Prima Marine Public Company Limited

Mr. Wikit Thirawannarat, IAA, Assistant Managing Director and Head of Investment Strategy at Bualuang Securities, unveiled a portfolio-adjustment strategy for the final stretch of the year in the fourth quarter of 2026, recommending investors rotate among sectors in step with the market. Stocks with their main revenue from overseas remain the key driver, because domestic purchasing power alone is not enough to move the market. The groups that outperformed the market in the third quarter of 2026 were those tied to the global economy and commodities, including petrochemicals, refineries, shipping stocks such as RCL and PRM, agricultural and food-export names such as TVO, TU and ITC, and electronic components such as KCE and HANA. Meanwhile, groups tied to domestic consumption, such as telecoms ADVANC and TRUE and retailers CPALL and CPAXT, rose more slowly than the market. Three investment themes lead the way. First, refineries and petrochemicals, where supply is tight and global demand is strong, with TOP trading at a price-to-book ratio of only about 0.7 times and paying consistent dividends. Second, power plants, expected to be the star performer in the fourth quarter, driven by the build-out of data centers and production bases by foreign companies, clarity on direct PPA contracts, and the power development plan. Third, energy and technology infrastructure, which benefits from transmission systems, substations, smart grids, smart meters, rooftop solar and submarine cable projects. As for industrial estates, after a big run-up in the first and second quarters of 2026, they are expected to enter a period of consolidation and rebound within a sideways range. On external factors, the surge in bond yields worldwide is a highlight to watch; if yields start to fall, that would be a key turning point for the stock market. The Bank of Japan may keep raising rates through the middle of next year, ending at around 1.75 to 2.0 percent, South Korea at 3.5 percent, Europe at 3.0 percent in the first quarter of next year, and the US Federal Reserve may hike another one to two times. As for new US tariffs, the assessment is that they will target specific rival countries rather than be imposed across the board, so Thailand is likely to escape them and may even benefit from cheaper imported raw materials such as soybeans and soybean meal, which would lower animal-feed costs and support meat-export groups such as chicken and pork. On investment strategy, short-term traders are advised to rotate through sector rotation, alternating between banks and commodities, while long-term investors are advised to focus on infrastructure and power plants, with standout large-cap stocks capable of winning projects and co-investing in infrastructure being GULF and PTT.

Prima Marine Public Company Limited, or PRM, expects its third-quarter 2026 results to grow from both the previous quarter and the same period a year earlier. Patchara Rodsomboon, Senior Manager of Finance and Investor Relations, said the company is being supported by its offshore oil storage and blending business, or FSU, where vessel utilisation is running at a full 100% on rising demand for oil reserves amid the prolonged conflict in the Middle East. Meanwhile, its domestic and regional crude oil transport business, covering Malaysia, Singapore, the Philippines and Indonesia, has vessel utilisation of 90%. Its very large crude carriers, or VLCCs, are running at 100% utilisation, mostly under long-term time charter contracts, while its offshore support vessels for petroleum exploration and production, or OSVs, are at about 90%. On fleet expansion, PRM currently operates a total of 71 vessels and will take delivery of two additional domestic oil tankers in the fourth quarter of 2026, bringing the total fleet to 73 vessels by the end of 2026. The two new vessels will replace older ships sold in the second quarter of 2026 and offer better fuel efficiency. On fuel cost management, the company said most of its shipping contracts are on a cost-plus basis, allowing it to adjust service fees in line with changing oil costs. At the same time, PRM is pushing ahead with expanding its chemical transport business to handle chemicals, feedstocks, rubber, biodiesel and sustainable aviation fuel, or SAF, in order to diversify risk and prepare for long-term changes in the energy industry.

Prima Marine Public Company Limited (PRM) expects continued growth in the second half of 2026, with its refined oil and chemical tanker business (PCT) supported by economic and tourism activities, while its floating storage and blending unit (FSU) maintains 100% vessel utilization, and its offshore support vessel business (OSV) benefits from activities in the Gulf of Thailand. The company plans to build six new CPP tankers, with the first delivery scheduled between October 2026 and April 2027. In the second quarter of 2026, total revenue was 2,317.1 million baht, up 4.5%, and net profit was 580.5 million baht, up 20.3%. For the first six months, total revenue was 4,428.6 million baht, up 3.3%, and net profit was 1,209.4 million baht, slightly down from the previous year's base which included special items, but operating profit grew 28.9%.

