KGI Securities maintained its 'outperform' rating on
hotelier and leisure firm Minor International Pcl,
helped by its diversified earnings.
KGI has a target price of 21.90 baht for the stock. At the
midsession break, it was up 1.37 percent at 22.20 baht, while
the broader benchmark index was down 0.92 percent.
KGI estimated that Minor would report 877 million baht in
net profit for the fourth quarter, up 86 percent from the
year-earlier period, when Thailand suffered devastating floods
that hammered its hotel businesses.
The research house forecast earnings would grow 19 percent
this year, driven by its hotels and mixed-use business. The
revenue from its mixed-use unit should show growth on higher
sales for its new St. Regis condo.
"Currently contracts for 75 percent of St. Regis rooms have
been signed with 69 percent sold and recorded as of the third
quarter of 2012," it said in a report.
The Tourism Authority of Thailand put tourist arrivals in
2012 at 22.3 million and has a target of 24.5 million for this
year, an increase of 10 percent.
"We believe that the target should be met as Asians are
seeing an increase in disposable income and boosting demand for
hotel accommodation in the region, where Thailand stands out on
its cheaper room rates for luxury hotels and superior
hospitality," KGI said.
1313 (0613 GMT)
(Reporting by Pairat Temphairojana; Editing by Sunil Nair)
12:09 STOCKS NEWS THAILAND-CIMB keeps outperform on Siam Cement
CIMB Securities maintained its 'outperform' rating on
Thailand's top industrial conglomerate Siam Cement Pcl,
saying its diversified activities should continue to support
Siam Cement's fourth-quarter net profit more than doubled as
demand for construction materials and petrochemicals surged
after devastating floods in late 2011. It posted an
October-December net profit of 6.91 billion baht, up from 3.2
billion a year earlier.
The research house said building materials earnings increased
to 610 million baht "on rising sales volume of ceramic tiles as
Siam Cement acquired multiple assets in Thailand, Vietnam and
Petrochemical earnings were at 185 million baht, while paper
earnings were up by 70 percent year-on-year on the back of
growing volume, it said in a report.
"Investment income jumped to 4 billion baht, up 88 percent
year-on-year from dividend income from automobile and
agriculture machinery," it said.
"We continue to expect earnings improvements in 2013 on the
back of growing cement, building materials, and paper businesses
and an earnings rebound in the petrochemical business," CIMB
Shares in Thailand's fifth-largest company by market value
were down 1.77 percent at 444 baht in a generally lower market.
1153 (0453 GMT)
(Reporting by Pairat Temphairojana; Editing by Anand Basu)