Thaicom Reports THB456 Million of Net Profit in 2Q23 with Huge Gains from Extraordinary Item

Thaicom Public Company Limited (SET: THCOM) announced its 2Q23 consolidated financial statement through the Stock Exchange of Thailand as follows;

Quarter 2Q23 2Q22
Net Profit (Loss)
Million Baht
456.61 309.27
Earning Per Share
0.4200 0.2800
% Change 47.64
6 Months 2023 2022
Net Profit (Loss)
Million Baht
546.18 359.87
Earning Per Share (Baht) 0.5000 0.3300
% Change 51.77

THCOM reported a net profit of Baht 456 million in 2Q23, an increase of 47.64% from the same period of last year. The main reason was the recognition of the compensation with a business partner as other income of Baht 301 million.

In June 2023, the highest court unanimously dismissed the appeal of the said partner. As a result, the dispute regarding the compensation of USD 8.5 million, which is equivalent to Baht 301 million, was final and could no longer be challenged. The company thus recognized the mentioned compensation as other income in its statements of profit or loss for the period ended 30 June 2023.

The company generated a core profit of Baht 60 million for 2Q23, a 71.6% decrease compared to the profit of Baht 210 million in 2Q22 (YoY). The main contributing factors to these declines were reductions in revenue from the sales of goods and the rendering of services. In 2Q23, revenue from the sales of goods and rendering of services amounted to Baht 636 million, showing a decrease of 13.4% and 13.8% compared to 1Q23 (QoQ) and 2Q22 (YoY), respectively. This decrease was primarily due to the ramp-down of revenue from broadband services provided to the Thaicom 4 customers in such areas that were out of the planned coverage of follow-on satellites.