On Thursday, the share price of Bangkok Airways Public Company Limited (SET: BA) at the time of 11:20 a.m. was at THB 14.40, a THB 0.20 or 1.41% increase with a total trading value of THB 91.66 million.
Krungsri Securities (KSS) stated that, as of May 18, advance booking for BA during June – September 2026 grew slightly by 1% compared to the same period last year, especially for Samui routes, which expanded by approximately 1–8% year-on-year. Meanwhile, other domestic and international routes saw a decline compared to the previous year.
BA has gradually raised ticket prices by around 2–10% to reflect higher oil costs. However, management estimates that the price adjustment cannot fully offset the impact of higher oil costs. For the remainder of the year, the company has entered into oil price hedging contracts covering about 25–26% of total fuel usage at prices below $80 per barrel.
BA also indicated that the volume of services for Middle Eastern airlines has begun to recover as the situation in the Middle East eases, resulting from reduced intensity of attacks.
Regarding progress on the U-Tapao Airport investment project, the government set the project start date on April 3, 2026. However, the consortium, which includes BA, BTS, and STECON, is still negotiating the investment conditions with the Eastern Economic Corridor Office (EEC) to align with the changes in the aviation industry since the consortium won the bid.
As for the ground handling and cargo terminal concession at Suvarnabhumi Airport, which will end its concession with AOT in September 2026, there is currently no clear progress. Meanwhile, BA is continuing with its plan to receive two propeller aircraft, increasing its fleet to 24.
KSS has a slightly positive view on the information received from the meeting, given that advance bookings for June–September 2026 still show year-on-year growth, despite continued uncertainty surrounding the U-Tapao project and ground handling & cargo terminal concession.
The brokerage still expects BA’s 2Q26 performance to be the strongest among airlines, even though it faces pressure from ongoing war situations and high oil prices. However, strong demand from the Samui routes and supportive dividend income from BDMS provide an earnings buffer. This contrasts with other airline operators such as AAV and THAI, which are expected to possibly swing to losses.
KSS maintains a “Buy” recommendation for BA with a target price of THB 22, stating that BA is the most outstanding airline stock in the sector, given that it is less impacted by the US-Iran war and high oil prices than competitors.
Although normalized profit for 2026 is expected to decline by 38% year-on-year, it remains better than other airlines that are at risk of turning to losses. Additionally, there is support from potentially positive developments in the U-Tapao project, which could boost the company’s long-term growth prospects.
