Research Center
Quay lại

PLC [BUY +29.4%] - Asphalt profits surge on infrastructure and cheap oil - Update

1H15 consolidated NPAT-MI jumped 78%, led by the Asphalt segment’s 94% surge in gross profit, the result of increase in government infrastructure spending and gross margin expansion thanks to cheap oil (soon to be even cheaper). 1H15 earnings reached 63% of our old forecast. FY2015 NPAT-MI forecast revised up by 18.8% to VND 347b as further weakening of oil bodes well for both PLC’s lubricant and asphalt businesses where its keeps 3 month and 1 month worth of material supply respectively. I