Company Coverage
Delta (Thailand) (DELTA TB): Sales Growth Expected To Continue, But Raw Material Issues Could Delay Order Fulfilment In 2Q26
HOLD (Maintained)
Current price:
Target price:
Upside:
Bt313.00
Bt320.00
+2.2%
Analyst
Analyst
Sirithat Prasertwuti
Highlights
- We expect DELTA to report a 2Q26 net profit of Bt9.30b (+101% yoy, +2% qoq). Earnings momentum is expected to be softer than previous market expectation due to raw material shortages.
- Raw material constraints could limit 2Q26 order fulfilment and push some deliveries into 2H26, but demand is expected to remain the same.
- While 2Q26 earnings are expected to be unexciting, 2H26 earnings should remain strong. We maintain HOLD with an unchanged target price of Bt320.00.
Analysis
- 2Q26 earnings momentum was unexciting as deliveries are pushed into 2H26. We expect Delta (Thailand) (DELTA) to report a 2Q26 net profit of Bt9.31b (+101% yoy, +2% qoq). We expect DELTA’s 2Q26 earnings to be softer than our previous expectation, mainly due to raw material shortages, particularly key semiconductor-related components such as MOSFETs, as well as PCBs, amid strong AI server demand. Although overall customer demand remains intact, supply constraints could limit order fulfilment in 2Q26 and push part of deliveries into 2H26. As a result, we forecast 2Q26 sales of Bt66.4b (+49% yoy, +8% qoq), below the previous guidance of 15% qoq sales growth.
Highlights
- We expect DELTA to report a 2Q26 net profit of Bt9.30b (+101% yoy, +2% qoq). Earnings momentum is expected to be softer than previous market expectation due to raw material shortages.
- Raw material constraints could limit 2Q26 order fulfilment and push some deliveries into 2H26, but demand is expected to remain the same.
- While 2Q26 earnings are expected to be unexciting, 2H26 earnings should remain strong. We maintain HOLD with an unchanged target price of Bt320.00.
Analysis
- 2Q26 earnings momentum was unexciting as deliveries are pushed into 2H26. We expect Delta (Thailand) (DELTA) to report a 2Q26 net profit of Bt9.31b (+101% yoy, +2% qoq). We expect DELTA’s 2Q26 earnings to be softer than our previous expectation, mainly due to raw material shortages, particularly key semiconductor-related components such as MOSFETs, as well as PCBs, amid strong AI server demand. Although overall customer demand remains intact, supply constraints could limit order fulfilment in 2Q26 and push part of deliveries into 2H26. As a result, we forecast 2Q26 sales of Bt66.4b (+49% yoy, +8% qoq), below the previous guidance of 15% qoq sales growth.
HOLD (Maintained)
Current price:
Target price:
Upside:
Bt313.00
Bt320.00
+2.2%
Analyst
Analyst
Sirithat Prasertwuti
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