CKPower sees profit
CKPower posts a Q2/2022 Baht 157 million YoY profit increase despite gas price hikes
published : 11 Aug 2022 at 17:58
CKPower projects its Q3 operating results to outperform the previous year and seeks to speed up investment in renewables for sustainable development.
Mr. Thanawat Trivisvavet, Managing Director, CK Power Public Company Limited or CKPower (SET: CKP), one of the region’s largest producers of electricity from renewables, stated that the operating results of CKPower and its subsidiaries in Q2/2022 continued the growth trajectory from Q1/2022 while the profit was at a satisfactory level. In Q2/2022, CKPower and its subsidiaries posted total revenue of Baht 2,659 million, a Baht 364 million or 16% YoY increase from Baht 2,295 million of the previous year, while the net profit rose 22% or Baht 157 million to Baht 864 million from Baht 707 million of the previous year.
The primary driver of this growth was a Baht 248 million increase in the share of profit from Xayaburi Power Co., Ltd. (XPCL), the operator of the Xayaburi Hydroelectric Power Plant in the Lao PDR, which reported a 33% year-on-year increase in profit.
The operating results of the first half of the year also showed an upward trend as in Q2/2022, with the total revenue standing at Baht 5,202 million — a Baht 806 million or 18% year-on-year rise from Baht 4,396 million of the previous year, and a net profit of Baht 903 million — a 81 million or 10% year-on-year increase from Baht 822 million of the previous year. The growth was attributable primarily to a Baht 278 million increase in the share of profit from investment in XPCL, which showed better performance compared to the preceding year.
Mr. Thanawat said the overall performance in Q2 and the first half of 2022 was satisfactory and followed the expected trajectory. For Q3/2022, the performance is projected to show a year-on-year improvement as XPCL is expected to enjoy decent inflow volumes throughout the rest of the year while the growth rate of revenue from BIC’s industrial customers is likely to begin catching up to the rise in fuel costs due to the Ft rate increase imposed by the government beginning in May.
“CKPower will continue to develop and invest in renewable electricity projects and activities at full steam in order to bring sustainability to the organization and society at large and manage its businesses in adherence to the principle of ESG, which places emphasis on the environment alongside social development and governance. Recently, XPCL, which is an associate of CKPower, has enjoyed tremendous success with the issuance of its 1/2022 Green Bonds to institutional and high net worth investors in Thailand, successfully garnering Baht 8,395 million in total sales, consisting of the initial issue size of Baht 5,000 million and a greenshoe option totaling Baht 3,395 million – a clear testament to XPCL’s environmental standards,” stated Mr. Thanawat.
Mr. Thanawat stressed that CKPower would continue its investment to place CKPower in the forefront of the renewable energy business and double its capacity by 2024. The Company is forging ahead with the development of a new hydroelectric power plant and is conducting feasibility studies on other investments, especially in increasing the capacity of solar power generation to 330 MW and of wind power generation to 700 MW across Southeast Asia, such as Thailand and Vietnam.
CK Power Public Company Limited (CKP) is listed on the Stock Exchange of Thailand (SET) and is included in the SET100 Index, the SET Thailand Sustainability Investment (THSI) Index, and the SETCLMV Exposure Index, and carries an A/Stable TRIS company rating.