Media (Digital TV) - Global Alliance Partners
Media (Digital TV) Industry Update
Neutral
April 7, 2016
Big jump for GRAMMY’s channels Price chart
Source: Aspen Share data (Media & Publishing) SET index
1,373.59
Sector index
60.31
52‐week high
77.49
52‐week low
57.05
Market capitalization (Bt m)
224,360.24
% of market cap
1.71
Avg daily turnover (m shares)
165.20
Beta
1.22
Sector Performance (%)
1M
3M
12M
Absolute
0.51
‐2.85
‐21.89
Relative
2.12
‐10.87
‐10.72
Anapat Wanuschaiyapruk Analyst, no 57076 [email protected] 66 (0) 2-624‐6289
Two channels of GRAMMY hit a new high One channel’s rating gained 17% on the back of the increased popularity of its drama series and broadcasting of the Thai‐Iraq World Cup qualifier match. Its record‐high rating at 0.387 brought it neck‐and‐ neck with Ch8 (RS), which has seen its rating slide for two consecutive months. RS has not added much new content in 1Q16 due to the slowdown in ADEX, in contrast to GRAMMY’s strategy. On the other hand, GMM25’s rating rose impressively by 40% to 0.108, surpassing its previous high in Sep’15. GRAMMY’s management has targeted One’s rating at 1.0 by yearend and revenue of Bt1,700mn. For GMM25, the management has not given rating guidance but set the revenue target at Bt800mn. We believe such targets are reachable given its expertise in TV production. However, both channels will continue to make a loss despite improving financially due to high spending on content (Figure 7). We keep our Underperform rating with a TP of Bt8.00. Negative impact from withdrawal of Ch3’s famous news anchor The rating of Ch3 (BEC) has retreated by 11% after Sorayuth Suthassanachinda stepped down from his news programming duties. We believe that the ratings of his programs, which account for 20% of Ch3’s total airtime, declined by 30% ‐ 40%. We estimate that the decline in the news programs’ audience contributed about 8% of the 11% drop in ratings with the remainder from its drama and variety programs. The other two channels, 3SD and 3Family, also failed to advance further as the rating of 3SD remained flat while 3Family was down 11%. We maintain our Underperform rating with a TP of Bt30.50/share. Workpoint1 flat, MONO29 down slightly Workpoint1 continues to record new highs in ratings, with the latest figure at 0.850, edging up from 0.846 in Feb. The channel ended the first quarter with impressive results, bolstered by new variety and boxing programs that have continued to gain a larger audience. We still have a positive view on Workpoint1’s rating given its programming lineup and more aggressive strategy. WORK plans to adjust the TV program schedule every two months to cope with the intense competition. MONO29’s rating was down slightly by 2%, still in the top four after it beat Ch8 in Feb. Its strategy remains the same: stay with blockbuster movies and TV series from the U.S. while gradually introducing its original content. Even though the channel continues to gain popularity, the high cost of U.S. movie content will cause the channel and MONO (Underperform, TP Bt2.20) to show a loss for another year. Underperform rating maintained. Top pick: WORK WORK looks promising compared to digital TV peers due to its success in gaining audience share (Figure 6) and generating more revenue. Its target average ad rate at Bt100k/min in three years is also in line with our view. The stock is now trading at 46x 16E PER and 0.3x PEG (lowest among peers). WORK is still our top pick in the sector (Buy, TP Bt58.50).
