SPRC : GRM Spike Drove 2Q22 Profit to New High

Thai Equity - Bottom-up - Equities, Pi Securities PCL, Thailand

Pi Research

Thai Equity - Bottom-up - Equities

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Equity Bottom-Up

Star Petroleum Refining / Equity Bottom-Up

<ul>
<li>We maintain the BUY call with a target price of Bt13.50. SPRC reported a net loss of Bt5.0bn in 3Q22 (compared to a profit both YoY and QoQ), mainly dragged </li>
<li>3Q22 earnings hit by stock loss and weak GRM SPRC reported a net loss ofBt5.0bn in 3Q22,falling from an all-time high profit of Bt7.2bn in 2Q22 and Bt113m in 3Q21. </li>
<li>The earnings plunge was due to dip in accounting gross refinery margin (GRM) which fall to US$-7.34/bbl. compared to US$22.9/bbl. in 2Q22 and US$4.38/bbl.</li>
</ul>


We maintain the BUY call with a target price of Bt13.50. SPRC reported a net loss of Bt5.0bn in 3Q22 (compared to a profit both YoY and QoQ), mainly dragged 
3Q22 earnings hit by stock loss and weak GRM SPRC reported a net loss ofBt5.0bn in 3Q22,falling from an all-time high profit of Bt7.2bn in 2Q22 and Bt113m in 3Q21. 
The earnings plunge was due to dip in accounting gross refinery margin (GRM) which fall to US$-7.34/bbl. compared to US$22.9/bbl. in 2Q22 and US$4.38/bbl.


SPRC : Expect Earning S to Turnaround in 4Q22