PTTGC shares rose 6.67% to 40.00 baht after Asia Plus Securities forecast second-quarter 2026 net profit of approximately 10.5 billion baht, a significant increase from 3.2 billion baht in the previous quarter. Core operating profit is expected to be around 15 billion baht, up 131% quarter-on-quarter, supported by a strong recovery in the olefins and polymers petrochemical business, driven by product spreads widening by an average of 200 to 400 dollars per tonne and the use of ethane gas as feedstock at around 50%, which costs less than naphtha. The olefins business operating rate rose to about 94% and the polymers business to 109%. The aromatics business benefited from a higher product-to-feed margin of approximately 320 dollars per tonne. However, the refinery business is likely to see lower profit due to a decline in refining margins to around 16 dollars per barrel and the impact of government-mandated ex-refinery oil price reductions of about 2.3 billion baht, as well as special items expected to be recorded as a net expense of approximately 4.2 billion baht. Asia Plus Securities raised its 2026 net profit forecast to around 19 billion baht, with a buy recommendation and a 2027 target price of 42 baht per share. The full-year dividend is estimated at about 1.50 baht per share, representing a yield of around 4%.
PTT Global Chemical Public Company LimitedAsia Plus Securities forecasts strong Q2 profit and raises target price to 42 baht, with buy recommendation.