Earnings Report /
Thailand

PTT Global Chemical PCL: 3Q21 earnings met forecast; further YoY growth expected for 4Q21

  • In line with estimate

  • PTTGC posted a 3Q21 net profit of Bt7,005m

  • The refinery run rate was 77%

Suppata Srisuk
Suppata Srisuk

Equity Research Analyst

Bualuang Securities
11 November 2021

Market expectations of YoY core earnings growth through 4Q21 should boost the share price going forward. Over the long-run, the acquisition of Allnex will be PTTGC’s first step to transforming its portfolio into greater specialty, enhancing its profitability and long-term earnings profile. Moreover, there is scope for an upside to our profit forecast from new investments/acquisitions. PTTGC currently trades at a YE22 PBV of only 0.8x (1.1SD below its long-term mean of 1.1x).

In line with estimate

PTTGC posted a 3Q21 net profit of Bt7,005m, up by 671%YoY but down 72% QoQ. Stripping out extra items, core earnings would be Bt10,333m, up 21-fold YoY but down 3% QoQ. The result was in line with our estimate but 13% below the consensus.