Bangkok, Thailand, February 26, 2016 / JWD is a leading Fully Integrated In Land Logistics Service Provider. The Company revealed Baht 333 million for the net profit of the year 2015 or increase by 132 percent after controlling the cost of service, selling and administrative expenses, and financial cost effectively as well as continuing business expansion. The Board of the Company approved to change a dividend to be a stock at a rate of 10 : 7. The executive told that they will continue to increase the Company’s growth for the year 2016 after acknowledging about the revenue from a warehouse in the neighboring countries project, improvement of a warehouse of dangerous goods, and improvement of a storage and distribution center for container locating in Laem Chabang Port which will be fully operated at the end of Quarter 2. Moreover, they plan to expand the business across AEC. Their goal is to increase revenue of oversee operations from 8 percent to 25 percent.
Dr. Eakapong Tungsrisanguan, CFO of JWD, a leading Fully Integrated In Land Logistics Service Provider, revealed that the Company operated successfully through the year 2015 by obtaining Baht 333 million for the net profit of the year 2015 or increase by 132 percent. The total revenue of the Company is Baht 2,385 million which is increased from the last year by 8.1 percent which came from its business such as domestic logistics service of dangerous goods increased by 9.8 percent, domestic logistics service of Food & Cold Chain increased by 33.8 percent, specialized logistics of Record & Information Management Services increased by 13.1 percent, and international logistics service increased by 24.9 percent.
In addition, the Company also achieved an efficient cost management. The Company can control the cost of services resulting in an increase of a gross profit margin to 36.5 percent from 35.3 percent while the ratio of sales and administrative expenses to total revenues decreased to 16.6 percent from 17.7 percent, and the financial cost decreased as well. After paying debts to financial institutions, Debt to equity ratio decreased by 0.9 times, and the Company got a refinance of loan which is very good for JWD in order to continue operating its business in the future.
The total revenue of Quarter 4/15 was Baht 607 million which is nearly the same as the total revenue of the same period last year. However, the net profit was Baht 90.4 million which was increased by 394 percent from the same period last year. It was because of the expansion of On-Site Service of domestic logistics service of Automotive within the customers’ automotive manufacturing sites which provided a good margin. Meanwhile, international logistics service, specialized logistics of Record & Information Management Services, and domestic logistics service of dangerous goods, also have been satisfactions developed comparing to the last year result. Moreover, the Company also calculated the impairment accounting which affected the revenue of the Company to be rapidly increased comparing with the last quarter.
According to the Board meeting on February 23, the Board agreed to approve the dividend payment of the second half of the year 2015 to be Common Shares to the shareholders which will be not exceeding 420 million shares at par value. The rate is Baht 0.50 per share at the rate of (existing shares: dividend shares) 10 : 7. The total will be not less than Baht 210 million. The Company will close the register book for the transfer of shares entitled to dividend on May 10, 2016 which the sign XD will be shown on May 11, 2016, and the Company will transfer the dividend on May 23, 2016.
Mr. Charvanin Bunditkitsada, the Chairman and CEO of JWD, said that the Company’s goal of this year is to increase the revenue of the Company. The Company will maintain a gross margin to be at least 35 percent which will come from new projects operating in this year such as improvement of a storage and distribution center for container project for the area of 9,100 square meters and improvement of a warehouse of dangerous goods project for the area of 6,900 square meters which these both projects will be located in Laem Chabang Port and will be fully operated at the end of Quarter 2.
At the same time, the Company also continues to expand its business in Thailand and ASEAN. We plan to invest in order to expand its business in Thailand, Myanmar, Laos, Cambodia, Vietnam, Malaysia and Indonesia such as investment in an expansion of warehouse space in neighboring countries, Mergers and acquisitions (M&A). We prepare Baht 500-600 million to invest in this year and prepare to raise fund by investing their assets with Real Estate Investment Trust (REIT) or raise fund by issuing bonds. In addition, we consider a loan from financial institutions not exceeding Baht 3,000 million which will be used to invest to expand the Company.
“Entering AEC will be result in expansion of production base in ASEAN and increase in demand for logistics services in each country which will be a great opportunity for JWD to expand its business to make the Company growing rapidly. We plan that the revenue of oversee operations will be increased from 8 percent to 25 percent within five years or the year 2020" said by Mr. Charvanin.