Transportation Infrastructure

Shanghai International Port Group announced on October 9 that it expects September mother-port container throughput to reach 5.135 million TEUs, up 6.2% year on year, and mother-port cargo throughput to reach 53.467 million tonnes, up 2.3% year on year. In the first half of this year, the company's operating revenue was 21.429 billion yuan, up 9.50% year on year; net profit attributable to the parent was 8.519 billion yuan, up 5.97% year on year; and net profit attributable to the parent after deducting non-recurring items was 7.778 billion yuan, up 5.55% year on year. For the full year 2025, the company achieved operating revenue of 39.611 billion yuan, up 3.92% year on year, with revenue from the container segment, port logistics segment, and port services segment rising 10.24%, 18.20%, and 18.16% respectively, while revenue from other segments plunged 62.45% year on year due to fewer property project deliveries; full-year total profit was 18.211 billion yuan, down 2.70% year on year, and net profit attributable to the parent was 13.565 billion yuan, down 9.29% year on year. The interim report shows that the company's mother-port container throughput has ranked first in the world for sixteen consecutive years since 2010, reaching 28.737 million TEUs in the first half of 2026, while mother-port cargo throughput reached 305 million tonnes, up 2.7% year on year, including bulk and general cargo throughput of 39.137 million tonnes, down 2.6% year on year. As of the close on October 9, Shanghai International Port Group fell 0.72% to 5.50 yuan per share.

Sichuan Expressway on October 10 disclosed revised prospectus documents for its A-share private placement and replies to exchange inquiry letters, moving the refinancing into a critical review stage at the Shanghai Stock Exchange. After the adjustment, the total fundraising target was lowered from 3.18 billion yuan to 2.68825 billion yuan, with the company voluntarily deducting 491.75 million yuan corresponding to financial investments to prioritise smooth progress in project review. After deducting issuance expenses, 2.1 billion yuan will be used for the expansion of the Chengdu to Ya'an section of the G5 Beijing-Kunming Expressway, and 588.25 million yuan will be used to repay interest-bearing debt, with the latter accounting for 21.88 percent of total proceeds. The company explained that the estimated total investment for the expansion project is about 27.89 billion yuan, implemented under a ROT model rather than a PPP project, with a four-year construction period. The Meishan and Ya'an sections are planned to start construction first in October 2026, the Chengdu section is planned to start in May 2027, and the project is expected to open to traffic in September 2029. The after-tax internal rate of return on project capital is 6.39 percent. The issuance targets no more than 35 specific investors, with an issue price no lower than 80 percent of the average A-share trading price over the 20 trading days before the pricing base date and no lower than the latest audited net asset value per share. The lock-up period is six months. After completion, the controlling shareholder and actual controller will remain Shudao Group and the Sichuan Provincial State-owned Assets Supervision and Administration Commission. The company cautioned that the matter still requires approval from the Shanghai Stock Exchange and registration with the China Securities Regulatory Commission before implementation, and uncertainties remain.

According to earnings announced by AIT at noon on October 9, consolidated current profit for the second quarter of the June-August period rose 11.2% year on year to 1.21 billion yen, while the operating profit margin was essentially flat, edging from 7.1% a year earlier to 7.3%. For the cumulative first half covering March through August, consolidated current profit came to 2.39 billion yen, down 0.3% year on year, putting progress toward the full-year plan of 4.96 billion yen at 48.2%, roughly in line with the five-year average of 49.6%. Based on the company's unchanged full-year plan and the first-half results, second-half consolidated current profit works out to 2.57 billion yen, up 12.6% year on year.

Maybank Securities (Thailand) said in an analysis dated October 9, 2026, that concerns over an outbound travel tax are weighing on Airports of Thailand, or AOT, but are instead creating an opportunity to buy, as it maintained its Buy recommendation and a target price of 75 baht per share. The research team said it had met with AOT's senior executives to discuss business trends, and that there was no material new information, though the tourism tax and outbound travel tax became the main topics of discussion. Executives viewed that the 450 baht tourism tax on inbound tourists is unlikely to affect demand, while the proposal to levy a 1,000 baht outbound travel tax on international air travel is unlikely to materialize, as it could have a broad impact on the private sector, especially low-cost airlines. Departures by land and by water would still be exempt in the initial phase, and the public consultation process will run until October 29, 2026. The measure would take effect 180 days after its announcement. Based on a sensitivity analysis, the research team estimated that for every 1% decline in the number of international outbound passengers, AOT's profit in fiscal year 2027 would fall 1.6% and its target price would drop 0.60 baht per share. As for the tourism tax, the government plans to introduce a 450 baht levy, higher than the 300 baht level the Ministry of Tourism and Sports had previously proposed. The research team expects the impact to be limited, as it accounts for less than 1% of average spending per tourist per trip, and revenue from the tax will be used to improve tourism infrastructure and provide insurance for tourists.

