Transportation Infrastructure

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.

Krungsri Securities stated in an analysis that it maintains a positive view on Bangkok Expressway and Metro, or BEM, even though flooding in Bangkok and its vicinity has affected traffic and the Expressway Authority of Thailand has extended the toll waiver by another 2 days to September 28-29, 2026, from the original September 26-27, bringing the total toll waiver period to 4 days and covering the Chalerm Maha Nakhon Expressway, the Si Rat Expressway, the Prachim Ratthaya Expressway, and the Udon Ratthaya Expressway, all of which are managed by BEM. Discussions with BEM's management found that revenue potentially lost from the 4-day toll waiver will be compensated by the government, though the form of compensation, whether cash or another arrangement, is still under discussion, as is the timeline for disbursement. The analyst views the chance that BEM will not receive full government compensation as low, and based on a sensitivity analysis, if it were assumed that no compensation is received at all, the company would lose about 100 million baht in revenue, or roughly 2% of total revenue in the third quarter of 2026 and about 0.6% of total revenue for all of 2026. Meanwhile, rising subway passenger numbers during the floods are helping offset some toll revenue. The analyst therefore maintains the 2026 net profit forecast at 3.9 billion baht, up 3% from the previous year, and keeps a Buy recommendation with a target price of 8.80 baht per share, viewing the stock as still attractive on valuation grounds with the impact of the toll waiver measures remaining limited.

Krungsri Securities Public Company Limited said that BEM's four-day waiver of tolls on all expressways following flooding in Bangkok and its vicinity will hit BEM's profit in 3Q26, but the government will compensate the company for the lost revenue. The Expressway Authority of Thailand has extended the toll waiver by another two days, to September 28 and 29 from the original September 26-27, covering all eight expressways under the authority, including Chalerm Maha Nakhon Expressway, Si Rat Expressway, Prachim Ratthaya Expressway and Udon Ratthaya Expressway. The research team estimates that without government compensation, about 100 million baht in revenue would be lost, equal to 2% of total revenue in 3Q26, or 0.6% of total revenue for 2026F. The compensation format and disbursement timeline still need to be discussed with the government. Meanwhile, higher revenue from the underground electric train business during the floods will offset part of the lost toll revenue. The research team therefore maintains its 2026F net profit forecast at 3.9 billion baht, up 3% year on year, and keeps its Buy recommendation with a target price of 8.8 baht, viewing the current price as not yet reflecting fair value, including value from the Blue Line electric train extension project and the Orange Line electric train project.

Huaihe Energy announced on September 28 that the company received the relevant selection notice from the Energy Bureau of Honghe Hani and Yi Autonomous Prefecture, Yunnan Province, confirming the company as the selected enterprise in the owner optimization process for the construction of four photovoltaic power projects: Luchachong, Mabao, Xinzhai, and Yanfeng. The planned total installed capacity of the above four photovoltaic power projects is 320,000 kilowatts.

Huaihe Energy announced that it has received a notice of selection from the Honghe Prefecture Energy Bureau, confirming the company as the selected enterprise in the owner selection process for the construction of four photovoltaic power projects: Luchachong, Mabao, Xinzhai, and Yanfeng, with a planned total installed capacity of 320,000 kilowatts. These projects lay the foundation for the company to deepen its dual-integration strategy and build a clean energy base comprising wind, solar, and hydropower in the Yunnan region. The company also cautioned that project progress and investment returns are subject to uncertainty.

Xinjiang Communications Construction announced that its board of directors has approved the proposal on signing and implementing a debt restructuring. Because the Qapqal County Government's original plan to offset the debt with state-owned agricultural land contracting rights could not be implemented due to policy adjustments, the two sides agreed that the county government will resume fulfilling its original debt of 249 million yuan to the company, to be repaid over ten years, with capital occupation interest calculated at an annual rate of 2.65 percent.

