MENU

3 Things The Management Of Thai Beverage Public Company Limited Wants You To Know

Credit: Lali Masriera

Thai Beverage Public Company Limited (SGX: Y92) is one of the constituents of The Straits Times Index (SGX: ^STI). It is also one of the largest beverage companies in Thailand. With a price to earnings ratio of 21.7, it seems like it’s a favourite amongst investors. Here are three things the management would want you to know about the company.

Huge Growth

Its net profit for the interim year in 2014 has grown 37.2% year on year. This also showed investors that the fear of Thailand slowing down due to the coup might be over. This might be the beginning of the growth era for Thai Beverage.

Thai Beverage is more than just Thailand

Although the name of the company might be misleading, the business of Thai Beverage is not only in Thailand. The company has international sales and business has growth about 30% compared to last year. The company even has a Chinese spirits business in China itself. Not forgetting that Fraser and Neave Limited (SGX: F99) is now an associate of the company, the prospect of international sales might be looking brighter in the future.

Debt Level Is Coming Down

One possible area of concern for investors might be the debt level of the company. The company only has 2.96 billion Baht at last quarter’s report but has more than 57.7 billion Baht worth of debt. However, the good news is that the debt level is coming down. Compared to the last financial year, the net debt to equity actually improved from 0.69 to 0.57 as at the second quarter of 2014.

Foolish Summary

Thai Beverage Public Company Limited seems to be on a roll. The share price has appreciated more than 50% in 2014 alone. With its Thailand business turning around, the international sales growing and debt level coming down, Thai Beverage might really be facing better times ahead.

Click here now for your FREE subscription to Take Stock Singapore, The Motley Fool's free investing newsletter. Written by David KuoTake Stock Singapore tells you exactly what's happening in today's markets, and shows how you can GROW your wealth in the years ahead.

The Motley Fool's purpose is to help the world invest, better. Like us on Facebook  to keep up-to-date with our latest news and articles.

The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Stanley Lim does not own any companies mentioned.