BAFS, or Bangkok Aviation Fuel Services Public Company Limited, is targeting fuel volume growth of about 4% in 2027 from an expected flat performance this year, with 2025 volume at 5.3 to 5.4 billion litres. Jakkrasanit Kritsaaadchai, Deputy Managing Director for Accounting and Finance of the group, told the Thai news agency Efinancethai that the growth will come from two main projects: the Link Line oil pipeline connection project, which is 95% complete and undergoing commissioning, with completion expected within this year, and the Surat Thani community waste-to-energy power plant with a capacity of 9.9 megawatts, a joint venture with Sermsang Power Corporation Public Company Limited, or SSP, which is expected to begin commercial operation, or COD, within this year despite delays caused by heavy rain. The company expects the pipeline connection to drive revenue and net profit growth by leaps and bounds and to clearly improve its EBITDA margin, with profit growth outpacing revenue growth in 2027, though next year's profit will not yet reach the previous peak before COVID, in 2019, when it earned nearly 1 billion baht. For 2026, fuel volume dipped slightly because of conflict in the Middle East, leaving total volume below target, but the company still maintained volume at a holding level. Suvarnabhumi Airport continued to see normal refuelling volume, while Don Mueang Airport, especially low-cost carriers, faced weakness from larger-than-usual flight cuts. Low-cost carriers account for only about 20% of total refuelling volume at Don Mueang, so a 30% cut in flights does not have much impact on the overall picture. On cost reduction and the adoption of technology, the company has launched the Iris system at Suvarnabhumi Airport and will expand it to Don Mueang Airport late this year, helping cut costs by about 20%, while a fuel depot management system is set to go live late this year and is expected to cut costs by another 10% to 20%. As for Solar Rooftop, it has already been installed and is supplying power commercially at Suvarnabhumi Airport and the Lampang fuel depot, with total capacity of about 700 kilowatts, helping cut electricity costs by as much as 30%. In the northern oil pipeline business, transport volume has recovered to about 80% to 90% of normal levels, and the FPT/BBT northern pipeline project, which used to lose about 300 million baht a year, will turn profitable from operations next year.

Ningbo Port has disclosed estimated throughput data for September and the first three quarters. In September 2026, the company expects to complete container throughput of 5.07 million TEUs, up 9.3% year on year, and cargo throughput of 106 million tonnes, up 1.0% year on year. From January to September 2026, the company expects cumulative container throughput of 41.64 million TEUs, up 6.1% year on year, and cumulative cargo throughput of 893 million tonnes, down 2.1% year on year.

Airports of Thailand, or AOT, has signed public-private partnership agreements with AOT Ground Aviation Services, or AOTGA, for two projects at Suvarnabhumi Airport: the project for apron and ground support equipment services, ground passenger services and other related operations, known as Ground Support Equipment, or GSE, and the project for third-party operator cargo warehouse services. The signatories were Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, and Mr. Siriwat Towachirakul, Chief Executive Officer of AOTGA. AOT acted in accordance with Section 36 of the Public-Private Partnership Act B.E. 2562. AOTGA was the bidder selected to undertake both projects, and the Cabinet resolved on 8 September 2026 to approve the results of the private-sector selection and the key terms of the contracts as proposed by the Ministry of Transport. AOTGA will next prepare personnel and equipment to begin the GSE project, which is expected to start services in 2027. For the cargo project, a cargo warehouse will be built and various preparations made, with an expected implementation period of about 23 months and a total project term of 25 years. Under the contracts, AOT sets service efficiency as a key performance indicator, or KPI, along with penalty and fine conditions if the specified terms cannot be met.

