PTT Oil and Retail Business Public Company Limited (SET: OR) is set to expand into the budget hotel segment as part of its broader five-year capital expenditure strategy, according to key takeaways from the latest analyst meeting, commented by CGSI.
The company aims to cater to long-distance and budget-conscious travelers by launching a new hotel concept focused solely on providing rooms—without food, beverages, or refrigerators. OR plans to pilot this initiative in 2027 at six locations, five of which will be at its service stations and one outside, including areas near airports and tourist attractions.
Room rates for these budget hotels are expected to range from THB800 to THB1,000 per night, positioning them below OR’s existing “Cozy” hotels, which target the budget-premium segment at THB1,200 per night. The expected investment per site is THB100–200 million, with revenue to be recognized via equity participation, although the final investment structure is still under review.
Looking ahead, OR has outlined a five-year capital expenditure (CAPEX) plan for FY2026–2030 amounting to THB58 billion. The main focus will be on Mobility—where the company’s retail market share in January 2026 has already shown a marked increase from January 2025, supported by expansion in EV infrastructure, strong sales growth, and promotional campaigns. In the Lifestyle segment, OR is targeting 5 million daily visitors by FY2028.
With respect to overseas operations, OR signals a pullback, citing ongoing challenges in Cambodia, even as operations improve in Laos. The company intends to reallocate more capital to domestic opportunities, with a particular focus on innovation and new business ventures such as virtual banking.
On the macroeconomic front, OR projects global oil prices to fall to US$60–64 per barrel in FY2026. To mitigate risks associated with oil price volatility, the company uses hedging strategies and a control tower system. The Thai baht is expected to remain strong through 1Q26, with potential for some depreciation later in the year.
Despite a gradual tourism recovery, increased flight volumes are expected to boost Jet A1 fuel sales, with January 2026 recording a new sales high and market share nearing 60%.
