Kasikorn Securities (KS) has a neutral view for PTT Public Company Limited (SET: PTT) following the company’s second-quarter 2025 analyst meeting, highlighting cautious sentiment in the face of ongoing economic and sector risks.
PTT is focusing on reducing expenditures and capital investment, aiming to enhance shareholder returns via a stable dividend yield projected at 6-7%. KS anticipates an interim dividend payment of at least THB 0.9 per share—slightly above last year’s THB 0.8 per share—with total 2025 dividends forecast in the range of THB 2.1-2.2 per share.
Management expects to raise a total of THB 115 billion in cash from asset monetization and capital increases with new business partners. The company plans to spin off storage, pipeline, and port assets from TOP, PTTGC, and IRPC, subject to shareholder approval in 4Q25, to be consolidated with PTT Tank, a wholly owned subsidiary. Meanwhile, PTT also expects to finalize the list of new partners by year-end.
Looking at the second half of this year, PTT forecasts steady performance compared to the first half. The company’s gas and trading businesses are expected to remain stable due to lower feedstock costs, while oil retail operations should outperform last year, buoyed by improved margins.
However, the exploration and production, refining, and petrochemical segments are likely to see weaker results year-on-year, impacted by declining oil prices, inventory losses, and compressed margins.
As a result, the brokerage firm gives an ‘Outperform’ rating on PTT, with a target price of THB 33.80 per share.
