SET-listed CPT Drives and Power Plc, the manufacturer of electrical power distribution panels, expects revenue growth to double by 2020, driven by domestic and overseas business expansion, says chief executive Somsak Limprasert.
The company plans to bid on more than 10 small power plant construction projects, with each having capacity of 300 megawatts, in both the government and private sector, said Mr Somsak.
Of the projects, six are worth 420 million baht, with revenue recognition slated to begin from 2018, helping to increase the company's backlogged projects from 500 million baht, he said.
Electrical control products, CPT's core items, are used by industrial customers, state-owned enterprises, government officials and private companies, said Mr Somsak.
These new groups of customers are expected to generate revenue of 550 million baht, he said.
Sugar factories have been the company's primary customer group for many years, said Mr Somsak.
Other services provided for existing customers such as machine maintenance and new machine replacement generate annual revenue of 300 million baht, he said.
Mr Somsak said the company plans to expand its representative offices into neighbouring states including Vietnam, the Philippines, and Indonesia, to benefit from the wave of economic growth there, particularly regarding sugar factories.
Revenue from overseas customers is projected to grow from 100 million baht this year to 500 million in 2020, an increase from 10% to 30% of total revenue, he said.
Mr Somsak said the company is better poised to reach revenue growth of 10% in 2018 due to strengthening business operations and expansion to major industrial customers.
This year's revenue growth is expected at 10% or 1.23 billion baht, while gross profit is projected at 27% due to well-managed operational costs, he said.
CPT's major shareholders are Limprasert group at 35%, Peepathum group (28%) and Wichienkuea group (10.5%), of the company's total paid-up capital of 900 million shares.
CPT is a new firm which listed on the Stock Exchange of Thailand on Dec 20. The initial public offering price for CPT shares was 2.30 baht, but the price dropped 9.57% on the first day of trading. The firm's share price recovered slightly last week, but remains lower than its IPO price.
Shares of CPT yesterday closed on the SET at 2.26 baht, up 0.08 satang, in trade worth 123 million baht.
