Indorama Ventures PCL

Four national business leaders — Siam Cement Group, Indorama Ventures, Airports of Thailand, and Bangkok Bank — said at Thailand Focus 2026 that the global geopolitical crisis is pushing Thailand to become ASEAN's trade, investment, and technology hub, with investment flowing steadily into data centers, biotechnology, and the green economy. They recommended that the public and private sectors accelerate regulatory improvements, expand FTAs, and adopt advanced technologies to achieve sustainable growth and guard against a flood of cheap Chinese goods. Thammasak Sethaudom of Siam Cement said the relocation of production bases to Thailand is a long-term structural change. Aloke Lohia of Indorama Ventures noted that Thailand has a strong manufacturing ecosystem and can become a capital market hub for the CLMV countries, which have a combined population of over 250 million. Paweena Chariyathitiphong of Airports of Thailand said the company holds a 95% share of domestic air passenger traffic and is negotiating new direct routes to North America. Kobsak Pootrakool of Bangkok Bank said foreign investment promotion applications have surged to record levels, and Thailand has become the world's fifth-largest producer of printed circuit boards within two years.

Four major listed companies stated that Thailand is benefiting from trade wars and global geopolitical issues, leading to continuous investment inflows and supporting the country's emergence as a regional economic hub. Mr. Thammasak Sethaudom, President of Siam Cement Public Company Limited (SCC), said that investment is not only concentrated in data center businesses but also includes biotechnology, carbon reduction technology, and green circular economy. The Thai government is driving new economic engines through four special subcommittees to improve laws, reduce restrictions, expand free trade frameworks, and develop human capital skills, with the expectation of making Thailand an economic hub within 5-10 years. Meanwhile, Mr. Aloke Lohia, Group CEO of Indorama Ventures Public Company Limited (IVL), stated that the world is placing more importance on supply chain resilience, and Thailand has a strong trade and manufacturing ecosystem, as well as the potential to become a capital market hub for the CLMV countries, which have a combined population of over 250 million. Ms. Paweena Jariyathitipong, Director of Airports of Thailand Public Company Limited (AOT), said that Thai airports have adapted well to crises, such as increasing passengers from China and Japan by over 30%, and flights from the Middle East have now returned to 100% service. Dr. Kobsak Pootrakool, Executive Vice President of Bangkok Bank Public Company Limited (BBL), stated that foreign investment promotion applications have surged to record levels, and Thailand has become the world's fifth-largest producer of printed circuit boards (PCBs). He also recommended that Thai businesses accelerate investment in technology upgrades and scale expansion to remain competitive.

The resurgence of tensions in the Middle East has led to an increase in the average Dubai crude oil price last week by 4.42 US dollars per barrel, or 5%, to 93.03 US dollars per barrel. Meanwhile, the Singapore refining margin fell by 2.84 US dollars per barrel to 17.31 US dollars per barrel, due to increased regional supply and high US oil inventories. Analysts believe that the strong earnings of refinery groups have already been reflected in their stock prices and recommend switching investments to the petrochemical sector, especially IVL and PTTGC, whose share prices have risen more slowly. Most petrochemical spreads have improved, such as the Ethylene-Naphtha Spread, which increased by 93 US dollars to 242 US dollars per ton. Additionally, the blockade of shipping routes in the Red Sea could support short-term freight rates, with the World Container Index rising 4% to 4,526 points, a positive factor for RCL shares. Meanwhile, the BDI index fell 5% to 2,820 points, but Supramax vessels, which are related to PSL and TTA, increased 2% to 1,634 points. The NEX coal price index also rose 3% to 131.81 US dollars per ton, driven by strong demand in Asia-Pacific.

Indorama Ventures Public Company Limited has announced a strategic partnership with Suntory Holdings Limited, Suntory PepsiCo Beverage Thailand Company Limited, and Iwatani Corporation Thailand Company Limited to bring commercial recycled PET packaging to Thailand. The initiative will use direct flake-to-preform recycling technology, known as Flake-to-Preform, through Indovida Thailand Company Limited, a joint venture between Indorama Ventures and Iwatani Corporation. This marks the first commercial application of this technology in Southeast Asia, with expected production of recycled PET preforms equivalent to approximately 400 million PET bottles per year. Deliveries to Suntory PepsiCo Beverage Thailand will begin from 2028 onwards. The collaboration strengthens Indorama Ventures' downstream packaging business platform and reinforces the company's IVL 2.0 growth strategy.

