Bangkok--26 Feb--CPF
Net profit grew at average growth rate of 88% per year for the past 5 years.
Businesses in China and India will push up sales more than 50% and CPF expects its sales to reach 600,000 million baht in 2016.
CPF expects its sales to be more than 300,000 million baht in year 2013 or increase more than 50% from previous year. Overseas operations and ready meal business selling both in domestic and export market will be key driven of sales growth, said Mr. Adirek Sripratak, President and Chief Executive Officer of Charoen Pokphand Foods Plc. or “CPF”.
CPF reported sales revenue of 206,009 million baht for year 2011, increased 9% from previous year. Net profit was 15,837 million baht, increased 17% from previous year. Earning per share was 2.38 baht per share. The Board of Directors approved dividend payment for the second half of the year 2011 at 0.60 baht per share. Interim dividend was paid in August 2011 at 0.60 baht per share. CPF’s total dividend payment for the year 2011 was 1.20 baht per share.
In order to achieve its goal to sustainable growth, CPF restructured its business by focusing more on value added products or food business and continuously expanded business to overseas. CPF currently have operations in 12 countries. Overseas operations include India, Malaysia, Russia, Laos, Philippines, Turkey, Taiwan, England, Cambodia, Vietnam and China.
As a result, CPF’s net profit has average growth rate 88% per year for the past 5 years and net profit reached 15,837 million baht in year 2011. CPF expects its sales in 2012 to increase at least 50% from last year or to reach 300,000 million baht. Investment in China and Vietnam approved by the shareholders’ meeting on 18 January 2012 will drive sales growth and continuous growth of net profit.
Most of countries CPF invested in such as China, Vietnam, Laos, Philippines, Russia, Malaysia and Cambodia still have high potential growth for fully integrated agriculture business. These countries are developing their agriculture business to be more modernized and concern more about food safety. Moreover, there is high potential for consumption growth in these countries. Thus, CPF expects operations in these countries to drive its sales growth in the future.
For Thailand operations, sales growth will mainly drive by food business especially ready meal under CP brand both in domestic and export market. Currently, CPF exports its products to more than 20 countries and expects its export sales to increase more than 20% from previous year.
With overseas expansion strategy and growth of food business, CPF is confident that its sales will increase from 300,000 million baht in 2012 to be more than 600,000 million baht in the next 5 years. Sales from overseas operations will contribute to 60% of total sales. CPF is strived to promote quality Thai food under CP brand globally.