Central Retail Corporation: Uptick in momentum with cost discipline

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Central Retail Corporation: Uptick in momentum with cost discipline

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Central Retail Corporation

Uptick in momentum with cost discipline

Reiterate Rating: BUY | PO: 24.64 THB | Price: 20.70 THB

Earnings and PO revision 29 May 2026 Corrected

We raised our earnings estimates by 4-5% for 2026 onwards as we raised revenue Equity

assumptions and incorporate some cost-discipline following the stronger-than-expected

1Q result and recent upgrade in international tourist projection (refer to report

Key ChangesImproving signs, but speedbumps ahead). We now expect 2026E-27E NPAT at Bt8.1bn

(flat YoY) and Bt9.2bn (+13% YoY), respectively. Our PO is raised from Bt24.1 to (Bt) Previous Current

Bt24.64, based on the average between DCF and PER target. We like CRC for resilient Inv. Opinion B-1-7 B-1-8

sales and cost discipline (both OPEX and finance cost) that should cushion the weak Price Obj. 24.10 24.64

consumption atmosphere. Valuation also looks attractive with 2026E PER of 15.3x 2026E EPS 1.29 1.35

versus local peers’ average of 15.8x and its 1SD below historical average of 19.0x. We 2027E EPS 1.47 1.53

reiterate our view that 2Q could mark the low and expect a sequential improvement 2028E EPS 1.64 1.70

going forward, which should be a good catalyst for the share price. Reiterate Buy. 2026E EBITDA (m) 31,415.1 31,911.9

2027E EBITDA (m) 33,612.5 34,130.7

Decent QTD performance, May slightly better than April 2028E EBITDA (m) 36,196.0 36,736.4

From our discussion with the company, we believe CRC’s May SSS should be running at

the positive low single-digits, which should be slightly better than April, as we expect all Sirichai Chalokepunrat ^^^

business segments to turn to positive including fashion. It should partly be attributed to Research Analyst