BGRIM’s 2020 Profit Grows 21% despite the COVID-19 Crisis, Offering a Dividend of ฿0.30

B.Grimm Power Public Company Limited (BGRIM) has reported its yearly consolidated financial statement of 2020 through the Stock Exchange of Thailand as follows;

 

Despite global impact from the COVID-19 crisis, BGRIM’s normalised net profit (NNP) to owner increased by 21.1% to THB 2,617 million in 2020. Key drivers were to 1) additional operating capacity of 162MW led to a surge in total generation growth 6% to 14,451GWh, 2) full-year contribution from large-scale solar projects in Vietnam, and 3) 10.4% YoY declining gas cost to 244 THB/mmBTU in 2020 with PTT’s projection of 225THB/mmBTU in 2021.

 

4Q20 NNP to owner also grew 20.6% YoY to THB 516 million, mainly from the acquisition Angthong Power in Mar 2020, strong recovery of industrial user (IU) demand, declining gas price and expense control.

 

Meanwhile, the 2020 net profit was THB 2,175 million which decreased by 6.7% YoY. The difference from NNP was mainly from non-operating items: 1) THB 242 million unrealised FX loss from net position of the outstanding of US dollar debts and other US dollar transactions, 2) THB 223 million accretion cost from a discounting of long-term construction payables based on requirement of accounting standards and 3) a remuneration program’s expense in the amount of THB 62 million. In 4Q20 net profit grew 29.4% to Baht 1,056 million. 

 

Electricity volume from IUs recovered strongly and continually with the volume exceeding the same period of previous year for 5 consecutive months. 4Q20 volume increased 4.6% YoY to 764GWh, thanks to all key sectors especially auto-parts, tires and home appliances with YoY growths of 5.3%, 6.8% and 6.0% respectively. In January 2021, IU volume still increased 4.8% YoY to 258GWh.

 

BGRIM continued expanding its client base with the synchronisation of new IUs of 15 MW in 2020 and more than 40MW expected in 2021, based on a signed PPA.

 

In addition, BGRIM announced the final dividend payment from the 2020 performance of THB 0.30 per share, which implies a 45% payout ratio based on NNP. The closing date of the shareholder register for the dividend is on March 11, 2021, and the payment is due on May 11, 2021.