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"WHAUP Shows 9-Month Normalized Net Profit of 957 Million Baht, the Board Approves Interim Dividend Payment of 0.060 Baht per Share, XD Date Set for 21 November"

BackNov 08, 2024

Bangkok – WHA Utilities & Power Public Company Limited (WHAUP) announced its financial results in the first nine months of 2024, boosted by strong sales from water and power business, driving normalized net profit to reach 957 million baht. Meanwhile, CEO Somkiat Masunthasuwun reveals that WHAUP, in Q4/2024, is set to sign new contracts for both solar and water projects in response to growing demand, especially from customers in WHA industrial estates. Recently, the Board of Directors approved an interim dividend payment of 0.060 bath per share,  with the XD date set for 21 November and the dividend payment scheduled for 4 December 2024.

WHA Utilities & Power Plc (WHAUP) informed the Stock Exchange of Thailand about its Q3/2024 performance. The company recorded the revenue and normalized share of profit of 1,048 million baht with normalized net profit of 275 million baht, decreased by 42% YoY. Net profit, including foreign exchange effects, stood at 81 million baht, down 84% YoY. For the first nine months of 2024, WHAUP had revenue and normalized share of profit of 3,053 million Baht, with a normalized net profit of 957 million baht, a 15% decrease YoY, and a net profit including foreign exchange impacts of 883 million baht, down 29% YoY. The domestic revenue from utilities and power as well as share of profit from the utilities business in Vietnam remain strong and keep growing steadily. However, the company has a downward trend in normalized share of profit from the Gheco-One power plant which was impacted by high production costs.

Mr. Somkiat Masunthasuwun, Chief Executive Officer of WHA Utilities & Power Plc (WHAUP), disclosed that WHAUP's overall performance remains robust. In Q3/2024, the utilities (water) business recorded total water sales and management volumes, both Thailand and overseas were  42 million cubic meters. For the first nine-month of 2024, the total water sales and management volume were 126 million cubic meters, a growth of 8% YoY. In Thailand, sales volume from water business escalated across all products, particularly value-added water products, driven by new demand from new customers who commenced their commercial operations recently.

In the international water business, water sales volumes in Vietnam also saw a continuous growth from higher demand of the Doung River project, benefiting from its larger customer base on the expansion of service areas. This led to rising water consumption from both existing and new customers, resulting in the increase in the company’s normalized share of profit to the Doung River project of 72 million baht for the first nine months of 2024, compared to a normalized share of losses of 2 million baht during the same period in 2023.

In the power business, the company reported revenue from Private PPA contracts of 296 million baht for the first nine months of 2024, an increase of 16% YoY, due to the new solar capacity in commercial operations. As of the end of Q3/2024, WHAUP successfully secured 24 additional Private PPA contracts to supply electricity from solar power, with an aggregate capacity of 13 megawatts. This brings total cumulative contracted capacity of the Company’s Solar Private PPA of 269 MW at the end of Q3/2024, resulting in a total contracted equity capacity of 944 MW across all types of power plant; it consists of operating capacity of 697 MW and the capacity of 247 MW under construction and development. Additionally, the company has by far installed 38 EV charging stations in Q3/2024, to follow a roadmap of WHA Group’s comprehensive Green Logistics investment plan.

For the normalized share of profit from the power business in Q3/2024, the company recorded the normalized share of profit of 218 million Baht, down 47% YoY. For the first nine months of 2024, the normalized share of profit from the power business was 685 million baht, a decrease of 22% YoY, mainly due to high operating costs of Gheco-One and the impact from Baht appreciation, which directly lowered the energy payment revenues. On the contrary, the company had an increasing normalized share of profit from SPP businesses, as lower natural gas costs playing a crucial part behind higher profit margins for electricity sales to industrial customers.

The outlook of utilities and power businesses in Q4/2024 is expected to keep up the growing momentum from which additional water demand from new customers. A number of new customers have started the commercial operations recently considerably contribute to the volume growth this year and going forwards. One of the example is high-quality industrial water (Premium Clarified Water) with PTT Global Chemical Plc (PTTGC) with a volume of 3.5 million cubic meters per year. Furthermore, WHAUP might benefit from the arrival of new customers in the WHA Industrial Estate, such as large data center business, which is strongly believed to have a strong demand for water consumption and electricity usage in the future, especially clean energy. This addresses the Company’s  business plan to move forward with further investments in public utilities and clean energy businesses through the development of new innovations and solutions.

On the same day, the Board of Directors approved an interim dividend payment for 2024 of 0.060 baht per share, reflecting the company's strong performance and financial position. The XD sign will be posted on 21 November 2024, and the payment date is scheduled on 4 December 2024, respectively.

Moreover, WHAUP was also affirmed a corporate credit rating of “A-” with a “Stable” outlook by TRIS Rating, reflecting its stable and robust business foundation as the sole utility provider in WHA Group’s leading industrial estates in Thailand and Vietnam, alongside continuous growth in the solar energy sector. This rating underscores WHAUP's sturdy financial position, consistent revenue and profit-sharing base, and abundant liquidity.