Bangkok, August 10 – Global Green Chemicals Public Company Limited or "GGC" announces an interim dividend payment of 0.10 baht per share, although the results for the second quarter of 2023 have a net profit of 7 million baht. Year after 2023 recovering
Mr. Krisada Prasertsuko, Managing Director of Global Green Chemicals Public Company Limited or GGC, revealed that on August 8, 2023, the Board of Directors' meeting Resolved to approve the interim dividend payment for the operating results of the first 6 months of 2023 to the shareholders of the Company at the rate of 0.10 baht per share, paid from unallocated retained earnings. In which individual shareholders are able to credit tax on dividends at the rate of 20/80 (paying tax at a rate of 20%), even though the operating results of the 2nd quarter of 2023, the company recognized revenue from sales of 4, 744 million baht, a decrease of 37% from the previous year due to lower product prices following raw material prices that were pressured by the global market situation. whether it is the global economic recession situation The strong currency in Asia and the protracted Russian-Ukrainian war situation, which the Company has prepared plan business operations To cope with these obstacles, this quarter 2/2023 still managed to close a positive net profit of 7 million baht.
However, for market and business trends in the second half of 2023, it is expected that the demand for Methyl ester or B100 should be stable compared to the first half of this year. Because during the third quarter, it will be the rainy season. Thus, the consumption of diesel fuel for traveling and transporting goods is not very high, but it is expected that it may improve in the 4th quarter that enters the tourist season. While the demand Fatty Alcohol tends to improve From the first half of the year 2023, although there are still pressure factors from various world market situations, it is expected that manufacturers of cosmetics and personal hygiene products (Home and Personal Care), especially skin cream manufacturers May start to come back to buy Fatty Alcohol To be used as raw materials for the production of products before the Christmas and New Year celebrations.
On the demand side, glycerin tends to improve in line with the beginning of the high season of cosmetics and hygiene products manufacturers. Likewise, ethanol is expected to have a recovery in demand. Since the fourth quarter of the year is the tourist season, it is expected that this will result in an increase in gasohol consumption.
Demand for methyl esters is stable compared to the first half of 2023 while the supply of methyl esters remains stable. Because there is no additional production, GGC estimates that the industry's utilization rate will remain stable at about 50% from the price level, according to the mechanism of the domestic crude palm oil price market (CPO-DIT).
As for Natural Fatty Alcohols, demand is expected to improve. Compared to the first half of 2023, although there are still factors to pressure purchasing power from concerns about inflation The global economic downturn and the uncertainty of the protracted war between Russia and Ukraine, however, beginning to see signs of returning to purchase products to increase inventory After crude palm oil raw material prices are likely to increase. In addition, China, which is a major buyer, started stocking products. To reserve for use in the production of products for the 19th Asian Games between September 23 and October 8, 2023, and during the fourth quarter of every year is the high season of cosmetics and happiness products manufacturers. Personal hygiene (Home and Personal Care), especially skin care cream manufacturers, who have more demand for Long Chain Alcohol in the winter. and perfume manufacturers who want to use short chain alcohol to prepare for use in the production of products before the Christmas and New Year festivals. As a result, the overall purchase demand The fatty alcohol market is expected to improve in the second half of this year.
while the overall supply of the fatty alcohol industry Expected to have a better trend Because many large manufacturers Temporarily halted production for maintenance. and reduced production capacity in line with lower demand from the first half of the past year And the selling price is expected to be stable. This is in line with the price of crude palm oil (CPKO) stable.
As for glycerin, it tends to improve in line with demand. The beginning of the high season of cosmetic and hygiene products manufacturers. The overall supply has improved. Because many producers of fatty alcohol resume normal production
While ethanol demand tends to increase. Since the fourth quarter of the year is the high season. As a result, the use of gasohol increased. As for the supply of the ethanol market, the trend is stable. because there has not been an expansion of production capacity from the same manufacturers and new manufacturers entering the market As for the selling price, there may be a slight adjustment. from the price of raw materials for ethanol production, such as cassava chips, which began to decrease
For the second quarter of 2023, the company had revenue of 4,744 million baht, a decrease of 37% (YoY) and an Adjusted EBITDA of 144 million baht, a decrease of 82% (YoY). The company was affected by stock gain & NRV of 5 million baht, with a net profit of 7 million baht (0.01 baht/share), a decrease of 415 million baht or 98% (YoY). As for the operating results for the first 6 months of 2023, revenue was 9,406 million baht, a decrease of 37%. (YoY) EBITDA 297 million baht, a decrease of 78%, net profit of 47 million baht, a decrease of 862 million baht or a decrease of 95% -Thai News Agency
Source: Thai News Agency