Bualuang Securities said the petrochemical sector reported standout second-quarter 2026 results, led by PTTGC and IVL, supported by sharply higher product prices and spreads. The two companies under its coverage reported combined net profit of about 18 billion baht, swinging from a net loss in the second quarter of 2025 and growing more than 44 times from the previous quarter. Combined core profit came in at 21.5 billion baht, surging 486 percent from the prior quarter. The sharp recovery was driven mainly by geopolitical tensions in the Middle East, which tightened supply and significantly boosted petrochemical revenue and product spreads. Both companies' financial positions are expected to keep reducing debt burdens, with IVL's net debt-to-equity ratio at 1.1 times while PTTGC's is low at just 0.3 times. In the second quarter of 2026, IVL generated free cash flow of 24 billion baht, while PTTGC generated 50.1 billion baht. For the third quarter of 2026, petrochemical prices and spreads are expected to soften slightly from the previous quarter as supply begins returning to the market, but price levels should remain high compared with the same period last year, so the group's core profit is expected to keep recovering and growing on a year-on-year basis. Bualuang Securities maintains an overweight rating on the sector and names PTTGC as its top pick because of stronger earnings growth prospects, cheaper valuation and a higher dividend yield. It recommends buying PTTGC with a target price of 43 baht and buying IVL with a target price of 30 baht.

Indorama Ventures, or IVL, reported a second-quarter 2026 profit of 5.961 billion baht, swinging from a loss of 521 million baht a year earlier. As a result, first-half profit came to 3.145 billion baht, compared with a loss of 1.833 billion baht in the prior year. Total revenue was 245.3 billion baht, up 4 percent, and EBITDA was 29.7 billion baht, up 61 percent. The PET business benefited most from the local-for-local model, while the net debt-to-equity ratio fell to 1.56 times. The company expects the unusually strong market tailwinds in the second quarter to begin returning to normal, and it maintains its 2026 and 2028 targets. Dao Securities upgraded its recommendation to buy and raised its target price to 28 baht from 25 baht.

Indorama Ventures Public Company Limited, or IVL, reported second-quarter 2026 net profit of 5.961 billion baht, swinging from a loss of 521 million baht in the same period last year. First-half net profit reached 3.1449 billion baht, up 61 percent year on year, while EBITDA stood at 29.7 billion baht, also up 61 percent, supported by the Combined PET, or CPET, business from higher benchmark spreads, lower North American shale gas costs, and growth at Indovinya and Indovida. Self-help measures and the S&OE system improved production efficiency and inventory management, lifting operating cash flow after maintenance capital expenditure to 25.9 billion baht and reducing net debt from 236 billion baht to 226 billion baht, bringing net debt to equity down to 1.56 times and achieving the full-year target ahead of schedule. WHA Utilities and Power Public Company Limited, or WHAUP, posted second-quarter 2026 net profit of 532 million baht, up 276 percent year on year, pushing first-half profit to 835 million baht, up 129 percent, as the water and power businesses continued to grow. First-half water revenue rose 35 percent, while solar rooftop private PPAs reached 384 megawatts and the equity power portfolio stood at 1,070 megawatts. In the second half, the company plans to expand renewable energy in response to the new PDP and the first phase of direct PPAs totalling 2,000 megawatts. On the contest for the NBTC chairmanship, Prime Minister and Interior Minister Anutin Charnvirakul said he has signed a submission seeking a royal command to remove Dr. Saran Boonbaichaipruek from the positions of chairman and commissioner of the NBTC. Minor International Public Company Limited, or MINT, said MFG International Holding Singapore Pte. Ltd., a subsidiary of MINT, has invested in 100 percent of Bonchon International Inc., with the transaction to be completed within August 2026. Bonchon International Inc. owns the Bonchon brand intellectual property for territories outside the Americas. It has issued and paid-up capital of 406,580,000 won, divided into 40,658 ordinary shares with a par value of 10,000 won each, for a total net value of 50 million US dollars, or approximately 1.65 billion baht, plus additional adjustments based on asset values at closing. The funding source is a loan from financial institutions. The purpose of the investment is to acquire Bonchon intellectual property for territories outside the Americas, which will increase royalty and franchise fee income. After the share acquisition, Bonchon International Inc. becomes a subsidiary of MINT.

