Earnings Report /
Thailand

TQM Corp PCL: Profit in line with expectation

  • Result was in line with our estimate

  • TQM posted 3Q22 earnings of Bt206m

  • Revenue totaled Bt895m, up by 16% YoY and 6% QoQ

Poramet Tongbua
Poramet Tongbua

Equity Research Analyst

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Bualuang Securities
15 November 2022

Although 2022 earnings will be flattish YoY, we remain confident that TQM will achieve our 2023 bottom-line growth forecast of 19% YoY to Bt1.06bn, supported by both organic (insurance premium sales growth) and inorganic drivers (such as Easy Lending and TQR). TQM currently trades at a 2023 PER of 22x (0.8SD below its long-term mean of 32x) and a YE23 PBV of 6.7x (0.8SD below its long-term mean of 14x). We have a BUY call to a DCF-derived YE23 target price of Bt48 (terminal growth of 2.2% and WACC of 6.5%).

Result was in line with our estimate

TQM posted 3Q22 earnings of Bt206m, down 15.3% YoY but up 10.5% QoQ. The result was in line with our estimate. 9M22 profit comprises 71% of our full-year forecast of Bt887m.