Bangkok--Dec 23--Thoresen Thai
Thoresen Thai Agencies PCL. has recorded a profit of over Baht 6 billion for 2005, a 37.51 per cent growth over last year and offered a dividiend of Baht3.5 per share, thanks to the continued demand of bulk carriers.
The company strongly believes next year is another performance following a great number of service contracts already sealed for entire 2006.
M.L. Chandchutha Chandratat, maging director of Theresen Thai Agencies PLC, said that the company made a net profit of Baht 5,948.65 million as of September 2005, which covered a Baht 16.17 milllion profit from exchange rates. Last year, the company's net profit totalled Baht 4,326.09 million after an exchange rate loss of Baht248.80 million.
The growth was primarily contributed by the market's tremendously rising demand for dry bulk carriers, which provided the company a steady stream of revenue.
In the past three years the company also doubled the capacity of its fleet to serve the expansion of the dry bulk service which saw a market growth of 8-9 per cent a year during 2003-2004.
The lack of fleet service and the relatively slow growth rate of dry bulk service at only 4-5 per cent per year, based on the phase-out of older carriers from the market, also helped fuel the growth of the company.
However, the service providers for dry bulk cargoes are now growing fast and meeting the demand. Thus, the lack of such service will not be severe as happened in the past. Thoresen however expectes that the freight rates in the next three year remain promising.
"Though currently the freight rates are relatively coming down, the company has been well aware and prepared to expand related businesses that will support its main operation.
In addition to its strong carrier service, Thoresen has increased its shareholding ratio in Mermaid Maritime Co to 63 per cent from 50 per cent by 13 percent.
The increase allows Thoresen's coastal lining service to become
more intergrated and effective. Also, Thoresen has planned to improve its logistics system to serve its continued expansion. We believe there operations will definitely stregnthen our main operation," M.L. Chandchutha said.
Significantly, the company has already won contracts to offer 39 of its total freigh space capacity for time charters service, which will run until Set 30, 2006, and seal advance booking of service for 876 vessel days. The strategy to sign the time charters will help secure the company's performance next year.
The company's board of directors, as of December 21, 2005, approved
a dividend of Baht3.50 per share. Of this amount, Baht 2 per share was already paid on June 10, 2005. The remaning Baht1.50 per share will be paid for the registered shareholders on Thursday, February 9, 2006. A return of investment is worth Baht 9.47 when compared to the company's share price throught out 2005.
The board of directors meeting also ackhowledged the resignation of three directors: Mr. Frodo Taiken, Mr. Oley Taiken, and Mr. Opas Petchmunuee, who will meet their terms in the upcoming annual general meeting of ordinary shareholders. They intended not to nominate their names for the new terms.
The board also approved Mr. Andrew John Aeries, Mr. Anners Suderkren, and Dr Pichi Nitiwasin for the replacement. However, the board directors from "Taiken" group had their terms ended, the new directors are regarded highly experienced in the maritime business for a long time. As it has been seenn, for the past 40 years Thoresen Thai Group itself has never shied away from acquiring innovation and knowledge of new technology.
Other agendas will be forwarded to the general annual ordinary shareholders meeting for acknowledgement and approval. Eligible persons for the meeting are the shareholders whose names were recorded in the closing day of sharedholders registration book, on Wednesday, January 11, 2005, 12.00, and those who attended the meeting until it's ended. The annual general ordinary sharedhodlers meeting of 1/2005 will be held on Monday, January 30, 2005, 14.00 at Grand Ballroom, Grand Hyatt Erawan, Rajadamri Rd, Bangkok.
For further information
Please contact: Khun Bang-on Kaewbovorn
Tel: 0-26633226 Ext. 68 Mobile: 01 9047907 End.