Airports of Thailand, or AOT, has signed a public-private partnership agreement with AOT Ground Aviation Services, or AOTGA, to carry out the ground handling apron and equipment services project, the ground passenger services and related activities, known as GSE, and the cargo terminal services project, or Cargo, at Suvarnabhumi Airport as a third-party operator. The signatories were Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, and Mr. Siriwat Towachirakul, Chief Executive Officer of AOTGA. AOT is acting under Section 36 of the Public-Private Partnership Act B.E. 2562. AOTGA submitted the proposal and was selected as the operator for both projects, in line with the Cabinet resolution of 8 September 2026, which approved the results of the private-sector selection and the key contract conditions as proposed by the Ministry of Transport. The GSE project is expected to begin services in 2027 after AOTGA prepares its personnel and equipment. The Cargo project will involve construction of a cargo terminal and preparation in various areas, expected to take about 23 months, with the overall project operating period totaling 25 years. AOT has set service efficiency as a key performance indicator, or KPI, along with penalty and fine conditions if the operations do not meet the terms specified in the contract.

Airports of Thailand, or AOT, has signed joint investment contracts with Airport Ground Services Thailand, or AOTGA, for two major projects at Suvarnabhumi Airport. Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, and Mr. Siriwat Towachirakul, Chief Executive Officer of AOTGA, signed the agreements together. The first project is the GSE project, covering apron and ground equipment services, ground passenger services, and related businesses, for which AOTGA will prepare personnel and equipment, with services expected to begin in 2027. The second is the Cargo project, which involves developing a cargo warehouse to support air freight, with AOTGA to construct the warehouse. It is expected to take approximately 23 months, with a total project period of 25 years. This joint investment is being carried out by AOT under Section 36 of the Public-Private Partnership Act B.E. 2562 (2019), with AOTGA as the bidder selected to operate both projects, after the Cabinet resolved on September 8, 2026, to approve the results of the private-sector selection and the key contract conditions as proposed by the Ministry of Transport. In addition, AOT has set key performance indicators, or KPIs, along with penalty and fine conditions should the operator fail to comply with the specified conditions.

Airports of Thailand, or AOT, has signed a public-private joint investment contract with AOT Ground Aviation Services, or AOTGA, to carry out the ground handling equipment and apron services project, covering apron and ground equipment services, ground passenger services and related operations, known as GSE, as well as the cargo terminal services project at Suvarnabhumi Airport as the third operator. The signatories were Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, and Mr. Siriwat Towachirakul, Chief Executive Officer of AOTGA. AOT is proceeding under Section 36 of the Public-Private Partnership Act B.E. 2562. AOTGA submitted the proposal and was selected to operate both projects, and the Cabinet resolved on September 8, 2026, to approve the results of the private-sector selection and the key terms of the joint investment contract as proposed by the Ministry of Transport. For the GSE project, AOTGA will prepare personnel and equipment, with services expected to begin in 2027. The cargo project will move into the construction of the cargo terminal and preparation of related systems, expected to take about 23 months. The total operating period for the projects is 25 years, and AOT has clearly set key performance indicators, or KPIs, in the joint investment contract, along with penalty and fine conditions should AOTGA fail to meet the specified standards.

Asia Plus Securities assessed BEM shares, noting that the Mass Rapid Transit Authority of Thailand is pushing to connect the Purple Line North and Purple Line South for seamless service. The authority is studying a PPP Gross Cost model and opening the way for negotiations with the existing operator, BEM, which already operates the Purple Line North. Construction of the Purple Line South is 90% complete and scheduled for completion in October 2027, making the selection of the systems and operations contractor more urgent so it can meet the planned service launch in 2029-2030. The approval process is expected to become clear between late 2026 and early 2027. If BEM wins the Purple Line South operating contract, it will add a stable recurring revenue base, since the Purple Line North operation generates about 2.4 billion baht per year, or roughly 15% of the company's total revenue, and the research team estimates the Purple Line South operation has the potential to generate a similar level of revenue. In addition, BEM has other supporting factors waiting in the wings: the increase in the Si Rat-Outer Ring Road Expressway toll from 65 baht to 80 baht in December 2026, the launch of the Orange Line in 2028, which will bring more passengers directly onto the Blue Line, and the Double Deck expressway project. Third-quarter 2026 earnings look bright and should be the strongest quarter of the year, driven by seasonal factors supporting both Blue Line passenger numbers and expressway traffic volume, together with the recognition of 221 million baht in dividends from TTW. Meanwhile, costs are expected to begin showing benefits from managing Purple Line maintenance in-house. The research team maintained its "Buy" recommendation with a fair value of 8.20 baht, noting the stock still trades below the 6.50 baht per share level at which CK sold BEM shares to institutional investors through a Big Lot transaction.

