PTT Oil and Retail Business Public Company Limited

PTT Oil and Retail Business Public Company Limited, or OR, reported a net loss of 1.77 billion baht for the second quarter of 2026, hit by volatile global oil prices. The company booked an oil inventory loss of around 8 to 9 billion baht and a net realizable value loss of around 2 billion baht. Excluding these two items, the core business remained profitable, with a marketing margin of 0.74 baht per litre. The company expects the second quarter of 2026 to be the low point of the year, and the third quarter of 2026 to recover to near-normal levels. OR is also pressing ahead with its electric vehicle business, targeting a 10 percent share of its mobility portfolio within five to six years, and expanding Café Amazon in South Asia, with its first branch in Bangladesh and an initial target of 100 outlets.

Bualuang Securities reported second-quarter 2026 results for eight energy companies under its coverage, with combined net profit of 109 billion baht, up 195% year-on-year and 35% quarter-on-quarter. Core profit totaled 127 billion baht, up 237% year-on-year and 49% quarter-on-quarter. The refinery group was the main driver, boosted by higher revenue and margins from selling prices and elevated GRM and GIM amid the war situation. BCP, PTT and SPRC beat expectations, while IRPC, PTTEP and TOP were in line. BANPU and OR came in below expectations. The group's overall financial position remains strong, with SPRC in a net cash position, OR near net cash, and PTTEP holding net debt to equity of only 0.1 times, followed by TOP and PTT. BCP stood at 0.7 times, while BANPU and IRPC were higher than the group at 1.0 times and 0.9 times respectively. On cash flow, PTT and PTTEP have posted positive operating cash flow and free cash flow for six consecutive quarters, while BANPU is the only company that has not yet generated positive free cash flow during that period. For the third-quarter 2026 outlook, most management teams are cautious but still positive. Oil prices and GRM are expected to decline from the previous quarter as supply increases after Middle East tensions ease, but they should remain high compared with a year earlier. OR is more positive, expecting oil sales volume and marketing margin to improve from the previous quarter. The research team views BCP, PTT, PTTEP and SPRC as having potential to pay high dividend yields of around 6 to 10 percent in 2026, and around 5 to 7 percent over the medium term. PTT remains the top pick on strong earnings momentum and an attractive dividend yield.

PTT Group reported combined second-quarter profit for 2025 of 103 billion baht, up 157% from the same period last year. This brought first-half combined profit to 175 billion baht, an increase of 106%. PTT Public Company Limited posted net profit of 52.525 billion baht, up more than 100%, driven by higher price spreads and bond buybacks. PTT Exploration and Production recorded net profit of 27.197 billion baht, up 101%, supported by record average sales volume of 572,882 barrels of oil equivalent per day. PTT Global Chemical swung to a profit of 12.208 billion baht from a loss of 3.616 billion baht a year earlier. Thai Oil posted net profit of 8.284 billion baht, up 28%. PTT Oil and Retail Business reported a net loss of 1.774 billion baht, compared with a profit of 2.232 billion baht a year earlier. IRPC swung to a profit of 2.921 billion baht from a loss of 2.132 billion baht. Global Power Synergy recorded net profit of 1.819 billion baht, down 10%.

PTT Oil and Retail Business Public Company Limited, or OR, reported second-quarter 2026 results swinging to a net loss of 1.774 billion baht from a net profit of 2.231 billion baht a year earlier. This dragged first-half 2026 net profit down 90.33 percent to 639 million baht. Although total revenue rose 23.0 percent to 205.667 billion baht, the company booked a net oil stock loss and net realizable value loss of up to 10.6 billion baht, as global oil prices fell sharply late in the quarter. Total oil sales volume also dropped 16 percent from the previous quarter, and the Global business was hit by the Thailand-Cambodia conflict. The Lifestyle business continued to grow well, with Café Amazon sales rising to 117 million cups. Analysts from Krungsri Securities and Land & Houses Securities expect OR to return to profit in the third quarter of 2026 as oil stock pressure eases, and recommend buying with a highest target price of 16.10 baht.

