Earnings Report /
Thailand

IRPC PCL: 3Q21 earnings in line; fatter GRM to support 4Q21 core profit

  • In line with forecast

  • IRPC posted a 3Q21 net profit of Bt2,155m

  • IRPC’s 4Q21 core operation looks set to sustain flat YoY

Suppata Srisuk
Suppata Srisuk

Equity Research Analyst

Bualuang Securities
10 November 2021

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.