Delta expects higher net profit this year
Delta Electronics expects its net profit this year to hit a new high from the increase in purchase orders.
Director Anusorn Muttaraid said the company’s performance in the second half of this year would be better than the first half of Bt27.63 billion in revenue and Bt2.87 billion in net profit, thanks to the increase in orders, relief from the Covid-19 crisis and realised gains from the acquisition of Eltek Australia at the end of July.
He added that Eltek Australia can generate revenue from US$50 million (Bt1.56 billion) to $60 million per year.
“Therefore, we expect the company’s net profit this year to hit a new high from Bt2.95 billion in 2019 as the number of purchasing orders is increasing gradually, especially from data centre infrastructure solutions and businesses related to electric vehicles,” he said.
“Also, the company gained positive sentiment from a change in technologies to support the 5G network, and the weakening baht.”
Anusorn said Delta does not have any plans to acquire more businesses as it has to focus on management to cope with the Covid-19 situation first.
“We believe Delta’s financial status is still strong as the company’s cash flow was around Bt9 billion, so we have confidence it can support more investment in the future,” he added.