JMT Jumps Nearly 9% as Investors Look Forward to Better 2023 Results

JMT Network Services Public Company Limited (SET: JMT) rose to THB 46.50 per share after the opening bell in the afternoon session, increased THB 3.75 or 8.77%, the highest price was THB 46.50 and the lowest was THB 42.00, with a trading value of 1,404 million baht.

DAOL Investment gave a “BUY” recommendation on JMT with a target price at THB 64.00 per share. According to the meeting yesterday, DAOL believes the performance outlook could be as expected.

  1. Profits for 2023 are expected to increase by 30% year on year, with cash collection under the bad debt purchased increasing to 1-1.5 billion baht.
  2. The expenses of 2023 would increase according to the employees’ expenses to support the company and JKAM’s debt collection efforts as well as the legal expenses to help the company follow up on more debt collection.
  3. The first quarter of 2023 was better than the same quarter last year.

Net profits forecast for 2023 was at 2.2 billion, up 28% from the same quarter last year due to the growth of all business segments, such as buying more bad debt; recognizing full-year profit sharing from JKAM; and income from following up on the debt.

The short-term performance of Q1/23 would grow better than the same quarter last year, supported more by the income from bad debt in Q4/22; and no loss from COVID insurance in Q1/22.