TISCO Financial Group Public Company Limited

TISCO Asset Management sets a base-case target for the SET Index at around 1,650 points, viewing that heavy buying from foreign investors attending Thailand Focus will help build momentum for the Thai stock market, even though the overall upside for the index is becoming limited. Therefore, it assigns a Neutral investment weight and emphasizes a Sector Rotation strategy rather than expecting broad gains. It sees fund rotation starting from large-cap stocks, especially banks, before moving into commerce groups, and in the next phase, there is a chance funds will flow into domestic plays such as tourism and hospitals, as well as mid- and small-cap stocks that have not fully recovered. Meanwhile, the energy sector continues to be supported by high profit and dividend prospects.

SCB X Bank (SCB) has announced an interim dividend of 2 baht per share, paid from retained earnings, with the XD date set for September 8, 2026, and payment on September 25, 2026. Meanwhile, KGI Securities (Thailand) expects most banks to pay interim dividends at 15-20% of their full-year dividend, except TTB, which may pay up to 50%. KKP is expected to increase dividends strongly, driven by a 65% profit growth in the first half. For 2026, KTB is expected to have a payout ratio of 80%, and KBANK 65%. KBANK paid a special dividend of 2 baht per share in 2025. Despite recent share price increases, dividend yields for SCB, KKP, KTB, and TISCO remain above 6%. KGI Securities prefers KBANK, KTB, and KKP due to strong earnings support and solid financial positions.

KGI Securities views that commercial banks will gradually pay interim dividends for the first half of 2026, expecting KKP and TTB to offer attractive yields. Meanwhile, SCB, KKP, KTB, and TISCO have full-year dividend yields exceeding 6%. TTB has announced an interim dividend of 0.081 baht per share, with the XD date on September 7, 2026, and payment on September 25, 2026. KGI expects KKP to pay a total dividend of 7.65 baht per share for 2026, representing a yield of 6.7%; KTB to pay 2.73 baht per share, yielding 6.2%; SCB to pay 11 baht per share, yielding 7.2%; and TISCO to pay 7.75 baht per share, yielding 6.2%. Meanwhile, KBANK is expected to pay 14.50 baht per share, yielding 5.7%; BBL to pay 10 baht per share, yielding 5.3%; and TTB to pay 0.14 baht per share, yielding 4.9%. KGI continues to favor KBANK and KTB over other banks, citing that loan recovery and net interest margin (NIM) have bottomed out and will support performance. KKP is also favored due to strong profit growth of 65% year-on-year in the first half of 2026 and the potential for credit costs to fall below 1%.

At least eight Thai listed companies announced interim dividend payments following board meetings on August 25, 2026, with most setting the XD date between September 7-9. Leading the way, BCP pays 3.00 baht per share, followed by TISCO at 2.00 baht, RATCH at 0.70 baht, TIPH at 0.50 baht, OR at 0.30 baht, HMPRO at 0.16 baht, TTB at 0.081 baht (up 23% from last year), and CIMBT at 0.0385 baht. RATCH's total payout is approximately 1,522.50 million baht, while OR's total is 3,600 million baht.

Two major shareholders of TISCO Financial Group, or TISCO, namely Dew Weerawat Walaistien and Sianhong Sathaporn Ngamruangphong, are set to receive interim dividends totaling more than 32.38 million baht. This follows the company's board resolution to pay a dividend of 2 baht per share, with the XD date set for September 7 and the payment date on September 21, 2026. Dew, who holds 9,500,000 shares, will receive 19 million baht in dividends, while Sianhong, holding 6,690,400 shares, will receive 13.38 million baht.

TISCO Financial Group Public Company Limited, or TISCO, has announced a cash dividend of 2 baht per share from the operating period of January 1, 2026 to June 30, 2026, and from retained earnings. The ex-dividend date is set for September 7, 2026, and the dividend payment date is September 21, 2026.

Finansia Syrus Securities said commercial bank loans under its coverage expanded 0.1% month on month in July 2026, bringing overall growth to 2.4% from the same period a year earlier and 2.6% since the start of the year, above its full-year estimate of 1.7%. Krung Thai Bank, or KTB, posted the strongest monthly loan growth at 2.1%, followed by Kiatnakin Phatra Bank, or KKP, up 1.1%, and Tisco Financial Group, or TISCO, up 0.1%. Bangkok Bank, or BBL, Kasikornbank, or KBANK, SCB X, or SCB, and TMBThanachart Bank, or TTB, saw loan contraction. Loan growth was concentrated mainly in state enterprise and business loans, supported by demand for production credit, inventory build-up from higher oil prices, and various investment projects. Retail loans were mixed, with housing loans, personal loans, and some secured loans still growing. Total deposits in July rose 0.6% from the previous month, 4.3% from a year earlier, and 2.0% since the start of the year, growing faster than loans and leaving the group's loan-to-deposit ratio at a comfortable 83.2%. KBANK, KKP, KTB, SCB, and TTB all recorded deposit growth, especially in current and savings accounts. FSS expects banking group earnings to remain strong during 2026 to 2028, as fee income from wealth management and capital markets, cost control, and good asset quality help offset softer net interest income. Strong business loan demand and well-managed funding costs are also supportive of net interest margins. Third-quarter 2026 profit is expected to be flat or slightly higher than the previous quarter. FSS picks BBL with a target price of 240 baht and KTB with a target price of 47.30 baht as top picks. It also maintains buy ratings on KKP with a target price of 125 baht, KBANK at 265 baht, TTB at 3.05 baht, and SCB at 170 baht, while recommending a hold on TISCO with a target price of 132 baht, citing an attractive average dividend yield of about 5% per year.

