August 13, 2013

 
Charoen Pokphand reports weak profit results in Q2 2013

In the second quarter of 2013, Charoen Pokphand Foods Plc (CPF) reported weak results, attributing it to a slowdown in the shrimp industry.

CPF, the SET-listed flagship of Charoen Pokphand Group, said its second quarter sales of THB93.19 billion (US$3 billion) represented a 1% increase on-year.

Net profit for the period was THB1.63 billion (US$52 million), down 59.46% on-year.

For the six month results, net profit totalled THB2.66 billion (US$85 million), down 83.51% from the same period previous year, the company said in a statement on Friday (Aug 9).

President and Chief Executive Officer Adirek Sripratak accepted that the operating results for the first half of 2013 did not meet the target. This was mainly caused by the impact of shrimp diseases EMS (Early Mortality Syndrome) that occurred in late 2012, which makes the shrimp industry in Thailand slowdown and has not yet returned to normal, causing the company to get lower sales of shrimp feed.

CPF reported sales for the first six months of 2013 of THB180.6 billion (US$5.8 billion), an increase of 9% from the same period of the prior year.