TQM Alpha (TQM) Q1 2025 earnings summary

Executive summary

• Service revenue grew 2.9% YoY, supported by high renewal rates and new segment penetration, with both gross profit and net profit increasing.

• Profitability remained strong, with gross profit margin at 50.8% and net profit margin at 21.8%.

• Motor insurance expanded despite economic headwinds, and individual life insurance is positioned as a new growth driver.

• Total assets reached 5,865 million Baht as of 31 March 2025, up from 5,704 million Baht at year-end 2024.

• Equity attributable to owners increased to 3,064 million Baht, with total equity at 3,651 million Baht.

Financial highlights

• 1Q25 revenue rose 2.4% YoY and 17.6% QoQ, reaching 1,114.6 million Baht, driven by higher insurance sales from renewals and new customers.

• Gross profit increased 1.3% YoY and 25.0% QoQ to 557 MB, with a GPM of 51%.

• Net profit attributable to owners of parent grew 1.2% YoY and 29.0% QoQ to 228 MB, with NPM at 21%.

• Earnings per share for Q1 2025 stood at 0.38 Baht, unchanged from Q1 2024.

• Dividend payment of 0.50 THB per share approved, totaling 0.95 THB for FY24; dividend yield at 2.5%.

Outlook and guidance

• Targets THB 50,000 million in premiums by FY2027, with 5-10% average annual revenue growth projected for 2025-2027.

• Focus on sustainable growth, customer happiness, technology transformation, and M&A.