Krungsri Securities (KSS) has maintained a ‘Buy’ recommendation for Advanced Info Service Public Company Limited (SET: ADVANC), with a target price of THB 417 per share. The key investment theme for ADVANC remains its strong profit growth outlook, which continues to support its position as a preferred dividend play.
Krungsri forecasts ADVANC’s net profit for 2Q26 to reach THB 13.6 billion, representing a 24% year-on-year and 1% quarter-on-quarter increase. This growth is primarily attributed to higher revenue and stringent cost controls. Profit for 2Q26 is expected to account for 51% of KSS’ full-year projection, which maintains a robust profit growth rate of 15.9% for 2026.
The estimated interim dividend is THB 8.67 per share, equating to a 2.38% yield for a 1.5-month holding period, with the ex-dividend date set for August.
The brokerage expects that improvements will be driven mainly by growth in core service revenue and reduced selling and administrative expenses. Core service revenue, excluding interconnection charges, is forecast to rise by 5.6% YoY and 1% QoQ, reaching THB 45.3 billion, fueled by expanding mobile and fixed broadband (FBB) businesses. Growth in net subscribers and ARPU supports the YoY increase, while QoQ growth is attributed to all three key business segments: mobile, FBB, and corporate services.
Service costs are expected to fall by 13% YoY—owing to lower network rental costs with NT—though these will rise by 2.2% QoQ to THB 21.6 billion due to increased depreciation and higher network costs. Selling, general, and administrative expenses should fall by 4% QoQ as a result of continued cost discipline.
Notably, ADVANC has reduced data usage limits and voice minutes for its THB 150 and THB 200 monthly packages since March 2026, in line with market trends observed at TRUE. According to Krungsri, the positive profit cycle and a projected dividend yield of 4.7% for 2026 underpin the strong investment case for ADVANC.
As of 3:55 PM (Bangkok time), the share price of ADVANC rose by 1.10% or THB 4.00 to THB 367.00, with a trading value of THB 2.30 billion.
