Thailand Earnings Results 12 2557 : T-BUY ( ก ). ก ก (NOK) CGR Scoring Rating - ( ): 17.10 ( ): 18.00 ( ก 22.00) http://www.maybank-ke.co.th (02) 658-6300 ( 9 2557) Description : ก ก ก กก ก ก (Low cost carriers - LCC) Ticker : NOK ก () 625 ( ) 10,688 (US$ m) 327.44 3-mth Avg Daily Turnover ( ) 58.05 SET INDEX 1,377.37 Free float (%) N.A. Major Shareholders : %.ก 39.20 STATE STREET BANK EUROPE LIMITED 6.76 Key Indicators ROE annualised (%) 13.9 Net cash (THB m): 2,679 NTA/shr (THB): 7.6 Interest cover (x): 19.8 ก กก ก ก 1Q57 : ก NOK ก 41 72% QoQ 90% YoY ก 64% ก ก ก ก ก ก ก ก ก. ก ก ก ก ก ก ก ก ก cabin factor NOK 1,630-12% QoQ YoY ก cabin factor 79.9% ก ก 87.6% ก 3% QoQ 10% YoY ก ก 11.2% 4Q56 20.1% 1Q56 6.0% ก NOK ก กก 50% ก ก ก 2Q57 : ( AOT).. 8% MoM.. ก ก ก ก -ก ก QoQ YoY ก ก ก ก 260 ก : กก 1Q57 4% ก ก ก ก กก ก ก 3 ก ก NokScoot ก 43 กก ก 2557 กก 36% 657 ก PER14F ก 14.3 12 18.00 / upside 5% dividend yield 3% ก ก ก ก ก ก ก : ก, ก ก Historical Chart 0-5 -10-15 -20 May-13 Jul-13 Performance Sep-13 Nov-13 NOK Jan-14 SET Mar-14 May-14 52-week High/Low THB 29.75/THB 17.00 1-mth 3-mth 6-mth 1-yrs YTD Absolute (%) -6.6-6.0-28.8 #N/A -10.0 Relative (%) -6.4-11.6-27.3 #N/A -15.1 NOK Summary Earnings Table FYE: Dec 31 (THB m) 2011 2012 2013 2014F 2015F Revenue 6,039 8,218 11,180 12,653 16,755 EBITDA 286 528 1,015 839 1,607 Recurring Net Profit 200 505 1,066 657 1,135 Net profit 200 505 1,066 657 1,135 EPS (Bt) 0.40 1.01 1.88 1.05 1.82 EPS growth (%) (66.7) 152.5 86.1 (44.1) 72.7 DPS (Bt) 0.22 1.10 1.03 0.53 0.91 PER 42.8 16.9 9.1 16.3 9.4 EV/EBITDA (x) 29.2 15.7 9.0 14.1 7.3 Div Yield (%) 1.3 6.4 6.0 3.1 5.3 P/BV(x) 10.72 9.63 2.14 2.25 1.97 Net Gearing (%) cash cash cash cash cash ROE (%) 25.1 56.8 23.5 13.9 20.9 ROA (%) 9.9 22.4 17.0 8.4 12.4 Cons. Net Profit (THB m) 200 505 1,066 1,007 1,397 Source: Company reports and MBKET. SEE APPENDIX I FOR IMPORTANT DISCLOSURES AND ANALYST CERTIFICATIONS
Quarterly income statement (Btmn) 1Q14 4Q13 QoQ 1Q13 YoY Revenues 3,096 3,048 1.6% 2,811 10.1% ขยายต วจากก าล งการผล ตเพ ม 29% YoY COGS 2,910 2,708 7.4% 2,247 29.5% Gross profits 186 340 (45.2%) 564 (67.0%) Gross profit margin % 6.0% 11.2% -46.1% 20.1% (70.0%) Cabin factor หดแรง, บาทอ อน, Yield หด SG&A 176 242 (27.3%) 147 19.5% Operating profit 10 98 (89.6%) 417 (97.5%) Operating margin (%) 0.3% 3.2% - 14.8% - EBITDA 23 111 (90.8%) 430 (97.6%) EBITDA margin (%) 0.7% 3.6% - 15.3% - Interest expense - - n.m. - n.m. Normalised earning 41 146 (71.9%) 416 (90.2%) Extra ordinary gain (loss) - Forex gain (loss) - - n.m. - n.m. - Reverse/ provision/ impairment - - n.m. - n.m. Net profit 41 146 (71.9%) 416 (90.2%) EPS (Bt) before extra item 0.07 0.26 (74.5%) 0.83 (92.1%) EPS (Bt) 0.07 0.26 (74.5%) 0.83 (92.1%) Source : Company reports and MBKET Key data 1Q14 4Q13 QoQ 1Q13 YoY Available Seat Kilo (ASK mn) 1,306 1,202 8.6% 1,014 28.8% Revenue Passenger Kilo (RPK mn) 1,044 944 10.5% 889 17.4% Cabin factor (%) 79.9% 78.6% - 87.6% - Avg. fare (Bt/ passenger) 1,630 1,843 (11.6%) 1,854 (12.1%) Pax. yield (Bt/ pax km.) * 2.76 3.04 (9.3%) 2.99 (7.6%) Passenger carried ('000) 1.77 1.56 13.5% 1.43 23.8% Jet fuel oil price (USD/ bbl) 121.3 123.4 (1.7%) 127.8 (5.1%) Source: Company reports and MBKET, * including fuel surcharged Figure 1 : Cabin factor & Avg. fare trend Figure 2 : Core profit & GPM trend Cabin factor 100% 95% 90% 85% 80% 75% 70% 88% 86% 87% 83% 84% 85% 84% 79% 80% 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 Bt/ pax Bt mn 500 400 300 200 100 - Core profit GPM political unrest started 25.0 20.0 15.0 10.0 5.0 0.0 % 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 Source: company report Source: company report & MBKET Figure 3 : Pre & Post assumption 2012 2013 2014F 2015F Pre Post % Chg Pre Post % Chg Passengers (mn) 4.1 5.9 7.1 7.1 0.0% 8.8 9.0 2.0% Cabin factor (%) 84.2% 84.0% 80.2% 80.2% 80.2% 81.8% MASK 2,916 4,247 5,328 5,328 0.0% 6,660 6,660 0.0% MRPK 2,456 3,567 4,274 4,274 0.0% 5,342 5,449 2.0% Avg. Fare (Bt/ pax) 1,876 1,788 1,661 1,661 0.0% 1,694 1,710 1.0% Passenger yield 3.19 2.96 2.81 2.81 0.1% 2.87 2.90 0.9% Avg. Jet fuel price (USD/ bbl) 125.7 126.9 124.0 124.0 0.0% 124.0 124.0 0.0% F/X 31.08 30.73 32.00 32.60 1.9% 32.00 32.00 CASK 2.65 2.39 2.46 2.51 2.0% 2.50 2.57 2.9% Gross profit margin 12.7% 15.2% 13.7% 11.4% 13.0% 13.1% Nok Scoot impact 0 (43) 0 (185) Norm profit 505 1,066 1,033 657-36.4% 1,293 1,135-12.2% Target price (Bt/ mn) 22.00 18.00-18.2% source : MBKET 12 2557 2 ก 8
INCOME STATEMENT (THB mn) BALANCE SHEET (THB mn) FY December 2012 2013 2014F 2015F FY December 2012 2013 2014F 2015F Revenue 8,218 11,180 12,653 16,755 Fixed Assets 81 93 2,159 3,015 EBITDA 528 1,015 839 1,607 Other LT Assets 74 155 1,053 1,369 Depreciation & Amortisation 50 51 198 273 Cash/ST Investments 1,657 5,365 3,975 4,071 Operating Profit (EBIT) 478 965 641 1,334 Other Current Assets 441 659 672 697 Interest (Exp)/Inc - - (32) (76) Total Assets 2,252 6,272 7,858 9,152 Associates * - - (43) (185) One-offs - - - - ST Debt - - - - Pre-Tax Profit 520 1,099 722 1,361 Other Current Liabilities 1,271 1,581 1,870 2,027 Tax (15) (33) (22) (41) LT Debt - - 1,096 1,544 Minority Interest - - - - Other LT Liabilities 93 147 149 150 Net Profit 505 1,066 657 1,135 Minority Interest - - - - Recurring Net Profit 505 1,066 657 1,135 Shareholders' Equity 888 4,543 4,744 5,431 Total Liabilities-Capital 2,252 6,272 7,858 9,152 Revenue Growth % 36.1 36.0 13.2 32.4 EBITDA Growth (%) 84.8 92.2 (17.3) 91.5 Share Capital (m) 500 568 625 625 EBIT Growth (%) 88.1 101.8 (33.5) 108.0 Gross Debt/(Cash) - - 1,296 1,744 Net Profit Growth (%) 152.5 111.3 (38.4) 72.7 Net Debt/(Cash) (1,657) (5,365) (2,679) (2,327) Recurring Net Profit Growth (%) 152.5 111.3 (38.4) 72.7 Working Capital 826.6 4,443.3 2,777.7 2,741.6 Tax Rate % 2.9 3.0 3.0 3.0 BVPS 1.78 8.00 7.59 8.69 CASH FLOW (Btmn) RATES & RATIOS