HoonSmart.com >> Thai Eastern Group Holdings (TEGH) expects better earnings in 2024 with 3 strong business legs. Main income from natural rubber Additional margin Expand the premium market to accept EU law and obtain carbon credits. As for the palm trade, there was no loss like last year. The energy business generates impressive profits
Mr. Wongkrit Giamsripong, Chief Corporate Strategy Officer at Thai Eastern Group Holdings (TEGH), revealed that the trend of operating performance in 2024 will grow significantly, with all three companies improving. Most natural rubber comes from rubber blocks, which account for about 80% of revenue. Selling prices have rebounded, making the margin better than last year's level of about 2 baht, rising to 3 baht, and customer demand is growing.
In addition, the company attaches great importance to sustainability. The company is expanding the market in line with the European Union Deforestation Regulation (EUDR) which will get a higher margin than regular rubber. Orders are expected to arrive during the second half of the year. Including increased opportunities from carbon credits.
The business sector produces and sells crude palm oil. About 20% of revenue this year will turn profitable. Run the production machine as usual. From last year's loss from stopping machinery maintenance
In terms of renewable energy and organic waste management businesses, the growth has been impressive. Income rate of 1% with the ability to achieve high profits. The Biogas Production Expansion Project, Area 3, Phase 1, has begun to gradually increase production. It will start recognizing income from the first quarter onwards and also sees an opportunity to expand biogas production capacity in the future and is in the process of bidding for a new round of industrial waste power plants.
During the nine months of 2023, the company achieved a net profit of 146 million baht, down from the same period last year which achieved a net profit of 521 million baht, while there was a total profit for the whole of 2022.
683.96 million baht, an increase from 2021, with a net profit of 562.51 million baht.
As for TEGH's stock price, it closed at 3 baht plus 0.02 baht on January 18, 2024.
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