GMO seeks Bt1.2 bn revenue this year

GMO is focusing this year on audio-visual equipment leasing and seeking new clients here and in the region for event organising to sustain its healthy growth, achieve Bt1.2 billion in revenues and pay dividends.
CEO Sermkhun Kunawong said last week that the company suffered losses in the last two years because of the uncertainty following the political crises and natural disasters.
But in the first quarter of this year, the company enjoyed a 116-per-cent surge in revenue to Bt509 million from Bt235 million in the same quarter last year while net profit jumped more than eightfold to Bt71 million from Bt6.7 million.
The quarterly results benefited from the BOI Fair 2011, which had to be postponed to January from November last year due to the devastating floods.
GMO also participated in major events like Royal Flora Ratchaphruek Fair in Chiang Mai, HomePro Expo, CP the Biggest Eater Competition Grand Final, Canon Wind Turbine 2012 and Swaroksi SCS. And there are more events coming up in the remaining quarters.
“We are underlining our core strengths – audio and visual equipment leasing and eight existing clients – as revenue from both sources account for 55 per cent of the total,” Sermkhun said.
The company also anticipates increasing demand from both regional and local event organisers to stage their exhibition booths in major consumer fairs and trade shows. The company expects to maintain revenue from this segment at 20 per cent.
It also aims to grow its client base to 10 companies, both local and multinational, in two years to drive this segment’s revenue share to 40 per cent from 25 per cent now.
Local clients continue to invest on their own shows to boost local customer spending, while multinational companies underscore their regional campaigns to take the advantage of the unfolding of the Asean Economic Community in 2015.
In three years, the company expects to generate Bt2 billion in revenue, of which Bt400 million will come from overseas.