 ‐6,200
Di vi dends ‐818 ‐944 ‐944 ‐1,075
Per share data Others ‐0 0 5 0
FYE Dec, Bt FY15 FY16 FY17E FY18E Cashflow from financing ‐540 1,199 4,362 ‐7,275
EPS, reported 0.83 0.86 0.98 1.11 Net change in cash ‐838 69 1,333 ‐1,988
EPS, adj. 0.79 0.83 0.96 1.11 Effe cts of exchange ra tes 0 0 0 0
DPS 0.30 0.30 0.34 0.39 CCE, end 421 1,087 2,540 551
BVPS 5.53 6.08 6.76 7.53
Valuation Ratios
Balance Sheet FYE Dec FY15 FY16 FY17E FY18E
FYE Dec, Btmn FY15 FY16 FY17E FY18E P/E (X), adj.** 10.8 10.3 8.9 7.7
Ca sh 421 1,087 2,540 551 P/B (X), adj.** 1.5 1.4 1.3 1.1
Inves tments 0 0 0 0 Di vi dend Yie ld (%) 3.5 3.5 4.0 4.6
Accounts Rece i va bles 72 40 95 95
Inventori e s 31,938 30,743 32,131 27,814 Growth
Othe rs 850 1,249 705 705 FYE Dec, % FY15 FY16 FY17E FY18E
Total current assets 33,281 33,118 35,471 29,166 Revenue ‐4.28 ‐8.41 8.23 9.31
PPE 103 94 271 297 EBITDA 0.20 ‐16.98 12.79 11.83
Inta ngibl e s 48 73 69 69 EBIT 0.20 ‐17.01 12.75 11.87
As socia te s & JVs 1,694 3,526 4,600 7,138 Net Income, adj. ‐4.88 5.33 14.88 16.38
Inves tments 597 607 607 607
Othe rs 425 371 423 423 Margins
Total non‐current assets 2,866 4,672 5,970 8,534 FYE Dec, % FY15 FY16 FY17E FY18E
Total Assets 36,147 37,790 41,441 37,700 EBITDA ma rgin 16.66 15.10 15.73 16.10
Short te rm l oans 3,980 6,441 8,342 5,892 EBIT ma rgin 16.43 14.89 15.51 15.87
Accounts Payable s 1,071 924 659 603 Net Profi t Margin 11.82 13.29 13.96 14.55
Othe rs 2,399 2,356 2,072 2,152
Total current liabilities 7,451 9,721 11,073 8,647 Key Ratios
Long te rm l oans 10,699 8,300 8,441 4,691 FYE Dec FY15 FY16 FY17E FY18E
Othe rs 343 345 375 384 ROE (%) 15.66 14.58 15.00 15.38
Total liabilities 18,493 18,366 19,889 13,723 ROA (%) 7.32 7.31 7.76 8.85
Non ‐control l i ng i nte res ts 0 1 ‐1 ‐1 Net Debt/(Ca sh) (Btmn) 14,258 13,654 14,244 10,032
Shareholder Equities 17,654 19,423 21,553 23,978 Net Gea ring (X) 0.71 0.71 0.69 0.58
La tes t clos i ng pri ce
Source : Company Da ta , PSR es t
**Based on latest closing price
Page | 5 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT
Fact Sheet
GENERAL INFORMATION RISK FACTORS
Address : 1. Economic growth/employment rate/interest rates
2. Demand‐supply equi l ibrium in the res identia l property market
3. Government investment pol icy
Tel :
Fax:
URL:
Market/Sector:
BUSINESS DESCRIPTION KEY DEVELOPMENT
PRESALES BREAKDOWN 2017 KEY FINANCIAL SUMMARY
Btmn 3Q17 2Q17 1Q17 4Q16 3Q16
Sales 4,939 4,798 4,200 7,203 4,448
Gross profi t 1,809 1,647 1,376 2,458 1,564