Analysts expect PTT to report a record net profit of 49 billion baht for the second quarter of 2026 on August 13, driven by strong gas and exploration and production businesses amid higher oil prices and Middle East supply concerns, as well as gains from oil price hedging contracts that reversed from losses in the previous quarter. Meanwhile, four of the seven subsidiaries under PTT Group have already announced their second-quarter 2026 results, with PTTGC standing out with a net profit of 12.208 billion baht, swinging from a loss a year earlier and surging 278 percent from the previous quarter. PTTEP posted a net profit of 27.197 billion baht, up 101 percent year-on-year. GPSC reported a net profit of 1.8191 billion baht, down 9.91 percent year-on-year but up 6 percent from the prior quarter. OR was the weakest performer, swinging to a net loss of 1.77495 billion baht from a profit of 2.2318 billion baht a year earlier and a profit of 2.414752 billion baht in the first quarter of 2026. Analysts at Trinity Securities said the overall performance of PTT Group was much better than market expectations, especially PTTGC and PTTEP, which will be key profit contributors driving PTT's results higher as well. For the third quarter of 2026 outlook, the refining group still has positive factors from Brent crude oil prices above 80 dollars per barrel and expected strong refining margins, with top picks being TOP with a target price of 61 baht and PTTGC with a target price of 46.50 baht.

Krungsri Securities Public Company Limited stated that OR's performance in the second quarter of 2026 was a heavier loss than analysts and the market had expected, with a net loss in 2Q26 of 1.775 billion baht, compared to a net profit of 2.232 billion baht in 2Q25 and 2.415 billion baht in 1Q26. Excluding extraordinary items, the normalized loss would be approximately 2.108 billion baht, compared to a normalized profit of 1.928 billion baht in 2Q25 and 4.612 billion baht in 1Q26. The Global business was weaker than expected due to oil stock losses, with a non-cash NRV loss of 756 million baht, and the Mobility business posted sales volume of 5.558 billion litres, down 13 percent year-on-year and 16 percent quarter-on-quarter. Gross profit per litre was approximately 0.24 baht, down 72 percent year-on-year and 78 percent quarter-on-quarter, due to a large stock loss of over 11 billion baht, which included a non-cash NRV loss of approximately 1.8 billion baht. Meanwhile, the Lifestyle business grew year-on-year, with sales volume increasing 9 percent year-on-year and 4 percent quarter-on-quarter. Analysts expect 3Q26F to recover from the previous quarter, in both Mobility sales volume and margins, with normalized profit in the first half of 2026 accounting for 28 percent of the full-year estimate of 9.039 billion baht, which is down 13 percent year-on-year. The recommendation remains buy, with a target price of 15.2 baht per share, and the view that the period of pressure from 2Q26, which is the low point of the year, presents a buying opportunity for long-term recovery.

Gulf Energy Development Public Company Limited, or GULF, reported a record-high operating profit of 12.3 billion baht in the second quarter of 2026, up 74% from the same period last year, driven by its energy business and share of profit from ADVANC. In the second half, it plans to start commercial operation of an additional 700 megawatts of power plants and targets 12-15% growth in total revenue and EBITDA this year. ADVANC announced a second-quarter 2026 profit of 13.7 billion baht, up 25%, with its 5G user base surpassing 19.7 million and an interim dividend of 8.69 baht per share. TRUE is still awaiting clarity on the China Mobile issue. OR swung to a loss of over 1.77 billion baht in the second quarter of 2026 due to inventory valuation losses from falling global oil prices, even though revenue grew to 205 billion baht and Cafe Amazon achieved record sales of 117 million cups. MEDEZE reaffirmed its leadership in stem cell banking with international standards. NER is confident that third-quarter 2026 results will recover in line with rubber prices, despite cutting its sales volume target to 440,000-450,000 tons while maintaining its 2026 revenue target of 30 billion baht. KUN reported first-half revenue of 278 million baht, up 40%, driven by demand for detached houses priced at 5 million baht and above. TEKA reported a 66.8% surge in first-half 2026 profit to 40.46 million baht, with revenue exceeding one billion baht. SYNEX announced a second-quarter 2026 net profit of 224 million baht, up 17.8%, and an interim dividend of 0.10 baht per share, with the XD date set for August 19. PCE is confident that the palm oil industry will be supported by global palm prices and B7-B20 policies. TMI is accelerating resolution of power plant issues and sustaining its lighting equipment business. SPVI is unfazed by Apple's iPhone price adjustments, noting that it supports margins through selling price adjustments. POLY is benefiting from TOYOTA's sales dominance in the Thai auto market, pushing the revenue share of its automotive group past 60%. ALPHAX is expanding into the Lao financial sector with digital transformation and AI. AURA is preparing to offer its first bond issuance of 2026 to expand its gold ornament sale-with-repurchase portfolio.

