On November 26, shares of Mono Next Public Company Limited (SET: MONO) shot up 21.98% or THB 0.40 and settled at THB 2.22 with a total purchase value of THB 592.81 million.
Yesturday (Nov. 26 2024), the Stock Exchange of Thailand announced that MONO had triggered the level 1 of Market Surveillance Measures, which excluded the company from Credit Limit and Cash Balance. The measure would be in effect between Nov. 27 to Dec. 17 2024.
Bualuang Securities is expecting MONO’s rapid recovery from Jasmine International Public Company Limited’s (SET: JAS) acquisition of English Premier League (EPL) broadcasting rights, which could be considered a huge game changer for MONO.
The securities predicted that MONO would receive a revenue sharing from JAS, with MONO not having to bear the burden of licensing fee, which could aid MONO in profit recovery, and contribution margin is anticipated to be no less than THB 300 million annually.
Additionally, there is a possibility of a Monomax revenue-sharing scheme based on the previous number. With 3BB Giga TV paying Monomax THB 50 per user per month, at one million users, MONO would be receiving additional revenue of THB 600 million. The major costs are the existing platform, the Cloud system that needs to be implemented to support the platform and marketing costs.
Therefore, the additional profit sharing that MONO would receive is THB 300 million annually, compared to MONO normal profit, which is less than THB 100 million annually, the additional revenue sharing would be 3-4 times based on 20x PER, contributing to MONO’s share price of THB 1.80 per share. On the other hand, if based on three million users, the additional profit sharing would be increasing to more than THB 900 million.