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 1 of 4
Figure 1: Feb and Mar TV ratings (4+, 24 hours, Nationwide) Channel
Feb
Mar
%
Feb
Mar
%
11%
0.122
0.154
26%
0.052 0.052
0%
2.046 1.822 ‐11%
0.077
0.108
40%
0.049 0.048
‐2%
0.846 0.850
0%
0.117
0.104 ‐11%
0.041 0.037
‐10%
0.497 0.488
‐2%
0.084
0.100
19%
0.030 0.030
0%
0.087
0.089
2%
0.033 0.028
‐15%
0.074
0.084
14%
0.022 0.024
9%
0.089
0.082
‐8%
0.019 0.020
5%
0.052
0.059
13%
0.060
0.056
‐7%
2.407 2.668
Channel
0.460 0.396 ‐14%
0.331 0.387
17%
0.214 0.214
0%
0.177 0.186
5%
0.152 0.173
14%
Channel
Feb
Mar
%
Source: AGB Nielsen, KT Zmico Research
Figure 2: Ratings of Ch7 and Ch3
Figure 3: Ratings of new digital channels 1.0
4 3.5
0.8
3 2.5
0.6
2 1.5
0.4
1
0.2
0.5
CH3
WORK
RS
MONO
One
Source: AGB Nielsen, KT Zmico Research
Source: AGB Nielsen, KT Zmico Research
Figure 4: Ratings of BEC’s channels
Figure 5: Ratings of Ch5, Ch9, Thai PBS
0.00
0
CH3 (LHS)
3FAMILY (RHS)
Source: AGB Nielsen, KT Zmico Research
3SD (RHS)
02/16
12/15
10/15 3SD
Thairath
MCOT
CH5
TPBS
Source: AGB Nielsen, KT Zmico Research
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 2 of 4
03/16
01/16
11/15
09/15
07/15
05/15
03/15
01/15
11/14
09/14
07/14
05/14
0
03/14
03/16
0.1
01/16
0.05 11/15
0.2
0.50 09/15
0.3
0.1
07/15
0.15
1.00
05/15
1.50
03/15
0.4
01/15
0.2
11/14
2.00
09/14
0.5
07/14
0.6
0.25
05/14
0.3
2.50
03/14
3.00
08/15
06/15
04/15
02/15
12/14
10/14
08/14
06/14
03/16
01/16
11/15
09/15
07/15
05/15
03/15
01/15
11/14
09/14
07/14
05/14
03/14
CH7
04/14
0.0
0
Figure 6: Average audience share in 1Q15 and 1Q16 1Q15
1Q16
Source: AGB Nielsen, KT Zmico Research
Figure 7: Peer comparison COMPANY
Price
TP
EPS
Rating
(Local)
15A
16E
PER (x) 17E
15E 16E
DPS 17E
15E
16E
Div Yield
EV/EBITDA
17E 15E 16E 17E 15E 16E 17E
16-17E
16E
CAGR
PEG 19.8
THAILAND BEC WORLD PUBLIC CO LTD
26.25 30.50
U/P
1.49
1.41
1.52
20.5 18.7
20.1
1.4
1.1
1.2 5.3 4.2 4.6
7.4
6.8
0.9
WORKPOINT ENTERTAINMENT PCL
40.75 58.50
BUY
0.39
1.30
2.14 111.0 46.0
32.8
0.3
1.0
1.2 0.8 2.5 2.9 23.3 13.3
9.8
133.8
0.3
0.04
59.4
0.0
0.0
0.0 0.0 0.0 0.0 51.3
6.7
n.a.
n.a.
MONO TECHNOLOGY CO LTD GMM GRAMMY PCL
2.08
2.20
U/P
-0.11 -0.01
8.10
8.00
U/P
-1.40 -1.09 -0.32
n.a. n.a.
8.4
9.5
n.a. n.a.
n.a.
0.0
0.0
0.0 0.0 0.0 0.0 n.a. 28.9 10.7
-52.0
n.a.
10.10
0.12
0.29
0.44
84.4 35.2
22.8
0.1
0.2
0.3 1.0 2.3 3.3 12.8
9.2
7.3
91.3
0.4
8.85
0.08
0.15
0.19 103.1 60.2
45.9
0.1
0.1
0.1 1.0 1.0 1.4
3.7
4.0
3.7
55.3
1.1
NIPPON TELEVISION HOLDINGS
1,734.0
120
142
151
16.7 12.2
11.5 30.0 33.1 32.5 1.5 1.9 1.9
8.0
5.7
5.4
12.3
1.0
FUJI MEDIA HOLDINGS INC
1,151.0
86
77
78
19.8 14.9
14.8 40.0 40.0 40.0 2.3 3.5 3.5
8.9
6.7
6.8
-5.0
-3.0 -2.4
RS PCL MCOT PCL JAPAN
TOKYO BROADCASTING SYSTEM
1,587.0
79
67
64
19.2 23.5
24.6 22.0 18.3 18.3 1.5 1.1 1.2
9.0
9.4
9.5
-9.7
TV ASAHI HOLDINGS CORP
1,861.0
101
105
111
19.8 17.7
16.8 30.0 38.8 40.0 1.5 2.1 2.1
5.6
4.7
4.7
4.4
4.0
ASAHI BROADCASTING CORP
650.0
54
n.a.
n.a.
19.8 n.a.
n.a. 18.0
n.a.
n.a. 1.7 n.a. n.a.
3.7 n.a. n.a.
n.a.
n.a.
RKB MAINICHI HOLDINGS CORPOR
980.0
94
n.a.
n.a.