Krungsri Securities forecasts Thai stock market profits for the second quarter of 2026 at 250 to 280 billion baht, down 15 to 24 percent from a year earlier and down 19 to 26 percent from the previous quarter. The refinery group saw volatile earnings on the downside, while the industrial goods, ICT, and power sectors are expected to post profit growth. The research team recommends a speculative strategy on stocks whose results will stand out or have passed their trough. Stocks expected to show Q2 profit growth both year-on-year and quarter-on-quarter include PTTEP, SCC, SCGP, ADVANC, TRUE, BH, IVL, THANI, TNP, MOSHI, BA, AP, INSET, and ADVICE. Stocks for which Q2 is likely the year's low point and earnings will accelerate in the second half of 2026 include KTB, KBANK, AOT, BDMS, EGCO, ICHI, THAI, and TFG. The top picks are ADVANC, SCC, IVL, BH, KBANK, AOT, and ICHI.

Petrochemical product spreads are beginning to signal a recovery, while refining margins continue to rise. Dubai crude oil prices weakened by 6.96 US dollars per barrel to 80.88 US dollars per barrel, driven by expectations of ceasefire negotiations between Iran and the United States. The Wealth Research team at Bualuang Securities noted that most petrochemical spreads increased last week, following a decline in naphtha feedstock costs in line with crude oil prices. Petrochemical stocks such as IVL and PTTGC have still lagged the refinery sector, making them increasingly attractive. Meanwhile, Singapore market reference refining margins rose by 2.85 US dollars per barrel to 29.68 US dollars per barrel. The Newcastle Export Index coal price fell by 0.83 US dollars per tonne to 132.76 US dollars per tonne, and the Baltic Dry Index dropped 25 points to 2,679 points.

Crude oil prices rose sharply, supported by the re-escalation of conflict in the Middle East, which tightened some energy product supplies. The average Dubai crude price increased by 10.34 US dollars per barrel week-on-week to 87.84 US dollars per barrel, while the Singapore market reference refining margin rose by 0.94 US dollars per barrel week-on-week to 26.83 US dollars per barrel. Petrochemical spreads narrowed as naphtha feedstock costs rose faster than product prices, with the ethylene spread falling by 106 US dollars per tonne week-on-week to minus 14 US dollars per tonne, and the propylene spread declining by 86 US dollars per tonne week-on-week to 36 US dollars per tonne. The Wealth Research team at Bualuang Securities noted that the blockade of shipping lanes in the Red Sea could support freight rates in the short term, and recommended rotating investments from refinery stocks into petrochemical stocks such as IVL and PTTGC, whose share prices have lagged.

DELTA shares closed down 7.37% on July 30, 2026, after the Thai stock market reopened, bringing the two-day decline to 43 baht, or 14%, and dragging the SET Index to close at 1,598.11 points, down 26.36 points or 1.62%. Turnover was heavy at 112.05 billion baht, with the main selling pressure coming from securities company proprietary accounts, which offloaded 3.42 billion baht, foreign investors selling 1.74 billion baht, and domestic institutions selling 1.19 billion baht, while retail investors bought back 6.36 billion baht. Electronics stocks were hammered by the global sell-off in technology and semiconductor shares, with the ETRON Index plunging 7.38% to close at 29,900.84 points. Bualuang Securities recommends rotating out of electronics into laggard petrochemical names such as IVL and PTTGC, while highlighting upstream energy plays like PTTEP and PTT, which stand to benefit from Dubai crude oil prices surging by 10.34 dollars to 87.84 dollars per barrel amid Middle East tensions. Meanwhile, TISCO ESU sees funds rotating into fundamentally strong energy and basic materials stocks, riding the commodity cycle recovery.

