On Friday at 11:41 AM (Bangkok time), the share price of GFPT Public Company Limited (SET: GFPT) surged by 1.75% or THB 0.15 to THB 8.70, with a trading value of THB 6.19 million.
Pi Securities has released an analysis of GFPT following the company’s 1Q26 financial results. GFPT reported a net profit of THB 517 million for the first quarter of 2026, seeing a year-on-year decline of 19% but a quarter-on-quarter increase of 17%.
Excluding non-recurring items—netting a gain of approximately THB 31 million—core operating profit was THB 486 million, down 23% year-on-year but up 11% quarter-on-quarter. The year-on-year decline is largely attributable to a high base in the previous year and a reduction in export volumes, while the quarter-on-quarter improvement resulted from better cost control.
Total revenue for 1Q26 was THB 4,268 million, representing an 8% year-on-year decrease and a 7% drop from the previous quarter, primarily due to a fall in export volumes, with shipments down to 7,500 tons versus 8,700 tons in 1Q25 and 8,000 tons in 4Q25. This lower export level follows the cessation of shipments to China since late last year and a decline in export chicken prices to Japan, which dropped to 4,500 USD/ton, down from 4,800 USD/ton.
GFPT’s gross profit margin stood at 14.6%, an improvement over the 14% recorded in 1Q25 and 14.2% in 4Q25. The company continued to benefit from inventory at lower prices. Selling and administrative expenses decreased considerably to THB 316 million, down 13% year-on-year and 23% quarter-on-quarter, mainly as a consequence of the decline in export activities.
Share of profit from investments in associates was THB 147 million, down 54% year-on-year and 24% quarter-on-quarter. The significant decrease compared to the previous year is largely attributable to GFN, which faced lower domestic chicken carcass prices at THB 13–14 per kilogram versus THB 16.5 per kilogram in 1Q25. The quarter-on-quarter decline is primarily due to lower profits at Mckey.
Finance costs amounted to THB 22 million, representing a reduction of 20% year-on-year and 11% quarter-on-quarter. Tax expense was THB 36 million, an increase of 5% year-on-year but a 45% decline quarter-on-quarter.
Looking ahead to 2Q26, export volumes are expected to rise seasonally, following a steep drop in 1Q26. The share of profit from associates is also anticipated to improve in line with stronger exports. However, cost pressures remain a concern, as raw material prices have continued to climb since 1Q26.
For instance, corn prices have risen to around THB 11 per kilogram, and soybean meal prices have increased to THB 15–16 per kilogram. The impact of these higher costs is likely to be more pronounced starting in 3Q26, as existing lower-cost raw material inventories are depleted.
Core profit for 1Q26 accounts for approximately 25% of Pi Securities’ full-year forecast of THB 1,968 million. Thus, the brokerage is maintaining its full-year earnings estimate for GFPT, pending further review of 2Q26 operating results.
Pi Securities notes that GFPT’s financial performance is broadly in line with expectations and therefore maintains its ‘Buy’ recommendation for the stock as a speculative play tied to domestic chicken prices. Target price is set at THB 12.60 per share, based on an 8x projected 2026 earnings, suggesting more than 37% upside from the current price.
