Despite the 1Q22 result miss, we remain confident that TQM will achieve our 2022 bottom-line growth forecast of 20%. Our YE22 target price downsizes from Bt63 to Bt59 because we have upped the risk-free rate assumption in our DCF valuation model from 2.5% to 3.0%. BUY!
Profit was below our estimate
TQM posted 1Q22 earnings of Bt214m, up 5.9% YoY but down 4.7% QoQ. The result was 13% below our projection, due to heavier OPEX than assumed. The 1Q22 profit comprises 20% of our full-year forecast of Bt1.07bn.