Additional Expenses of Employee Benefits Plunge CPF’s 2Q Profit to Record at ฿4.1bn

Charoen Pokphand oFoods Public Company Limited (CPF) has reported its 2Q19 consolidated financial statement through the Stock Exchange of Thailand as follows:

CPF’s net profit in the second quarter of 2019 was at THB 4,104 million, decreased by THB 1,709 million or 30% decreased from the same period last year. This was due to the Labour Protection Act (No. 7) B.E. 2562 which has been effective since May 5, 2019. The said Act mandates employers to increase the severance pay rate from 300 days to 400 days for an employee who has worked for 20 consecutive years or more. This has caused CPF to recognize additional expenses amounting to THB 1,812 million in second quarter of 2019.

In addition, the Board of Directors meeting passed a resolution to pay an interim dividend at ฿0.30/share.The ex-dividend date will be on August 29, 2019 and the payment date will be on September 12, 2019.