The share price of Total Access Communication Public Company Limited (SET: DTAC) closed the morning session on Monday, January 31, 2022, after the announcement of its 2021 earnings result and a dividend payment last Friday in the post trading hour.
DTAC closed the morning session at Bt46.75 per share, decreased Bt1.00 or 2.09% with a trading value of 740 million baht. The session low was Bt46.25 and the session high was Bt47.50 per share.
DTAC reported a net profit of THB3,356 million in 2021, decreasing 34.3% YoY, impacted by higher amortization of 700 MHz spectrum and loss in fair value hedges in 1Q21. Meanwhile, net profit for 4Q21 amounted to THB171 million, negatively impacted by one-time asset write-offs of approximately 430 million pursuant to the surrender of rental space on leased towers.
The company offered a dividend payment from the operating results of the six-month period (1 Jul – 31 Dec 2021) at the rate of Bt1.05 per share.
KGI Securities has “Neutral” view on DTAC, as the 4Q21 result was 68% above its forecast and 77% above the market consensus due to extra items of Bt411 million. Core profit excluding extra items was Bt582 million baht, representing a decrease by 11% QoQ and 29% YoY, beating KGI Securities’ forecast by 10%.
KGI Securities revised up its 2022 net profit forecast by 4% to Bt4 billion and by 7% to Bt5.5 billion for 2023 to fine-tune the 2021 result and DTAC’s guidance.
The target price was raised to Bt43.50 from Bt38.00 per share, but still is lower than the current trading price. However, KGI Securities pointed out that there is an upside for DTAC from the expected amalgamation with True Corporation Public Company Limited (SET: TRUE). The preliminary valuation is about Bt2.02-Bt2.45, implying DTAC at Bt49.00-Bt60.00 per share.
