Univentures ups revenue target on subsidiaries' performance
UNIVENTURES, the holding company of beverage tycoon Charoen Sirivadhanabhakdi, is targeting revenue of Bt13.5 billion this year, thanks to the success of its subsidiaries in generating high returns.
“One hundred per cent of our income comes from our subsidiaries and when they do business that generates a high return, we also benefit from their operations,” Worawat Srisa-an, president of the listed company, said at a press conference yesterday.
The bulk of the company’s revenue target of Bt13.5 billion is made up of Bt10.6 billion from residential sales by its subsidiaries – including Golden Land Property Development, Grand Unity Development and Krungthep Land.
A further Bt1.52 billion is from rental income, also generated by its subsidiaries, Bt1.22 billion from zinc-oxide manufacturing, and Bt160 million from other business, Bundit Muangsornkew, Univentures executive vice president, financial budgeting and accounting, said after the press conference.
As for next year, the company cannot at this stage estimate its revenue target because it is dependent on its subsidiaries’ business plans for the year, he added.
Univentures itself also currently has no investment plan for the rest of this year or 2016, because it needs to wait and see what business opportunities present themselves.
All of the investment capital required for developing both residential and office projects during the period will be made by its subsidiaries, including Golden Land Property Development and Grand Unity Development, said the executive.
“As most of the investment budget of our subsidiaries will come from their cash flow, and they also can raise finance from the capital market, we do not need to set aside an investment budget to support our subsidiaries.
“We will invest when we see an opportunity for merger or acquisition, but this depends on the market outlook and cannot be in our business plan for the long term,” Bundit explained.
For the first half of this year, Univentures recorded revenue of Bt6.14 billion and a net profit of Bt234.81 million.