An analyst at Dao Securities (Thailand) Public Company Limited revealed that the Mass Rapid Transit Authority of Thailand, or MRTA, is preparing details of the investment model for the southern Purple Line project, the Tao Poon-Rat Burana section (Kanchanaphisek Ring Road), to submit to the MRTA board for consideration, and expects to present it to the cabinet meeting by the end of this year. The plan uses a non-tender selection of a private partner under the Public-Private Partnership Act of 2019, negotiating with the existing contractor of the northern Purple Line, Tao Poon-Klong Bang Phai, which is currently in service, with BEM as the contractor, to ensure continuity of operations. Currently, for the northern Purple Line, the MRTA hires BEM under a public-private partnership, or PPP, of the gross cost type, in which the state invests in infrastructure and collects fares, while the private partner invests in the system and train cars and operates the service, with the state paying a fixed-price fee. The southern Purple Line will use the same model, making negotiations with the existing contractor straightforward. The analyst views this as positive, expecting negotiations for the southern Purple Line operating concession with BEM to begin in the first half of 2027. Preliminary forecasts assume BEM wins the operations and maintenance concession for the southern Purple Line for 30 years, and may also see the northern Purple Line operating concession extended from its original expiry in 2043, potentially ending together with the new southern Purple Line concession, which is estimated to add about 1 baht per share of upside to BEM's target price. In addition, CK is expected to benefit from the same issue, with a chance to win the mechanical and electrical systems construction work for the southern Purple Line worth 30 billion baht, with a construction period of about 3 years, helping replenish the company's backlog from the end of 2026, which is expected to be around 120 billion baht. For BEM, the recommendation is maintained at Buy with a target price of 9 baht. Beyond progress on the southern Purple Line operating concession, there are additional catalysts from progress on the Double Deck project, which may also reach a conclusion in the second half of 2026 to the first half of 2027. For CK, the recommendation is maintained at Buy with a target price of 23.00 baht, and it remains a top pick in the construction contractor group, supported by attractive valuation, currently trading at only 12 times 2026 core P/E, with a backlog stronger than peers and helping secure continuous revenue for at least the next 3 years.

Guangxi Wuzhou Communications Co., Ltd.'s controlling shareholder, Guangxi Communications Investment Group Co., Ltd., plans to increase its shareholding in the company over the next 12 months, with the proposed increase amounting to no less than 89.045 million yuan and no more than 178.09 million yuan. According to the announcement, the share increase plan will be implemented within 12 months starting from October 8, 2026. Guangxi Communications Investment Group will increase its holdings of the company's A-shares through centralized bidding on the Shanghai Stock Exchange, with the increase not exceeding 2% of the company's total share capital. No price range is set for the share increase, and the funding source is its own funds or other lawful sources of funds. Before the increase, Guangxi Communications Investment Group held 618,948,686 shares of Wuzhou Communications, accounting for 38.45% of the company's total share capital, making it the controlling shareholder. The announcement also disclosed that from September 15, 2025 to September 3, 2026, Guangxi Communications Investment Group had cumulatively increased its holdings by 32,193,000 shares, accounting for approximately 2% of the company's total share capital, with a cumulative increase amount of 135,361,758.24 yuan, and that increase plan has been completed. In the six months prior to this announcement, the entity increasing holdings had no reduction in holdings. Guangxi Communications Investment Group undertakes not to reduce its holdings in the company within 12 months after the completion of the share increase plan and within the statutory period, and notes that this increase may be unable to be implemented or completed on schedule due to changes in the capital market environment, policy adjustments, or other unforeseeable factors.

