Bangkok--12 Nov--CPF
CPF or Charoen Pokphand Foods Public Company Limited reported sales of 105,268 million baht and net profit of 2,649 million baht for the third quarter of 2013, an increase of 8% and 10% from the previous year, respectively. For the first nine month of 2013, CPF reported sales of 285,886 million baht and net profit of 5,311 million baht.
Mr.Adirak Sripratak, Chief Executive Officer and President, said that for the first nine months of 2013, CPF operating results has missed the target, mainly as a result of EMS decease (Early Mortality Syndrome) occurring in Thailand shrimp industry. The effect of the EMS on Thailand shrimp industry and CPF shrimp business was more severe than expected. Moreover, the recovery of shrimp industry has hampered by higher shrimp price due to less supply in the market which affected the cost of shrimp processing business. It is estimated that shrimp supply will decline about 50% this year.
CPF’s research and development team has been dedicated to study shrimp farming techniques to help promote shrimp survival rate to return to normal and has disseminated such knowledge to farmers. Currently, CPF has seen farmers return to do farming. Shrimp supply is expected to increase in the first quarter of 2014 and CPF expects its shrimp business to return to normal next year.
Operating results for the third quarter of 2013 improved from the previous quarter, mainly as a result of a recovery of broilers and swine prices in domestic market from last year which the prices has plump below production costs due to oversupply situation. CPF expects better operating results in the second half of 2013 and gradually improve in 2014.