PTT Oil and Retail Business Public Company Limited, or OR, reported a net loss of 1.8 billion baht for the second quarter of 2026, swinging from a net profit of 2.4 billion baht in the previous quarter. The main driver was the Mobility business, which recorded an EBITDA loss of 1.3 billion baht as the average gross profit per liter fell to 0.24 baht, weighed by oil stock losses including net realizable value adjustments totaling as high as 11 billion baht. Domestic oil sales volume dropped 16.2 percent from the prior quarter. The Global business posted an EBITDA loss of 512 million baht, while the Lifestyle business saw EBITDA edge down to 2.0 billion baht. Research analysts estimate full-year 2026 net profit at 6.0 billion baht, down 47.3 percent from the previous year, and expect net profit in the third quarter of 2026 to recover as gross margins return to around 1 baht per liter, with a 2026 target price of 13.8 baht per share.

PTT Oil and Retail Business Public Company Limited, or OR, reported a second-quarter 2026 net loss attributable to majority shareholders of 1.77 billion baht, reversing from a profit of 2.23 billion baht in the same period last year. Sales and service revenue came in at 205.67 billion baht, up 16.8 percent from the previous quarter, but EBITDA plunged 99.3 percent to just 53 million baht, pressured by volatile energy prices and slowing demand. Meanwhile, the Lifestyle business continued to grow, with Cafe Amazon achieving a record-high sales volume of 117 million cups. For the first half of the year, OR posted total revenue of 381.79 billion baht, a 9.2 percent increase, but net profit shrank to 639.80 million baht from 6.61 billion baht a year earlier. The company is pressing ahead with investments in future businesses, including EV Station PluZ charging stations, digital platforms, and the expansion of restaurant partnerships with The Minor Food Group, to drive long-term growth.

Bualuang Securities expects robust profit growth for the energy sector in the second quarter of 2026, with core profit for stocks under its coverage totaling 110 billion baht, up 191 percent from a year earlier and 28 percent from the previous quarter. Net profit is projected at 89 billion baht, rising 138 percent year-on-year and 9 percent quarter-on-quarter, supported by high refining margins. The refinery group leads the recovery, while PTT is boosted by its gas, exploration and production, refinery, and petrochemical businesses. PTTEP benefits from higher sales volume and average selling prices, along with lower unit costs, and BANPU gains from strong coal and gas operations. Only OR is expected to see weaker profit due to lower oil sales and marketing margins. The research team has raised its full-year 2026 net profit forecast for the sector by 24 percent to 293 billion baht. For the third quarter of 2026, although profit is still expected to grow year-on-year, it is likely to soften from the previous quarter as energy prices and refining margins begin to decline. This comes as oil supply is set to increase from OPEC+, the UAE, and Iran, coupled with expectations of the reopening of shipping routes through the Strait of Hormuz, while coal prices are trending lower on reduced demand. The research team favors PTT the most in the sector, citing its diversified profit structure across multiple businesses, which delivers strong cash flow and dividends.

