Eastern Polymer Group Plc (EPG), a Thai plastic moulder, expects revenue to grow by 10% to more than 13.3 billion baht in fiscal 2023-24, thanks to higher purchase orders from abroad.
Demand for moulded plastic products for packaging and auto parts in India, China, Turkey, Japan and the US is increasing after a slowdown for three consecutive years, said Chalieo Vitoorapakorn, deputy chief executive of EPG.
He also attributed the better financial performance to the company's cost controls and a plan to maintain liquidity.
In fiscal 2022-23, EPG posted revenue of 12 billion baht, an increase of 2.9% from the previous year.
Net profit in fiscal 2022-23 was 1.6 billion baht, though revenue in the fourth quarter fell by 7.2% to 2.58 billion baht.
EPG's three core businesses are: plastics for auto parts under the Aeroklas brand; plastics for thermal insulation for air conditioners under the Aeroflex brand; and plastic packaging under the Eastern Polypack (EPP) brand.
Mr Chalieo said Aeroflex sales increased as demand grew for thermal insulation products and prices were adjusted in the US.
The company also expanded its market to cover ultra-low insulation material and air duct system segments.
Another factor was demand growth in Japan and Thailand, where more business investments stimulated sales.
Revenue from Aeroklas product sales also increased because of the impact of foreign exchange fluctuations and high inflation, as well as floods in Australia.
EPG reported earlier earnings from sales of pickup accessories under the Aeroklas brand increased as the chip shortage gradually eased, increasing demand for products in the automotive sector.
In the plastic packaging business, EPP posted a revenue decline last year as demand sagged in food packaging. However, the company earned money from higher demand in the drinking cup business.
EPP is carrying out marketing campaigns to stimulate sales, he said.
Mr Chalieo said EPG plans to allocate 680 million baht to support its businesses in fiscal 2023-24, 2024-25 and 2025-26.
