CP Foods expects profit to grow more than 30%
Charoen Pokphand Foods Pcl, Thailand’s biggest animal feed and food producer, said profit may surge more than 30% this year, boosted by income from overseas businesses and food products.
Animal feed and agricultural businesses in countries including Russia, India and the Philippines will help boost revenue to as much as 190 billion baht ($6.4 billion) this year, Chief Executive Officer Adirek Sripratak said.
Revenue in 2011 will rise between 5 and 10%. “Our overseas businesses, especially in India, have potential to grow further,” Adirek said.
The company’s food and shrimp businesses will also continue to improve, he said.
CPF meals can already be found in Costco Wholesale stores in the US and at Sainsbury in the UK. Efforts are underway for shelve space at 500 Wal-Mart stores in the US.
Investing overseas
The company plans to spend at least 6 billion baht ($202.3m) next year, mostly on overseas expansion, Adirek said.
That excludes the budget for potential investments in Bangladesh and Cambodia for its feed and farm business, he said.
The company hasn’t been significantly affected by the appreciation of the baht because its product prices have increased and it’s able to pass on some costs to trading partners, Adirek added.
