Maybank Eyes CPN at THB77.5, Seeing Attractive PE after Strong Results in 1Q24 Earnings

Central Pattana Public Company Limited (SET: CPN) announced that it is committed to a total revenue growth of 10% CAGR over 2024-2028, following the report of 28% increase in 1Q24 earnings.

In 1Q24, the company reported total revenue of Baht 12,234 million, increased 19% from last year. The increase was mainly from strong performance of shopping mall and food court businesses and significant increase in condominium transfers. The hotel business’ revenues also grew 39% YoY thanks to strong occupancy and room rate at Hilton Pattaya and improved occupancy YoY across all hotels.


Maybank Securities (Thailand) (MST) stated that CPN’s core profit in the first quarter of Baht 4.2 billion was in-line with our forecast and the consensus. Meanwhile, the profit was 25% of MST’s full-year forecast.

MST expected 2Q24E core profit growth of 16% YoY and 3% QoQ thanks to shrinking negative impact from the Pinklao transactions and the launch of Central Nakhon Pathom on 30 Mar 2024.

The brokerage firm maintained its “BUY” call on CPN with DCF-based TP of THB77.50 per share, adding that CPN is trading at 1-yr-forward PE of 17x, much lower than the 5-yr mean of 24x.