10.5 n.a.
n.a. 15.0
n.a.
n.a. 1.5 n.a. n.a.
2.8 n.a. n.a.
n.a.
n.a.
INDONESIA SURYA CITRA MEDIA PT TBK
3,200.0
104.2 115.7 133.8
29.7 27.7
23.9
n.a. 76.7 86.5 n.a. 2.4 2.7 21.1 19.9 17.2
13.3
2.1
MEDIA NUSANTARA CITRA TBK PT
2,145.0
n.a. 132.6 152.3
n.a. 16.2
14.1
n.a. 55.8 63.7 n.a. 2.6 3.0 n.a. 11.4
n.a.
n.a.
GLOBAL MEDIACOM TBK PT
1,080.0
n.a.
87.3 103.3
n.a. 12.4
10.5
n.a. 12.6 30.7 n.a. 1.2 2.8 n.a.
6.3
5.5
n.a.
n.a.
360.0
n.a.
21.9
n.a. 16.4
10.0
n.a.
7.4
6.3
n.a.
n.a.
VISI MEDIA ASIA TBK PT
36.2
0.2
0.4 n.a. 0.1 0.1 n.a.
9.9
Source: Bloomberg, KT Zmico Research
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 3 of 4
Note: KT ZMICO has two major shareholders, Krungthai Bank PLC (KTB) and Seamico Securities PLC (ZMICO). Therefore, prior to making investment in the securities of KTB and ZMICO, investor should consider risk factors carefully. An executive of KT ZMICO Securities is also a board member of BCP, BTC, CI, CPI, KBS, MAJOR, MK, PACE, PSL, SVH, VNG, ZMICO, SAWAD, TFG. A management member of KT ZMICO Securities is also a board member of BTC and NFC. KT ZMICO is a financial advisor for U, LOXLEY, ZMICO, MAKRO, CPALL, SAFARI, PACE, PLE, TPOLY. KT ZMICO is a co‐underwriter of TPBI.
Anti‐corruption Progress Indicator
Level 1 (Committed) : Organization’s statement or board's resolution to work against corruption and to be in compliance with all relevant laws. Level 2 (Declared) : Public declaration statement to participate in Thailand's private sector Collective Action Coalition Against Corruption (CAC) or equivalent initiatives Level 3 (Established) : Public out preventive measures, risk assessment, communication and training for all employees, including consistent monitoring and review processes Level 4 (Certified) : Audit engagement by audit committee or auditors approved by the office of SEC, and receiving certification or assurance by independent external assurance providers (CAC etc.) Level 5 (Extended) : Extension of the anti‐corruption policy to business partners in the supply chain, and disclosure of any current investigations, prosecutions or closed cases Insufficient or not clearly defined policy Data not available / no policy
DISCLAIMER This document is produced using open sources believed to be reliable. However, their accuracy and completeness cannot be guaranteed. The statements and opinions herein were formed after due and careful consideration for use as information for the purposes of investment. The opinions contained herein are subject to change without notice. This document is not, and should not be construed as, an offer or the solicitation of an offer to buy or sell any securities. The use of any information contained in this document shall be at the sole discretion and risk of the user.
KT ZMICO RESEARCH – RECOMMENDATION DEFINITIONS STOCK RECOMMENDATIONS BUY: Expecting positive total returns of 15% or more over the next 12 months OUTPERFORM: Expecting total returns between ‐10% to +15%; returns expected to exceed market returns over a six‐month period due to specific catalysts UNDERPERFORM: Expecting total returns between ‐10% to +15%; returns expected to be below market returns over a six‐month period due to specific catalysts SELL: Expecting negative total returns of 10% or more over the next 12 months
SECTOR RECOMMENDATIONS OVERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to outperform the relevant primary market index by at least 10% over the next 12 months. NEUTRAL: The industry, as defined by the analyst's coverage universe, is expected to perform in line with the relevant primary market index over the next 12 months. UNDERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to underperform the relevant primary market index by 10% over the next 12 months.
