Sino-Thai Engineering and Construction Public Company Limited, or STECON, reported second-quarter net profit of 911 million baht, up 77.8 percent from the same period last year and 159.7 percent from the previous quarter. The strong performance was driven mainly by dividend income from its investment in GULF of 736 million baht and construction revenue that grew 8 percent from a year earlier to 9.345 billion baht. The company is bidding for three additional Data Center projects worth about 22.5 billion baht in total to support its target of 50 billion baht in new contracts this year. Most analysts maintain buy recommendations, with the highest target price of 23 baht from Asia Plus Securities, while Dao Securities recommends hold with a target price of 19 baht. However, second-half profit is likely to slow compared with the second quarter because there will be no further dividend income from GULF.
Gulf Energy Development Public Company LimitedSTECON's profit surge driven by dividend income from its investment in GULF, highlighting GULF's financial strength.