Net profi t 637 613 549 1,256 457
Assets 41,465 40,793 40,069 37,790 37,485
Liabi l i ties 21,188 21,157 20,096 18,366 19,337
Equities 20,277 19,637 19,973 19,424 18,148
EPS (Bt) 0.20 0.19 0.17 0.40 0.15
BVPS (Bt) 6.45 6.24 6.35 6.17 5.77
GPM (%) 37% 34% 33% 34% 35%
NPM (%) 13% 13% 13% 17% 10%
Source: Company, PSR Source: Company, PSR
REVENUE, EQUITY INCOME, PROFIT PEER COMPARISON * updated on
as of Mkt Cap. P/E P/BV Div Yield
(Btmn) (x) (x) (%)
AP Thai land PCL
AP TB 9/17 26,897 8.8 1.4 3.5
Pruksa Holding PCL
PSH TB 9/17 51,608 9.0 1.5 5.8
Qual i ty Houses PCL
QH TB 9/17 33,000 10.2 1.4 4.9
Supala i PCL
SPALI TB 9/17 42,910 7.5 1.7 2.4
Source: Bloomberg, PSR
Source: Company, PSR
Ocean Tower 1, 18FL, 170/57
Ratchada Rd, Klongtoey, Bangkok
Property Development
AP is one of Thai land’s leading property developers . Its project
portfol io includes townhouses , s ingle ‐detached houses and
condominiums.
Company
name
‐Yr 2015: After good presa les on JV projects , AP went on
launching 3 more projects with good take‐up rate of 80%.
‐Yr 2014: Formed JV with Mitsubishi Estate Group to co‐develop
condo projects and launched 4 projects with good presa les of
‐Yr 2013: Corporate name was changed to AP Thai land from
Asean Property Development
14 February 2018
*Data based on tra i l ing 12 months earnings , book value and
dividend per share
30 September 2017
66 2 261 2518
66 2 261 2548
http://www.apthai .com
DH/TH , 34%
CD, 10%
CD‐JV, 55%
‐400
‐200
0
200
400
1,500
6,500
11,500
16,500
21,500
2013 2014 2015 2016
Revenue NET PROFIT EQUITY INCOME
Page | 6 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT
Corporate Governance ‐ 2017
ADVANC AKP ANAN AOT AP BAFS BANPU BAY BCP BIGC
BTS BWG CFRESH CHO CK CNT CPF CPN CSL DELTA
DEMCO DRT DTAC DTC EASTW EGCO GC GCAP GFPT GOLD
GPSC GRAMMY GUNKUL HANA HMPRO ICC ICHI INTUCH IRPC IVL
JSP KBANK KCE KKP KTB KTC LHBANK LPN MBK MCOT
MINT MONO NCH NKI NYT OTO PHOL PLANB PPS PRANDA
PRG PSH PSL PTG PTT PTTEP PTTGC PYLON Q‐CON QH
QTC RATCH ROBINS SAMART SAMTEL SAT SC SCB SCC SCCC
SE‐ED SIM SIS SITHAI SNC SPALI SPRC SSSC STEC SVI
SYNTEC TCAP THANA THCOM THREL TISCO TKT TMB TNDT TOP
TRC TRUE TSC TTCL TU TVD UV VGI WACOAL WAVE
2S AAV ACAP AGE AH AHC AIRA AIT ALT AMANAH
AMATA AMATAV APCO ARIP ASIA ASIMAR ASK ASP AUCT AYUD
BBL BCPG BDMS BEC BEM BFIT BJC BJCHI BLA BOL
BROOK BRR BTW CEN CENTEL CGH CHARAN CHEWA CHG CHOW
CI CIG CIMBT CKP CM CNS COL COM7 CPI CSC
CSP CSS DCC EA EASON ECF ECL EE EPG ERW
