WHA Utilities and Power Public Company Limited (WHAUP) has showcased impressive performance, announcing its financial results for the first six months of 2023, driven by growth in water and electricity sales. The net profit reached 802 million baht, an increase of 9% compared to the same period last year. CEO “Somkiat Mesanthasuwan” indicated that the overall business outlook for the second half remains bright, as demand for water and electricity continues to rise, with plans to expand investments both domestically and internationally.

WHAUP reported to the Stock Exchange of Thailand that its revenue and normal profit share for the first six months of 2023 amounted to 2,005 million baht, up 7%. The normalized net profit was 682 million baht, an increase of 5%, while the total net profit, including the impact of exchange rates, reached 802 million baht, up 9% compared to the same period last year. The profit increase was primarily due to the growth of the domestic water business and significant profit shares from international water operations, as well as positive factors from the SPP power plant business, which benefited from lower natural gas costs compared to the previous year, resulting in improved margins for electricity sold to industrial customers.

CEO Somkiat Mesanthasuwan stated that the overall water utility business in Q2 2023 continued to grow, with total water sales and management both domestically and internationally reaching 43 million cubic meters, a 6% increase from Q2 2022. This brings the total water sales and management for the first six months of 2023 to 84 million cubic meters, an 11% increase compared to the same period last year. The increase in domestic water sales was seen across all products, particularly in raw water sales and value-added products, driven by the rising demand from new customer groups that began commercial operations in Q3 2022.

Looking ahead, the water business in the second half of 2023 is expected to continue its growth, supported by both existing and new customers, including projects for providing tap water in regional areas with a volume of 2.6 million cubic meters per year and a project to supply high-quality industrial water to PTT Global Chemical Public Company Limited with a volume of 3.5 million cubic meters per year. Contracts for both projects were signed in May 2023.

In terms of the international water business, water sales in Vietnam have seen significant growth, primarily due to increased sales volumes from the Doung River project, which has expanded its customer base and service areas. In the first six months of 2023, the company reported total water sales in Vietnam, based on its shareholding, of 17 million cubic meters, a 13% increase, resulting in a profit share from the Duong River project of 40 million baht, compared to a loss of -12 million baht in the same period last year.

Regarding the electricity business, in Q2 2023, the company reported a normal profit share from the electricity business of 201 million baht, a decrease of 27% compared to Q2 2022. However, for the first six months of 2023, the normal profit share from the electricity business was 502 million baht, an increase of 7% compared to the same period last year, primarily due to increased profit shares from SPP power plants, benefiting from lower natural gas costs compared to the previous year, which improved margins for electricity sold to industrial customers.

In the solar rooftop business, in the first six months of 2023, the company recognized revenue from Private PPA contracts totaling 197 million baht, a 14% increase from the same period last year, driven by increased capacity from commercially operational solar power projects. As of the end of Q2 2023, the company had a total of 131 megawatts of commercially operational solar projects. Additionally, in Q2 2023, the company signed 11 new Private PPA contracts with a capacity of approximately 13 megawatts, bringing the total signed Private PPA contracts to 256 megawatts, with total power purchase agreements across all types of power plants amounting to approximately 932 megawatts, including 682 megawatts already operational and 250 megawatts under construction and development.

The overall electricity business in the second half of 2023 is also expected to see continued growth, with plans to further invest in clean energy through the development of new energy innovations and solutions. The company anticipates signing additional clean energy project contracts and expanding its electric vehicle (EV) charging station services, currently with 34 installed charging stations, aligning with WHA Group's comprehensive investment plan in Green Logistics.

Somkiat added that in July, the company successfully issued bonds totaling 2,500 million baht, including 800 million baht in Green Bonds, which received strong demand from institutional investors, with subscriptions exceeding three times the offering amount, reflecting confidence in the company's fundamentals and business plans, reinforcing its strength as a leader in the utility and energy sector while prioritizing environmental concerns.

Additionally, the company received the “Good People, Earth Lovers” award from the Senate for its commitment to resource conservation and was selected by the Thai Development Institute as a listed company with outstanding performance in Environmental, Social, and Governance (ESG) practices, making it part of the ESG Emerging List for 2023 and entering the ESG100 list for the first time. This continuous growth and recognition from leading organizations reaffirm its leadership in the utility and energy sector while emphasizing sustainable growth.