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 4 of 4
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th
th
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KT•ZMICO Securities Company Limited
st
8 , 15 -17 , 19 , 21 Floor, Liberty Square Bldg., 287 Silom Road, Bangrak, Bangkok 10500 Telephone: (66-2) 695-5000
Phaholyothin Branch
rd
Fax. (66-2) 631-1709
Ploenchit Branch
th
nd
2
Sindhorn Branch
3 Floor, Shinnawatra Tower II,
8 Floor, Ton Son Tower,
1291/1 Phaholyothin Road,
900 Ploenchit Road, Lumpini,
Floor, Sindhorn Tower 1, 130-132 Wireless Road, Lumpini,
Phayathai, Bangkok 10400
Pathumwan, Bangkok 10330
Pathumwan, Bangkok 10330
Telephone: (66-2) 686-1500
Telephone: (66-2) 626-6000
Telephone: (66-2) 627-3550
Fax. (66-2) 686-1666
Fax. (66-2) 626-6111
Fax. (66-2) 627-3582, 627-3600
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Chachoengsao Branch
Viphavadee Branch
Phitsanulok Branch
G Floor, Lao Peng Nguan 1 Bldg.,
Krung Thai Bank, Singhawat Branch
333 Soi Cheypuand, Viphavadee-Rangsit Road,
114 Singhawat Road,
Ladyao, Jatujak, Bangkok 10900
Muang, Phitsanulok 65000
Telephone: (66-2) 618-8500
Telephone: 083-490-2873
Fax. (66-2) 618-8569
th
Chonburi Branch
Pattaya Branch
108/34-36 Mahajakkrapad Road,
4 Floor, Forum Plaza Bldg.,
382/6-8 Moo 9, T. NongPrue,
T.Namuang, A.Muang,
870/52 Sukhumvit Road, T. Bangplasoy,
A. Banglamung, Cholburi 20260
Chachoengsao 24000
A. Muang, Cholburi 20000
Telephone: (038) 362-420-9
Telephone: (038) 813-088
Telephone: (038) 287-635
Fax. (038) 362-430
Fax. (038) 813-099
Fax. (038) 287-637
Khon Kaen Branch
5th Floor, Charoen Thani Princess Hotel,
Hat Yai Branch
Sriworajak Building Branch
200/301 Juldis Hatyai Plaza Floor 3,
1st – 2nd Floor, Sriworajak Building, 222
260 Srichan Road, T. Naimuang,
Niphat-Uthit 3 Rd,
Luang Road, Pomprab,
A. Muang, Khon Kaen 40000
Hatyai Songkhla 90110
Bankgok 10100
Telephone: (043) 389-171-193
Telephone: (074) 355-530-3
Telephone: (02) 689-3100
Fax. (043) 389-209
Fax: (074) 355-534
Fax. (02) 689-3199
Central World Branch
Chiang Mai Branch
Phuket Branch
999/9 The Offices at Central World,
422/49 Changklan Road, Changklan
22/61-63, Luang Por Wat Chalong Road,
16th Fl., Rama 1 Rd, Pathumwan,
Subdistrict, Amphoe Meuang,
Talat Yai, Mueang Phuket,
Bangkok 10330
Chiang Mai 50100
Phuket 83000
Telephone: (66-2) 673-5000,
Telephone: (053) 270-072
Tel. (076) 222-811,(076) 222-683
(66-2) 264-5888 Fax. (66-2) 264-5899
Fax: (053) 272-618
Fax. (076) 222-861
Pak Chong Branch
Cyber Branch @ North Nana
173 175, Mittapap Road,
Krung Thai Bank PCL, 2 Floor, North Nana Branch 35 Sukhumvit Rd.,Klong Toey Nua Subdistrict , Wattana District, Bangkok 10110 Telephone: 083-490-2871
Nong Sarai, Pak Chong, Nakhon Ratchasima 30130 Tel. (044) 279-511 Fax. (044) 279-574
Nakhon Ratchasima Branch
Bangkhae Branch
6th Floor The Mall Group Building Bangkhae 275 Moo 1 Petchkasem Road, North Bangkhae, Bangkhae, Bangkok 10160 Tel. (66-2) 454-9979 Fax. (66-2) 454-9970
624/9 Changphuek Road, . Naimaung, A.Maung, Nakhon Ratchasima 30000 Telephone: (044) 247222 Fax: (044) 247171 Information herein was obtained from sources believed to be reliable, but its completeness and accuracy are not guaranteed. All opinions expressed constitute our views on that date and are not intended as an offer or solicitation to sell or buy any securities. Investors should exercise care when making a decision to invest in securities. No one may modify or distribute any part of this report unless written permission is first received from Seamico Securities Plc. If any modifications are made, quotes or references taken from the report and the report date must be clearly mentioned and must not cause misunderstanding or damage to the company.
