February 28, 2008

TUF forecast 12-percent increase in 2008 sales

Thai Union Frozen (TUF) expects its net profit for 2008 to exceed that of 2007, which stands at THB1.82 billion (US$60.7 million), as it plan to increase exports and expand its operations.

TUF expects sales in 2008 to increase by 12 percent to THB1.8 billion (US$60.1 million) from THB1.61 billion (US$53.8 million) in 2007, said Thiraphong Chansiri, the company president.

Thiraphong do not think there will be a significant baht appreciation as the currency has already rise by 21 percent against the US dollar over the past two years despite a stagnant economy.

The company has increased product prices to achieve a 14-16 percent of gross margin due to rising commodity prices, said Thiraphong.

This year's total export volume is forecast at 400,000 tonnes compared to 380,000 tonnes in 2007.

TUF has earmarked about THB1 billion (US$33.4 million) for investment in 2008, and plans to expand its fishing fleets over the next few years, according to Thiraphong.

The company is currently also looking out for opportunities to expand its operations overseas.

In addition, sales forecast for 2009 is at THB2 billion (US$66.8 million).