TASCO has resumed importing crude oil from Venezuela with one cargo, through an intermediary licensed by the United States, as it still cannot buy directly from PDVSA, and is studying additional procurement channels. The company maintains its 2026 sales target of 1.15 million tonnes, focusing on managing high margins and retaining its customer base. Meanwhile, Tisco Securities has raised its 2026 to 2028 profit estimates by 17%, 10% and 11% respectively, and lifted its target price to 20 baht from 16.50 baht, with a buy recommendation.

Tisco Securities said combined profits of Thai listed companies in the second quarter of 2026 came in at 390 billion baht, up 13% from a year earlier and 12% from the first quarter, marking a new record high for two consecutive quarters. The energy, ICT, and petrochemical sectors grew strongly, while food and transport weakened. The firm raised its market earnings per share forecast for this year to 110.4 baht and for next year to 115.1 baht, the highest on record, and views Thai stocks as still not expensive. Excluding Delta Electronics, the 12-month forward price-to-earnings ratio would be 12.5 times, while nearly 60% of stocks still trade below book value and the average dividend yield is almost 4%. Tisco Securities maintained its SET Index target at 1,670 points for this year and 1,714 points for next year, and recommended four themes for short-term trading stock selection: stocks whose earnings are likely to be revised up, tourism stocks, stocks participating in Thailand Focus, and high-dividend stocks yielding more than 2% with upside of more than 10%.

Tisco Auto Cash has launched the 'Consolidate Debt, Pay Comfortably in One Place' campaign to help customers combine high-interest debt, both formal and informal, into a single place. The campaign offers a credit line of up to 100% of the car's appraised value, a fixed interest rate starting at 0.49% per month, and a maximum installment period of 72 months. Ms. Wipa Mettaviharee, Director of the Multi-Purpose Lending and Direct Sales Department at Tisco Bank Public Company Limited, revealed that household debt remains a major challenge for Thais in 2026. The latest data shows that 78.86% of Thais have formal debt, while 13.72% have both formal and informal debt, and another 7.43% have only informal debt. This campaign is suitable for those who want to pay off credit card debt, high-interest personal loans, or those who can no longer afford minimum payments. Customers can use sedans, pickup trucks, and trucks as collateral without transferring the vehicle registration book. The combined age of the car and the installment period must not exceed 25 years, and early repayment or account closure is allowed. Applications are open from today until December 30, 2026.

Pi Securities assesses that eight commercial banks will pay high interim dividends, with the full-year average dividend yield for the banking group expected at 5.7%, excluding special dividends. Thanadech Rungsrithananon, Director of Research at Pi Securities, notes that SCB, KKP, and TISCO will have dividend yields of no less than 6%. SCB is expected to pay 10.42 baht per share for the full year, representing 6.8%. KKP is expected to pay 7.50 baht per share, representing 6.3%. TISCO is expected to pay 7.75 baht per share, representing 6%. For BBL, despite a decline in profit, it is still expected to pay the same 10 baht per share for the full year, representing 5.3%. KBANK is expected to pay 12 baht per share for the full year, representing 5.1%. Meanwhile, KTB is expected to pay 2.09 baht per share, representing 5%. TTB is expected to pay 0.13 baht per share, representing 4.6%. CREDIT is expected to pay 1.05 baht per share, representing 4.5%. BAY is expected to pay 1.40 baht per share, representing 3.5%. Regarding the profit trend for the second half of the year, Thanadech views that if capital market income is excluded, profits will not be spectacular, as net interest margins are starting to stabilize and loans may rise slightly in line with private sector investment.

