Company Coverage
Central Retail Corporation (CRC TB): Strongest Earnings Momentum In Thai Retail Sector
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
Bt29.00
Bt33.00
13.79%
Bt31.00
Analyst
Highlights
- BRC reported 9MFY26 revenue of S$1,360m (+21% yoy) and PATMI of S$79m (+26% yoy), making up 77% and 76% of our forecasts, respectively.
- BRC’s orderbook remains robust at S$1.69b, despite accelerated project deliveries in 1HFY26, and provides earnings visibility over five years.
- Maintain BUY with an unchanged target price of S$5.30.
Analysis
- 9M26 results slightly ahead of expectations. BRC Asia (BRC) reported 9MFY26 revenue of S$1,359.6m (+21% yoy) and PATMI of S$79.3m (+26%
yoy), representing 77% and 76% of our FY26 forecasts, respectively. Topline growth continues to be largely attributed to higher tonnage delivered, supported by strong project offtakes coming from Changi T5. Gross profit outpaced revenue growth, growing 27% yoy to S$142m, while gross margin grew to 10.4% (+0.6 ppt yoy), largely due to a more favourable mix of margin profile. Net margin increased to 5.8% (+0.2 ppt yoy).
- 3Q26 top-line weaker due to stronger project offtakes in 1HFY26, but still displayed growth yoy. 3Q26 revenue of S$429m fell 12% qoq. This was due to accelerated project deliveries in 1HFY26, as early steel reinforcement contracts for Changi Airport Terminal 5 kick off. On a yoy basis, 3Q26 revenue showed growth, growing 5% yoy. BRC also saw a higher mix of value-added prefabricated products in 3Q26 as project execution continues to progress, with gross profits rising 5% qoq and 9% yoy, alongside a higher gross margin of 11.4% (1Q26: 10.5%; 2Q26: 9.6%).
- BRC’s orderbook remains robust at S$1.69b at the end of 9MFY26 (1HFY26: S$1.76b), despite accelerated project deliveries in 1HFY26. Orderbook continues to be supported by major projects including Changi Airport Terminal 5 substructure. The orderbook runs over five years, with most of the work to be completed within the first three, enhancing earnings visibility.
Highlights
- BRC reported 9MFY26 revenue of S$1,360m (+21% yoy) and PATMI of S$79m (+26% yoy), making up 77% and 76% of our forecasts, respectively.
- BRC’s orderbook remains robust at S$1.69b, despite accelerated project deliveries in 1HFY26, and provides earnings visibility over five years.
- Maintain BUY with an unchanged target price of S$5.30.
Analysis
- 9M26 results slightly ahead of expectations. BRC Asia (BRC) reported 9MFY26 revenue of S$1,359.6m (+21% yoy) and PATMI of S$79.3m (+26%
yoy), representing 77% and 76% of our FY26 forecasts, respectively. Topline growth continues to be largely attributed to higher tonnage delivered, supported by strong project offtakes coming from Changi T5. Gross profit outpaced revenue growth, growing 27% yoy to S$142m, while gross margin grew to 10.4% (+0.6 ppt yoy), largely due to a more favourable mix of margin profile. Net margin increased to 5.8% (+0.2 ppt yoy).
- 3Q26 top-line weaker due to stronger project offtakes in 1HFY26, but still displayed growth yoy. 3Q26 revenue of S$429m fell 12% qoq. This was due to accelerated project deliveries in 1HFY26, as early steel reinforcement contracts for Changi Airport Terminal 5 kick off. On a yoy basis, 3Q26 revenue showed growth, growing 5% yoy. BRC also saw a higher mix of value-added prefabricated products in 3Q26 as project execution continues to progress, with gross profits rising 5% qoq and 9% yoy, alongside a higher gross margin of 11.4% (1Q26: 10.5%; 2Q26: 9.6%).
- BRC’s orderbook remains robust at S$1.69b at the end of 9MFY26 (1HFY26: S$1.76b), despite accelerated project deliveries in 1HFY26. Orderbook continues to be supported by major projects including Changi Airport Terminal 5 substructure. The orderbook runs over five years, with most of the work to be completed within the first three, enhancing earnings visibility.
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
Bt29.00
Bt33.00
13.79%
Bt31.00
Analyst
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This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at this link, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