Beibu Gulf Port announced on the evening of October 7 that, due to planning to purchase 100% equity in Guangxi Free Trade Zone Qinzhou Port Area Henggang Terminal Co., Ltd. through the issuance of shares and cash payment, and to raise supporting funds, the company's shares will be suspended from market open on October 8. The suspension is expected to last no more than 10 trading days, with the formal transaction plan to be disclosed and trading to resume no later than October 22. The announcement shows that the target of this transaction, Henggang Terminal, was established on September 23, 2026, with a registered capital of 100 million yuan. Its core assets are berths 1 to 3 in the Dalanping operation area of Qinzhou Port and supporting land and sea area resources. In the company's equity structure, the listed company's controlling shareholder, Guangxi Beibu Gulf International Port Group, holds 33.9991%, and Beigang Group's wholly-owned subsidiary, Qinzhou Port Construction Investment Co., Ltd., holds 66.0009%. Since the counterparties are all entities within the controlling shareholder's system, this transaction constitutes a related-party transaction, but it is not expected to constitute a major asset restructuring. As of the disclosure date of the announcement, the parties have signed an acquisition intention agreement. However, core details such as the specific transaction plan, pricing basis, performance compensation arrangements, share lock-up terms, and supporting financing plan are still under discussion and verification, and will require internal decision-making procedures and regulatory approval before formal implementation. Beibu Gulf Port stated that during the suspension period, it will accelerate due diligence and plan verification. If it fails to convene a board meeting for review and disclose the transaction plan on schedule, the company's shares will resume trading at market open on October 22 and the planning of this matter will be terminated. As the core listed platform for port resource integration in Guangxi, Beibu Gulf Port operates the three core port areas of Qinzhou, Beihai, and Fangchenggang. This acquisition is an important measure for the listed company to continue promoting regional port integration and improving the production capacity layout of core port areas. In the first half of this year, Beibu Gulf Port achieved operating revenue of 3.586 billion yuan, a year-on-year increase of 0.84%, and net profit of 558 million yuan, a year-on-year increase of 5.09%.

Guangzhou Port announced that in September, the company expects to complete container throughput of 2.396 million TEUs, a year-on-year increase of 19.6%; it expects to complete cargo throughput of 51.305 million tonnes, a year-on-year increase of 12.5%. From January to September 2026, the company expects to complete container throughput of 21.074 million TEUs, a year-on-year increase of 4.8%; it expects to complete cargo throughput of 447.91 million tonnes, a year-on-year increase of 3.8%.

Beibu Gulf Port announced that the company is planning to acquire 100% equity in Guangxi Free Trade Zone Qinzhou Port Area Henggang Terminal Co., Ltd. from Guangxi Beibu Gulf International Port Group and Qinzhou Port Construction Investment by issuing shares and paying cash, and to raise supporting funds. The transaction is expected to constitute a related-party transaction, but does not constitute a major asset restructuring or a backdoor listing. Trading in the company's shares will be suspended from market open on October 8, 2026, and the transaction plan is expected to be disclosed within no more than 10 trading days.

Beibu Gulf Port announced on October 7 that the company is planning to acquire 100% equity in Guangxi Free Trade Zone Qinzhou Port Area Henggang Terminal Co., Ltd. from Guangxi Beibu Gulf International Port Group Co., Ltd. and Qinzhou Port Construction Investment Co., Ltd. through the issuance of shares and cash payment, and to raise supporting funds. Trading in the company's shares will be suspended from the market open on Thursday, October 8.

The Air Cargo Subcommittee, the Thai Chamber of Commerce and the Board of Trade of Thailand met Deputy Prime Minister and Minister of Transport Phiphat Ratchakitprakarn to discuss ways to improve the efficiency of air cargo management, after Thailand's air cargo volumes continued to grow and caused congestion at some stages of the shipping process. The Civil Aviation Authority of Thailand, or CAAT, the Office of Transport and Traffic Policy and Planning, and Airports of Thailand Public Company Limited, or AOT, joined the discussion on 5 October 2026. For urgent measures, the Board of Trade of Thailand proposed bringing in explosive detection dogs, or EDD, to support the cargo screening process in order to increase capacity to handle rising cargo volumes while maintaining aviation safety standards. For long-term measures, it proposed developing a security system for air cargo in line with international standards by promoting Known Consignor, or KC, and Regulated Agent, or RA, systems so that cargo inspection and security begin at the point of origin, helping reduce the burden and congestion at downstream stages. It also proposed setting up a joint working group among the relevant agencies to monitor and drive the various measures so they produce concrete practical results. CAAT and AOT explained that they are currently preparing to bring explosive detection dogs into use to support cargo screening, and that in the first phase they may seek support from AOT first, while discussing with relevant agencies how to increase the number of dogs to meet future demand. AOT, meanwhile, is developing an air cargo management system and will coordinate closely with the Thai Chamber of Commerce. The Minister of Transport has assigned the Permanent Secretary of the Ministry of Transport to chair the working group in order to monitor and drive joint operations continuously, aiming to fix the system's limitations in the urgent term alongside laying out a long-term system to support the growth of air cargo and concretely raise the efficiency of Thailand's air cargo transport system.