The SET50 Index Futures contract S50U26 declined today, pressured by sharp drops in telecom and energy stocks. TRUE, for instance, saw its share price fall heavily despite strong profit growth, as the market had already absorbed the positive news and the company lowered its revenue growth target for this year. This was compounded by concerns over another round of selling in China Mobile, which dragged ADVANC lower as well. Meanwhile, energy stocks such as PTT, PTTGC, TOP, and OR fell in line with crude oil prices. In the afternoon, the index hovered at low levels after failing to rebound past the sideways-down range, prompting investors to await directional factors for Thai equities, including the Middle East conflict and the US and Japan's intervention in the yen, which could affect the baht. Gold prices rose nicely, supported by easing Middle East tensions and safe-haven buying, after Goldman Sachs noted that hedge funds in Asian equities could face heavy losses in July from tech stock sell-offs, coupled with a weaker dollar following the yen intervention. However, these positive factors are seen as short-term only.

PTT Oil and Retail Business Public Company Limited, or OR, disclosed that it has already used 48 billion baht of the capital raised from its initial public offering, out of the total net proceeds of 53.497 billion baht as of 30 June 2026. OR offered 3 billion IPO shares at a price of 18 baht per share, receiving net proceeds after deducting offering expenses totalling 53.497 billion baht.

Krungsri Securities expects OR to report a net loss of around 1.62 billion baht in the second quarter of 2026, swinging from a profit of 2.232 billion baht in the second quarter of 2025 and 2.415 billion baht in the first quarter of 2026. Excluding extraordinary items, the normalized loss would be around 1.57 billion baht, worse than previously estimated due to larger-than-expected oil stock losses. The Mobility business posted sales volume of 5.569 billion liters, down 13 percent from a year earlier and 16 percent from the previous quarter. Gross profit per liter fell to just 0.27 baht, down 68 percent year-on-year and 75 percent quarter-on-quarter, driven by falling oil prices that caused stock losses of over 11 billion baht, along with a non-cash inventory valuation loss of another 2.4 billion baht. However, the Lifestyle business continued to grow, with coffee sales volume rising 9 percent from a year earlier and 4 percent from the previous quarter. The research team expects a return to profit in the third quarter of 2026, with Mobility gross profit per liter recovering to 1.1 to 1.2 baht after the reversal of inventory valuation losses and a recovery in sales volume as competition eases. The recommendation remains buy with a target price of 14.5 baht per share, viewing the second quarter of 2026 as the low point of the year.

Prime Minister Anutin Charnvirakul has assigned policy to review the Land Bridge project approach while accelerating the filling of gaps in the transport network that remain unconnected. A spokesperson for the Prime Minister's Office stated that countries which connect their networks for immediate use will capture trade and investment amid risks from Middle East conflicts. The heart of the strategy is to complete the North-South Economic Corridor, linking China, Laos, Thailand, Malaysia, and Singapore, especially the Chiang Khong–Nateuy–Mohan railway project. Meanwhile, the CEO of CIVIL assessed that the second half of 2026 will be brighter than the first half, with nine projects worth over 4.1 billion baht ready for delivery and a backlog as high as 14.6 billion baht, supporting revenue recognition through 2029, while proceeding to bid for new work worth approximately 4 billion baht. On the banking front, KTB reported second-quarter 2026 net profit growth of 9 percent to 12.125 billion baht, with first-half profit rising to 24.562 billion baht, but the president noted the economy remains K-shaped, with many people still stuck on the side of weak purchasing power and high living costs. As for SCGD, it is moving to upgrade products from sanitary ware to smart sanitary ware through its subsidiary SSW, signing a joint venture with Axent Switzerland AG at a ratio of 51 to 49, establishing a joint venture company with registered capital of 80 million baht, targeting commercial production by April 2027. Meanwhile, OR is cutting unnecessary limbs, with the board approving the dissolution of two indirect subsidiaries in Laos and Vietnam, held through PTTOR International Holdings Singapore, expected to complete deregistration within 2027.