Earnings Report /
Thailand

LEO Global Logistics PCL: All-time-high profit for 1Q22! Another new record expected for 2Q22

  • Result beat, new record profit!

  • LEO posted a 1Q22 net profit of Bt90m

  • Revenue was Bt1,651m, up by 249% YoY and 32% QoQ

Kijapat Wongmetta
Kijapat Wongmetta

Equity Research Analyst

Bualuang Securities
17 May 2022

We maintain a BUY call to a YE22 target price of Bt22.50, premised on an impressive profit growth outlook. LEO should post strong quarterly core earnings through 2022. There is scope for upside to earnings from a new business tied to the China-Laos railroad, once Beijing starts easing its zero-COVID policy. Hence, we still view LEO’s recent stock price slide as the opportunity for to take positions cheaply.

Result beat, new record profit!

LEO posted a 1Q22 net profit of Bt90m, up by 231% YoY and 17% QoQ. The bottom-line was 7% above our estimate. Stripping out extra items, the core number would be Bt94m, up by 242% YoY and 21% QoQ. Core profit beat our estimate by 11%. Both net and core earnings represent all-time-high numbers—the fifth consecutive quarter of new records.