Earnings Report /
Thailand

SC Asset Corp PCL: Down, as expected; recovery in 2H22

  • In line with our estimate and the consensus

  • SC reported a core profit of Bt388m for 1Q22

  • Core earnings declined YoY and QoQ

Bualuang Securities
12 May 2022

The stock price will come under pressure, due to the weak 1Q22 result and the unexciting outlook for 2Q22. But SC’s 2022 revenue and earnings profiles are concentrated in 2H22, so we suggest sticking with it till the company proves a better bottom-line. Our HOLD call stands with an SOTP-derived target price of Bt3.90, pegged to a residential biz PER of 6.0x and rental market value of Bt1.0/share (a 30% discount to appraised value).

In line with our estimate and the consensus

SC reported a core profit of Bt388m for 1Q22, down by 7% YoY and 30% QoQ. The core result was in line our estimate and the consensus.