November 14, 2008
Sales target still achievable for Thai CP Foods despite bird flu
Thailand's Charoen Pokphand Foods (CPF) said on Wednesday it was on track to achieve its sales target of THB150 billion (US$4.3 billion) this year, helped by higher meat prices and improving exports.
Adirek Sripratak, chief executive of the country's top chicken exporter, said in a statement that an outbreak of bird flu in Thailand this week should not affect sales as customers trusted its production standards and brand.
Importers understand the situation and CPF mainly exports processed and cooked products produced in line with international standard, Adirek adds.
The company would be more cautious on its expansion plans in 2009 because of the economic downturn and would control expenses.
CPF started operations in Russia in the third quarter of this year and hoped this business would generate income at the start of next year, he said.
The company has said it aimed for overall growth in 2008 sales of at least 10 percent from 135 billion baht last year.
According to analysts, forecast 2008 sales of THB152 billion, up 12.6 percent, and THB166 billion next year. They expected 2008 net profit to double to 2.9 billion baht, and 3.2 billion in profit next year.
CPF reported a net profit of THB2.82 billion in the first nine months of 2008, up 151 percent from a year earlier, while sales rose 17 percent to 116 billion baht.