Shares of Prima Marine Public Company Limited (PRM) rose 1.55% to 9.80 baht after Yuanta Securities (Thailand) stated in its analysis that it has a positive view on the company's performance outlook for the second half of 2026, expecting profit to grow from the same period last year and expand continuously every quarter. This is driven by the floating storage unit (FSU) business, which is expected to have 100% fleet utilization throughout the second half of 2026, up from 97.8% in Q3 and 81.8% in Q4 of 2025. Meanwhile, for the petroleum and chemical tanker (PCT) business, Q3 revenue is expected to recover after taking delivery of new, larger vessels, and gross margins are likely to improve in line with higher freight rates. PRM had a total fleet of 72 vessels at the end of Q2 2026 and expects to increase to 73 vessels by the end of this year and 78 vessels by the end of 2027. The company has also ordered two new vessels, with delivery expected in March 2028. The research department estimates normalized profit for 2026 at approximately 2.2 billion baht, up 13% from the previous year, and expects a second-half dividend of 0.33 baht per share, representing a yield of about 3.5%. Therefore, it maintains a "Buy" recommendation with a year-end 2026 target price of 12 baht.

Dao Securities has a positive view on PRM shares following the analyst meeting, maintaining a "Buy" recommendation with a target price of 11.50 baht, based on a 2026E core PER of 11.5 times. It has also raised its dividend forecast, increasing the dividend yield to 7.1% from 5.5%. The PCT business plans to expand its fleet to 41 vessels by end-2026E and 46 vessels in 2Q27E. Meanwhile, OSV improves as the vessel returns to full service after 29 days of maintenance in 2Q26. FSU and COC maintain 100% fleet utilization through end-2026E, with COC planning a dry dock for one vessel for about a month between Nov 2026 and Apr 2027. The 2026E payout ratio is expected to be higher than 2025's 58%, following the announcement of a special dividend of 0.20 baht, in addition to regular interim and annual dividends. Normal profit for 2026E is estimated at 2.2 billion baht (+10% YoY), a new record high, with 1H26 normal profit accounting for 48% of the full year. 3Q26E is expected to remain high YoY and show strong QoQ growth, driven by robust FSU, COC, OSV, and PCT performance.

Prima Marine Public Company Limited, or PRM, announced a special dividend payment of 0.20 baht per share from retained earnings, after second-quarter 2026 net profit reached 580.5 million baht, up 20.2% from the same period last year. Total service revenue came in at 2.3171 billion baht, up 4.5%, driven mainly by the floating storage and offloading unit business, or FSU, where vessel utilisation rose to 100% from 76.7% in the previous quarter, as oil storage demand increased amid supply volatility in the Middle East. The petroleum and chemical tanker business, or PCT, posted revenue of 941.1 million baht, up 8.7%, while the offshore support vessel business, or OSV, saw revenue rise 6.1% this quarter. For the first six months of 2026, PRM reported net profit of 1.2094 billion baht. Excluding special items from the prior year, net profit would be higher by 270.9 million baht, or about 28.9%. The company set the ex-dividend date for 27 August, the record date for 28 August, and the dividend payment date for 11 September 2026.

Asia Plus Securities says the Hormuz Strait negotiations, which added demands for war damage compensation between the United States and Iran, sent Brent crude oil prices surging more than 5% and US government bond yields soaring near previous highs, prompting cumulative foreign capital outflows from the Thai stock market of over 9 billion baht since the start of August. The SET Index yesterday closed up 12.36 points at 1,624.36 points, but excluding the influence of DELTA shares, the actual index would have been down as much as 5 points, reflecting still-heavy selling pressure. The research team assesses that persistently high geopolitical tensions and domestic stimulus measures, such as the Thai Helps Thai Plus scheme with cumulative spending exceeding 100 billion baht and the Thai Travels Thai Plus scheme expected to reach a conclusion within one to two weeks, will benefit refinery and oil transport stocks, as well as retail, food, and leasing sectors. The investment strategy recommends three standout stocks: PTT, a large-cap stock benefiting from recovering oil prices and offering high dividends; CENTEL, expected to post strong profit growth in the second quarter of 2026; and PRM, which gains positive sentiment from the Hormuz Strait crisis boosting marine oil transport service fees.

Prima Marine shares, or PRM, have received buy recommendations from leading brokers, who assess that earnings are entering a strong growth phase from the second quarter of 2026 onward. Analysts forecast normalized profit for the second quarter of 2026 will reach as high as 550 million baht, as Middle East tensions spur oil storage demand, driving utilization rates for the company's five floating storage units to 100 percent, up from the normal 85 to 95 percent, while its entire fleet of 71 vessels continues to operate normally. A weaker baht also boosts US dollar-denominated revenue when converted back to baht. For the second half of 2026, analysts see profit growing both quarter-on-quarter and year-on-year in every quarter, with FSU utilization expected to remain at 100 percent through year-end, and the company preparing to bring three new product tankers into service, which will help increase revenue and margins. Finansia Syrus Securities has raised its target price to 11.70 baht, while Yuanta Securities has set a new target of 12.00 baht. Additionally, PRM offers a projected 2026 dividend yield as high as 5.6 to 6.0 percent.