BANPU Edges Higher as Earnings Expected to Top THB27 Billion in 2022

The share price of Banpu Public Company Limited (SET: BANPU) edged higher on Monday by 2.38% at the closing as the business continued to benefit from coal prices that remained at a level near record high.

The Newcastle coal prices for June rose to $427/mt on May 31, 2022, while maintaining at a higher level to close on Friday at $412/mt. The previous peak, which was a record high, was $440 in March 2022 as the global oil supply remained tight from missing output from Russia that sent Brent crude to a 52-week high at $127.98 in March 2022.

Earlier, BANPU CEO stated that the company expects coal prices to stay high through 2023, which is in line with analysts, believing that the supply crunch in crude oil should remain for a while. 

The company is also planning to list BKV Corporation (BKV), an indirect subsidiary, in the U.S. stock market. 


According to the data compiled by Refinitiv, BANPU’s revenue and earnings are expected to peak this year at 159 billion baht and 27 billion baht, respectively, representing an increase by 20% and more than 100%, respectively. Although earnings in 2023-24 would start to slow down, they would remain at a higher level by +100% compared to 2021.

The consensus rated BUY on BANPU with a target price at THB15.36 per share.