Airports of Thailand, or AOT, disclosed that Ms. Paweena Jariyathitipong, Chief Executive Officer, together with Air Vice Marshal Somchanok Tiamtiabrat, Advisor 10 and Acting Senior Executive Vice President for Airport and Aviation Standards, held discussions with Mr. Erik Langhofer, Director of Regulatory Affairs, Global Safety & Regulatory Affairs, Asia-Pacific, and Ms. Tammie Kuo, Airport Engineering Technology, Boeing Commercial Airplanes, from The Boeing Company, regarding the introduction of the Boeing 777X aircraft into operations at AOT's airports. The purpose of this discussion was to prepare the airports for aircraft parking stand management and to fully ready other facilities for this aircraft model, in order to create opportunities for airlines to consider bringing the Boeing 777X into service. This will benefit passenger volumes and enhance the potential of AOT's airports under safety standards. It also supports AOT's goal of becoming a World-Class Aviation Hub and will further stimulate Thailand's tourism and economic sectors.

Analysts at InnovestX Securities have released a list of 9 standout stocks set to benefit from the recovery of Thailand's tourism sector, along with a strategy of timing purchases for trading gains. They see Thailand entering the full swing of the tourism high season in the fourth quarter of 2026, starting with China's Golden Week from October 1-7, 2026, followed by European travellers escaping the cold and the Christmas-New Year festival. Meanwhile, 2026 also has upside from hosting world-class events, namely the World Bank-IMF meetings from October 12-18 in Bangkok, which are expected to draw 15,000-18,000 participants, and the Tomorrowland Thailand 2026 music festival from December 11-13 in Chonburi province, which is estimated to attract more than 15,000 attendees, over 85% of them foreign tourists. Based on historical statistics, the number of foreign tourists in the fourth quarter typically recovers significantly from the third quarter, with overall growth of 10% and 17% in 2024 and 2025 respectively, and the fourth quarter of 2026 is expected to grow close to or better than the previous year, driven by a tourist mix of mass tourism and high-spending MICE groups, which will significantly boost per-capita spending. The positive momentum is expected to extend into the first half of 2027, thanks to the Chinese New Year festival in the first quarter of 2027 and the Songkran festival coupled with the Thai Tiew Thai Plus measure expected to begin in April 2027 in the second quarter of 2027. The investment strategy therefore recommends timing purchases for trading gains in two main groups: stocks that benefit directly from foreign tourists' travel and stays in Thailand, namely the tourism group AOT, ERW, CENTEL and MINT, and stocks that benefit indirectly through increased consumer goods spending, namely the commerce group CPALL, CRC and CPN, and the beverage group HTC and ICHI.

Dao Securities holds a positive view on shares of Airports of Thailand Public Company Limited, or AOT, on the expected recovery in Chinese flights, particularly during the long Golden Week holiday, and on the possible increase in airport service fees. Data from the Tourism Authority of Thailand projects that during the long holiday from September 25 to October 7, 2026, which covers the Mid-Autumn Festival and China's National Day holiday for a total of 13 days, about 250,000 Chinese tourists will visit Thailand, up 24% year on year, helping to support the number of flights and passengers from China. Meanwhile, AOT is considering raising its parking charge, which has not been adjusted since 2008 and is currently about 30-50% lower than that of regional competitors, and is also reviewing its landing charge and aircraft service charge to improve the efficiency of airport resource use. Ms. Paweena Jariyathitipong, Chief Executive Officer of AOT, said the trend in flight volume for October 2026 is expected to rise gradually, especially flights from China during Golden Week between October 1 and 7 and during the winter flight schedule from October 25 to March 27. The research team maintains its net profit forecast of 19.4 billion baht for FY2026E, up 7% year on year, and 26.2 billion baht for FY2027E, up 35% year on year, which would be a new record high from recognizing the full-year benefit of the new passenger service charge rate after raising the international departure PSC to 1,120 baht from 730 baht effective June 20, 2026. It also maintains a Buy recommendation with a target price of 73.00 baht, based on DCF at a WACC of 7.0% and terminal growth of 3.0%.

