Krungthai XSpring

Krungthai XSpring is a full service broker. The company provides a wide range of investment services such as Securities Brokerage, Derivative Agent Business, Securities Borrowing and Lending, Securities Trading, Underwriting, Financial Advisory, Wealth Advisory, Private Fund Management and International Markets Securities Trading. 

In terms of credibility, Fitch Ratings has assigned Krunghtai XSpring a long-term rating of AA- and a national short-term rating of F1+ with stable outlook.

A full service Thai brokerage

Head of Research, Krungthai XSpring

Waraporn Wiboonkanarak

Head of Research

Equity Bottom-Up

PTT Oil & Retail Business  / Equity Bottom-Up

<ul><li>We expect OR to deliver a 2Q23E NP of Bt2.77bn (-58% YoY, -7% QoQ).</li><li>Its earnings may have been pressured on a YoY basis by the mobility business, whose gross margin per liter is expected to narrow to Bt0.98/liter (vs. the high base of Bt1.61/liter in 2Q22).</li><li>On a QoQ basis, we expect the mobility business to show a weak performance given smaller oil sales volume of 6,897mn liters (-1.5% QoQ), mainly from the commercial market given the decline in diesel sales volume to power plants, as well as a lower gross margin to Bt0.98/liter (vs. Bt1.01/liter in 1Q23).</li></ul>

We expect OR to deliver a 2Q23E NP of Bt2.77bn (-58% YoY, -7% QoQ).Its earnings may have been pressured on a YoY basis by the mobility business, whose gross margin per liter is expected to narrow to Bt0.98/liter (vs. the high base of Bt1.61/liter in 2Q22).On a QoQ basis, we expect the mobility business to show a weak performance given smaller oil sales volume of 6,897mn liters (-1.5% QoQ), mainly from the commercial market given the decline in diesel sales volume to power plants, as well as a lower gross margin to Bt0.98/liter (vs. Bt1.01/liter in 1Q23).

Earnings Review - PTT Oil and Retail Business (OR)