THAILAND MACROECONOMICS WEEKLY UPDATE

INDUSTRIAL

Mr. Winit Wisetsuvarnabhumi, Deputy Director General of the Revenue Department and spokesperson for the department, has announced that the tax measure period to facilitate the relocation of production bases for foreign investors (Thailand Plus Package) has been extended for an additional three years (from 2023 to 2025) following approval from the cabinet. The Revenue Department is currently awaiting the legislative process to formalize this extension as law, in accordance with the cabinet’s decision. It is anticipated that these measures will attract investment in automation systems in Thailand, amounting to 2 billion baht per year and a total of over 6,000 million baht.

COMMERCIAL AND RETAILS

Moshi Moshi Retail Corporation Public Company Limited (MOSHI)

Moshi Moshi Retail Corporation Public Company Limited, a retail business that responds to the daily lifestyle of each group of consumers, revealed performance for 1Q23, earning THB 562.8 million with a 55% increase from the same period last year. The Company has benefited from economic recovery, which was the result of relaxation of government measures against the COVID-19, and resulted in the reopening of the country, department stores, schools, and the resumption of economic activities.

RS Public Company Limited (RS)

RS Public Company Limited, a dynamic commerce business specializing in content, entertainment, and product sales, has reported a stellar performance with a net profit of THB 92 million in the latest announcement. This represents a remarkable increase of 67% compared to the corresponding period of the previous year. The company’s success can be attributed to the recovery of the media sector, substantial sales of content rights, and additional profit generated from the sale of some CHASE shares.

MEDIA AND PUBLISHING

JKN Global Group Public Company Limited (JKN)

JKN Global Group Public Company Limited, a renowned content management and distribution company, has released its impressive first-quarter performance for 2023. The company achieved a remarkable total revenue of THB 932.51 million, marking a significant increase of 100% compared to the corresponding quarter of the previous year. The substantial growth in revenue can be primarily attributed to the Miss Universe Organization’s License Management , which has played a major role in driving the performance.

PROPERTY

Central Pattana Public Company Limited (CPN)

The Central Pattana Public Company Limited hits 10 billion in revenue 1Q23 with profit growth 39% to 3.24 billion baht, compared to 2.32 billion baht in the same period last year. The revenue stream was mainly from rental and services with 85% of total revenue. The rental and service business reported revenue of 8,751 million baht, an increase of 23% from the same period of previous year due to the continued improvement in rental discount which already returned to pre-Covid level during 1Q23in line with continued recovery of traffic and fully quarterly contribution from Central Chanthaburi.

Rojana Industrial Park Public Company Limited (ROJNA)

Rojana Industrial Park Public Company Limited, a property developer focusing on industrial estate, announced the operating result of 1Q23 with a net profit of THB 195 million, down 76% from the same period of last year, mainly due to an increase in real estate price which increased by 202.25%.

Asset World Corp Public Company Limited (AWC)

Asset World Corp Public Company Limited, a holding company overseeing diverse businesses involved in the operation and management of hospitality and commercial properties, has released its operating performance for the first quarter of 2023. The company achieved a net profit of THB 1.42 billion, demonstrating an impressive growth rate of 100.5% compared to the corresponding period in the previous year. This remarkable achievement can be attributed to a significant increase in the number of both Thai and foreign tourists visiting, surpassing figures recorded in the same period last year.

Ananda Development Public Company Limited (ANAN)

Ananda Development Public Company Limited, a prominent real estate developer, has revealed a first-quarter performance in 2023, surpassing THB 5.3 billion. This achievement can be attributed to the successful implementation of their URBAN CARAVAN strategy. Looking ahead, the company is committed to further expanding its real estate portfolio, encompassing both condominiums and low-rise houses. They have exciting plans to launch two flagship projects, worth over 14.6 billion baht, and are ready to facilitate ownership transfers for the Ideo project, Chula-Samyan, starting from the beginning of the year. These strategic moves are aimed at driving sustainable growth and achieving the company’s set goals.

Sansiri Public Company Limited (SIRI)

Mr. Uthai Uthaisangsuk, the Chief Operating Officer of Sansiri Public Company Limited (SIRI), has disclosed the company’s remarkable operating results for the first quarter of 2023. The total revenue reached an impressive 8,505 million baht, marking a substantial increase of 63% compared to the same quarter of the previous year. Furthermore, the net profit soared to 1,582 million baht, demonstrating an exceptional growth rate of 423%. These outstanding financial achievements were primarily driven by the successful sales of various projects across all residential segments, with condominium sales experiencing the highest growth at 217%, generating revenue of 2,717 million baht. The XT project played a significant role in contributing to this substantial revenue increase.

SC Asset Corporation Public Company Limited (SC)

SC Asset collaborates with Thailand’s top streamers to introduce “Gamer’s Home,” an innovative offering aimed at the digital-savvy population, embracing the principle that One Size Does Not Fit All. In partnership with leading streamers MNJ and View Willcomeback, SC Asset leverages insights from gaming enthusiasts to create the ‘Gamer House,’ a prototype for a new series of single detached houses. Following the success of Baan Khon Sot at the Venue ID Motorway – Rama 9 project, this initiative caters not only to gamers but also caters to the lifestyle of individuals in the digital age, recognizing the diverse needs of this tech-savvy generation.

