ICHI's growth rests on alkaline water, stimulus, and a new fertilizer bet
Alkaline water demand outruns capacity, new partners add supply Alkaline water sales keep hitting records and demand still exceeds production. ICHI signed outside manufacturers Hon Chuan (starting November 2026) and Precision (2027) to free up capacity, with sales seen rising from 1.1-1.2 billion baht in 2026 to 1.6 billion baht in 2027. More supply means more revenue and profit.
This is the core new growth engine repeatedly cited as the reason for higher earnings and target prices.
Government stimulus and hot weather lift beverage sales The Thai Chuay Thai Plus cash handout was extended and a second 1,000-baht phase approved, putting tens of billions of baht into shoppers' hands. About 40% of ICHI's sales come through small local shops that benefit. El Niño heat is also expected to boost drink consumption into 2027.
These two demand drivers are the main reason analysts expect ICHI's sales and profit to accelerate in late 2026 and 2027.
New fertilizer joint venture opens a second business ICHI took a 51% stake in Tan Fertilizer with partner Ek Yong Wong for 76.5 million baht, targeting 1.5 billion baht of premium fertilizer revenue and 135 million baht profit within three years. It starts around May 2027 and adds a new earnings stream, though its lower margin may slightly dilute group margins.
This is the period's biggest genuinely new corporate event, expanding ICHI beyond drinks.
Q2 profit met forecasts but overseas sales stayed weak ICHI reported Q2 2026 profit of 309 million baht, up 8% from the prior quarter but down about 1% from a year earlier, and paid a 0.45 baht interim dividend. Domestic sales grew, but exports to Cambodia fell sharply and packaging costs stayed high, so the recovery is gradual rather than dramatic.
It is the period's key earnings and dividend event and shows the real counterweight to the bullish case.