VGI Public Company Limited

VGI reported net profit for the first quarter of fiscal 2026/27 at 261 million baht, up 484% from 45 million baht in the same period last year. The sharp increase came mainly from share of profit from investments in joint ventures and associates, which rose to 173 million baht from 28 million baht in the first quarter of fiscal 2025/26. Service and sales revenue was 1.14 billion baht, up only 2.3%, comprising 444 million baht from advertising media, down 2.3%, 433 million baht from digital services, up 7.6%, and 263 million baht from distribution, up 2%. VGI booked no investment impairment this quarter because it has already sold its stake in Kerry Express Thailand. Jaymart Group Holdings, in which VGI holds a 13.53% stake, saw improved performance, with second-quarter 2026 net profit of 213 million baht, up 91.9% from 111 million baht a year earlier. As of 30 June 2026, VGI had cash and cash equivalents and other current financial assets totalling more than 20.84 billion baht and no interest-bearing debt.

BTS Group Holdings reported first-quarter fiscal 2027 operating revenue of THB6.1 billion, up 5% year-on-year, while a net loss of THB388 million attributable to shareholders persisted. Recurring EBITDA rose 3% to THB2.8 billion, and the balance sheet strengthened with adjusted net debt-to-equity improving to 1.3 times from 1.4 times. The MIX business saw net profit excluding nonrecurring items jump 92% year-on-year, driven by digital services and distribution, while ROCTEC achieved 11% revenue growth and a 12.4% net profit margin. However, MOVE operating revenue fell 12% due to the absence of construction revenue from the completed Pink Line extension, and BTSGIF share of profit dropped 47% on fund investment amortization. Management highlighted the government's common ticketing scheme targeting January 1, 2027, and VGI's confidence in achieving its THB5 billion to THB5.5 billion revenue target.

Krungsri Securities has raised its profit forecasts for VGI Public Company Limited, or VGI, for 2027 to 2029 after first-quarter results for fiscal 2026 recovered with net profit of more than 261 million baht, beating expectations. The broker increased its estimate of share of profit from associates by 50 to 60 percent to 500 to 600 million baht per year, mainly driven by the recovery at JMART, and slightly raised gross profit for the core business by 11 to 13 percent, reflecting better-than-expected trends at RCare, RCash and RBytes. The research team lifted normalized profit forecasts for 2027 to 2029 to 460 million baht, 437 million baht and 445 million baht respectively, from 173 million baht, 174 million baht and 191 million baht previously. It maintained a Neutral rating but raised the 2027 target price to 1.19 baht from 1.00 baht, noting that the core business is still not strong, but is supported by share of profit from associates and has net cash of more than 20 billion baht ready for investment, with management expecting clarity by the end of this year.

VGI Public Company Limited, or VGI, reported net profit for the first quarter of fiscal year 2026/27 at 261 million baht, swinging from a net loss of 1.271 billion baht in the previous quarter and rising 484% from a year earlier. The result included an extraordinary item from a reversal of expected credit loss allowance of 86 million baht. Excluding that item, normalised profit was 175 million baht, compared with a normalised loss of 107 million baht in the previous quarter and normalised profit of 45 million baht a year earlier. The strong growth was driven mainly by higher share of profit from investments in PLANB and JMART, as well as a gain on disposal of an investment in an associate, which was a non-recurring item. Revenue from services and sales was 1.14 billion baht, up 1.5% from the previous quarter and 2.3% from a year earlier. Digital Services revenue was 433 million baht, up 7.6% from a year earlier, supported by insurance commission and lead generation revenue at Rabbit Care, as well as higher Rabbit Cash revenue following loan portfolio expansion. Media advertising revenue was 444 million baht, down 2.3% from a year earlier, with media utilisation at 49.1%, down from 51.0% a year earlier. Distribution revenue was 263 million baht, up 2.0% from a year earlier, helped by high-margin product sales at Rabbit Bytes, despite softer retail revenue at Turtle. Gross margin rose to 36.3% from 31.4% in the previous quarter but was stable from a year earlier. Selling, general and administrative expenses were 478 million baht, down 7.2% from a year earlier, due to the 86 million baht reversal of expected credit loss allowance. Excluding that item, selling, general and administrative expenses would have been 564 million baht, up 9.5% from a year earlier, and core operating results before other income would have shown a loss of 151 million baht, wider than the loss of 114 million baht a year earlier. Share of profit from joint ventures and associates rose to 173 million baht, up 523% from a year earlier, reflecting a full quarter of profit recognition from PLANB after it became an associate on 24 July 2025, as well as higher share of profit from JMART and a gain on disposal of an investment in an associate, which was a non-recurring item. The shareholders' meeting approved the elimination of accumulated losses of 2.327 billion baht on 17 July 2026 by transferring capital reserves and share premium to offset the deficit. This is expected to be reflected in the second quarter of fiscal year 2026/27 ending September 2026. It does not affect total shareholders' equity, but it clears the way for the company to consider paying dividends in the future. At the end of the first quarter, the company had cash, cash equivalents and other current financial assets totalling 20.843 billion baht, or about 1.0 baht per share. In addition, its 24.13% stake in PLANB was worth about 0.23 baht per share.