FN FNS FORTH FPI FSMART FVC GBX GEL GLOBAL GLOW
HARN HOTPOT HYDRO ILINK INET IRC IT ITD JWD K
KGI KKC KOOL KSL KTIS L&E LALIN LANNA LH LHK
LIT LOXLEY LRH LST M MACO MAJOR MAKRO MALEE MBKET
MC MEGA MFC MFEC MOONG MSC MTI MTLS NOBLE NOK
NSI NTV NWR OCC OGC OISHI ORI PAP PATO PB
PCSGH PDI PE PG PJW PLANET PLAT PM PPP PR
PREB PRINC PT RICHY RML RS RWI S S & L SABINA
SALEE SAMCO SAWAD SCG SCI SCN SEAFCO SEAOIL SENA SFP
SIAM SINGER SIRI SMK SMPC SMT SNP SORKON SPC SPI
SPPT SR SSF SST STA STPI SUC SUSCO SUTHA SWC
SYMC SYNEX TAE TAKUNI TASCO TBSP TCC TEAM TF TFG
TGCI THAI THANI THIP THRE TICON TIPCO TIW TK TKN
TKS TMC TMI TMILL TMT TNITY TNL TOG TPAC TPCORP
TRT TRU TSE TSR TSTE TSTH TTA TTW TVI TVO
TWP TWPC U UAC UMI UP UPF UPOIC UWC VIH
VNT WICE WINNER XO YUASA ZMICO
AEC AEONTS AF AJ AKR ALLA ALUCON AMA AMARIN AMC
APURE AQUA ARROW AS ASEFA ASIAN ASN ATP30 AU BA
BCH BEAUTY BH BIG BIZ BLAND BPP BR BROCK BTC
BTNC CBG CCET CCP CGD CITY CMR COLOR COMAN CPL
CSR CTW CWT DCON DIGI DNA EFORL EKH EPCO ESSO
ETE FE FER FOCUS FSS GENCO GIFT GJS GLAND GSTEL
GTB GYT HPT HTC HTECH IFS IHL INSURE IRCP J
JMART JMT JUBILE KASET KBS KCAR KIAT KWC KYE LDC
LEE LPH MATCH MATI M‐CHAI MDX METCO MGT MILL MJD
MK MODERN MPG NC NCL NDR NEP NETBAY NPK NPP
NUSA OCEAN PDG PF PICO PIMO PK PL PLE PMTA
PRECHA PRIN PSTC QLT RCI RCL RJH ROJNA RPC S11
SANKO SAPPE SCP SE SGP SKR SKY SLP SMIT SOLAR
SPA SPCG SPG SPVI SQ SRICHA SSC STANLY SUPER SVOA
T TACC TCCC TCMC TFD TIC TLUXE TM TMD TNP
TNR TOPP TPA TPBI TPCH TPIPL TPOLY TPP TRITN TTI
TVT TYCN UOBKH UPA UREKA UT VIBHA VPO VTE WIIK
WIN
Score Range
< 50%
50‐59%
60‐69%
70‐79%
80‐89%
90‐100%
The disclosure of the survey result of the Thai Institute of Directors Association (IOD)
regarding corporate governance is made pursuant to the Office of the Securities and
Exchange Commission. The survey of the IOD is based on the information of a company
l isted on the Stock Exchange of Thailand and the Market for Alternative disclosure to the
public and able to be accessed by a general public investor. The results, therefore, is from
the perspective of a third party. It is not an evaluation of operation and is not based on
inside information.
The survey result is as of the date appearing in the Corporate Governance Report of Thai
Listed Companies. As a result, the survey result may be changed after that data. Phil l ip
Securities (Thailand) of securities company does not confirm nor certify the accuracy of
such survey result.