Airports of Thailand Public Company Limited, or AOT, reported total passenger traffic across its six airports in fiscal year 2025/2026 reached approximately 126.2 million, slightly above the earlier estimate of around 125.9 million recorded in fiscal year 2024/2025. The growth was driven by Chinese tourists who began arriving gradually starting two weeks before the long Golden Week holiday. Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, stated that the baggage handling problems and flight cancellations were limited to the services of certain ground handlers, while flights of other airlines continued to operate normally. AOT is therefore developing software and an application to track baggage, which can locate and progressively return more than 50% of bags to passengers within a short period, and will extend this to cargo tracking software. At the same time, AOT is preparing to sign a contract with its third ground handler, AOTGA, within October 2026, before starting services in late 2026 or early 2027 to handle the high season. Meanwhile, Thanachart Securities recommends buying AOT shares with a fundamental target price of 75 baht, viewing it as a standout stock in the tourism sector, and expects profit in fiscal year 2027 to reach a record high, growing 61%.

Yuanta Securities (Thailand) said in an analysis dated September 30, 2026, that the earnings outlook for Airports of Thailand, or AOT, is continuing to recover and could enter a new growth cycle, driven by a full quarter of recognition of new Passenger Service Charge, or PSC, revenue, along with a recovery in passenger numbers and the tourism sector. The research team expects AOT to post normal profit of about 4.7 billion baht in the fourth quarter of 2026, up 25% from the previous quarter and 17% from the same period a year earlier. Total revenue is expected at about 18 billion baht, up 17% from the previous quarter and 12% from a year earlier, marking the first year-on-year growth in seven quarters. The gross margin is expected at about 41%, improving both from the previous quarter and from the same period a year earlier. The research team also raised its 2027 profit forecast by 7% to about 28 billion baht, or an increase of 45% from a year earlier, lifting its assumptions for passenger and flight growth in 2027 to 6% from 4%. It upgraded its recommendation on AOT to Buy and set a fair value of 73 baht at the end of 2027, up from 67 baht.

Airports of Thailand, or AOT, has unveiled an investment plan worth 152 billion baht to elevate Suvarnabhumi Airport into an aviation hub and support long-term growth. The plan is part of efforts to expand capacity to handle passengers and flights, which are expected to keep rising. Meanwhile, an analysis from IAA Consensus estimates AOT's target share price at 71.50 to 85.00 baht, based on data as of September 30, 2026.

Yuanta Securities (Thailand) has upgraded its recommendation on Airports of Thailand Public Company Limited, or AOT, to Buy and raised its end-2027 target price to 73.00 baht from 67.00 baht, reflecting an upward revision of its 2027 profit forecast to 28 billion baht, an increase of 45% year on year, on the recovery in tourism and cost management measures. For the fourth quarter, covering July to September 2026, the research team expects profit of 4.7 billion baht, up 25% quarter on quarter and up 17% year on year, supported by the full-quarter recognition of the new passenger service charge base. Although travel activity remains slower than a year earlier, the pace of the slowdown has improved compared with the third quarter. The research team assesses that fourth-quarter 2026 and full-year 2027 results will return to a growth cycle, driven by full-quarter recognition of the new passenger service charge and the recovery trend in the tourism industry. In addition, AOT is studying the creation of additional revenue sources, while airport expansion and flight-handling capacity will drive AOT's long-term growth.

