SPCG successfully broke through the global economic crisis, the profit increased in year 2020 compared to the year 2019

SPCG disclosed net profit in 2020 of 3,062.4 million baht, an increase compared to 2019, which had net profit of 3,011.3 million baht or an increase of 51.1 million baht, continuing to pay dividends for the whole year of 1.20 baht because of efficient management and successfully reduce management and financial costs.

SPCG Public Company Limited or SPCG announced the operating results of the Company and its subsidiaries for the period ended December 31, 2020. The company had a net profit of 3,062.4 million baht, representing an earnings per share of 2.80 baht. Increased compared to the year 2019, which had a net profit of 3,011.3 million baht or an increase of 51.1 million baht or a 2% growth rate.

The reason that the company is able to make profit in the situation of the global economic crisis is because the company has managed operations efficiently. Use management policies to reduce costs in various areas. As a result, O&M (Operating & Maintenance) costs for solar farm business decreased by 69 million baht per year.

However, the company has also implemented a management policy to reduce costs in various aspects, for example, administrative expenses for the year ended December 31, 2020 decreased by 14.6 million baht or 5% from the amount of 262.0 million baht. While the year 2019 is 276.6 million baht because in the year 2020, the company foreign investment advisory fees decreased by 8.5 million baht and warehouse rental cost decreased by 6.0 million baht.

In addition, the Company also had a profit from derivatives of interest rate swap contracts for the year 2020 amounting to 58.4 million baht. Since from January 1, 2020 the company has adhered to TFRS 9 on financial instruments. And a profit from investment in the Tottori project in Japan with capacity of 30 MW of approximately 16.4 million baht.

In the past year, the company was able to reduce finance costs approximately 94 million baht or 26% compared to the previous year. Due to the decrease in the number of debentures from the scheduled payment of debentures in the years 2019 and 2020. The Company paid debentures in the amount of 2,375.0 million baht and 1,700.0 million baht, respectively.

Besides that, another factor that makes the company profitable. Since Solar Power Roof Co., Ltd. (SPR), which operates a solar roof installation business for residential, commercial and industrial plants In 2020, revenues were 526.5 million baht, an increase from the year 2019 (506.7 million baht), approximately 19.8 million baht, or 4 percent.

With the aforementioned factors, the company can reduce operating and financial costs and manage it efficiently. As a result, the Board of Directors 'meeting on February 25, 2021 passed a resolution to propose the shareholders' meeting consider approving the dividend payment from the 2020 operating results at the rate of 1.20 baht per share. The Company has paid an interim dividend from the operating results for the period January 1 - June 30, 2020 at the rate of 0.55 baht per share, the remaining dividend payable in this period at 0.65 baht per share, totaling 686,263,500 baht (Six hundred eighty-six million two hundred Sixty-three thousand and five hundred baht) by specifying the list of shareholders who are entitled to receive dividends (Record Date) on Wednesday March 17, 2021. The payment of such dividend is subject to approval from the Annual General Meeting of Shareholders on April 19, 2021.

However, SPCG as the pioneer of Solar Farm and Solar Roof developer in Thailand and ASEAN, has continuously generated good operating results. The company is still committed to protecting the environment and moving forward to help reduce global warming, equivalent to reducing carbon dioxide emissions into the atmosphere approximately 200,000 tons of CO2 per year from 36 solar farm operations with a total capacity of more than 260 MW.

 

                                    Dr.Wandee Khunchornyakong Juljarern Chairperson & CEO