Today (November 24, 2025), the share price of PTT Oil and Retail Business Public Company Limited (SET: OR) at 03:36 P.M. (GMT+7) was at THB 13.10 per share, up THB 0.20 or 1.55%, with a trading value of THB 91.69 million. This uptick is driven by the news of the company finalizing its budget hotel business and the estimation of fourth-quarter strong growth.
Ms. Wilaiwan Kanjanakanti, Senior Executive Vice President, Finance of OR, stated that progress on the investment in the budget hotel business to accommodate travelers is currently in negotiations with partners, with the deal nearly finalized.
It is expected that within 4Q25, there will be news regarding the collaboration between OR and its chosen partner. Following that, in 1H26, construction will commence at the already selected location.
Previously, management stated that OR plans to collaborate with experienced hotel operators, focusing on budget hotels with 40-79 rooms per branch (service station) and room rates of THB 750-900 per night.
For the fourth quarter of 2025, Ms. Wilaiwan still expects it to be the best quarter of the year for both the Mobility and Lifestyle business groups, citing the support by government stimulus measures, such as the “Tiew Dee Mee Kuen” and “Khon La Khrueng Plus,” as they would boost consumer spending and benefit the company’s business.
She added that the overall Thai economy remains sluggish, while neighboring countries’ economies are growing at a higher rate. Regarding Cambodia, which affected the third quarter performance, the company is closely monitoring and adjusting strategies as needed.
This year, the number of tourists is expected at 33 million, down from 35.5 million last year, mainly due to a decline in Chinese tourists, while commercial aviation fuel (Jet A-1) sales are still expanding. Hence, government support remains a positive driver for the company’s growth.
Oil prices are expected to remain relatively stable in the last quarter of this year, with the annual average Dubai crude oil price estimated at USD 70 per barrel. Currently, the price is at around USD 65-66 per barrel. Therefore, stock gain/loss is not expected to have much impact, and margins in 4Q25 should remain robust, close to the level seen in 3Q.
Analysts from Land and Houses Securities indicate that OR’s 4Q25 profit outlook remains strong. Oil sales volumes are expected to rise seasonally quarter-on-quarter, supporting both automotive and jet fuel. Meanwhile, the figure is expected to slightly decrease year-on-year due to a high base in 4Q24.
Normalized 4Q25 earnings are expected to remain robust, with gross profit per liter at a level similar to the previous quarter. Interest expenses have decreased, in line with market rates and loan repayments.
Following these, profit estimates for 2025-2026 have been revised up after a strong 9-month performance this year, mainly from higher gross profit per liter, resulting in expected profit growth of 45% in 2025 and 4% in 2026.
Therefore, a “Buy” recommendation is maintained, with the new target price raised to THB 16.10 per share, based on upgraded earnings projections. Dividend payout is also expected to rise to THB 0.55, with a dividend yield (D/P) of 4%.
OR is viewed as having strong business fundamentals, with increasing Mobility segment gross profit per liter, and the commencement of KFC branch openings is expected to provide immediate profit upside.