Neutral
April 7, 2016
Big jump for GRAMMY’s channels Price chart
Source: Aspen Share data (Media & Publishing) SET index
1,373.59
Sector index
60.31
52‐week high
77.49
52‐week low
57.05
Market capitalization (Bt m)
224,360.24
% of market cap
1.71
Avg daily turnover (m shares)
165.20
Beta
1.22
Sector Performance (%)
1M
3M
12M
Absolute
0.51
‐2.85
‐21.89
Relative
2.12
‐10.87
‐10.72
Anapat Wanuschaiyapruk Analyst, no 57076 [email protected] 66 (0) 2-624‐6289
Two channels of GRAMMY hit a new high One channel’s rating gained 17% on the back of the increased popularity of its drama series and broadcasting of the Thai‐Iraq World Cup qualifier match. Its record‐high rating at 0.387 brought it neck‐and‐ neck with Ch8 (RS), which has seen its rating slide for two consecutive months. RS has not added much new content in 1Q16 due to the slowdown in ADEX, in contrast to GRAMMY’s strategy. On the other hand, GMM25’s rating rose impressively by 40% to 0.108, surpassing its previous high in Sep’15. GRAMMY’s management has targeted One’s rating at 1.0 by yearend and revenue of Bt1,700mn. For GMM25, the management has not given rating guidance but set the revenue target at Bt800mn. We believe such targets are reachable given its expertise in TV production. However, both channels will continue to make a loss despite improving financially due to high spending on content (Figure 7). We keep our Underperform rating with a TP of Bt8.00. Negative impact from withdrawal of Ch3’s famous news anchor The rating of Ch3 (BEC) has retreated by 11% after Sorayuth Suthassanachinda stepped down from his news programming duties. We believe that the ratings of his programs, which account for 20% of Ch3’s total airtime, declined by 30% ‐ 40%. We estimate that the decline in the news programs’ audience contributed about 8% of the 11% drop in ratings with the remainder from its drama and variety programs. The other two channels, 3SD and 3Family, also failed to advance further as the rating of 3SD remained flat while 3Family was down 11%. We maintain our Underperform rating with a TP of Bt30.50/share. Workpoint1 flat, MONO29 down slightly Workpoint1 continues to record new highs in ratings, with the latest figure at 0.850, edging up from 0.846 in Feb. The channel ended the first quarter with impressive results, bolstered by new variety and boxing programs that have continued to gain a larger audience. We still have a positive view on Workpoint1’s rating given its programming lineup and more aggressive strategy. WORK plans to adjust the TV program schedule every two months to cope with the intense competition. MONO29’s rating was down slightly by 2%, still in the top four after it beat Ch8 in Feb. Its strategy remains the same: stay with blockbuster movies and TV series from the U.S. while gradually introducing its original content. Even though the channel continues to gain popularity, the high cost of U.S. movie content will cause the channel and MONO (Underperform, TP Bt2.20) to show a loss for another year. Underperform rating maintained. Top pick: WORK WORK looks promising compared to digital TV peers due to its success in gaining audience share (Figure 6) and generating more revenue. Its target average ad rate at Bt100k/min in three years is also in line with our view. The stock is now trading at 46x 16E PER and 0.3x PEG (lowest among peers). WORK is still our top pick in the sector (Buy, TP Bt58.50).
