Eastern Polymer Group Plc (EPG), Thailand's leading plastic moulder, expects its revenues for the 2024 fiscal year -- which runs from April 2023 to March 31, 2024 -- to rise by 10% from 12.2 billion baht recorded in the previous fiscal year, boosted by stronger demand.
Chalieo Vitoorapakorn, the company's deputy chief executive, said demand from all industrial sectors that procure EPG's products, encompassing areas such as automobile manufacturing, construction, and plastic conversion, is likely to continue to rise throughout the remainder of the year.
EPG has projected that the gross profit margin from sales will stay in the range of 30% to 33% of total revenue. The company's main products include insulation and air ducting systems, automotive components and accessories as well as plastic resin.
The company's insulation and air ducting system, manufactured under the Aeroflex brand name, is expected to achieve sales growth of between 8% and 10% this year. This growth is attributed to the relocation of manufacturing facilities to Thailand for the production of battery-powered vehicles.
EPG's operations extend to the United States and Japan, where they distribute Aeroflex products. Companies from both countries have exhibited strong interest in EPG's products, particularly semiconductor manufacturers, electric vehicle (EV) and bus assemblers, along with food manufacturers.
According to Mr Chalieo, Aeroflex USA Inc, EPG's US arm, plans to introduce a premium-grade "ultra smoke" air ducting system to the market this year.
Mr Chalieo says that Aeroflex USA Inc, EPG's US arm, plans to introduce a premium-grade "ultra smoke" air ducting system to the market this year.
The Aeroflex division in the US is also actively exploring the establishment of a licensee in Europe while utilising product innovation to align with European standards in preparation for future expansion.
Mr Chalieo said the company's automotive components and accessories produced under the Aeroklas brand are expected to see a sales increase of 8-10% this year. This growth is attributed to robust partnerships with global automakers based in the US, Europe and Asia, enabling the introduction of high-quality new products.
The company's automotive components and accessories, including canopies, slide steps and roller lids, are also expected to receive a very warm welcome from consumers during the remainder of the fiscal year, he said.
Meanwhile, according to Mr Chalieo, the plastic resin segment is also expected to grow by between 10-12% this year, driven by increasing demand from packaging manufacturers worldwide.
EPG reported that its revenue in the first quarter of the 2024 fiscal year (April-June 2023) rose by 5% from the corresponding period of the 2023 fiscal year to 2.98 billion baht, with net profit of 309 million baht, up 34% from the previous fiscal year.