No logo given
Number of Logo
Results Presentation
Page | 7 | PHILLIP SECURITIES (THAILAND)
AP (Thailand) COMPANY REPORT
Declared
A AI AIE AIRA AJ ALUCON AMATAV AOT APCO AQUA
ARROW ASIA ASK AU BCH BJC BJCHI BLAND BR BROCK
BRR CEN CGH CHEWA CHG CHOTI CHOW CIG COL COM7
CPALL CPF CPR CSC EKH EPCO FC FER FPI FSMART
GEL GFPT GGC GIFT GJS GLOBAL GOLD GPSC GREEN GSTEL
GUNKUL HARN IFS ILINK INET IRC J JMART JMT JUBILE
JUTHA KASET KBS KCAR KTECH KWC KYE L&E LEE LIT
LVT MAKRO MATCH MATI MBAX MC MFEC MIDA MILL ML
MTLS NBC NCL NEP NINE NMG NNCL NTV NUSA NWR
OGC PACE PAF PAP PATO PCSGH PIMO PK PL PLANB
POST PRINC PRO PSTC PYLON QTC ROH ROJNA RWI SANKO
SAUCE SC SCCC SCN SEAOIL SE‐ED SENA SIRI SMART SPACK
SPPT SPRC SR SRICHA SST STA SUPER SUSCO SWC SYMC
TAKUNI TBSP TFI THE TICON TIP TKN TLUXE TMILL TMT
TNP TPA TRUE TSE TTI TU TVD TVO TVT TWPC
U UPA UREKA UWC VGI VIBHA VIH VNT WAVE WHA
WICE WIIK
Certified
ADVANC AKP AMANAH AP ASP AYUD BAFS BANPU BAY BBL
BCP BKI BLA BROOK BTS BWG CENTEL CFRESH CIMBT CM
CNS CPI CPN CSL DCC DEMCO DIMET DRT DTAC DTC
EASTW ECL EGCO FE FNS FSS GBX GCAP GLOW HANA
HMPRO HTC ICC IFEC INTUCH IRPC IVL K KBANK KCE
KGI KKP KSL KTB KTC LANNA LHBANK LHK LPN MBK
MBKET MCOT MFC MINT MONO MOONG MSC MTI NKI NSI
OCC OCEAN PB PDI PE PG PHOL PLAT PM PPP
PPS PRANDA PREB PRG PSH PSL PT PTG PTT PTTEP
PTTGC Q‐CON QH QLT RATCH RML ROBINS S & J SABINA SAT
SCB SCC SCG SGP SINGER SIS SITHAI SMIT SMPC SNC
SNP SORKON SPC SPI SSF SSI SSSC SVI SYNTEC TAE
TCAP TCMC TFG TGCI THANI THCOM THRE THREL TIPCO TISCO
TKT TMB TMD TNITY TNL TOG TOP TPCORP TRU TSC
TSTH TTCL TVI UOBKH WACOAL
Non‐participation
2S AAV ABICO ACAP ACC ADAM AEC AEONTS AF AFC
AGE AH AHC AIT AJA AKR ALLA ALT AMA AMARIN
AMATA AMC ANAN APCS APEX APURE AQ ARIP AS ASAP
ASEFA ASIAN ASIMAR ASN ATP30 AUCT BA BAT‐3K BCPG BDMS
BEAUTY BEC BEM BFIT BGRIM BGT BH BIG BIZ BKD
BLISS BM BOL BPP BSBM BSM BTC BTNC BTW BUI
CBG CCET CCP CGD CHARAN CHO CHUO CI CITY CK
CKP CMO CMR CNT COLOR COMAN CPH CPL CRANE CRD
CSP CSR CSS CTW CWT D DCON DCORP DELTA DIGI
DNA DTCI EA EARTH EASON ECF EE EFORL EIC EMC
EPG ERW ESSO ESTAR ETE EVER F&D FANCY FMT FN
FOCUS FORTH FTE FVC GC GENCO GL GLAND GRAMMY GRAND
GTB GYT HFT HOTPOT HPT HTECH HYDRO ICHI ICN IEC
IHL III INGRS INOX INSURE IRCP IT ITD ITEL JAS
