STPI Makes a Comeback to Book ฿2bn of Profit in 2019 from Higher Income

STP&I Public Company Limited (STPI) has reported its yearly consolidated financial statement of 2019 through the Stock Exchange of Thailand as follows;

STPI reported a net profit of Baht 2,089 million for the year 2019 which improved substantially compared to net loss of Baht 629 million in 2018.

STPI reported revenue from operations, sales and services for the year 2019 at Baht 1,269 million which increased 17% from Baht 1,082 million in 2018 mainly because of the increasing work volumes and revenue recognition during the reporting period.

In late June 2019, STPI acquired all shares of Boutique Prakhanong 1 Limited and Boutique Prakhanong 2 Limited in order to secure the long-term leasehold of the land and ownerships in office building and community mall with almost full occupancies; resulting in higher revenue from rental of those properties to Baht 249 million or 133% rose from Baht 107 million in the year 2018.

Interest income and other income almost doubled in 2019 from utilization of excess cash to invest in short-term held-to-maturity fixed income instruments which provided higher interest rates compared to market returns. Also, the Company had more income from selling of scrap materials from previously completed projects.

Moreover, STPI was also informed of the arbitral award on the dispute with a foreign client counterparty in which the Company was entitled to receive approximately USD 83.3 million for all unpaid invoice amount plus interest and costs amounting to USD 23.5 million as final award. The Company has received full payments in 2019 and therefore recorded the receipt of these amounts in the statement of comprehensive income of the current period with the net revenue of approximately Baht 2,623 million.