Bangkok--10 Feb--CS LoxInfo
CS LoxInfo had a consolidated net profit (before extraordinary items) for 2011 of Baht 395 million, an increase of Baht 22 million or 6% from 2010, and reported consolidated revenue of 2,841 million, an increase of Baht 140 million or 5% over 2010. The increased performance resulted from the continuous growth of the Internet Service Business, Voice Info Services and Mobile Content Business, in conjunction with efficient cost management and expense control.
In 2011, CSL had some extraordinary expenses totaling Baht 60 million which consisted of 1) the change in corporate tax rates of Baht 23 million, and 2) impairment loss for goodwill from investing in a subsidiary of Baht 37 million. These led CSL to have a net consolidated profit for 2011 of Baht 335 million or Baht 0.56 per share.
Moreover, CSL reported a net income on the separate financial statement for 2011 of Baht 323 million or equivalent to Baht 0.54 per share. This comprised of 1) net profit from its operations of Baht 80 million (net of the effect from change in corporate tax rate of Baht 10 million and impairment loss of investment in a subsidiary of Baht 43 million), and 2) dividends received from subsidiaries of Baht 243 million.
At the CSL Board of Directors’ meeting held on 10 February 2012, the Board of Directors passed a resolution to recommend to the Shareholders’ Annual General Meeting, for the payment of dividends for the year 2011 of Baht 0.27 per share. The proposed dividend must be approved by the shareholders at their meeting which will be held on 29 March 2012.
The Business directions for 2012 are as follows:
For Internet Service Business, CSL has changed its business direction from an Internet Service Provider (ISP) to be an ICT (Internet/Computer/Telecom) Service Provider to meet the customers’ demands for complete solution services for the internet, computers and communications. In 2011, the company had 4,000 corporate clients (small medium and large size), which represented 30-35% of the market share in Thailand
For Voice Services & Mobile Content Services, due to the continuous of growth in this business, CSL still needs to develop more online services to meet the change in users’ behavior that has evolved into smart phone usage. Revenue from this section has only generated a small contribution because the purchase of goods and services via mobile phones is not yet popular in Thailand.
For Thailand Yellow Pages business, because of advertisers have more options for cost effective advertising through online media or the internet, and the advertising business has also been affected by the flood crisis in Bangkok. In order to handle the change in advertisers’ behavior, CSL has invested in online advertising and e-commerce business which has led CSL to offer various advertising services. However, online revenue has only generated a small contribution which does not offset the declining revenue from Thailand Yellow Pages. In the short term, CSL expects to offset the declining revenue from Thailand Yellow Pages with revenue from 1188 Call Center Services.