BGRIM bucks the trend with 62.5% surge in Q2 profit and interim payment of 0.15 baht per share
published : 14 Aug 2020 at 15:16
B.Grimm Power Plc (BGRIM) has bucked the trend of economic downturn caused by the Covid-19 pandemic with a robust 62.5% rise in its second-quarter net profit.
The SET-listed private power producer posted 1,017 million baht in the net profit for April-June 2020, fuelled by the continuous expansion of its production capacity and an increase in industrial customers, disclosed Preeyanart Soontornwata, Chief Executive Officer of BGRIM.
The net profit attributable to the parent company of 1,017 million baht is an increase of 62.5% from the same period last year. The normalised net profit amounted to 1,102 million baht with 674 million baht attributable to the parent firm, a 17.2% increase from the same period of the previous year.
BGRIM's Board of Directors duly approved an interim dividend payment of 0.15 baht per share for the first half of the year.
Mrs Preeyanart said BGRIM's financial position has remained strong as the company has since last year commenced four new power plants and two SPP co-generation plans were acquired, growing its total installed generation portfolio to 3,019 MW as of mid-2020.
The two co-generation projects acquired are the B.Grimm Power (AIE-MTP), formerly known as SPP 1, and Ang Thong Power Project.
BGRIM has also seen an increase in power purchases from its new industrial clients, who committed to 25 MW supplies last year and another 15 MW in the first half of this year.
Meanwhile, the continued improvement of power plant efficiency has contributed to BGRIM's bottom line.
The second half of 2020 will see new industrial customers gradually connecting their systems with BGRIM's grids.
Power purchases from existing industrial clients are expected to ramp up in the period, as indicated by a 17% increase in their electricity consumption in July this year compared to the monthly average level recorded in the second quarter.
The trend towards lower natural gas prices will benefit BGRIM’s SPP projects, starting with a 8% gas-price reduction in July compared to the average price in the second quarter. PTT projected that SPP’s gas price per unit would continually decline in the rest of the year.
At the same time, construction of BGRIM power projects has forged ahead with the 39-MW Ray Power solar project in Cambodia and the Bo Thong Wind Farm 1 & 2, with installed capacity of 16 MW, due for commercial operation between the fourth quarter of this year and first quarter of 2021.
These and a number of projects under due diligence and study processes will ensure stable and sustainable growth to fulfil BGRIM's target to raise its total installed capacity from both operating and committed projects to 5,000 MW by 2022 .
BGRIM has been able to reinforce its success with numerous awards.
In June this year, the company was selected as a member of the 'FTSE4Good Indexes Series' by the FTSE Russell, the UK-based global index, data and analytics provider, reflecting BGRIM's outstanding performance on the environment, social and governance (ESG) at global scale.
In July 2020, the company received three awards at the Institutional Investor Corporate Awards 2020, organised by the Alpha Southeast Asia.
These awards include 'Strongest Adherence to Corporate Governance,' 'Most Organised Investor Relations', and 'Most Consistent Dividend Policy.'
BGRIM's Board of Directors has approved an interim dividend payment of 0.15 baht per share. The list of shareholders eligible for receiving the interim dividend (record date) is scheduled on 31 August 2020 and payment will be made on 11 September 2020.
More information: Nipaporn Duangkulsa, Department of Corporate Communications, B.Grimm Power Plc, Tel: 02 710 3127, 089 772 6997 Email: firstname.lastname@example.org