BTG Corporation Public Company Limited (BTG) expects its 2026F profit to be 4.6 billion baht, down 31.5% from the previous year, but still recommends a "Buy" rating. This is due to management's plan to shift its product portfolio towards higher-margin segments, and expectations of a recovery in meat prices, particularly pork prices in the second half of the year, which are expected to rise 13-14% compared to the first half. Meanwhile, raw material costs are starting to soften due to corn imports from the United States. Total revenue for 2026F is expected to be 125 billion baht, up 2.5% from the previous year, supported by increased production capacity in the food export business and domestic economic stimulus. However, the gross profit margin is expected to decline to 15.4% from 16.9% in 2025, and selling and administrative expenses as a percentage of sales are expected to rise to 10.9% from 10.5%, due to higher transportation costs following global oil prices. Domestic pork prices in August rose by 8 baht per kilogram from July to 72 baht per kilogram, and chicken prices rose by 3 baht per kilogram to 45 baht per kilogram. The expected dividend yield for 2026F is 5.0%. The 2027F target price is 24.00 baht, based on a PER of 9.13 times, which is higher than the 3-year historical average of 8.18 times.
BGT Corporation Public Company Limited2026F profit expected to fall 31.5% to 4.6bn baht and gross margin to decline to 15.4%, yet a Buy rating with a 24.00 baht 2027F target price is recommended.