Yuanta Securities raised its end-2027 price target for AOT shares to 73.00 baht and upgraded its recommendation to "Buy" after lifting its 2027 normalized profit forecast by 7% to 28 billion baht, or 45% growth year on year. The revision assumes 2027 tourist and flight volumes growing 6% year on year, up from 4% previously, a gross margin rising to 50.7% from 49.1%, and SG&A to sales falling to 4.8% from 5.1%. For the fourth quarter of 2026, normalized profit is expected at 4.7 billion baht, up 25% quarter on quarter and 17% year on year, supported by recognition of higher passenger service charges on new international routes, up 53% to 1,120 baht per passenger for a full quarter, bringing total revenue back to year-on-year growth of 18 billion baht for the first time in seven quarters. Total passenger and flight volumes are expected to fall 1% to 3% year on year, an improvement from a decline of 4% to 5% year on year in the third quarter of 2026, with gross profit margin forecast at 41.0%. On growth plans, AOT is expanding Suvarnabhumi Airport to 120 million passengers per year by 2039 through the East Expansion, South Terminal, and fourth runway projects. AOTGA is expected to sign a contract and begin services as the third operator between the fourth quarter of 2026 and the first quarter of 2027 under a 25-year concession. The company is also studying passenger service charges for connecting passengers, increases to landing and parking fees, and the return of inbound duty-free, with clarity expected within six months to a year.

Xiamen Airport announced that the company plans to take over passenger ground services at Xiamen Xiang'an International Airport through a specialized operating model, and will sign a Passenger Ground Services Framework Agreement with the new airport operator. The agreement term is three years, with service revenue shared on a percentage basis, under which the company receives 80% of passenger boarding bridge usage and service fees, passenger service fees, and ground handling charges. This transaction constitutes a related-party transaction and is still subject to shareholder approval.

The research team at CGS International Securities (Thailand), or CGSI, recommends increasing investment weight in Thailand's tourism sector, viewing profits as likely to grow strongly in the second half of 2026 and in 2027, and prefers THAI over AOT because THAI's valuation is more attractive at a 2027 P/E of 6.9 times, which is 27% below the sector average, compared with AOT at a 2027 P/E of 27.6 times, which is 48% above the sector average, and its earnings also have higher upside. For the fourth quarter of fiscal year 2026, or July to September 2026, CGSI estimates that AOT will post normalized profit rising to 4.4 billion baht, up 9% year on year and 16% quarter on quarter, even though passenger numbers fell 2% year on year, as the increase in the departure passenger service charge, or PSC, helps support earnings. Meanwhile, THAI is expected to post normalized profit of 2.8 billion baht in the third quarter of 2026, down 48% year on year but up 138% quarter on quarter, marking a recovery from its low point in the second quarter of 2026, supported by a 17% decline in average jet fuel prices. Passenger numbers remain AOT's weak point, as foreign tourist arrivals in Thailand during July to September 2026 are expected to fall 5% year on year from 7.43 million to 7.03 million, because airlines worldwide continue to cut flights, especially low-cost carriers, which are highly sensitive to prices. CGSI estimates that net profit at AOT and THAI will grow 60% year on year and 24% year on year respectively in 2027. In AOT's case, most of the growth will come from full-year recognition of the benefits of the increase in the PSC for international passengers, which is seen as a one-time boost to profit growth since the PSC is unlikely to be reviewed again for at least four years. THAI, meanwhile, is upgrading its service quality, and the delivery of 14 Airbus A321neo aircraft and 12 Boeing 787 aircraft will expand its fleet from 84 aircraft at the end of the second quarter of 2026 to 102 aircraft by the end of December 2026.

CGS International Securities (Thailand), or CGSI, has raised its investment weighting for Thailand's tourism sector to Overweight, citing expectations of strong profit growth continuing from the second half of 2026 through 2027, and said THAI looks more attractive than AOT on cheaper valuations. CGSI estimates THAI's net profit in 2027 will grow 24% year on year, while AOT's will grow 60% year on year. In AOT's case, most of the growth comes from a full year of benefits from the increase in the departure passenger service charge, or PSC, which the company officially announced in February 2026 and is expected to remain unchanged for at least four more years. THAI, meanwhile, benefits from lower fuel costs and fleet expansion, taking delivery of 14 Airbus A321neo aircraft and 12 Boeing 787s, lifting its fleet from 84 aircraft at the end of the second quarter of 2026 to 102 by the end of December 2026. For third-quarter 2026 results, CGSI expects AOT to post normalized profit of 4.4 billion baht, up 9% year on year and 16% quarter on quarter, even though passenger numbers fell 2% year on year. It expects THAI to post normalized profit of 2.8 billion baht, down 48% year on year but up 138% quarter on quarter, helped by a recovery as jet fuel prices fell 17%. Foreign tourist arrivals from July to September 2026 are expected to fall 5% year on year to 7.03 million from 7.43 million. CGSI nonetheless highlights that THAI's valuation looks more attractive at a 2027 price-to-earnings ratio of 6.9 times, 27% below the sector average, versus AOT at 27.6 times, 48% above the sector average, and that THAI's earnings also have more upside.