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 1 of 4
Figure 1: Feb and Mar TV ratings (4+, 24 hours, Nationwide) Channel
Feb
Mar
%
Feb
Mar
%
11%
0.122
0.154
26%
0.052 0.052
0%
2.046 1.822 ‐11%
0.077
0.108
40%
0.049 0.048
‐2%
0.846 0.850
0%
0.117
0.104 ‐11%
0.041 0.037
‐10%
0.497 0.488
‐2%
0.084
0.100
19%
0.030 0.030
0%
0.087
0.089
2%
0.033 0.028
‐15%
0.074
0.084
14%
0.022 0.024
9%
0.089
0.082
‐8%
0.019 0.020
5%
0.052
0.059
13%
0.060
0.056
‐7%
2.407 2.668
Channel
0.460 0.396 ‐14%
0.331 0.387
17%
0.214 0.214
0%
0.177 0.186
5%
0.152 0.173
14%
Channel
Feb
Mar
%
Source: AGB Nielsen, KT Zmico Research
Figure 2: Ratings of Ch7 and Ch3
Figure 3: Ratings of new digital channels 1.0
4 3.5
0.8
3 2.5
0.6
2 1.5
0.4
1
0.2
0.5
CH3
WORK
RS
MONO
One
Source: AGB Nielsen, KT Zmico Research
Source: AGB Nielsen, KT Zmico Research
Figure 4: Ratings of BEC’s channels
Figure 5: Ratings of Ch5, Ch9, Thai PBS
0.00
0
CH3 (LHS)
3FAMILY (RHS)
Source: AGB Nielsen, KT Zmico Research
3SD (RHS)
02/16
12/15
10/15 3SD
Thairath
MCOT
CH5
TPBS
Source: AGB Nielsen, KT Zmico Research
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 2 of 4
03/16
01/16
11/15
09/15
07/15
05/15
03/15
01/15
11/14
09/14
07/14
05/14
0
03/14
03/16
0.1
01/16
0.05 11/15
0.2
0.50 09/15
0.3
0.1
07/15
0.15
1.00
05/15
1.50
03/15
0.4
01/15
0.2
11/14
2.00
09/14
0.5
07/14
0.6
0.25
05/14
0.3
2.50
03/14
3.00
08/15
06/15
04/15
02/15
12/14
10/14
08/14
06/14
03/16
01/16
11/15
09/15
07/15
05/15
03/15
01/15
11/14
09/14
07/14
05/14
03/14
CH7
04/14
0.0
0
Figure 6: Average audience share in 1Q15 and 1Q16 1Q15
1Q16
Source: AGB Nielsen, KT Zmico Research
Figure 7: Peer comparison COMPANY
Price
TP
EPS
Rating
(Local)
15A
16E
PER (x) 17E
15E 16E
DPS 17E
15E
16E
Div Yield
EV/EBITDA
17E 15E 16E 17E 15E 16E 17E
16-17E
16E
CAGR
PEG 19.8
THAILAND BEC WORLD PUBLIC CO LTD
26.25 30.50
U/P
1.49
1.41
1.52
20.5 18.7
20.1
1.4
1.1
1.2 5.3 4.2 4.6
7.4
6.8
0.9
WORKPOINT ENTERTAINMENT PCL
40.75 58.50
BUY
0.39
1.30
2.14 111.0 46.0
32.8
0.3
1.0
1.2 0.8 2.5 2.9 23.3 13.3
9.8
133.8
0.3
0.04
59.4
0.0
0.0
0.0 0.0 0.0 0.0 51.3
6.7
n.a.
n.a.
MONO TECHNOLOGY CO LTD GMM GRAMMY PCL
2.08
2.20
U/P
-0.11 -0.01
8.10
8.00
U/P
-1.40 -1.09 -0.32
n.a. n.a.
8.4
9.5
n.a. n.a.
n.a.
0.0
0.0
0.0 0.0 0.0 0.0 n.a. 28.9 10.7
-52.0
n.a.
10.10
0.12
0.29
0.44
84.4 35.2
22.8
0.1
0.2
0.3 1.0 2.3 3.3 12.8
9.2
7.3
91.3
0.4
8.85
0.08
0.15
0.19 103.1 60.2
45.9
0.1
0.1
0.1 1.0 1.0 1.4
3.7
4.0
3.7
55.3
1.1
NIPPON TELEVISION HOLDINGS
1,734.0
120
142
151
16.7 12.2
11.5 30.0 33.1 32.5 1.5 1.9 1.9
8.0
5.7
5.4
12.3
1.0
FUJI MEDIA HOLDINGS INC
1,151.0
86
77
78
19.8 14.9
14.8 40.0 40.0 40.0 2.3 3.5 3.5
8.9
6.7
6.8
-5.0
-3.0 -2.4
RS PCL MCOT PCL JAPAN
TOKYO BROADCASTING SYSTEM
1,587.0
79
67
64
19.2 23.5
24.6 22.0 18.3 18.3 1.5 1.1 1.2
9.0
9.4
9.5
-9.7
TV ASAHI HOLDINGS CORP
1,861.0
101
105
111
19.8 17.7
16.8 30.0 38.8 40.0 1.5 2.1 2.1
5.6
4.7
4.7
4.4
4.0
ASAHI BROADCASTING CORP
650.0
54
n.a.
n.a.
19.8 n.a.
n.a. 18.0
n.a.
n.a. 1.7 n.a. n.a.
3.7 n.a. n.a.
n.a.
n.a.
RKB MAINICHI HOLDINGS CORPOR
980.0
94
n.a.
n.a.
10.5 n.a.
n.a. 15.0
n.a.
n.a. 1.5 n.a. n.a.
2.8 n.a. n.a.
n.a.
n.a.
