Company values
It won’t disappoint you whenThaicom Public Company Limited or THCOM Operate satellite business and related services Internet and media business Overseas telephone business Reported operating results in the 2nd quarter of 2023 with a net profit. 457 million baht more 47.8% Compared to the same period last year with a net profit of 309 million baht, with income of 1,124 million baht more 15% Compared to the same period last year with a total income of 974 million baht.
The main cause was the recognition of other income, which was compensation income from a dispute with a contracting company in the amount of 301 million baht, where the company and the contracting party had disagreements on the interpretation of certain contractual terms. In June 2023, the Supreme Court unanimously agreed that the company’s interpretation of the cooperation agreement was correct. As a result, the company recognizes other income as such compensation.
As a result, net profits during the first 6 months of 2023 have already accumulated net profits. 546 million baht more 51.8% Compared to the same period last year with a net profit of 360 million baht and total income 1,811 million baht more 9.9% Compared to the same period last year with a total income of 1,647 million baht.
In addition to operating results that continue to recover THCOM There are still interesting issues. From the case of signing an agreement between Spacetech Innovation Company Limited or STI, a subsidiary of Thaicom, and Eutelsat Asia PTE. LTD., a subsidiary of Eutelsat SA, the world’s leading satellite service provider from the country. France
Under the said agreement Thaicom will be the provider of the new broadband satellite channel. At orbit position 119.5 degrees east to Eutelsat Asia, 50% of all transponders for a period of 16 years, according to the engineering life of the satellite.
Global Securities It said Eutelsat Asia’s transponder lease will support 50% of the satellite’s capacity. It is additionally beneficial to the long-term operating results of the company. However, the current share price is higher than the Bloomberg Consensus fair price of 12.90 baht. Recommended. “Buy on weakness”
while Krungsri Patanasin Securities It is stated that the new satellite project has a capacity of 100-120 Gbps (currently pre-orders from Eutelsat 50% of the total capacity) which are planned to be completed in 2027, coinciding with the commercial launch and service schedule. at THCOM Placed just right by this project. THCOM Expected investment of approximately 240-250 million USD. Looking at the upside of THCOM After this, we have to see if we will get any more new customers or not. It is estimated that every 1% increase in additional rent will result in an increase in the target price of 0.4 baht per share from the current target price of 0.4 baht per share. 14.10 baht
For valuation (Valuation) Currently, the THCOM share price is trading at a P/E level of 66.67 times, compared to the overall market P/E level of 20.05 times, considered a higher trading price than the market. However, if you look at the P/BV at 1.46 times, it is close to the average that most P/BV will be at the level of 1.42 times with an average target price of 16.19 baht from the lowest price of 12.90 baht and the highest price of 18.90 baht.
2023-10-14 11:06:57
#THCOM #Profitable #Orbiting #Satellite
