According to CGS International Securities (Thailand) (CGSI), Amata Corporation Public Company Limited (SET: AMATA) has recently announced 1Q25 consolidated financial statement as followed:
In the first quarter of 2025, AMATA Corp. posted an impressive net profit of THB 829.2 million, marking a remarkable year-over-year increase of 78.9% despite a sequential decline of 18.9%.
This performance exceeded both the analyst’s projections and Bloomberg’s consensus estimates by 44.2% and 26%, respectively, driven by robust revenue inflows from land sales and utilities, coupled with enhanced gross margins and reduced interest expenses.
Land sales revenue experienced a downturn of 59.7% quarter-on-quarter, yet it surged by 81.2% from the previous year, totaling THB 1.91 billion, a figure surpassing CGSI’s expectations by 11%. This was fueled by the transfer of 279 rai of land, a substantial increase from the 151 rai seen in Q1 2024.
The gross margin from land sales showed a marked improvement, rising to 54.9% in Q1 2025, compared to 54% in the same quarter last year and 33.6% in the prior quarter. This improvement was attributed to an increase in land transfers, particularly at Amata Chonburi 1, which alone saw 83 rai transferred at a high gross margin of 65%.
Utility revenue also saw a notable rise of 44.3% quarter-on-quarter, though the figure declined by 17.6% year-on-year to THB 1.17 billion, beating the analyst’s forecasts by a significant 37%.
The quarterly growth owes much to a recovery of utilities services from Amata City Halong, previously impacted by Typhoon Yagi. Nonetheless, a drop in electricity sales due to lower production capacity in Vietnam led to the annual decline. The gross margin for utilities advanced to 18.7%, improving from the previous quarters.
Rental income increased by 2.9% on a quarterly basis and 9.6% YoY, reaching THB 244.7 million, amid improved occupancy of ready-built factories in Thailand. Yearly rental gross margins remained stable at 76.9%, albeit with slight QoQ growth.
Further bolstering AMATA’s financial position, profit contributions from associates rose by 61.6% quarter-on-quarter and 46.2% year-on-year, soaring to THB 229.5 million, thanks to strong performances from its power and Natural Gas Distribution associates.
As of the end of Q1 2025, AMATA’s backlog swelled by 1.4% year-on-year to THB 21.5 billion, with a significant portion in Thailand and a smaller segment in Vietnam. The company anticipates that at least half of the Thai backlog will translate into revenue within the year.
Notably, the analyst expected an uptick in land transfers in the latter half of 2025, stemming from Amata Chonburi 2 and industrial estate projects in Vietnam.
As such, CGSI maintains a positive sentiment on AMATA, upholding the target price at THB 17.60 per share with an “Add” rating.