INDONESIA SURYA CITRA MEDIA PT TBK
3,200.0
104.2 115.7 133.8
29.7 27.7
23.9
n.a. 76.7 86.5 n.a. 2.4 2.7 21.1 19.9 17.2
13.3
2.1
MEDIA NUSANTARA CITRA TBK PT
2,145.0
n.a. 132.6 152.3
n.a. 16.2
14.1
n.a. 55.8 63.7 n.a. 2.6 3.0 n.a. 11.4
n.a.
n.a.
GLOBAL MEDIACOM TBK PT
1,080.0
n.a.
87.3 103.3
n.a. 12.4
10.5
n.a. 12.6 30.7 n.a. 1.2 2.8 n.a.
6.3
5.5
n.a.
n.a.
360.0
n.a.
21.9
n.a. 16.4
10.0
n.a.
7.4
6.3
n.a.
n.a.
VISI MEDIA ASIA TBK PT
36.2
0.2
0.4 n.a. 0.1 0.1 n.a.
9.9
Source: Bloomberg, KT Zmico Research
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 3 of 4
Note: KT ZMICO has two major shareholders, Krungthai Bank PLC (KTB) and Seamico Securities PLC (ZMICO). Therefore, prior to making investment in the securities of KTB and ZMICO, investor should consider risk factors carefully. An executive of KT ZMICO Securities is also a board member of BCP, BTC, CI, CPI, KBS, MAJOR, MK, PACE, PSL, SVH, VNG, ZMICO, SAWAD, TFG. A management member of KT ZMICO Securities is also a board member of BTC and NFC. KT ZMICO is a financial advisor for U, LOXLEY, ZMICO, MAKRO, CPALL, SAFARI, PACE, PLE, TPOLY. KT ZMICO is a co‐underwriter of TPBI.
Anti‐corruption Progress Indicator
Level 1 (Committed) : Organization’s statement or board's resolution to work against corruption and to be in compliance with all relevant laws. Level 2 (Declared) : Public declaration statement to participate in Thailand's private sector Collective Action Coalition Against Corruption (CAC) or equivalent initiatives Level 3 (Established) : Public out preventive measures, risk assessment, communication and training for all employees, including consistent monitoring and review processes Level 4 (Certified) : Audit engagement by audit committee or auditors approved by the office of SEC, and receiving certification or assurance by independent external assurance providers (CAC etc.) Level 5 (Extended) : Extension of the anti‐corruption policy to business partners in the supply chain, and disclosure of any current investigations, prosecutions or closed cases Insufficient or not clearly defined policy Data not available / no policy
DISCLAIMER This document is produced using open sources believed to be reliable. However, their accuracy and completeness cannot be guaranteed. The statements and opinions herein were formed after due and careful consideration for use as information for the purposes of investment. The opinions contained herein are subject to change without notice. This document is not, and should not be construed as, an offer or the solicitation of an offer to buy or sell any securities. The use of any information contained in this document shall be at the sole discretion and risk of the user.
KT ZMICO RESEARCH – RECOMMENDATION DEFINITIONS STOCK RECOMMENDATIONS BUY: Expecting positive total returns of 15% or more over the next 12 months OUTPERFORM: Expecting total returns between ‐10% to +15%; returns expected to exceed market returns over a six‐month period due to specific catalysts UNDERPERFORM: Expecting total returns between ‐10% to +15%; returns expected to be below market returns over a six‐month period due to specific catalysts SELL: Expecting negative total returns of 10% or more over the next 12 months
SECTOR RECOMMENDATIONS OVERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to outperform the relevant primary market index by at least 10% over the next 12 months. NEUTRAL: The industry, as defined by the analyst's coverage universe, is expected to perform in line with the relevant primary market index over the next 12 months. UNDERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to underperform the relevant primary market index by 10% over the next 12 months.
