February 25, 2010

CPF net profits surge 226% in 2009

Charoen Pokphand Foods Plc. (CPF) reported net profit THB10.19 million (US$307,995) for the year 2009, up 226% from the previous year.

The increase was mainly due to business restructuring and cost management. According to CPF, the company will continue its focus on overseas business expansion, with recent plans to invest in Kenya and Tanzania.

For its Thailand operation, CPF will expand its distribution businesses such as 5 Stars Chicken and CP Fresh Mart and is confident that 5 Stars Chicken and CP Fresh Mart will reach growth targets this year. The company is also confident that all strategies implemented will lead the company to continuous growth.

Main factors that drove CPF's operating results were the improvement of operating results of domestic operations and overseas operations, in particularly Turkey, as well as an increased of sales of food products under CP brand in many countries.

CPF announced its dividend payment for the last six months operating results at THB0.50 per share. Total dividend payment from 2009 operations is THB0.73 per share (Interim dividend payment for the first six months period was THB0.23 per share)

Net profit during October to December was THB2.11 billion (US$63.7 million), compared with THB305 million (US$9.2 million a year before and a record THB4.12 billion (US$124.5 million) in the third quarter.