Asia Plus Securities assesses TMAN, with management maintaining its 2026 revenue target of 10-15% year-on-year growth, led by OEM and distribution businesses as the main engines. Pharmacy and modern trade channels are gradually recovering after pressure from destocking of medical supplies began to ease. The transfer of the Lamoon brand in August will help build synergy in products and distribution channels, with revenue recognition starting from the fourth quarter of 2026 onward. The overseas business shows clear signs of recovery, especially the China market, which has returned to growth and increased investment through cross-border e-commerce. South Korea is preparing to launch new products in the fourth quarter of 2026, while Japan continues to expand. Cambodia still faces pressure, but its low revenue base last year will help limit the impact on growth in the second half of 2026. The research team expects cost pressure in the third and fourth quarters of 2026, particularly from higher packaging costs. However, a higher proportion of high-margin products, cost reduction measures, and improved production efficiency will help keep margins close to last year's level. The research team plans selective price adjustments in the second half of 2026 for SKUs significantly affected by costs to ease cost pressure, while this may also encourage customers to accelerate orders before the price increases. The research team maintains a positive view on second-half 2026 earnings, expecting profit to recover strongly from the first half, supported by seasonal factors in respiratory, allergy, and vitamin C product groups, along with growth in OEM and DPU businesses and the recovery of pharmacy and modern trade channels, which carry high margins. In addition, pressure from the Cambodia market is likely to ease, while China's recovery, market expansion into South Korea and Japan, and the start of Lamoon brand revenue recognition from the fourth quarter of 2026 will support growth in the next phase. At the same time, product mix adjustments, cost control, and price adjustments will help reduce cost pressure and support a continued recovery in profit margins. The research team maintains its 2026 normalized profit estimate at 484 million baht, up 2.8% year-on-year, and values the stock at 14.00 baht per share for 2027 using a DCF method, reflecting upside of about 30% from the current price. It maintains a buy recommendation, expecting earnings to enter a clear recovery cycle led by growth in OEM and DPU businesses, recovery in pharmacy and modern trade channels, and renewed expansion in overseas markets. The arrival of the Lamoon brand will help extend growth and enhance long-term profit potential.
T Man Pharmaceutical PCLManagement maintains 2026 revenue growth target, with recovery in pharmacy and modern trade channels and overseas markets, especially China.
Asia Plus Group Holdings PCL