EGCO Group showed 2.02 billion baht net profit in Q1/23

Editorial Staff

EGCO Group showed 2.02 billion baht net profit in Q1/23, more domestic and overseas investment planned to support energy transition.

Electricity Generating Public Company Limited or EGCO Group announced 15.12 billion baht total revenue and 2.02 billion baht net profit for the first quarter of 2023.

The strong performance is mainly contributed by the increasing incomes from Quezon and San Buenaventura power plants in the Philippines. To support energy transition, EGCO Group is getting ready to participate in the Thai government’s new auction for renewable power under the feed-in-tariff (FiT) scheme and make more investment in power and energy-related businesses in overseas markets.

Mr. Thepparat Theppitak, EGCO Group’s president, said that EGCO Group continued to maintain growth in power and energy-related business despite the volatile fuel price and slow global economy that began in 2022. Key factors of such success are EGCO Group’s expertise in power plant portfolio management, efficient fuel cost management, appropriate management of risks related to investment.

In addition, EGCO Group has closed deal with RISEC power plant with 609 MW capacity in this quarter. This will strengthen EGCO Group’s success in the global energy market, following the achievements in Linden cogeneration power plant and APEX power project. EGCO Group will also grow its business cooperation with foreign partners in order to capture the opportunity to expand its investment in other high quality natural gas-fired and renewable projects in the US market in the coming years.

In Q1/2023, EGCO Group posted 15.12 billion baht total revenue, an increase of 13% compared to the same period in 2022. Net profit for the first quarter was 2.02 billion baht, which was 2.09 billion baht or 51% lower than Q1/2022.

This significant reduction came from the decrease of electricity sale volumes of Paju ES in South Korea and Xayaburi and Nam Thuen 2 hydropower plants in Laos. However, the positive factor contributing to growth was the increasing incomes of Quezon and San Buenaventura power plants in the Philippines.

EGCO Group currently has two projects under construction. The 74-MW EGCO cogeneration SPP replacement project in Rayong province has already been 60% completed, and is scheduled for completion and commercial operation commencement in the first quarter of 2024.

The 640-MW Yunlin offshore wind farm in Taiwan has transmitted 128 MW from 16 wind turbines to the grid in the first quarter this year. EGCO Group, as a shareholder, has accelerated the project progress and worked closely with the partners in reviewing construction plan to ensure that the project will be completed within 2024 as scheduled.

Considering power and energy-related business expansion to support energy transition in Thailand, EGCO Group is getting ready to participate in the second auction for a 3,600-MW renewable power under the FiT scheme.

The company also worked with its partners to study and utilize alternative energy, such as hydrogen fuel and carbon capture, utilization and storage (CCUS) technology, and to invest more in the latest technologies and energy innovations through Innopower Company Limited. In other countries, EGCO Group will seek opportunities to invest in renewable energy and natural gas-fired power projects, which are important to support energy transition.