Earnings Report /
Thailand

Sansiri PCL: Bottomed out in 1Q22; better numbers ahead

  • In line with our estimate, but below the consensus

  • SIRI reported a net profit of Bt303m for 1Q22

  • 1Q22 core profit comprises only 15% of our full-year forecast

Phoowadol Phoosodngern
Bualuang Securities
19 May 2022

We suggest buying on dips, as the market has already anticipated and priced in the weak 1Q22 result—the stock price has dropped 14% YTD. Our BUY call stands to a new YE22 target price of Bt1.50, pegged to a PER of 9.5x (1SD above SIRI’s long-term mean in order to factor in its aggressive 2022 business plan).

In line with our estimate, but below the consensus

SIRI reported a net profit of Bt303m for 1Q22, down by 21% YoY and 12% QoQ. Stripping out a one-off impairment, core earnings would be Bt358m, down by 5% YoY and 18% QoQ (expenses tied to providing the Moderna COVID-19 vaccine to staff). The result was in line with our estimate, but was 12% below the street (a lower top-line than the consensus assumption).