Company Coverage
Siam Cement (SCC TB): 3Q26 Net Profit Expected To Decline qoq
HOLD (Maintained)
Current price:
Target price:
Upside:
Bt268.00
Bt278.00
+3.73%
Analyst
Highlights
- We expect 3Q26 net profit to come in at Bt3.25b, down 72% qoq, with earnings declining across all business segments. SCGC is expected to be the main drag, due to narrower petrochemical spreads and lower stock gains.
- The LSPE project is expected to be completed ahead of schedule. SCGC is preparing for an early start-up by importing spot ethane starting from mid-3Q26, ahead of the long-term ethane supply contract commencing in late-27.
- Maintain HOLD. Target price: Bt278.00.
Analysis
- 3Q26 net profit to decline qoq. We expect Siam Cement (SCC) to report a 3Q26 net profit of Bt3.25b, down 72% qoq but recovering from a net loss of Bt669m in 3Q25. The qoq decline reflects seasonal weakness in the cement and packaging businesses, alongside lower chemical earnings due to narrower petrochemical spreads and a decrease in stock gains to Bt550m (vs Bt1.08b in 2Q26).
- Cement sales to weaken seasonally. We expect the cement building material (CBM) segment’s 3Q26 net profit to reach Bt1.15b, down 55% qoq and 41% yoy. The decline is partly attributable to lower cement sales during the rainy season and higher energy costs, with the Indonesian Coal Index 3 (ICI3) coal price rising to US$96.00/tonne, up 6% qoq and 66% yoy.
Highlights
- We expect 3Q26 net profit to come in at Bt3.25b, down 72% qoq, with earnings declining across all business segments. SCGC is expected to be the main drag, due to narrower petrochemical spreads and lower stock gains.
- The LSPE project is expected to be completed ahead of schedule. SCGC is preparing for an early start-up by importing spot ethane starting from mid-3Q26, ahead of the long-term ethane supply contract commencing in late-27.
- Maintain HOLD. Target price: Bt278.00.
Analysis
- 3Q26 net profit to decline qoq. We expect Siam Cement (SCC) to report a 3Q26 net profit of Bt3.25b, down 72% qoq but recovering from a net loss of Bt669m in 3Q25. The qoq decline reflects seasonal weakness in the cement and packaging businesses, alongside lower chemical earnings due to narrower petrochemical spreads and a decrease in stock gains to Bt550m (vs Bt1.08b in 2Q26).
- Cement sales to weaken seasonally. We expect the cement building material (CBM) segment’s 3Q26 net profit to reach Bt1.15b, down 55% qoq and 41% yoy. The decline is partly attributable to lower cement sales during the rainy season and higher energy costs, with the Indonesian Coal Index 3 (ICI3) coal price rising to US$96.00/tonne, up 6% qoq and 66% yoy.
HOLD (Maintained)
Current price:
Target price:
Upside:
Bt268.00
Bt278.00
+3.73%
Analyst
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