Bualuang Securities is advising investors to rotate from refinery stocks into petrochemical stocks that are still lagging, highlighting IVL and PTTGC as standout picks to benefit long-term from crude oil prices surging past 87 dollars per barrel amid escalating Middle East tensions. The average Dubai crude price last week rose by 10.34 dollars to 87.84 dollars per barrel, while the Singapore GRM increased further to 26.83 dollars per barrel. In petrochemicals, although most product prices rose, the chemical spread weakened because naphtha prices increased faster. Bualuang Securities maintains an overweight rating on the petrochemical sector and views that if tensions ease, oil and petroleum product supply will return to the market and pressure prices going forward. As for the Thai stock market today, caution is needed on pressure on the electronics sector from a global sell-off in chip and AI hardware stocks that has spread heavily, especially the KOSPI which plunged more than 12 percent intraday and triggered circuit breakers for a second consecutive day. Meanwhile, global oil prices surged more than 7 percent, supporting positive sentiment for upstream energy and commodity hedges such as PTTEP, PTT, PTTGC, IVL, and IRPC.

CGS International Securities Thailand forecasts that net profits of Thai listed companies in the second quarter of 2026, covering 127 firms or 86.7 percent of market capitalization, will total 276 billion baht, a decline of 10.5 percent from the same period last year and down 5.3 percent from the previous quarter. The main drag came from the energy sector due to weaker refining margins, and the transport sector which was hit by the low season for airlines. Meanwhile, petrochemicals, electronics, ICT, and tourism were key supports for the market. Energy sector profits are expected to fall 26.6 percent year-on-year and 11.3 percent quarter-on-quarter. Transport sector profits are seen dropping 72.1 percent year-on-year and 74.5 percent quarter-on-quarter, weighed by weaker results at AAV and THAI. Petrochemical profits are forecast to surge 326.4 percent from a low base last year, led by IVL and PTTGC. Electronics profits are expected to grow 89 percent, and ICT profits to rise 26 percent, helped by easing competition and improved ARPU at ADVANC and TRUE. Tourism benefited from the European travel season for MINT. Stocks expected to show outstanding profit growth both year-on-year and quarter-on-quarter include IVL, PSL, and BGRIM. Stocks with accelerating profit momentum from the previous quarter include MINT, SC, and 3BBIF. The stocks forecast to grow the most year-on-year are BGRIM, up 7,305.8 percent, IVL up 982.9 percent, PSL up 771.9 percent, SPRC up 666.8 percent, and AMATA up 599.1 percent, mostly driven by low profit bases last year and industry recovery. In terms of quarter-on-quarter momentum, the stocks expected to see the biggest profit increases are MINT, up 452 percent, SC up 441.7 percent, IVL up 263.3 percent, PSL up 169 percent, and PTTEP up 121.2 percent, supported by seasonal factors, a recovery in the hotel business, property transfers, and improved sales volumes and margins in energy and petrochemicals. CGSI has also selected top picks under its Quality and Earnings Momentum strategy, focusing on stocks with profit growth both year-on-year and quarter-on-quarter, Outperform recommendations, and low volatility. These include PTTEP, MINT, SC, BAREIT, TVO, IVL, TNP, ZEN, BANPUU, and PR9.

Asia Plus Securities, or ASPS, has unveiled an investment strategy to cope with volatility from the Middle East conflict, the trade war, and the technology war, recommending two main themes. The first theme consists of stocks expected to deliver profit growth both quarter-on-quarter and year-on-year, including IVL, PTTGC, BCP, TRUE, SCGP, DOHOME, PTTEP, ADVICE, SC, ADVANC, PTT, and MASTER. The second theme covers stocks with growing profits but lagging share prices, namely BCPG, AMATA, DELTA, and CRC. At the same time, ASPS has designated DELTA, BDMS, and CPALL as standout picks due to their safety from wartime conditions and lack of negative impact. The firm also recommends investing in foreign securities depositary receipts such as MICRON01 to capture strong earnings momentum from memory chip demand, and OIL03 to benefit from the US-Iran conflict boosting oil prices. Another noteworthy point is that since April 2026, the earnings per share estimate for the Thai stock market has been revised up by 3.8 percent, the second highest in the world, trailing only the Dow Jones index and bucking the trend of downward revisions in regional markets.