Airports of Thailand Public Company Limited, or AOT, expects flight volumes in October 2026 to rise gradually, particularly flights from China during the Golden Week holiday from October 1 to 7, according to Ms. Paweena Jariyathitipong, Chief Executive Officer and company director, who disclosed that AOT is beginning to benefit from more efficient flight slot management after airlines booked slots in line with actual flight plans, reducing unused slot reservations, allowing slots to be reallocated and flights increased or decreased according to demand in each period and region, including Europe, Asia and the Middle East. Initially, total passenger volume across all six airports for the 2025-2026 fiscal year, from October 2025 to September 2026, is expected to be close to or grow about 1-2% year on year above the 2024-2025 fiscal year figure of roughly 125.9 million passengers, with passenger volume forecasts reviewed every three months. On the procurement of a third ground handling service provider, after the Cabinet approved in September 2026 that AOTGA operate the project, preparations are now underway and the contract is expected to be signed in early October 2026 before services begin in late 2026 or early 2027 to accommodate travel during the first-quarter 2027 tourism season. At the same time, AOT is reviewing the structure and rates of various airport service fees to align them with costs and resource usage, covering aircraft takeoff and landing fees, aircraft parking fees, facility fees and other service charges related to the use of airport space and facilities. Ms. Paweena said the review aims to make airport resource use more efficient, citing aircraft parking rates, which are currently low and may encourage aircraft to remain parked for extended periods, affecting space for new flights. She said the review will continue to take into account airline costs, competitiveness and the impact on passengers.

Krungsri Securities said tourist arrivals in the third week of September 2026 came to 0.46 million, down 7% year-on-year but recovering 5% from the previous week. The year-on-year contraction was driven by a 32% drop in Malaysian tourists, 35% from South Korea and 23% from India, while Chinese tourists numbered 0.07 million, down 6% year-on-year for a second consecutive week. Cumulative arrivals from January 1 to September 19 stood at 22.2 million, down 4% year-on-year. Total passenger volume nationwide in the third week of September 2026 fell 9% year-on-year, a deeper contraction than the previous week's 7% decline, though passenger volume at Samui airport still grew a strong 14% year-on-year. The research team maintained a Neutral view on the aviation sector, assessing that the US-Iran war remains a key risk given elevated oil prices, with the average jet fuel price from January 1 to September 21 at 144 US dollars per barrel, up 66% year-on-year and above the research team's full-year 2026 average jet fuel assumption of 130 US dollars per barrel, leaving airline stocks' 2026 earnings exposed to downside. The research team also picked AOT as its Top Pick in the sector with a Buy rating and a target price of 70 baht, citing less direct exposure to oil price risk and a positive catalyst from an increase of more than 50% in the international route passenger service charge. In the near term, BA stands out on continued strong passenger growth at Samui airport, with a Buy rating and a target price of 25 baht.

Dongguan Holdings announced that it plans to acquire a 65% stake in Dongguan Low-Altitude Economy Development Company held by Communications Investment Group for 6.0542 million yuan. After the transaction is completed, the low-altitude economy company will be included in the company's consolidated financial statements. This transaction constitutes a related-party transaction and has been approved by the board of directors.

Dao Securities said SAV retains a positive view on its operating performance in the third and fourth quarters of 2026, which should return to growth compared with both the prior year and the previous quarter, driven by a recovering trend in flight numbers. In July 2026, flights returned to 8% growth year on year, and in August 2026 growth is expected to accelerate to 20% year on year, while September 2026 should continue to grow. As a result, third-quarter 2026 flight numbers are estimated to grow more than 10% both year on year and quarter on quarter, an improvement from the second quarter of 2026, when flight numbers fell 2% year on year and 12% quarter on quarter. Supporting factors include a recovery in overflight traffic, with particularly notable increases in flights from Vietnam, China and Singapore, and fourth-quarter 2026 flight numbers are expected to rise further during the high season. The brokerage maintained its 2026 profit forecast at 547 million baht, flat year on year, with upside potential, as first-half profit accounted for 48% of the full year. For third-quarter 2026, preliminary estimates put profit improving to 130-140 million baht, better both year on year and quarter on quarter, compared with 128 million baht in the third quarter of 2025 and 122 million baht in the second quarter of 2026. Fourth-quarter 2026 profit is expected to improve further and mark the year's high. Dao maintained its Buy recommendation with a target price of 14.50 baht, based on a DCF with a WACC of 9.5% and a terminal growth rate of 2.5%. It assesses that second-quarter 2026 profit marked the bottom and that growth will accelerate in the third and fourth quarters of 2026 and in 2027. Catalysts remain from project tenders by AOT and Aerothai, with a combined project value of no less than 2.45 billion baht, which should add upside to 2027 profit, while dividend yield remains high at around 8.5% per year.