Tisco Securities expects the power plant sector to report strong second-quarter 2025 results, with combined net profit of the companies under its coverage, excluding RATCH, estimated at approximately 15.7 billion baht, up 26 percent from the previous quarter but down 77 percent from the same period last year due to a high base that included extraordinary items from GULF's merger. GULF is expected to post the most outstanding profit growth from the prior quarter, with core profit forecast to rise 74 percent year-on-year, driven by dividends from KBANK, seasonally better performance at its IPP power plants, and the restart of the Jackson power plant in the United States. EGCO is forecast to report net profit of 841 million baht, down from both the previous quarter and the same period last year, weighed by weaker results at the Paju power plant in South Korea, the Yunlin wind farm in Taiwan, and projects in the United States, as well as the impact of a power purchase agreement change at the Quezon plant in the Philippines. GPSC's net profit is expected to increase 5 percent from the prior quarter but decline 11 percent year-on-year, supported by the restart of the GHECO-One plant, while its SPP business continues to face pressure from higher natural gas and coal costs. BGRIM is forecast to report net profit of 656 million baht, down from the previous quarter but up significantly from a year earlier, as it laps large foreign exchange losses, although pressure persists from rising natural gas costs and credit losses in Vietnam. Tisco maintains a positive view on the power plant sector, recommending a buy on GULF with a target price of 82 baht, EGCO with a target of 144 baht, and GPSC with a target of 51 baht, while recommending a hold on BGRIM with a target of 14.80 baht, and picks GULF as the top stock in the group.

TISCO has revealed its business plan for the second half of the year, focusing on its wealth business and tightening credit to manage risks from inflation and oil prices. Senior Executive Vice President Chatree Chantarasombut said that if oil prices surge past 100 dollars per barrel, it will affect income and provisioning burdens, but if they stay within the 70 to 90 dollar per barrel range, the business direction will be similar to the first half. The company has slowed lending to high-risk segments since last year, leading to improved asset quality, and has set aside provisions in advance. Meanwhile, its electric vehicle loans have maintained a market share of more than 10 percent in the EV brand segment. Under the JUMP+ plan, the company targets a return on average equity of 15 to 17 percent over three years, having achieved 16.3 percent in the first half, and is deploying an AI Virtual Coach to boost efficiency. It aims for 165,000 new retail customers in 2026, with 99,000 achieved in the first half, or 60 percent of the target, mostly from insurance products. For the Wealth Ecosystem, it has developed a Goal-Based Financial Planning platform, targeting 34,500 Financial Wellbeing customers, with 16,700 achieved in the first half, or 48 percent of the target. Second-quarter 2026 net profit was 1.764 billion baht, up 7.3 percent from a year earlier, and first-half net profit was 3.497 billion baht, up 6.4 percent, driven by a recovery in core businesses.

TISCO is moving forward with expanding electric vehicle loans after capturing more than 10 percent market share, while building partnerships with multiple brands. The Senior Executive Vice President revealed that the second half of 2026 will grow in line with the economy, but the bank will maintain tight credit controls for vulnerable segments due to rising living costs. The company targets a 6 to 7 percent increase in products within its financial ecosystem and is watching for 2027 to prepare for a shift in interest rates. If rates rise twice or more, it will pressure the net interest margin.

TISCO Economic Strategy Unit says oil prices in the market still do not fully reflect tight supply conditions. The gap between market prices and fair value, which it estimates at around 100 US dollars per barrel, has widened to 30 to 40 percent, marking one of the periods when oil prices are most below fair value on record. The main reason is extremely negative investor sentiment at historic extremes. The long-to-short ratio at the end of June fell to just 0.2 times, far below the normal range of 2 to 5 times, and even below the 0.3 times seen during the COVID crisis. Meanwhile, US crude oil inventories have fallen by more than 190 million barrels since the start of the year, which is 225 million barrels below the normal trend level, reflecting a more severe supply-demand imbalance than during the COVID crisis. TISCO ESU therefore sees the risk to oil prices as significantly skewed to the upside going forward, and recommends an overweight position in energy stocks, while maintaining a positive overall view on commodities.

Eleven Thai commercial banks reported combined net profit for the first half of 2026 at 134.043 billion baht, down 0.34% from the same period last year. Kasikornbank posted the highest net profit at 27.915 billion baht, up 6.22%, while Krungthai Bank recorded net profit of 24.562 billion baht, up 7.6%, and SCB X reported net profit of 21.312 billion baht, down 16%. Bangkok Bank had net profit of 20.491 billion baht, down 16.21%, and Bank of Ayudhya posted net profit of 16.912 billion baht, up 6.8%. Among mid-sized banks, TMBThanachart Bank reported net profit of 10.683 billion baht, up 6%, Kiatnakin Phatra Bank posted net profit of 4.078 billion baht, up 65%, Tisco Bank had net profit of 3.497 billion baht, up 6.4%, LH Financial Group reported net profit of 1.538 billion baht, up 37.32%, and CIMB Thai posted net profit of 1.488 billion baht, up 47.03%.

The second-quarter earnings of the commercial banking group came in better than market expectations, mainly supported by lower provisions and improved fee income. After TISCO and TTB reported their results, analysts at Yuanta Securities noted that the easing situation in the Middle East helped reduce provisions, while the bancassurance and mutual fund businesses gained better momentum. However, the second-half trend is expected to slow due to seasonal factors and an unusually high revenue base earlier in the year. On investment strategy, they recommend taking profits in tranches or short-term speculation, highlighting SCB and KBANK as top picks for their high dividends and potential target price upgrades. Meanwhile, Kasikorn Securities favors BBL, KTB, KKP, and BAY, expecting loans to return to slight growth and asset quality to strengthen.