Asia Plus Securities says the stock market is facing pressure from three major wars: the Middle East conflict, the trade war, and the technology war. Its research team scored 20 industry groups on which would survive or benefit. The winning groups, with scores between 0 and +2, are energy, insurance, healthcare, petrochemicals, and retail. Recommended stocks in these groups include TOP, BCP, BLA, TLI, BDMS, BH, PTTGC, IVL, CPALL, and COM7. The standout stocks of the day, chosen from groups with non-negative scores, are DELTA, BDMS, and CPALL.

The Thai stock market closed down 14 points with heavy trading value exceeding one hundred billion baht, as profit-taking in banking stocks was the main drag after their prices had previously risen prominently. Other large-cap sectors such as telecommunications, commerce, and transport were also sold off in sympathy. During the day, however, the index dipped to a low around 1,632 points before partially recovering, reflecting that funds have not entirely flowed out of the market but are rotating into petrochemical and commodity stocks. Leading the rotation were PTTGC, IRPC, IVL, SCC, and PTTEP, which were supported by rising oil prices amid tensions in the Middle East. The investment strategy team at Bualuang Securities sees an increasing chance of funds rotating back into commodity plays, especially petrochemicals, and has started to overweight these stocks as both a tactical trade and a hedge against Middle East uncertainty. They assess support at 1,620 points and resistance at 1,680 points for tomorrow.

Petrochemical stocks rose against a market that fell more than 12 points. PTTGC gained 5.33% to 39.50 baht, with turnover of 2.41 billion baht. SCC added 1.57% to 259.00 baht, and IVL advanced 1.81% to 25.25 baht. Krungsri Securities noted a positive short-term view on the petrochemical industry, forecasting PTTGC's second-quarter 2026 profit to hit a yearly high of around 8.5 to 9.0 billion baht. For SCC, which reports earnings this evening, net profit is expected at 7.60 billion baht, with normalised profit excluding extraordinary items at about 7.25 billion baht. IVL's normalised profit is forecast at 6.03 billion baht. Krungsri Securities recommends buying all three stocks, with target prices of 45.0 baht for PTTGC, 285 baht for SCC, and 27.0 baht for IVL.

Mr. Chaiyos Jiwangkul, Assistant Director of the Securities Analysis Department at Krungsri Securities, or KSS, said the Thai stock market is likely to consolidate in the short term, even as regional markets improve following a recovery in global tech stocks. This could slow the foreign capital inflows that had previously shifted from tech shares into the Thai market. There is a chance of money rotating out of bank stocks after their earnings announcements and into energy, petrochemical, and communication stocks, supported by rising oil prices and expectations of good second-quarter 2026 profits. Meanwhile, buying interest has started to return for ADVANC and TRUE. In the banking sector, earnings have come in both above and below expectations, so stocks with unimpressive results may still face selling pressure, especially BBL and SCB. Although SCB reported good profits, its non-performing loans, or NPLs, increased. However, if prices fall significantly, buying is expected to return as loan growth still has potential from a new investment cycle. Regarding the Thailand Investment Savings Account, or TISA, Mr. Chaiyos said that if the tax deduction limit is set as high as 600,000 baht and allows direct investment in the Thai stock market, it would be a positive factor for liquidity and help reduce volatility, as investors would need to hold for the long term. The main investor base would likely be salaried workers and office employees, similar to RMF and Thai ESG funds. As for the BOI to IPO measures, details on business types and company sizes need to be monitored. If large companies in new industries can be attracted to list, it would boost market capitalization and the appeal of the Thai stock market, but if only small companies are involved, the overall market impact may be limited. On investment strategy, KSS recommends buying PTT Global Chemical, or PTTGC, with a target price of 45 baht, expecting second-quarter 2026 profits of around 9 billion baht, driven by recovering product spreads and lower-than-expected stock losses. It also recommends buying Indorama Ventures, or IVL, with a target price of 27 baht, expecting second-quarter 2026 profits of around 6 billion baht from improving product price spreads.

