Dr. Phawat Witoorpakorn, CEO of Eastern Polymer Group Public Company Limited (EPG), a leading global manufacturer and distributor of polymer and plastic products, revealed that the world is currently facing a situation of volatility, uncertainty, and complexity. Although the overall global economy is showing signs of improvement, there are still risks to monitor, including geopolitical conflicts, inflation rates, energy prices, and climate change.

Operating in the global market presents significant challenges for EPG. Therefore, to ensure continuous growth in the fiscal year 66/67 (April 2023 – March 2024), the company is focusing on the following operations:

1)   Achieving Organic Growth: Through existing products and new innovative products across all business groups, which have received various important certifications, enabling the company to meet customer demands comprehensively, thus maintaining existing customer bases and expanding to new customer groups. Additionally, the company is exploring opportunities within each business group, including methods to enhance production efficiency and reduce costs.

2)   Committed to research and development to create innovative products for the New S-Curve to support core businesses and to establish new business groups in the future.

3)   Synergizing the business in Australia for a turnaround.

4)   Setting a long-term goal to achieve net-zero greenhouse gas emissions by 2042.

In the previous fiscal year, the subsidiary completed the installation of Solar Rooftops with a total power generation capacity of approximately 18 MW. In this fiscal year, the company has planned production to maximize the efficiency of solar energy use. For fiscal year 66/67 (April 2023 – March 2024), EPG aims for a 10% sales growth with a gross profit margin of 30 - 33% from the operations of three business groups as follows: The thermal/cold insulation business under the Aeroflex brand aims for an 8 - 10% sales growth from premium products and new models for the Ultra Low Temperature Insulation and Air Ducting system, which have received positive feedback in the United States, focusing on marketing in Thailand and Japan.

Aeroflex insulation meets energy-saving and environmental standards, thus receiving carbon footprint certification for its products. Additionally, Aeroflex is considering licensing some models for distribution in Europe and is preparing to test Aeroflex insulation to obtain the highest safety standards for fire-resistant materials in Europe. The long-term goal remains to achieve net-zero greenhouse gas emissions by 2042.

The automotive parts and accessories business under the Aeroklas brand aims for an 8 - 10% sales growth through innovative product development in collaboration with OEM customers from European, Asian, and American automotive manufacturers, which have been gradually launched into the market. With expertise in producing lightweight and durable polymer and plastic automotive parts that meet safety standards, Aeroklas has ongoing projects to develop innovative products for both ICE and EV vehicles to continuously create New S-Curve products.

For the business in Australia under the Aeroklas Asia Pacific Group (AAPG), restructuring is underway to enhance collaboration among businesses and all brands in Australia, utilizing the prepared potential to increase sales while controlling costs to achieve a turnaround in the Australian business as quickly as possible.

The plastic packaging business under the EPP brand aims for a 10 – 12% sales growth by increasing production capacity utilization. EPP has launched new packaging products, such as the TF food box to replace foam boxes. Furthermore, as mandated by the Industrial Standards Institute (ISI), plastic containers for food are controlled products that must meet industrial product standards (ISO) 655, which is the standard for plastic containers and utensils, and ISO 2493 for plastic food containers for microwave ovens, which came into effect on January 3, 2023. EPP has received full industrial product standard certification. Additionally, EPP is adjusting its marketing strategy by cross-selling both premium plastic packaging and general products to meet the needs of all target customer groups.

Regarding the research and development operations of EPG Innovation Center Co., Ltd., it not only supports the three core businesses by creating innovative New S-Curve products but also conducts research and development to create innovative products for new business groups in the future. Dr. Phawat further stated that the company has set an investment budget for fiscal year 66/67 (April 2023 – March 2024) totaling 450 million baht to develop products and increase machinery for new product production, as well as to improve production lines. Additionally, at the 4th/2023 Board of Directors meeting on May 26, 2023, a resolution was passed to propose to the annual general meeting of shareholders for 2023 to approve the issuance and offering of additional bonds not exceeding 1 billion baht, from the previous limit of 2 billion baht, bringing the total bond issuance and offering limit to not exceeding 3 billion baht to be used as working capital for business operations or to support future business expansion.