TOURISM AND LEISURE

Dusit Thai Public Company Limited (DUSIT)

Dusit Thai Public Company Limited, a well-established hotel and hotel management company, has delivered an impressive performance in the first quarter of 2023, surpassing THB 1.7 billion in revenue and achieving a remarkable growth rate of 52% compared to the same period last year. This exceptional accomplishment can be attributed to the robust recovery of the tourism sector, which has significantly contributed to the revenue surge in the hotel business. Furthermore, the food business has also experienced substantial expansion, with its revenue doubling during this period.

TRANSPORTATION AND LOGISTIC

Asia Aviation Public Company Limited (AAV)

Asia Aviation Public Company Limited, which serves as a holding company exclusively for Thai AirAsia Co., Ltd, a low-cost airline, reported robust performance in the first quarter of 2023. The company achieved a total revenue of THB 9,814.8 million, marking a remarkable 369% increase compared to the same period last year. This exceptional growth can be attributed to the resolution of the COVID-19 situation and the government’s policy of opening up the country to foreign tourists, encouraging their entry into Thailand.

Thai Airways International Public Company Limited (THAI)

The Board of Creditors of Thai Airways International Public Company Limited has approved the restructuring of the Thai Airways business group in accordance with the guidelines proposed by the business rehabilitation plan administrators and management by Thai Airways to merge Thai Smile Airways. It is expected to be completed by 2023 after a loss of 20 billion baht.

HEALTH CARE

Thonburi Healthcare Group Public Company Limited (THG)

Thonburi Healthcare Group Public Company Limited, a holding company that operates a comprehensive general hospital known as “Thonburi Hospital,” has disclosed its operating results for the first quarter of 2023. The company reported a total revenue of 2,508 million baht, reflecting a decrease compared to the corresponding period in 2022 when it reached 3,530 million baht. Similarly, the net profit for the quarter stood at 250 million baht, marking a decline from the same period in 2022 when it reached 552 million baht.

ENERGY AND UTILITIES

Absolute Clean Energy Public Company Limited (ACE)

The Absolute Clean Energy Public Company Limited announced that its subsidiary, National Clean Energy Company Limited (NCE), has been chosen to invest in, develop, and operate a municipal solid waste (MSW) power plant project for Chiangwang Subdistrict Administrative Organization in Udonthani Province. This project is known as the Chiangwang MSW Power Plant Project. Additionally, another subsidiary of ACE, Absolute Power Plant Company Limited (ABP), has also been selected to invest in, develop, and operate a municipal solid waste (MSW) power plant project for Chokchai Subdistrict Administrative Organization in Nakhon Ratchasima Province. This project is called the Chokchai MSW Power Plant Project. The Chiangwang MSW Power Plant Project has a total installed capacity of 9.0 MW and a contracted capacity of 7.75 MW under the power purchase agreement (PPA). The Chokchai MSW Power Plant Project, on the other hand, has an installed capacity of 9.9 MW and a contracted capacity of 8.0 MW under the PPA.

Electricity Generating Public Company Limited (EGCO)

The EGCO Group has outlined its intentions to partake in the bidding process for an additional 3,600 MW of renewable energy, thereby extending its involvement and creating further opportunities. The company is prepared to collaborate with partners to explore and advance the utilization of alternative energy sources.

Gulf Energy Development Public Company Limited (GULF)

Ms. Yupapin Wangviwat, Deputy Chief Executive Officer and Chief Financial Officer of Gulf Energy Development Public Company Limited (GULF), has unveiled the company’s business plan for 2023. The primary focus will be on investing in renewable energy ventures to achieve the target of increasing the renewable energy share to 40% by 2035. This will involve the development of hydroelectric power projects in Laos and various renewable energy power plant projects within the country. Additionally, the company plans to invest in ground-mounted solar power plants with energy storage systems, as well as wind power plant projects. Notably, GULF will seek opportunities for wind power plant investments in foreign countries, particularly in Europe and England.

WHA Utilities and Power Public Company Limited (WHAUP)

WHA Utilities and Power Public Company Limited, a utility business catering to manufacturers and operators in industrial estates and industrial lands, has secured two significant deals with Solar Panel Producer, a major Chinese corporation. The first deal involves providing services for a production capacity of 2,920,000 Cubic Meters per year with a 15-year contract period, valued at THB 1,800 million. Additionally, the company has also entered into an agreement with a rubber glove producer to serve a production capacity of 1,679,000 Cubic Meters per year, with a contract valuation of THB 1,100 million. These partnerships showcase WHA Utilities and Power’s commitment to delivering efficient and sustainable energy solutions to support various industries.

INFORMATION AND COMMUNICATION TECHNOLOGY

Samart Corporation Public Company Limited (SAMART)

Samart Corporation Public Company Limited, a leading provider of ICT solutions, digital services, utilities, transportation, and technology-related services, has announced its first-quarter performance for 2023. The company achieved a total revenue of THB 2,511 million, marking a significant increase of over 50% compared to the corresponding quarter of the previous year. Despite the strong revenue growth, the company recorded a loss of over THB 26 million, primarily due to the withholding tax imposed on dividend income received from its overseas subsidiaries.

SECTORAL UPDATE