- Total sales up 1.65 pct y-o-y at THB 33.41 billion
- Cost control helped boost gross profit margins to 25 pct
- Financials, Services, Consumer Products and Resources among top performer industry groups
Thai companies listed on Market for Alternative Investment (mai), under the Stock Exchange of Thailand (SET) group, reported the combined net profit of THB 2.33 billion (approx. USD 66.63 million) in the second quarter of 2016, growing THB 472 million, or 25.35 percent from Q2/2015, while their sales increased slightly 1.65 percent y-o-y to THB 33.41 billion (approx. USD 954.51 million). Financials, Services, Consumer Products and Resources industry groups recorded positive sales growth and net profit growth.
mai President Prapan Charoenprawatt said that the aggregated profits came from 123 companies out of a total of 128 companies that filed their Q2/2016 financial reports (excluding those not submitting the report in time and non-compliance group), of which 88 companies or about 72 percent made net profits. The combined net profit increased to THB 2.33 billion from THB 1.86 billion, a 25.35 pct rise from a year earlier, while the combined sales were THB 33.41 billion, up 1.65 percent from the same period a year earlier. In addition, their abilities to manage cost pushed up gross profit margins to 25.00 percent from 23.83 percent in Q2/2015.
"In Q2/2016, a number of mai-firms have shown their abilities to manage costs to maintain sales and profit growth along with an economic recovery. Classified by industry group, there were four industry groups that have reported both sales growth and profit growth such as Financials, Services, Consumer Products and Resources. Companies in the alternative energy business showed outstanding performance both sales and net profit since they started to recognize their investment revenues. However, companies which revenue derived from advertising and marketing-activity were affected by customer budget tightening," added Prapan.
Of the total mai-listed firms, top-five profit makers, in descending order, were Energy Absolute pcl (EA)with net profit of THB 992 million, Thai Solar Energy pcl (TSE) THB 161 million H, J.S.P. Property pcl (JSP) THB 149 million, The Brooker Group pcl (BROOK) THB 118 million and 2S Metal pcl THB 104 million (2S).
Compared to H1/2015, the H1/2016 sales were stable at THB 65.28 billion (USD 1.87 billion) while gross profit margins decreased slightly from 25.05 percent to 24.57 percent, and first-half net earnings fell 7.09 percent dragged down by a 19.47 percent fall of Q1 net profits.
As of August 19, 2016, the mai index closed at 573.27 points, up 9.69 percent from the beginning of this year, with a total market capitalization of THB 370.43 billion (USD 10.58 billion) and average daily trading value of 1.99 billion. The price-to-earnings ratio (P/E ratio) was 61.65 times.
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