REFER TO DISCLOSURE SECTION AT THE END OF THE NOTES page 4 of 4
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KT•ZMICO Securities Company Limited
st
8 , 15 -17 , 19 , 21 Floor, Liberty Square Bldg., 287 Silom Road, Bangrak, Bangkok 10500 Telephone: (66-2) 695-5000
Phaholyothin Branch
rd
Fax. (66-2) 631-1709
Ploenchit Branch
th
nd
2
Sindhorn Branch
3 Floor, Shinnawatra Tower II,
8 Floor, Ton Son Tower,
1291/1 Phaholyothin Road,
900 Ploenchit Road, Lumpini,
Floor, Sindhorn Tower 1, 130-132 Wireless Road, Lumpini,
Phayathai, Bangkok 10400
Pathumwan, Bangkok 10330
Pathumwan, Bangkok 10330
Telephone: (66-2) 686-1500
Telephone: (66-2) 626-6000
Telephone: (66-2) 627-3550
Fax. (66-2) 686-1666
Fax. (66-2) 626-6111
Fax. (66-2) 627-3582, 627-3600
Nakhon Pathom Branch 1156 Petchakasem Road, Sanamchan Subdistrict, Amphoe Meuang , Nakhon Pathom Province 73000 Telephone: (034) 271300 Fax: (034) 271300 #100
Chachoengsao Branch
Viphavadee Branch
Phitsanulok Branch
G Floor, Lao Peng Nguan 1 Bldg.,
Krung Thai Bank, Singhawat Branch
333 Soi Cheypuand, Viphavadee-Rangsit Road,
114 Singhawat Road,
Ladyao, Jatujak, Bangkok 10900
Muang, Phitsanulok 65000
Telephone: (66-2) 618-8500
Telephone: 083-490-2873
Fax. (66-2) 618-8569
th
Chonburi Branch
Pattaya Branch
108/34-36 Mahajakkrapad Road,
4 Floor, Forum Plaza Bldg.,
382/6-8 Moo 9, T. NongPrue,
T.Namuang, A.Muang,
870/52 Sukhumvit Road, T. Bangplasoy,
A. Banglamung, Cholburi 20260
Chachoengsao 24000
A. Muang, Cholburi 20000
Telephone: (038) 362-420-9
Telephone: (038) 813-088
Telephone: (038) 287-635
Fax. (038) 362-430
Fax. (038) 813-099
Fax. (038) 287-637
Khon Kaen Branch
5th Floor, Charoen Thani Princess Hotel,
Hat Yai Branch
Sriworajak Building Branch
200/301 Juldis Hatyai Plaza Floor 3,
1st – 2nd Floor, Sriworajak Building, 222
260 Srichan Road, T. Naimuang,
Niphat-Uthit 3 Rd,
Luang Road, Pomprab,
A. Muang, Khon Kaen 40000
Hatyai Songkhla 90110
Bankgok 10100
Telephone: (043) 389-171-193
Telephone: (074) 355-530-3
Telephone: (02) 689-3100
Fax. (043) 389-209
Fax: (074) 355-534
Fax. (02) 689-3199
Central World Branch
Chiang Mai Branch
Phuket Branch
999/9 The Offices at Central World,
422/49 Changklan Road, Changklan
22/61-63, Luang Por Wat Chalong Road,
16th Fl., Rama 1 Rd, Pathumwan,
Subdistrict, Amphoe Meuang,
Talat Yai, Mueang Phuket,
Bangkok 10330
Chiang Mai 50100
Phuket 83000
Telephone: (66-2) 673-5000,
Telephone: (053) 270-072
Tel. (076) 222-811,(076) 222-683
(66-2) 264-5888 Fax. (66-2) 264-5899
Fax: (053) 272-618
Fax. (076) 222-861
Pak Chong Branch
Cyber Branch @ North Nana
173 175, Mittapap Road,
Krung Thai Bank PCL, 2 Floor, North Nana Branch 35 Sukhumvit Rd.,Klong Toey Nua Subdistrict , Wattana District, Bangkok 10110 Telephone: 083-490-2871
Nong Sarai, Pak Chong, Nakhon Ratchasima 30130 Tel. (044) 279-511 Fax. (044) 279-574
Nakhon Ratchasima Branch
Bangkhae Branch
6th Floor The Mall Group Building Bangkhae 275 Moo 1 Petchkasem Road, North Bangkhae, Bangkhae, Bangkok 10160 Tel. (66-2) 454-9979 Fax. (66-2) 454-9970
624/9 Changphuek Road, . Naimaung, A.Maung, Nakhon Ratchasima 30000 Telephone: (044) 247222 Fax: (044) 247171 Information herein was obtained from sources believed to be reliable, but its completeness and accuracy are not guaranteed. All opinions expressed constitute our views on that date and are not intended as an offer or solicitation to sell or buy any securities. Investors should exercise care when making a decision to invest in securities. No one may modify or distribute any part of this report unless written permission is first received from Seamico Securities Plc. If any modifications are made, quotes or references taken from the report and the report date must be clearly mentioned and must not cause misunderstanding or damage to the company.