JCT JSP JTS JWD KAMART KC KCM KDH KIAT KKC
KOOL KTIS KWG LALIN LDC LH LOXLEY LPH LRH LST
LTX M MACO MAJOR MALEE MANRIN MAX M‐CHAI MCS MDX
MEGA METCO MGT MJD MK MM MODERN MPG MPIC NC
NCH NDR NETBAY NEW NEWS NFC NOBLE NOK NPK NPP
NVD NYT OHTL OISHI ORI OTO PAE PDG PERM PF
PICO PJW PLANET PLE PMTA POLAR POMPUI PPM PRAKIT PRECHA
PRIN PRM PTL RAM RCI RCL RICH RICHY RJH ROCK
RP RPC RPH RS S S11 SAFARI SALEE SAM SAMART
SAMCO SAMTEL SAPPE SAWAD SAWANG SCI SCP SDC SE SEAFCO
SELIC SF SFP SGF SHANG SIAM SIMAT SKN SKR SKY
SLP SMK SMM SMT SOLAR SPA SPALI SPCG SPG SPORT
SPVI SQ SSC SSP STANLY STAR STEC STHAI STPI SUC
SUTHA SVH SVOA SYNEX T TACC TAPAC TASCO TC TCB
TCC TCCC TCJ TCOAT TEAM TFD TFMAMA TGPRO TH THAI
THANA THIP THL TIC TIW TK TKS TM TMC TMI
TMW TNDT TNH TNPC TNR TOA TOPP TPAC TPBI TPCH
TPIPL TPIPP TPOLY TPP TR TRC TRITN TRT TRUBB TSF
TSI TSR TSTE TTA TTL TTTM TTW TUCC TWP TWZ
TYCN UAC UBIS UEC UKEM UMI UMS UNIQ UP UPF
UPOIC UT UTP UV UVAN VARO VI VNG VPO VTE
WG WHAUP WIN WINNER WORK WORLD WP WPH WR XO
YCI YNP YUASA ZIGA ZMICO
Companies participating in Thailand's Private Sector Collective Action Coalition Against
Corruption programme (Thai CAC) under Thai Institute of Directors (as of July 31, 2017)
PHILLIP SECURITIESS (THAILAND) | 8 | P a g e
AP (Thailand) COMPANY REPORT
The SEC ha s a pol i cy to promote l i s ted companie s and i nte rmedia ri e s , i .e . s ecuri ti e s companie s , a s s e t management companie s , deri va ti ve bus i ne s s companie s
(“i nte rmedi a ri e s ”) to es tabl i s h anti ‐corruption mea sure s a s pa rt of the i r bus i ne s s opera ti on. The SEC ha s s upported Tha ipa t Ins ti tute i n deve loping the Anti ‐corrupti on
Progres s Indi ca tor of l i s ted companie s and i nte rmedia ri e s . The Indi ca tor compri s es fi ve l e ve l s : Leve l 1: Commi tted, Leve l 2: Decla red, Leve l 3: Es tabl i s hed,
Leve l 4: Certi fi ed, and Leve l 5: Extended.
The SEC conti nues to deve lop bus ine s s s us ta inabi l i ty among l i s ted companies and i nte rmedi a ri e s wi th a focus on anti ‐corrupti on by s upporting them to jo in Tha i l a nd’s
Pri va te Sector Col l e cti ve Action Coa l i ti on Aga ins t Corruption (CAC) and to di s clos e the i r corpora te gove rnance progres s on http://www.cgtha i l a nd.org.
