Expectations of GRM expansion both YoY and QoQ should catalyze the share prices of refining-cum-chemical stocks including IRPC going forward. Also, there is scope for upside to our earnings projections from cost-saving initiatives and new investments. IRPC’s valuation is still undemanding—a YE22 PBV of 1.0x (0.8SD below its long-term mean of 1.4x).
In line with forecast
IRPC posted a 3Q21 net profit of Bt2,155m, up by 39% YoY but down 53% QoQ. Stripping out extra items, the core profit was Bt732m, a YoY turnaround but down 71% QoQ. The result was in line with our estimate and that of the consensus.