Positive Outlook Amidst EPL Broadcast Developments
Liberator Securities stated that it holds a “positive” perspective on Mono Next Public Company Limited (SET: MONO) due to significant progress in the preparations for the English Premier League (EPL) broadcast, which is currently well-integrated with external operators. This full-scale marketing effort in June is expected to enhance the stock’s performance.
Despite heavy losses projected in 2024 due to extraordinary items, management views this as a necessary adjustment to reflect the weakness of the former business in the financial statements, paving the way for new business ventures that have a strong potential for a turnaround.
Financial Year 2024: Significant Losses but Promising Development
For the fiscal year 2024, MONO reported a more significant loss of -797 million baht compared to the previous year’s -210 million baht, mainly due to a large extraordinary item amounting to 788 million baht. This includes a 432 million baht impairment of digital TV concessions, given the global trend towards OTT platforms, a 235 million baht adjustment to deferred tax assets, and organization restructuring costs to reduce expenses by 50%. Excluding these items, the normal operating loss has decreased from -45 million baht last year to -9 million baht in 2024.
Satisfactory Preparations
Management reveals that full-scale marketing will begin around June 2025, as there are still licensing issues. However, significant progress is evident as management demonstrates solid collaboration with mobile companies, OTT service providers, and TV manufacturers.
Liberator Securities noted that it sees a smooth user journey for subscription and viewing, highlighting their effective strategy. Management targets at least two million customers this year (compared to the current 1.5 million, who only watch movies and series) and believes reaching three million is achievable, with four million being the best-case scenario in a potential market of 8.4 million people (source: company/Nielsen 2025).
Thus, management expects revenue to range between 950-1,450 million baht, depending on the number of subscribers to the new packages launched before the season starts, with the breakeven point (excluding advertising revenue) at 660,000 subscribers.
Opinion
This progress builds upon the previous meeting, where the business model and income/cost figures are becoming clearer. This enhances the expectations for profitability turnaround in 2025, making it suitable for investors who can tolerate high risks.
