Earnings Report /
Thailand

B Grimm Power PCL: Gas price surge hit 1Q22 earnings; recovery expected for 2Q22

  • Not as bad as modeled

  • BGRIM announced 1Q22 net earnings of Bt23m

  • Revenue increased by 41% YoY and 14% QoQ

Kijapat Wongmetta
Kijapat Wongmetta

Equity Research Analyst

Bualuang Securities
13 May 2022

The worst quarter is now behind us. But we think the pace of recovery will be slow. And there is considerable uncertainty over the future direction of the pooled gas price, due to the prevailing intense price volatility of imported LNG. Our HOLD call stands.

Not as bad as modeled

BGRIM announced 1Q22 net earnings of Bt23m, down by 96% YoY and 88% QoQ. Stripping out extra items, core profit would be Bt34m, down by 95% YoY and 84% QoQ. Both the core and net numbers were better than our estimates (we had expected losses) and the consensus projections, due to a fatter GM than assumed.