Highlights

• AWC is expected to report a robust 3Q26 core profit of Bt448m (up from Bt265m in 3Q25 and Bt177m in 2Q26).
   
• RevPar growth in 3Q26 is expected to be strong across all hotel segments, boosted by traffic from large events and Chinese arrival recovery.
   
• We expect to see the strong hotel performance to continue into 4Q26 as there are large events being held in Bangkok and Pattaya. AWC remains our top pick, maintain BUY with a target price of Bt3.90 (previously Bt3.70).
   

Analysis

• Expect outstanding core earnings growth in 3Q26. Asset World Corporation (AWC) is expected to report a robust 3Q26 core profit of Bt448m (up from Bt265m in 3Q25 and Bt177m in 2Q26). Total revenue should be at Bt4.44b (+8.7% yoy, +14.3% qoq) with the hotel segment's revenue expected to show strong growth of 16.6% yoy. This is attributable to the overall RevPar, which is expected to surge by 25% yoy, supported by all hotel segments, contributed by the recovery of Chinese arrivals. The RevPar growth yoy for MICE hotels, Bangkok City, luxury resorts, and non-Bangkok hotels is expected to go up massively by 23%, 17%, 21%, and 35% respectively. This is expected to be a result of the increase in Chinese visitors’ revenue of 46% yoy in 3Q26. Interest expense should drop yoy but go up qoq due to increasing loan amounts. The EBITDA margins should expand yoy, supported by margin expansion of both hotel and retail businesses..