Bangkok--12 Nov--CPF
Bird flu will have no impact, since consumers are trusted in high production standard.
Export will be benefitied from China food contamination situation. 2008 sales definitely reaches target of 150,000 million baht.
Chareon Pokphan Foods Public Company Limited “CPF” - leading agro-industrial and food conglomerate in Thailand, announced its impressive nine-month 2008 operating result as follow:
For nine-month 2008 CPF had a net profit of 2,824 million baht, increasing 151 percent compared to the previous year. Sales revenue was 116,185 million baht, increasing 17 percent compared to the previous year.
Mr. Adirek Sripratak, President and Chief Executive Officer, said that the increasing of sales revenue for the first nine months of 2008 resulted from an increasing of export of processed meat and higher meat price both in domestic and oversea due to higher cost.
For bird flu situation in Sukhothai, Mr. Adirek said that the situation will not have any impact on sale of the Company’s chicken meat since consumers are trusted in CPF’s production standard and CPF has been continually promoted its brand.
For export business, he believed that importers understand the situation and CPF mainly export processing and cooked products processed with international production standard. Customers also come to inspect the Company’s production regularly. Moreover, the food contamination problem in China created the opportunity for the Company to export food to customers of China.
For oversea operation, operation in Russia, the recent investment of the Company, has started its operation in the 3rd quarter 2008 and will generate income in the beginning of next year. Russia operation is mainly on livestock feed and swine breeder. Target customers are Russian farmers who normally use self-mixed feed or low quality feed. Russia market is a strong potential market so CPF is confident that it should be able to achieve its target in 2009.
CPF is confident that it will be able to achieve its 2008 sales target of 150,000 million baht. However, CPF is concerned that the global financial crisis in many countries will reduce consumers spending. Therefore, since the beginning of 2008 CPF has reconsidered about its expansion plan and emphasize more on the policy to decrease expenses and increase efficiency. The reduction of raw material price, along with oil, will minimize the company’s cost. The weaker baht should also help on profitability of the company.
For dividend payment, CPF’s dividend policy is to pay dividend semi-annually and CPF has paid dividend 0.08 baht per share for its 1st half operations. Dividend payment in 2nd half should be higher than the 1st half since CPF is confident that it will have better results in the 2nd half, plus the share buy back project. From the beginning of the program until now, the Company has bought back shares approximately 3 percent of its paid-up capital.
For more information please contact
CPF
Tel. 0-2625-7344-5,0-2631-0641,0-2638-2713
E-mail : [email protected]