Mr. Somprasong Panjalak, Chairman and Chief Executive Officer (CEO), PRIME Road Power PCL. or PRIME reveals the 3rd quarter performance results of the group that total revenue was THB 282.63 million, an increase of 54.48% compared to the same quarter of the previous year. The total revenue for 9 months was THB 1,454.27 million, an increase of 124.44 % compared to the previous year. The main revenue comes from the solar power plant business 46.69% of the total operating income of the group. As a result, PRIME’s revenue has reached the target of the 2023 business plan.
Mr. Piroon Shinawatra, Chief Financial Officer (CFO), explained that in the 3rd quarter PRIME offered bonds worth THB200 million to replace the THB500 million bonds due in September, 2023 and use for investment in renewable energy projects. This bond offered to institutional investors and major investors. It received a good response and PRIME sold the entire amount of THB200 million bond and repaid the 2-year PRIME239A bond in the amount of THB 500 million, including interest paid when the repayment is due on 18 September, 2023.
However, at present interest rates is up trend. This makes financial cost management is not-so-easy challenge for the companies that are growing their business. In the 3rd quarter although the Group has the ability to generate Revenue from selling electricity (Solar Power Plant) in Thailand and overseas, private PPAs, and from revenue from Solar Rooftop Engineering, Procurement, and Construction (EPC) Business. However, there were 3 expenses increased in greater proportions:
- increased administrative expenses.
- loss from the sale of capital in associated companies since the company in PRIME group sold 25% of its shares in Aizu Energy PTE Ltd. The project is TK-GK investment type. There are 3 projects, namely; the Awaji Project, the Yabuki Project, and the Hino Project, a total of 24.3 megawatts. As a result, the Company got approximately THB168.60 million to be used as a source of working capital for the Company’s business and development of the Company’s projects.
- Increased financial cost. As a result, the Group had a net loss from operations of THB 5.32 million in the 3rd quarter by 142.49% compared to the same period last year. The total net profit for 9 months was THB 87.79 million, a decrease of 20.30% compared to the previous year.
Mr. Surachet Chaipatamanont, Vice Chairman and Chief Sustainability and Risk Officer (CSRO), added that PRIME places importance on good corporate governance. along with risk management and sustainable development. As a result, in 2023 PRIME has received a corporate governance assessment score of 4-stars or “very good” for 3 consecutive years, which reflects the standard of the company’s operation, readiness to maintain and enhance the good corporate governance along with running the business in order for PRIME to grow sustainably. In addition, PRIME is selected to be one of the ESG Emerging List for 2023 with outstanding performance in environment, social and good governance (ESG) by Thaipat Institute. It can refer that PRIME has good intention to manage business with sustainability.
Mr. Somprasong Panjalak further updated the progress of various projects in Thailand. There are 3 Private PPA projects will be completed and begin to COD within Q4, 2023; with a total installed capacity of 3.89 MW. The 2 floating solar projects are expected to be complete and begin to COD by the beginning of Q2, 2024, total production capacity of 2.00 MW.
The progress of the ground-mounted Solar Power Plant Project in Miaoli Lake West, Taiwan with the capacity of 200 MW. The project will be under construction within June, 2024 and will be completed within the 4th quarter of 2025. Another large-scale Power Plant Project is the Budai Outdoor Fishfarm Solar Power Plant Project in Chiayi City, Taiwan, with the capacity of 99 MW. The project is expected to construction within the 2nd quarter of the year 2025. These all projects reaffirmed PRIME’s commitment to reaching a power generation capacity of 1,800 MW. by 2027.