November 14,2000
The company's performances in the third quarter and nine months of 2000
For the quarter performance.
From the Statement of Income (equity method), the company incurred the net loss as of September 2000 of Bt32.4m compared to the net loss of Bt129.8m for the same quarter of last year. This is mainly due to the exchange loss. However excluding the exchange loss of Bt99.6m, the company has the operating profit of Bt67.2m for this third quarter and Bt73.5m for the same quarter of last year. The cause of declining in profit is due to the equipment maintenance program in order to increase the production performance in the future. Moreover, in this quarter, the company also has some major abnormal items, for example, the expenses related to the share placement program.
For the sales revenue, the company has total sales revenue of Bt1,346.3m, which increased from the last quarter by Bt267.5m or equal to 24.79% increase. This is due to the increase in average LME zinc price, and about 20% increase in the domestic demand.
For the consolidated financial statements, the company has net loss of Bt47.2m, which was lower by Bt87.8m from the same quarter of last year or a 65% decrease. After deducting the loss on exchange rate, the company has net profit of Bt52.4m slightly lower than the same quarter of last year, due to the increase in production cost and selling & administrative expense as mentioned above.
For the nine-month periods performance.
From the Statements of Income (equity method) for the nine-month periods, the company has a net profit of Bt75.7m, compared with the same period of the last year which the company has a net loss of Bt22.3m. In the year 2000, the company incurred loss on exchange rate equal to Bt160.9m. Excluding the exchange loss, the company has the net profit of Bt236.5m while, for the same basis in year 1999, the company has the net profit equal to Bt175.4m or a 34.8% increase in year 2000.
Sale revenue for the nine-month periods, the company has the sale revenue of Bt3,719.2m which increased from Bt3,150.4m in the same period of the last year, or a 18% increase. Zinc ingot sale was 54,876 tons and the zinc alloy sale was 16,932 tons, a slight increase from last year. The increase in sale revenue was due to the increase in average LME zinc price and the increase in domestic demand from 66% to 77% of the sales revenue.
From the consolidated financial statements, the company has the net profit equal to Bt47.6m for the nine-month periods of this year while for the same period of the last year, the company has net loss Bt63.6m. After deducting the loss on exchange rate, the company has net profit Bt208.5m for this year as compared to Bt134.0m for last year. This shows that the net profit has increased by 55% despite some major abnormal items such as the expenses related to share placement program and the early retirement program.
