Delta outlook clouded by cost pressures

While product demand remains strong, analysts say supply chain management is a near-term challenge for Delta Electronics Thailand.

Analysts are preparing to lower their net profit forecast for Delta Electronics (Thailand) for 2026 and 2027 after the largest company on the Stock Exchange of Thailand (SET) reported lower quarterly earnings than expected as rising costs and a raw material shortage ate into its profit margin.

Delta's second-quarter profit of 6.1 billion baht, down 33% from three months earlier, was 33% below market consensus, even though quarterly revenue reached a record 65 billion baht, said Suwat Sinsadok, managing director of Globlex Securities.