Earnings Report /
Thailand

JMT Network Services PCL: Result beat! Partial loan loss reserve reversal into revenue

  • 2Q22 profit was 6% above our estimate

  • JMT posted 2Q22 earnings of Bt433m

  • The 2Q22 top-line was Bt1.0bn

Poramet Tongbua
Poramet Tongbua

Equity Research Analyst

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Bualuang Securities
15 August 2022

We are optimistic about JMT’s 2022 outlook. The firm should mark cash collection revenue of Bt6.0bn for this year, up 32% YoY (in 1H22, it marked Bt2.8bn, up 41% YoY; normally, cash collection is lower in the first-half of each year than in the second-half). Hence, we expect a record high profit for 2022. BUY!

2Q22 profit was 6% above our estimate

JMT posted 2Q22 earnings of Bt433m, up by 50% YoY and 18% QoQ. The result was 6% above our estimate, due to the reversal of a tranche of the loan loss reserve into revenue. The 2Q22 result brought 1H22 profit to Bt800m (up 40% YoY), which represents 40.6% of our full-year projection of Bt1.97bn.