The SET President, Mr. Kittiratt Na-Ranong, in disclosing the listed companies' operational performance in Q1 2002 (ended March 31, 2002), said that, as of the 16th May 2002, 344 out of a total of 387 listed companies (89%) on the SET and MAI had already submitted their financial statements. The total from all the profit-making companies equaled 45,000 million baht, an improvement on last year's 21,324 million baht.
"Out of 340 listed companies on the SET, 271 companies (80%) reported net profits while 69 companies (20%) reported net losses. In regard to the listed companies on the MAI, out of total four companies, three companies reported net profits while the remaining reported losses. Total profits of MAI's listed companies was 18 million baht, an increase of 11 million baht or 64% from last year," Mr. Kittiratt said.
For their performance by sector, 270 listed companies in the Industrial and Service sectors which represent a major group amongst companies listed on the Exchange (but excluding financial institutions and companies under rehabilitation - the REHABCO Sector) recorded improved operational results in Q1 2002, with total net profits of 33,556 million baht, rising by 20% compared to 27,944 million baht in Q1 2001. Improved profits reflected exchange rates gains of 6,715 million baht, while, whereas last year net exchange rate losses amounted to 4,314 million baht. Moreover, their improved position was also due to a reduced burden in interest expenses, which now represents 4.2% of sales income, compared to 5.44% last year.
Regarding sectorial performance, a total of twenty-five reported net profits. The top five of these were in the Energy, Transportation, Building Materials, Property Development, and Electronic Component Sectors. Net profits from these sectors amounted to 23,893 million baht or 53% of the total net profits reported. Sectors that reported losses were Pharmaceutical Products & Cosmetics, Mining, and Chemicals & Plastics, which recorded total losses of 144 million baht. However, these losses showed a decline of 86% on last year when they were recorded at 842 million baht.
Mr. Kittiratt went on to say that: "Financial institutions are also poised for improved results. The thirteen commercial banks plus the Industrial Finance Corporation of Thailand posed total net profits of 9,383 million baht, compared to last year's net profits of 2,721 million baht, an increase by 2.44 times. These profits resulted from a 13% increase in income from interest and dividends before provision for doubtful debts, which is a product of both the widening spread in interest rates as well as careful cost management."
The performance of the sixteen Finance and Securities Companies showed a similar trend. All sixteen companies reported net profits in Q1 2002. Total net profits in this sector were recorded at 2,081 million baht, an increase of 78% on last year's 1,166 million baht. The finance companies have reduced their reserves remarkably, from doubtful debts of 1,145 million baht to only 87 million baht, a 92% decrease this year. Most of them have already reached the required reserve level. The companies that derive their income from the securities business only also posted improved profits of 594 million baht in Q1 2002, compared to only 162 million baht last year. This is due to the removal of the liberalized brokerage commission fee structure, and the re-imposition of a minimum commission fee that became effective on January 14, 2002.
In regards to companies under rehabilitation (the REHABCO Sector), 34 companies out of 54 (63%) have already submitted their financial statements. Of these, 16 companies recording net profits and 18 companies recording net losses. Total net losses were recorded at 418 million baht, a decrease of 96% from 10,721 million baht last year as a result of the gains from exchange rates of 2,146 million baht. Last year, they posted losses of 4,063 million baht in Q1. This year, they also enjoyed a 307% increase in gains from debt restructuring, plus reduced interest expenses by 1,560 million baht or 25%.
For companies reporting progress on debt restructuring, as of March 31, 2002, 149 submitting progress reports, with a total of 5,179 million baht worth of debt restructured, a rise of 1% from December 31, 2001. Total debts restructured so far were recorded at 938,221 million baht or 80% of all debts. Strategies utilized included debt-payment extensions (62%), securitization (14%), capital increases (10%), and principal and interest reduction (14%), along with the asset transfers and other processes.
