MAI-listed logistics provider Kiattana Transport Plc (KIAT) expects 5-10% growth in revenue to 945-990 million baht in 2018, on par with industry growth.
Managing director Keerin Chutumstid said the logistics industry in 2018 will be driven mainly by demand from cross-border trade across the Indochina region, which Thailand can benefit from because of its central location.
"A lot of trade flows are in Indochina, mainly for the logistics of food supplies and consumer goods, but Kiattana will focus more on industrial waste and chemicals," he said.
"We see a big opportunity with the Eastern Economic Corridor to drive the country's industrial sector in the near future, with Laem Chabang port becoming more important for logistics."
Mr Keerin said Kiattana's core business is providing logistics for PTT Group for industrial gas and petrochemicals, but sales of compressed natural gas (CNG) and liquefied petroleum gas (LPG) are declining because oil prices are low.
"Kiattana still has a logistics contract with PTT, but we aim to diversify the clients in our portfolio to other sectors to compensate for our declining net profit margin from CNG and LPG transport," he said.
For 2017, Mr Keerin projects revenue of 900 million baht, up 7.4%.
Kiattana posted revenue for the first nine months of 678 million baht, a gain of 9.9%, but net profit fell by 20.3% to 70 million.
The company suffered last year not only from lower usage of CNG and LPG but also the closure of a major client's zinc mine -- Padaeng Industry Plc.
Established in 1994, Kiattana is a leading provider of integrated logistics services with a fleet of over 800 trucks and trailers.
It has 11 offices nationwide and one in Savannakhet in Laos. The company also has a logistics trail in Myanmar and Vietnam.
Kiattana's subsidiary, KGP Co, provides safety systems and solutions for drivers and represents 10% of the company's revenue.
KGP is an authorised importer and distributor for Guardian -- an Australian manufacturer of real-time driver fatigue, distraction and accident prevention technology.
Mek Monsereenusorn, KGP's managing director, expects to sell 3,000 Guardian sets in 2018, up sharply from 1,000 last year. The main clients are trucks and buses.
KGP also plans to offer Guardian units to public vans, with some 156,000 vans registered nationwide, thanks to tighter regulations from the Land Transport Department to cut down on road accidents.
KGP was also appointed by the Australian firm to set up a 24/7 Guardian Centre at Kiattana's head office in Nonthaburi to monitor all safety and accident data from 11 countries, including Thailand.
The company spent 10 million baht for the centre, expecting to generate revenue of 35 million baht annually.
KIAT shares closed yesterday on the Market for Alternative Investment at 55 satang, down one satang, in trade worth 2.61 million baht.