Krungsri Securities assesses the earnings direction of listed companies in the second quarter of 2026 as positive and likely to come in better than market expectations, supported by the banking sector's performance which was mostly in line to better than expected. Only BBL reported profit below market expectations but still in line with its own assessment. A key positive factor for the banking group is fee income from wealth management business, which is growing and becoming a new S-curve for the business. Meanwhile, asset quality remains manageable despite the impact of the war situation, with only SCB still vulnerable due to non-performing loan formation and BBL seeing mainly migration of existing debtors. Most banks' loans returned to expansion compared to the previous quarter, reflecting the positive effect of the investment cycle, with KBANK and KTB showing outstanding loan growth, while SCB remains the only bank with contracting loans. On the real sector side, stocks are starting to show positive signals, with SCGP reporting profit 21 percent above market expectations due to tight supply conditions in the Middle East, and PTTGC reporting profit above expectations from greater-than-expected supply disruption, similar to IVL and SCC. The research team views the decline in banking stocks after earnings announcements due to profit-taking as an opportunity to gradually accumulate, as fee income from wealth management is growing as a new support factor, asset quality has passed the peak risk point, and the impact from net interest margin has been largely priced in. Recommended top picks in the banking group are KBANK and KKP from wealth management growth, and KTB from strong asset quality. The team also unveils a list of standout stocks for the earnings season, expecting second-quarter 2026 results to be strong or to have passed the trough, including ADVANC, SCC, IVL, BH, KBANK, AOT, and ICHI.

Asia Plus Securities, or ASPS, recommends investment strategies for volatile markets, focusing on Energy Hedge plays that benefit from oil prices and geopolitical risks, including PTTEP, BCP, TOP, and IVL, alongside safe-haven stocks. It highlights PTTEP, BCP, and MAGURO as top picks for Thai stocks, while for international exposure it favors BABA80 and SPENGY80. Additionally, it suggests SIRI, GULF, and GFPT as other interesting stocks. ASPS sees an opportunity to rotate investments from AI infrastructure plays to downstream users such as Apple, Meta, Alphabet, Xiaomi, and Alibaba. It also flags the AMD Advancing AI 2026 event on July 23 and the IPO of CXMT on July 27, which could drain liquidity and pressure memory chip prices. On the domestic positive side, the government has attracted over 70 billion baht in foreign direct investment from four major Chinese companies. In the EV sector, Xiaomi is setting up an R&D center and Changan is expanding production capacity to 200,000 units per year by 2030. In AI and data centers, Innolight and Eoptolink are preparing to expand factories in Thailand.

The conflict between the United States and Iran intensified over the weekend, with the US striking strategic targets and infrastructure in Iran for the eighth consecutive day. Iran retaliated by attacking US military bases in several Middle Eastern countries, including infrastructure in Kuwait, resulting in the first US military fatalities since March and the first direct attack on Saudi Arabia in four months. Iran also formally canceled the memorandum of understanding signed on June 17 and warned it could escalate to full-scale offensive operations if the US continues its strikes. Vessel traffic through the Strait of Hormuz dropped to three to eight ships per day, the lowest in three weeks, heightening supply risks and war risk premiums, which pushed crude oil prices higher. Yuanta Securities maintains a market-weight investment stance, expecting oil stocks to regain momentum, and recommends PTTEP, PTTGC, and IVL as top picks for hedging geopolitical risk. It also raised PTTEP's target price to 164.00 baht from 150.00 baht, reflecting a lower weighted average cost of capital discount rate of 10%.

Indorama Ventures, or IVL, expects a strong profit recovery in the second quarter of 2026, forecasting a return to a profit of 6.7 billion baht after five consecutive quarters of losses. This is driven by significantly higher PET and MEG spreads during April to May 2026 due to supply disruptions in the Middle East. As a result, the PET spread rose 64 percent from the previous quarter to 210 US dollars per tonne, and the MEG spread rose 33 percent from the previous quarter to 487 US dollars per tonne, pushing IVL's EBITDA per tonne up 180 percent from the previous quarter to 201 US dollars per tonne. Kasikorn Securities Research has significantly raised its profit forecasts for 2026 to 2028 and maintained a buy recommendation, but lowered the target price to 25.30 baht from 26.30 baht after rolling forward the valuation base year and reducing the adjusted price-to-book value multiple to 1.2 times.