On Tuesday, the share price of Central Plaza Hotel Public Company Limited (SET: CENTEL) at the time of 11.24 a.m. was at THB 31, a THB 0.50 or 1.64% increase with a total trading value of THB 240.94 million.
Phillip Securities (Thailand) stated that CENTEL reported core profit in 1Q26 at THB 1,077 million (up 37.4% quarter-on-quarter and 34.6% year-on-year), exceeding both the analyst and market expectations due to improved operational performance and more efficient cost management. Meanwhile, net profit stood at THB 2,143 million, rising 120% QoQ and 186% YoY, representing a net profit margin of 32%.
This robust performance was mainly driven by total net extraordinary items of THB 1,066 million, consisting of: 1) profit share from the sale of assets by a joint venture (Centara Osaka Tokutei Mokutei Kaisha) of THB 1,707 million; 2) impairment loss on investment in a joint venture of THB 620 million; and 3) foreign exchange loss of THB 21 million.
CENTEL’s total revenue in 1Q26 was THB 6,716 million (up 6.4% QoQ and 4.6% YoY), derived from two main businesses—hotels and food—with revenue proportion of 52:48 compared to 51:49 in 1Q25. The key supporting factor was the outstanding performance from the hotel business in the Maldives, which significantly boosted overall RevPAR (Revenue per Available Room). Meanwhile, the food business continued to grow gradually, accounting for 48% of total revenue.
The company targets business growth in 2026, aiming for total revenue of THB 14.5 – 14.8 billion (including joint venture hotels), or 5 – 7% growth YoY, supported by critical factors in the hotel business: 1) hotels reopening after renovations, 2) hotel opening in Osaka in April 2026, and 3) recovery from the earthquake at the end of March 2025.
For the food business, the company sets a revenue target of THB 18.5 – 18.7 billion (including joint ventures) along with plans to expand by 75 – 85 branches, focusing mainly on high-margin brands.
Phillip reiterated its “Buy” recommendation with a target price of THB 42, supported by better-than-expected performance, mainly from the hotel business in the Maldives and efficient cost management, while the food business continues gradual growth.
However, risks from geopolitical issues, economic conditions, and domestic purchasing power must still be monitored. As such, the analyst maintains a cautiously positive outlook on operational performance trends.
