Thailand Financial News

Ratchaburi Electricity Generating Holding PCL. [SET symbol: RATCH] today announces its unreviewed consolidated operating performance of the Company and subsidiaries for the second quarter of 2006 ended June 30, 2006. The Company recorded net profit of 1,459 million baht or earning per share at 1.01 baht, decreasing by 396 million baht or 21% of the net profit of 1,855 million baht from the same period in 2005.

For this quarter, the Company’s consolidated total revenue was 12,961 million baht, consisted of electricity sales of 12,592 million baht,  interest income of 132 million baht, sharing profit of an associated and joint-venture companies amounted to 220 million baht, and other income of 17 million baht. The Company’s total costs and expenses were 11,119 million baht, consisted of cost of sales of 10,985  million baht, selling and administrative expenses of 127 million baht and other expenses of 7 million baht. Meanwhile, the Company’s interest expense and income tax were 383 million baht. For the first half of 2006 operating performance, the Company recorded net profit of 3,393 million baht or earning per share at 2.34 baht, decreasing by 611 million baht or 15% of the net profit of 4,004 million baht from the same period in the previous year. Mr. Narong Sitasuwan, Managing Director of Ratchaburi Electricity Generating Holding PCL. revealed that in this quarter, the selling income received from Availability Payment was 2,802 million baht, decreasing by 578 million baht from the second quarter of 2005. This was due to a lower of Available Payment (AP) rate specified in the Power Purchase Agreement (PPA) this year which affected on the Company’s performance in second quarter. The Company’s cost of sales has also increased because the maintenance service fee and spare parts expense amounted at 149 million baht which resulted from the unit 1 combined-cycle power plant’s shutdown for major overhaul scheduled for every six year. In addition, the Company has recorded the maintenance expenses of Ratchaburi combined- cycle power plant amounting 159 million baht from General Electric International Operations Co., Inc. and GE Energy Parts, Inc., contracting parties to Contractual Service Agreement (CSA) of Ratchaburi Electricity Generating Company Limited. In the mean time, the interest payment for this quarter was 368 million baht, an increased of 84 million baht when compared with 284 million baht from the same period in 2005. This was from the interest rate of the market has been rising. However, in this quarter the Company’s interest income of 132 million baht has increased from 63 million baht of the second quarter of 2005 and the Company’s income from sharing profit of joint-venture companies of 220 million baht has increased when compared with sharing loss of 111 million baht from the same period of previous year. Mr. Narong added that presently, the Company’s working capital amounts to 6,800 million baht and its retained earning from business operation accrues to 17,400 million baht. These reflects to the solid financial position in order to prepare its readiness on the source of funds for future investment in power generating business which will bring growth and added business value for the most benefits of shareholders. The Company still maintains the dividend policy of at least 40 % of the net profit after legal reserve. The Company has been paying high dividend of 47-50 % during the past. Ratchaburi Electricity Generating Holding PCL. is Thailand’s leading investment firm in power generation business with total installed capacity of 4,498 Megawatts, including 3,645 megawatts from Ratchaburi Power Plant, 350 Megawatts from Tri Energy Power Plant, 350 Megawatts from gas-fired combined cycle Ratchaburi Power Project where  located in Ratchaburi Province which commercial operation date will be approximately in year 2008, and 153.75 megawatts from Nam Ngum2 hydro power project located in Lao People’s Democratic Republic (Lao PDR) which commercial operation date will be approximately in year 2013.
For more information please contact:
Public Relations Department of Ratchaburi Electricity Generating Holding PCL.