Earnings Report /
Thailand

Erawan Group PCL/The: Shallower loss than modeled

  • Loss was much shallower than our estimate and consensus

  • ERW reported a 3Q22 core loss of Bt12m

  • Hotel revenue was Bt1,268m in 3Q22

Bualuang Securities
15 November 2022

ERW is the best pure-play hotel stock under our coverage. Its current price lags both its peers and its 2019 level. We expect strong 4Q22 numbers to catalyze market interest in the stock.

Loss was much shallower than our estimate and consensus

ERW reported a 3Q22 core loss of Bt12m (against core losses of Bt623m for 3Q21 and Bt151m for 2Q22). The red ink was much shallower than our estimate and the consensus, due to higher revenue than assumed.