FY December 2012 2013 2014F 2015F FY December 2012 2013 2014F 2015F Profit before taxation 520 1,099 722 1,361 Gross Margin % 12.7 15.2 11.4 13.1 Depreciation 50 51 198 273 EBITDA Margin % 6.4 9.1 6.6 9.6 Net interest receipts/(payments) - - (32) (76) Op. Profit Margin % 5.8 8.6 5.1 8.0 Working capital change (100) (28) 70 126 Net Profit Margin % 6.1 9.5 5.2 6.8 Cash tax paid (15) (33) (22) (41) ROE % 56.8 23.5 13.9 20.9 Others (incl'd exceptional items) 388 50 995 397 ROA % 22.4 17.0 8.4 12.4 Cash flow from operations 844 1,138 1,931 2,041 Net Margin Ex. El % 6.1 9.5 5.2 6.8 Capex (50) (83) (2,210) (1,130) Dividend Cover (x) 1.1 0.5 0.5 0.5 Disposal/(purchase) - 1 2 3 Interest Cover (x) n.m. n.m. 19.8 17.6 Others (330) (3,329) (954) (319) Asset Turnover (x) 3.6 1.8 1.6 1.8 Cash flow from investing (380) (3,411) (3,162) (1,446) Asset/Debt (x) 1.7 3.6 2.5 2.5 Debt raised/(repaid) - - 1,296 448 Debtors Turn (days) 1.3 1.4 1.4 1.4 Equity raised/(repaid) - 3,250 - - Creditors Turn (days) 21.4 15.8 15.9 15.9 Dividends (paid) (414) (588) (457) (448) Inventory Turn (days) 0.2 0.4 0.4 0.4 Interest payments - - (32) (76) Net Gearing % n.m. n.m. n.m. n.m. Others - (83) 34 77 Debt/ EBITDA (x) 2.6 1.7 3.7 2.3 Cash flow from financing (414) 2,580 841 1 Debt/ Market Cap (x) 0.2 0.2 0.3 0.3 Change in cash 50 307 (390) 596 Source: Company reports and MBKET, * assume Nok Scoot to be recorded as associate company 12 2557 3 ก 8
APPENDIX I:TERMS FOR PROVISION OF REPORT, DISCLOSURES AND DISCLAIMERS ก ก ก กก ก ก ก ก ก ก ก ก กก ก ก กกก ก ก กก ก ก ก ก กก ก ก ก ก ก ก ก Maybank Investment Bank Berhad ) ก Maybank Kim Eng ) ก Maybank Kim Eng Maybank Kim Eng,ก ก, ก / ก ) ก Representatives ) ก ก กก, ก ก ก ก ก กก ก ก ก ก ก ก ก ก ก ก กกก ก ก ก ก ก ก ก ก ก Maybank Kim Eng ก ก ก ก ก Maybank Kim Eng,ก ก ก กก ก ก ก ก ก ก กMaybank Kim Eng ก ก ก ก ก ก, / ก Maybank Kim Eng กก ก ก กก Maybank Kim Eng ก ก ก ก Maybank Kim Eng ก Maybank Kim Eng ก กก ก 3 ก ก ก ก ก ก ก ก ก กก ก ก ก ก กก ก ก ก ก ก ก ก ก ก ก ก ก ก ก ก ก กก ก ก ก ก ก Bursa Malaysia Securities Berhad ก ก ก Maybank Kim Eng Research ก ( Maybank KERPL ) ก ก ก Maybank KERPL ก กก ก ก, ก ก ( ก Section 4A ก Singapore Securities and Futures) Maybank KERPL ก ก ก กก ก ก ก ก (IOD) ก ก ก ก ก (Corporate Governance) ก ก ก ก ก ก ก กก ก IOD ก ก ก ก ก ก ก ก ก ก ก ก ก ก ก กก ก ก ก ก ก ก ก ก ก ก ( ) ก ( ) ก ก ก 12 2557 4 ก 8
ก MKE ( US ) ก ( Rule 15a-6 ก Securities Exchange Act of 1934) Maybank Kim Eng Securities USA Inc ( Maybank KESUSA ) Broker-Dealer ( ก Section 15 Securities Exchange Act of 1934) ก Maybank KESUSA ก MKE ก ก ก ก Maybank KESUSA ก ก ก ก ก ก ก ก ก ก ก ก ก ก Maybank Kim Eng Securities (London) ก ( Maybank KESL ) ก ก ก The Financial Services Authority Informational Purposes ก ก ก ก ก (Retail Client) The Financial Services and Markets Act 2000 ก ก ก 3 ก ก ก ก ก ก ก ก ก ก กกก กก ก ก ก ก, ก DISCLOSURES Legal Entities Disclosures : ก Maybank Investment Bank Berhad (15938-H) ก ก Bursa Malaysia Berhad Capital Market and Services ก The Securities Commission : ก Maybank KERPL ( 197201256N) ก ก ก Monetary Authority of Singapore : PT Kim Eng Securities ( PTKES ) ( KEP-251/PM/1992) ก Indonesia Stock Exchange ก ก ก BAPEPAM LK : MBKET ( 0107545000314) ก The Stock Exchange of Thailand ก ก ก ก ก ก. : MATRKES ( 01-2004-00019) ก The Philippines Stock Exchange ก ก ก The Securities and Exchange Commission : Kim Eng Vietnam Securities ก ( KEVS ) ( 71/UBCK-GP) The State Securities Commission of Vietnam ก : KESHK (Central Entity No: AAD284) ก ก The Securities and Futures Commission : Kim Eng Securities India Private ก ( KESI ) The National Stock Exchange of India Limited ( : INF/INB 231 452435) Bombay Stock Exchange ( INF/INB 011452431) ก ก ก Securities and Exchange Board of India KESI ก SEBI 1 Merchant Broker ( INM 000011708) : Maybank KESUSA ก ก ก ก FINRA Broker ID 27861 ก : Maybank KESL ( 2377538) ก ก ก ก The Financial Services Authority Disclosure of Interest : MKE ก กก ก ก กก market maker ก ก กก ก ก ก, ก ก กก ก : 12 2557, Maybank KERPL กก ก ก ก ก : MBKET ก ก ก ก Derivatives Warrants ก ก ก ก MBKET ก ก ก / ก ก / ก ก ก ก ก ก : KESHK ก กก ก ก Paragraph 16.5 (a) Hong Kong Code of Conduct for Persons Licenses ก ก ก The Securities and Futures Commission 12 2557 5 ก 8
12 2557, KESHK ก ก ก ก 3 MKE ก ก ก ก ก ก ก ก ก ก ก ก ก ก 12 ก ก ก ก ก ก ก OTHERS Analyst Certification of Independence ก ก ก ก ก ก ก ก ก ก Structure Securities ก ก ก ก ( ก Spot / ก ), Time to Maturity, / ก ก ก ก ก ก กกก ก ก,, ก ก ก ก MKE Definition of Ratings (For MayBank Kim Eng Thailand) Maybank Kim Eng Research uses the following rating system: BUY TRADING BUY/TAKE PROFIT SELL Applicability of Ratings Return is expected to be above 10% in the next 12 months (excluding dividends) Return is expected to be between - 10% to +10% in the next 12 months (excluding dividends). Return is expected to be below -10% in the next 12 months (excluding dividends) The respective analyst maintains a coverage universe of stocks, the list of which may be adjusted according to needs. Investment ratings are only applicable to the stocks which form part of the coverage universe. Reports on companies which are not part of the coverage do not carry investment ratings as we do not actively follow developments in these companies. Some common terms abbreviated in this report (where they appear): Adex = Advertising Expenditure FCF = Free Cashflow PE = Price Earnings BV = Book Value FV = Fair Value PEG = PE Ratio To Growth CAGR = Compounded Annual Growth Rate FY = Financial Year PER = PE Ratio Capex = Capital Expenditure FYE = Financial Year End QoQ = Quarter-On-Quarter CY = Calendar Year MoM = Month-On-Month ROA = Return On Asset DCF = Discounted Cashflow NAV = Net Asset Value ROE = Return On Equity DPS = Dividend Per Share NTA = Net Tangible Asset ROSF = Return On Shareholders Funds EBIT = Earnings Before Interest And Tax P = Price WACC = Weighted Average Cost Of Capital EBITDA = EBIT, Depreciation And Amortisation P.A. = Per Annum YoY = Year-On-Year EPS = Earnings Per Share PAT = Profit After Tax YTD = Year-To-Date EV = Enterprise Value PBT = Profit Before Tax 12 2557 6 ก 8
