Citi has a Buy recommendation on Minor International Public Company Limited (SET: MINT) with a target price of Bt35, forecasting September-quarter 2026 core profit of Bt2.8 billion before perpetual securities expenses. The estimate represents growth of 3% year-on-year but a decline of 19% from the previous quarter.
Following MINT’s October 29 pre-close briefing, Citi expects higher labour costs and variable rental expenses at European hotels to contribute to a one-percentage-point year-on-year contraction in EBITDA margin. The pressure would continue the pattern seen in the first half of 2026, limiting profit growth despite improving hotel and food operations.
For owned and leased hotels, Citi projects revenue per available room (RevPAR), measured in baht, to increase 9% year-on-year. Thailand is forecast to record 16% growth and Europe 7%, while Australia is expected to decline 1%.
The food business is projected to deliver same-store sales growth of 1.6% year-on-year. Expected increases of 4.3% in Thailand and 2.1% in China would be partly offset by a 2.1% contraction in Australia.
Financing costs remain another factor in the earnings outlook. Citi forecasts interest expenses to rise 4% year-on-year while remaining unchanged quarter-on-quarter, reflecting loans MINT took out to retire its US$300 million perpetual debenture in the June quarter of 2026.
