Transformer sales to push TRT growth to 26%

       The MAI-listed power transformer specialist Tirathai Plc (TRT) expects revenue to increase by 26% this year to 2.6 billion baht, though growth next year is difficult to forecast because of uncertainty about the economic revival and the progress of private and public investment projects.
       CEO Samphan Vongphan said the company's revenue in the first half was 1.28 billion baht, up 36.4% from the same period last year, with net profit rising 109.6% to 138.47 million baht.
       For the second quarter, TRT reported a net profit of 49.77 million baht, a 32.7%increase. Its gross profit margin rose four percentage points to 26.8%.
       Mr Samphan said results were being helped this year by sales of big power transformers and diversification into regional customers.
       However, he said, it was difficult to forecast growth for next year due to economic uncertainty, but at least the company would maintain sales growth similar to this year.
       Normally, he said, the power transformer market grow at 3% above GDP growth.
       The company expects to maintain a gross profit margin at 20-25%.
       Tirathai has a backlog of projects worth 2.74 billion baht, of which 2.44 billion will be realised this year and the rest next year.
       Government and private projects as well as exports remain as its major revenue sources. Sales from each sector make up about 33%.
       Last month, TRT received orders from the Electricity Generating Authority of Thailand for the biggest auto transformers in the country, at 300 MVA 230/121-11 kV.
       The two transformers are worth 200 million baht, with revenue to be realised in the next quarter.
       The company plans to bid for a power project worth around 2 billion baht in the next four months, and has a 50%chance of winning, he said.
       TRT shares closed yesterday on the Market for Alternative Investment at 5.85 baht, down 15 satang, in trade worth 6.75 million baht.