It cannot be denied that since 2021, Channel 3 under the management of BEC World Public Company Limited or BEC has undergone a major overhaul. Since the form of a team of MCs and new news anchors by pulling Sorayuth Suthatsanachinda back to the throne to read the news in 5 years, strengthening the army with Kanchai Kamnitploy and changing the direction of the news program to make it more interesting, resulting in Channel 3 turning around. come to profit After 3 consecutive years of loss
Year 2018 Total revenue 10,486 million baht, net loss 330 million baht
Year 2019 Total revenue 8,751 million baht, net loss 397 million baht
Year 2020 Total revenue 5,908 million baht, net loss 214 million baht
Year 2021 total revenue 5,728 million baht net profit 761 million baht
Year 2022, in the first half of the year, has total revenue of 2,614 million baht, net profit of 346 million baht.
But that might not be enough for growth. Because the part that makes Channel 3 turn back to be profitable is to lean the organization and reduce costs continuously because relying on advertising revenue alone may not be enough. Due to the problem of inflation in Thailand in the past affecting the business sector, slowing down the purchase and cut down on advertising budget causing the ad revenue to fluctuate
Channel 3’s roadmap in 2022 has shifted to more aggressive new business penetration. BEC Finance and Accounting Bureau previously disclosed that Channel 3’s vision aims to be the leader of entertainment in Thailand. aim to expand the income base From the sale of the hand drama licensing to the platform. Video streaming both foreign and domestic, such as Netflix, Ai Qi Yi, VIU, etc.
While long-term growth, Channel 3 does not rely on revenue from the advertising industry. but ready to diversify into new businesses such as movies Buppesanniwat 2 last July and made a total income of more than 400 million baht
including the music business through creating added value for actors and artists under Starting from the first artist “Taew Nataphon Temeerak” who changed his role to catch the mic, debuted as a solo singer with BABYBOO songs and 100% songs at the beginning of the year and reinforces Channel 3’s heavy penetration of music business. When it was released, “Bow Melda Susri” made the first single, My Lovely Girlfriend, launched the full song on 19 September 2022.
It would have to wait for the operating results in 2022 whether new businesses such as music and movies will support Channel 3 revenue to grow or not.
BEC’s latest analyst meeting, KGI Securities (Thailand) remains optimistic about BEC and maintains its 2022 profit forecast at 890 million baht and the 2023 profit forecast at 1.1 billion baht, with 2 supporting factors as follows: 1. Expected ad sales to increase and 2. Expected revenue from GCL and digital platforms to increase.
KGI Securities maintains a buy recommendation for BEC shares with a target price of 1H66 at 15.30 baht, closing price per earnings (P/E) at 13 times. BEC’s risk factor is lower-than-expected advertising sales and GCL revenue. keep it