Cake

Mr. Puttipong Prasarttong-Osoth, President and Director at Bangkok Airways Public Company Limited or BA, stated that the company is ready to expand business to a retailer of duty free merchandises in Bangkok’s main airport, Suvarnabhumi. It is considered a part of aviation business, and has a constant increasing in number from growing tourists. BA is looking for a joint venture with three other foreign companies, and expecting to come to an agreement within two to three months from now for an auction of Suvarnabhumi Airport’s duty free operation, including U-Tapao International Airport that connects to EEC, while the auction will be held by Airports of Thailand Public Company Limited or AOT later this year. As for the financial projection, the company is expected to grow 7-10% in revenue this year, even though the financial statement in second quarter of 2018 is expected to be lower than the first quarter. However, when comparing from a Y-over-Y, 2Q18 still grants a greater profit. Load factor averages at 70.5% and tourists increase by 7%. The company believes that tourist boat capsize will not affect their business in anyway, as they are categorized in different group of tourists. Moreover, Mr. Puttipong reveals that share repurchase could be possible after BA shares drop below book value, and the company has a capability to cover this amount. The case has been discussed briefly in the board meeting, and will be discussed more on detail in the near future. Also, he sees that aviation business has passed its rock bottom, and BA still has its major holder at 5.93%, which is Bangkok Dusit Medical Service Public Company Limited (BMDS), However, on the other hand, BA also holds 0.85% stake of BMDS's shares as well.