Shares in Total Access Communication Pcl edged
down 0.3 percent to 87.75 baht, underperforming a 0.2 percent
gain in the broader stock market, after the telecoms
firm's fourth-quarter earnings fell short of
Total Access shares had fallen 0.3 percent so far this year
versus a 1.1 percent gain of the tech subindex and a
7.8 percent gain of the main SET index. Brokers are cautious
about the company's spending on network expansions.
"Despite strong seasonality, DTAC's fourth-quarter core net
profit fell 9 percent quarter on quarter, due mainly to higher
costs related to 3G/850MHz," CIMB Securities said in a report.
The broker reiterated an 'underperform' rating on the stock,
citing DTAC's 3G strategy that could heighten its capital
expenditure and earnings risks in the medium term. Its target
price on the stock is 95 baht.
"The CFO said that DTAC will issue debentures to finance 3G
capex and improve its capital efficiency by managing excess cash
through lumpy dividend," CIMB said.
DTAC declared a 1.66 baht quarterly dividend per share, 152
percent dividend payout versus the company's 80 percent minimum
payout policy, the broker said.
For the company dividend statement, click
1057 (0357 GMT)
(Reporting by Viparat Jantraprap in Bangkok; Editing by