Company Overview
ADVANC is the leading mobile operator in Thailand with an over 49% market share as of 3Q25. ADVANC has several spectrum bandwidths including 900MHz, 1,800MHz, 2,100MHz, and 2,600MHz. Recently, ADVANC won the new 2100MHz spectrum auction to replace its expired spectrum in August 2025.
Investment Overview
Leading telecom operator. ADVANC has maintained its position as one of the leading players in Thailand’s telecommunications sector. Its mobile business remains strong with comprehensive 5G network coverage, dominating the market with a 47% share. In Nov 2023, the company acquired Triple T Broadband PCL (TTTBB), a key fixed broadband operator in Thailand, along with a 19% stake in 3BB Internet Infrastructure Fund (3BBIF). ADVANC had 5.2mn FBB subscribers nationwide as of end-4Q25.
ARPU uplift driven by easing competition. Following the TRUE-DTAC merger in March 2023, Thailand’s telecommunications industry transitioned into a duopoly. This consolidation is expected to ease competitive intensity and potentially allow for increased pricing power. We observed an uptrend in average revenue per user (ARPU) throughout the year, primarily due to package restructuring (e.g., elimination of low-cost plans or reduction of data allowances) combined with the company’s cross-selling strategies. We expect this trend to continue for both the mobile and broadband businesses, as the company’s key focus remains on high-value packages and value-added offerings.
Factors to watch out for are: (i) Price adjustments in the mobile and broadband businesses, (ii) macro factors such as consumer spending and tourism, and (iii) further cost synergies with TTTBB
Maintain BUY a DCF-based TP of THB420. In 2026F, we expect ADVANC to deliver core profit growth of 11% driven by robust service revenue growth and ongoing cost optimization. The stock offers a solid dividend yield of 4.7% in FY26F. We like ADVANC for its defensive profile, steady cashflow, strong balance sheet and attractive yields.
Risks
Slower-than-expected ARPU improvement, subscriber losses from competition or external factors, and macroeconomic uncertainties.