GPSC sees a strong Q1/2021 turnover with growing profits of THB 1,973 million, increased by 25% (YoY) and increased by 35% (QoQ) indicating strong financial performance and demand of electricity and steam from industrial customers. The company has also implemented stringent prevention measures for the new wave of COVID-19 infections at its facilities to ensure customers’ confidence in the company’s secure and stable electric power and steam generation system.
Mr. Worawat Pitayasiri, President and Chief Executive Officer of Global Power Synergy Public Company Limited or GPSC, the innovative power flagship of PTT Group, revealed that the company’s net profit for the first quarter of 2021 was THB 1,973 million, increased by THB 393 million or 25% from Q1/2020 (YoY) which was mainly due to an increased in shares of profit from Xayaburi hydro power plant and dividend received from Ratchaburi Power Company Limited (RPCL). Although operating performance of IPP business decreased from planned maintenance of GHECO-One and GIPP resulting in lower Availability Payment (AP), but SPP business was higher margin from lower natural gas and coal price together with higher steam demands from industrial customers.
When comparing to Q4/2020 (QoQ), Net profit for the Company increased by THB 515 million or 35% mainly due to lower maintenance cost according to GLOW SPP plants’ planned maintenance in Q4/2020, higher gross profit from steam sales to industrial customers.
Besides, GPSC recognized synergy value from the acquisition of GLOW amounting THB 224 million (after tax) in Q1/2021, mainly from operation and maintenance, the management of power and steam network integration and coal ash management. In addition, GPSC has completed the shareholding restructure of Global Renewable Power Company Limited (GRP) on 4 January 2021 by selling approximately 50% shares of GRP to PTT Global Management Company Limited (PTTGM), a subsidiary of PTT Public Company Limited (PTT). Consequently, GPSC received gain on sale of GRP’s shares and shall record the GRP’s operating results as the shares of profit of associates. This is another step in promoting greater cooperation for enhancing the group’s renewable energy capacity, the collaboration also brings experienced and skilled personnel in renewable energy from PTT and GPSC together under one roof. Thus, increasing efficiency and enhancing the competitive edge, which will further lead to sustainable development of energy.
Amid the new wave COVID-19 cases, the company has made it a priority to help maintain the country’s energy security and stability, imposing strict measures to control and monitor the spread of the virus in the facilities such as visitors are not allowed to enter the offices and areas of operations, all support staff members are required to work from home 100% of the time, business continuity plans have also been prepared for all operations units to ensure that there is no interruption in the electricity and steam production so as to be able to meet customers’ business demand. In the meantime, we have also sought new allies in the development of technology and innovation to keep up with the future trends in energy development, in particular, EV battery technology, which is one of PTT’s major comprehensive energy management goals.