July 5, 2019

Thai CP Foods aims to lift revenue by 50% as it expands overseas

Chareon Pokphand Food Pcl (CPF) aims to increase its annual revenues by more than 50% to 800 billion baht (US$26 billion) by 2023, helped by its expansion in food sectors in China and Vietnam, its CEO said on Thursday, Reuters reported.

Growth in the food segment will include processed and ready-to-eat food, and the company is open to M&A opportunities if assets were cheap.

CPF is also experimenting with meat alternatives, citing market interest in products from companies like Beyond Meat, the US-based producer of plant-based meat alternatives.

Two-thirds of CPF's US$17 billion revenue in 2018 was from overseas.

Its food business accounted for 17% of revenue, while its farm and feed businesses generated the bulk of revenue.

The proportion of revenue from Thailand will fall to about 25% by 2023 while its farm and feed segments will also decrease as a percentage of total revenue over time, although they will still grow, the company said.