ก ก ก ก (IOD) ก ก ก ก ก (Corporate Governance) ก ก ก ก ก ก ก กก ก IOD ก ก ก ก ก ก ก ก ก ก ก ก ก ก ก กก ก ก ก ก ก ก ก ก ก ก ( ) ก ( ) ก ก ก 12 2557 7 ก 8
ก ก ก 20-21, 24 999/9 1 ก 10330 0-2658-6300 0-2658-6301 ก 159 25 21 ก ก 10110 0-2665-7000 0-2665-7050 56 5 ก ก 10500 0-2632-8341 0-2632-8395 55 G 1005 ก 10260 0-2320-3600 0-2320-3610 125 3 ก 10200 0-2225-0242 0-2225-0523 1145 5 ก 3 ก 10270 0-2758-7003 0-2758-7248 30/39-50 ก 14 11000 0-2550-0577 0-2550-0566 1693 กก 11 ก ก 10900 0-2541-1411 0-2541-1108 622 14 ก 10110 0-2664-9800 0-2664-9811 215 ก 5 ก 10100 0-2622-9412 0-2622-9383 94.2 ก 091-92 G F.... 12130 1. 0-2958-0592. 0-2958-0420 2.02-958-0992 02-958-0590 400 52 20 ก ก 10500 0-2231-2700 0-2231-2130 99 ก 12 ก- ก 10600 0-2876-6500 0-2876-6531 ก 7/129 ก 3 302 ก ก ก 10700 0-2884-9847 0-2884-6920 275 1 8 ก ก 10160 0-2804-4235 0-2804-4251 10 /92 2 7 ก ก 10500.0-2636-7550-5.0-2636-7565 ก 3105 3 ก ก 10240.0-2378-1144. 0-2378-1323 553 14 กก ก 10400 0-2250-6192 0-2250-6199 587, 589 ก B001 A ก 10230.0-2947-5800-5.0-2519-5040 496-502 8 6 ก 10330.0-2256-9373.0-2256-9374 62 4 ก ก 10500 0-2231-2700 0-2231-2418 5 ก ก 10400 0-2641-0977 0-2641-0966 999 / 3 ก 3 9 ก 10250.02-716-7816 02-716-7815 323 17 ก ก 10500 0-2680-4340 0-2680-4355 ก 50 1 ก ก ก ก 50 ก ก 10900 0-2579-9880 0-2579-9840 ก 154 3 C ) 55 ( ก 10110 0-2714- 9222 0-2726- 3901 ก 110/1-4 10 1 110/1-4 ก ก 10210 0-2831-4600 0-2580- 3643 All Seasons Place Retail Center 3 311 87/2 ก 10330. 0-2654-0084.0-2654-0094 99/9 2 14 1401 ก ก 11120 02-835- 3283 02-835- 3280 ก 4 ก 10400. 0-2251-4099.0-2251-4098 735/5 E 2 ( ) ก 10260. 0-2108-6300, 0-2108-6301 15 1501 4,4/5 ก 10330 0-2658-6300 1 244 ก 2-3 50100 (053) 284-000 (053) 284-019 2 201/3 50100 (053) 284-138-47 (053) 202-695 1242/2 ก 3 7 30000. (044) 288-455 ).044) 288-466 55/60 1 ก 20000 (038) 053-950 (038) 053-966 319 ก 3 - ก 52100 (054) 817-811 (054) 816-811 137/5-6 32000 (044) 531-600-3 (044) 519-378 G3 G 311 7 34000 (045) 265-633 (045) 265-639 322/91 ก 74000 (034) 837-190 (034) 837-610 180/1-2 2 21000 (038) 862-022-9 (038) 862-043 2 ก TSK PARK 1 351-351/1 21000 (038) 807-459 (038) 807-841 351/8 22000 (039) 332-111 (039) 332-444 ก 1, 1/1 ก 83000 (076) 355-730 (076) 355-730 119 74/27-28. ก 4 2. ก.. 75000 (034) 724-062-4 (034)-724-068 1,3,5 3 90110 (074) 346-400-5 (074) 239-509 216/3 4 ก 84000 (077) 205-460 (077) 205-475 ก 2 559 1 ก (037) 226-347-8 (037) 226-346 18 95000 (073) 255-494-6 (073) 255-498 16/11 ก 77110 (032) 531-193 (032) 531-221 ก 163/1-2 ก 1 ก 40000. (043) 225-355 ).043) 225-356 1/15-16 ก 60000 (056) 314-150 (056) 314-151 : ก ก. ก ก ก ( ) ก ก ก ก ก ก ก ก ก ก ก กก ก ก ก ก ก ก ก ก ก. ก ก ก ( ) ก ก ก 12 2557 8 ก 8