Levels of Commitment
Companies participating in Thailand's Private Sector Collective Action Coalition Against Corruption
programme (Thai CAC) under Thai Institute of Directors (as of July 31, 2017)
PHILLIP SECURITIESS (THAILAND) | 9 | P a g e
AP (Thailand) COMPANY REPORT
Industry Group Name Sector Name Sector Index
Agro & Food Industry[AGRO] Agribusiness AGRI
Food & Beverage FOOD
Consumer Products[CONSUMP] Fashion FASHION
Home & Office Products HOME
Personal Products & Pharmaceuticals PERSON
Financials [FINCIAL] Banking BANK
Finance & Securities FIN
Insurance INSUR
Industrials [INDUS] Automotive AUTO
Industrial Materials & Machinery IMM
Packaging PKG
Paper & Printing Materials PAPER
Petrochemicals & Chemicals PETRO
Steel STEEL
Property & Construction[PROPCON] Construction Materials CONMAT
Construction Services CONS
Property Development PROP
Property Fund & REITs PF&REIT
Resources [RESOURC] Energy & Util ities ENERG
Mining MINE
Services [SERVICE] Commerce COMM
Media & Publishing MEDIA
Health Care Services HELTH
Tourism & Leisure TOURISM
Professional Services PROF
Transportation & Logistics TRANS
Technology [TECH] Electronic Components ETRON
Information & Communication Technology ICT
PSR Rating SystemCapital Gain Recommendation
> 15% BUY
> 5% ‐ 15% ACCUMULATE / TRADING BUY
> 0% ‐ 5% NEUTRAL
0 <= SELL
Remarks
We do not base our recommendations entirely on the above quantitative return bands. We consider qualitative factors l ike (but
not l imited to) a stock's risk reward profi le, market sentiment, recent rate of share price appreciation, presence or absence of
stock price catalysts, and speculative undertones surrounding the stock, before making our final recommendation
Contact Information of Hong Kong Representatives
Research
Benny WANG
Dealing Director
(852) 2277 6720
ZHANG Jing
Research Analyst
Transportation and Automobiles
(86) 21 51699400-103
John WONG
Research Analyst
HK & Mainland Properties, Hotels &
Entertainment
(852) 2277 6527
Sales
FAN Guohe
Research Analyst
Pharmaceutical, Health & Personal Care, TMT
(86) 21 51699400-110
WANG Yannan
Research Analyst
New Energy
(86) 21 51699400-107
Aric AU Matthew WONG
Manager, Corporate & Institutional Sales Manager, International Sales
(852) 2277 6783 (852) 2277 6678
[email protected] [email protected]
Yoshikazu SHIKITA
Manager, International Sales
(Japan Team)
(852) 2277 6624
PHILLIP RESEARCH STOCK SELECTION SYSTEMS
Total Return Recommendation Rating Remarks
> +20% Buy 1 >20% upside from the current price
+5% to +20% Accumulate 2 +5% to +20% upside from the current price
-5% to +5% Neutral 3 Trade within +/- 5% from the current price
-5% to -20% Reduce 4 -5% to -20% downside from the current price
< -20% Sell 5 -20% downside from the current price
We do not base our recommendations entirely on the above quantitative return bands. We consider qualitative factors like (but not limited to) a stock’s risk reward profile, market sentiment, recent rate of share price appreciation, presence or absence of stock price catalysts, and speculative undertones surrounding the stock, before making our final recommendation
GENERAL DISCLAIMER
This publication is distributed in Hong Kong by Phillip Securities (Hong Kong) Limited (“PSHK”), which is licensed in Hong Kong by the Securities and Futures Commission for regulated activities, including Type 4 regulated activity (advising on securities). This publication was originally prepared by analysts from our overseas affiliates. The information contained herein is based on sources that PSHK and its affiliates believe to be accurate and any analysis, forecasts, projections, expectations and opinions contained in this publication are based on such information and are expressions of belief only. This material is prepared for general circulation to clients and is not intended to provide tailored investment advice and does not take into account the individual financial situation and objectives of any specific
person who may receive this report. Investors should seek financial advice regarding the appropriateness of any investments or securities discussed or recommended in this report. This report is not (and should not be construed as) a solicitation to act as securities broker or dealer in any jurisdiction by any person or company that is not legally permitted to carry on such business in that jurisdiction. This research report may not be redistributed, retransmitted or disclosed, in whole or in part or and any form or manner, without the express written consent of PSHK. Please direct any enquiries to [email protected].
Investment involves risks. For details of product risks, please view the Risk Disclosures Statement on http://www.phiIlip.com.hk.
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