CGS International (Thailand), or CGSI, recommends increasing investment weight in Thailand's tourism sector, expecting strong profit growth in the second half of 2026 and in 2027, and favours THAI over AOT. The research team estimates that AOT will post normal profit of 4.4 billion baht in the fourth quarter of fiscal year 2026, up 9% year on year and 16% quarter on quarter, even though passenger numbers fell 2% year on year, helped by the increase in the outbound passenger service fee. THAI, meanwhile, is expected to post normal profit of 2.8 billion baht in the third quarter of 2026, down 48% year on year but up 138% quarter on quarter from its low in the second quarter of 2026, supported by a 17% decline in average jet fuel prices. CGSI expects Thailand's foreign tourist arrivals in the July to September period of 2026 to fall 5% year on year, from 7.43 million to 7.03 million, because airlines worldwide are still cutting flights, especially low-cost carriers. It expects THAI's cabin factor to recover to 76% in the third quarter of 2026 from 71.5% in the second quarter of 2026, even though passenger yield will fall 10% quarter on quarter to 2.87 baht per RPK. For 2027, CGSI projects that net profit at AOT and THAI will grow 60% year on year and 24% year on year respectively. THAI is in the process of taking delivery of 14 Airbus A321neo aircraft and 12 Boeing 787 aircraft, which will expand its fleet from 84 aircraft at the end of the second quarter of 2026 to 102 aircraft by the end of December 2026. CGSI prefers THAI to AOT because its 2027 P/E of 6.9 times is 27% below the sector average, while AOT's P/E of 27.6 times is 48% above the sector average.

Volato Group's Alignment Engine subsidiary has entered into two four-year, take-or-pay orders with a large AI customer representing $1.17 billion in aggregate contract value, marking Alignment Engine's first major customer commitment for its AI infrastructure platform. The orders cover phased deployment of dedicated AMD GPU infrastructure at Alignment Engine's Ohio AI infrastructure campus, with the initial deployment using AMD MI355X GPUs and a contractual start date of December 31, 2026, and a second deployment using AMD MI455X GPUs starting June 30, 2027. The customer has committed to approximately $133 million in contractual prepayments, including approximately $40 million due following execution of the initial order, with the remaining prepayments scheduled in stages based on specified dates and equipment shipment milestones. The deployments will operate as dedicated, single-tenant GPU clusters, and the remaining contract value is payable over the four-year terms on a take-or-pay basis. Volato Chief Executive Officer Chris Ensey called the orders a transformational commercial milestone, and Chief Financial Officer Mark Heinen said they demonstrate a model of building infrastructure against long-term contracted demand and meaningful customer cash commitments.

Suvarnabhumi Airport, operated by Airports of Thailand Public Company Limited, or AOT, reported operating results for the first 11 months of fiscal year 2026, from October 2025 to August 2026, with a total of 59.63 million passengers served, an increase of 2.43% from the same period last year. A total of 118 scheduled airlines provided service, with combined takeoffs and landings of 346,905 flights, up 1.83%. Air cargo flights totaled 15,855, up 6.34%, handling more than 1.4 million tonnes of cargo, up 4.63%. Kittipong Kittikachorn, Director of Suvarnabhumi Airport, said the airport is pressing ahead with upgrading service quality and applying technology to improve management efficiency in order to drive its goal of becoming a Global Aviation Hub under the concept "20 Years of Suvarnabhumi: Connecting Thailand to the World, Advancing Toward the Future." Since opening on September 28, 2006, Suvarnabhumi Airport has served more than 899.9 million passengers, handled more than 5.57 million flights, and processed more than 24.9 million tonnes of air cargo. On service efficiency, the airport plans to install a total of 122 automated passport control machines for international passengers on both arrival and departure, with 106 already installed. It is also renovating 124 restroom locations, with 69 completed, and all work is expected to finish within 2028. Meanwhile, the development results have placed Suvarnabhumi Airport eighth among the top 10 airports for air connectivity in the Asia-Pacific and Middle East region for 2025, according to the ACI Asia-Pacific & Middle East Air Connectivity Index.