PTT Oil and Retail Business Plc (OR), Thailand's largest oil retailer by volume, aims to achieve earnings before interest, taxes, depreciation and amortisation (Ebitda) of 45% by 2025 by increasing revenue from non-oil and overseas businesses.
In addition to adding more petrol stations and coffeehouses under the Cafe Amazon brand in Asia, the company wants to offer a new menu from Ohkajhu organic restaurant at its coffee shops, run express delivery service at filling stations, and adopt digital technology to better serve customers, said Jiraphon Kawswat, president and chief executive of OR.
The company increased Ebitda to 28% in the middle of this year, up from 25% last year.
Non-oil and overseas businesses will require 65% of the 74.6-billion-baht capital expenditure allocated for 2021 to 2025.
"OR will this year build 192 more petrol stations in Thailand and countries including Myanmar, Laos, Cambodia and the Philippines," said Ms Jiraphon. "The total number stands at 2,334. We will also expand Cafe Amazon across Asia from Oman to Japan, adding 552 coffee shops to 3,575 shops."
A new menu will be offered at Cafe Amazon to strengthen the retail business, following the acquisition of a 22% stake in the Ohkajhu organic restaurant chain last year.
OR also made a 40% investment in a joint venture with Bluebik Group Plc to set up Orbit Co to enhance technological and innovative capabilities in digital business development.
It wants to use the technology to manage customer relationships at petrol stations and Cafe Amazon shops nationwide, said Ms Jiraphon.
She said the firm also plans to synergise with Flash Express Co, a local express delivery service provider, to use filling stations as drop-off areas for parcels.
OR also plans to operate its own bakery powder plant and a distribution centre (DC) in Ayutthaya.
The powder plant will supply feedstock that will support Cafe Amazon, while the DC will facilitate goods distribution for OR's non-oil business.
Ms Jiraphon said OR's business expansion will be driven by organic and inorganic growth strategies.
On Thursday, OR reported revenue grew 41% in the second quarter to 119 billion baht, while revenue rose 10.6% in the first half to 237 billion baht. Net profit grew by 500% in the second quarter to 3.23 billion baht.
Though oil sales fell by 5%, a rise in global oil prices from US$40.7 per barrel last year to $66 offset the decline.