OCEAN Reports ฿20 Million Profit in 2Q19 from Palm Oil Trading Business Growth

Ocean Commerce Public Company Limited (OCEAN)  has reported its 2Q19 consolidated financial statement through the Stock Exchange of Thailand as follows:

For the three month period ended June 30, 2019, which was audited by the auditor With significant operational results as follows
1)  Net profit in the amount of THB 20.60 million, compared with the same period of 2018, with a net loss of THB 28.05 million, increasing net profit amount THB 48.65 million or 173.44%, consisting of net profit of palm oil trading business THB 20.02 million and the net profit of the business is THB 0.06 million, indicating that the operation of the palm oil trading business is in the direction that better.

2) Gross profit in the amount of THB 60.56 million, compared with the same period of 2018, with gross loss in the amount of THB 7.33 million, gross profit increased by THB 67.89 million or 926.19% increase, which consists of
– Faucet business : Gross profit of THB 26.79 million, compared with the same period of 2018, with gross loss of THB 7.33 million, increasing gross profit amount THB 34.12 million or 465.48% increase due to the year In 2018, the allowance for diminution in value of deteriorated and slow-moving goods was increased to THB 26.80 million, resulting in higher costs than usual.
– Palm oil trading business: Gross profit was THB 33.77 million or 100% because the palm oil business started operation on 1 October 2018. 

3) Sales and service income of the OCEAN increased from THB 158.61 million to THB 765.94 million or 382.91% consisting of
– Faucet business: Revenue from sales and services of OCEAN increased from THB 73.77 million to THB 89.45 million, amounting to THB 15.73 million, representing 21.33%. As a result, OCEAN has the policy to plan the procurement of new models. To sell instead of old products that are not popular in the market, Therefore, the revenue from sales and services of OCEAN in 2019 increased as follows
– Palm oil trading business: Revenue from sales and services of OCEAN revenue from sales and services – The Company’s palm oil trading business has increased from the same period of last year. In the amount of THB 676.44 million, equivalent to 100% because such business has commenced operations on 1 October 2018 4. Distribution costs and administrative expenses increased by THB 52.84% compared to the same period last year because OCEAN has increased palm oil trading business from the distribution of tap water and tap water products business. Therefore, OCEAN has increased expenses for new business such as transportation cost which is the main distribution cost of palm oil trading business and administrative expenses such as consulting fees and other fees.

For the six-month period ended June 30, 2019, which was audited by the auditor with significant operational results as follows:
1)  Net profit in the amount of THB 21.92 million, compared with the same period of 2018, with a net loss of THB 30.84 million, representing an increase of THB 52.76 million or 171.08%, consisting of net profit of palm oil trading business THB 20.43 million and the net profit of the faucet business is THB 1.00 million, indicating that the operation of palm oil trading business is in the direction that better.

2)  Gross profit in the amount of THB 101.91 million, compared with the same period of 2018 with gross profit of THB 13.63 million representing an increase in gross profit, amounting to THB 88.28 million, or an increase of 647.69%, consisting of
– Faucet business: Gross profit of THB 56.36 million, compared with the same period of 2018, gross profit, amount THB 13.63 million, representing a gross profit increase of THB 42.73 million, or an increase of 313.50%. The reason from the year 2018, the allowance for diminution in value of deteriorated and slow-moving goods increased to THB 26.80 million, resulting in higher costs than usual.
– Palm oil trading business: gross profit amount THB 45.19 million or 100% Since the palm oil business has commenced operations on 1 October 2018.

3)Sales and service income of OCEAN increased from THB 158.61 million to THB 1,206.45 million or 660.63% consisting of
– Faucet business: Revenue from sales and services increased from THB 158.61 million to THB 176.56 million. Tn the amount of THB 17.95 million or 11.32% as a result of OCEAN’s policy in planning procurement of new products to sell instead of old products that are not popular in the market.
– Palm oil trading business: Revenue from sales and services of OCEAN revenue from sales and services – The Company’s palm oil trading business has increased from the same period of last year. In the amount of THB 1,029.18 million, equivalent to 100% because the said business started operation on 1 October 2018.

4) Distribution costs and administrative expenses increased 61.18% compared to the same period last year because OCEAN has increased palm oil trading business from the distribution of tap water and tap water products business. Therefore, OCEAN has increased expenses for new business such as transportation cost which is the main distribution cost of palm oil trading business and administrative expenses such as consulting fees and other fees.