LPG) 395 People
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sun15.5 mm 210 x 297 mm spot Cover WP 19-02-093 Cover WP 2018 new13-3_J Coated-cc2019 210 x 297 mm 2 Annual Report 2018 General and Other Important Information Company Name Symbol : WP WP Energy Date of Company Registration Public Company Establishment Number Limited 24 November 2014 107557000403 Main Business Registered Capital Trading of liquefied 518,500,000 Baht Number of petroleum gas Employees (LPG) 395 people Website Head Office Address www.wp-energy.co.th 1 EastWater Building, Floor 15, Soi Vibhavadi Rangsit Soi 5, Vibhavadi Rangsit Road, Chom Pon Sub-district, Chatuchak District, Bangkok 10900 Branch Location Branch Type Address Branch 1 LPG terminal No. 115 Moo 16, Bang Pakong Sub-district, Bang Pakong District, Chachoengsao Province Branch 2 Filling plant No. 458/12 Moo 4, Naklua Sub-district, Banglamung District, Chonburi Province Branch 3 Filling plant No. 55 Moo 3, Phahonyothin Road, Klongnueng Sub-district, Klongluang District, Pathum Thani Province Branch 4 Filling plant No. 3/2 Moo 2, Soi Lang Wat Charunrat, Liang Mueang Road (Bypass), Huaykapi Sub-district, Mueang Chonburi District, Chonburi Province Branch 5 Filling plant No. 11 Soi Bangna-Trad 26, Bangna Sub-district, Bangna District, Bangkok Branch 6 Filling plant No. 85 Moo 4, Lat Lum Kaeo Sub-district, Lat Lum Kaeo District, Pathum Thani Province Branch 7 Filling plant No. 500 Bang Khae Road, Bang Khae Sub-district, Bang Khae District, Bangkok Branch 8 Service station No. 10/2 Moo 1, Bang Kaeo Sub-district, Bang Phli District, Samut Prakan Province Branch 9 LPG terminal / No. 226 Moo 17, Tha Phra Sub-district, Mueang Khon Kaen District, Khon Kaen Province Filling plant Branch 10 Filling plant No. 640 Soi Suk Sawat 26, Suk Sawat Road, Bangpakok Sub-district, Ratburana District, Bangkok Branch 11 LPG terminal No. 286 Moo 1, Bang Cha Kreng Sub-district, Mueang Samut Songkhram District, Samut Songkhram Province Branch 12 LPG terminal No. 73/1 Moo 10, Wiang Tan Sub-district, Hang Chat District, Lampang Province Branch 13 Service station No. 111 Moo 1, Wang Manao Sub-district. Paktho District, Ratchaburi Province Branch 14 LPG terminal No. 101 Moo 10, Ban Haet Sub-district, Ban Haet District, Khon Kaen Province Branch 15 LPG terminal No. 115/1 Moo 16, Bang Pakong Sub-district, Bang Pakong District, Chachoengsao Province Branch 16 Filling plant No. 19/2 Moo 4, Nong Nam Sub-district, Mueang Lamphun District, Lamphun Province Branch 17 Filling plant No. 1 Moo 4, Don Kaeo Sub-district, Mae Rim District, Chiang Mai Province Reference Persons Legal Advisor Securities Registrar Thailand Securities Depository Co., Ltd. Norton Rose Fulbright (Thailand) Co., Ltd. Auditor PricewaterhouseCoopers ABAS Ltd. Financial Advisor 1. Mr. Kajornkiet Aroonpirodkul, CPA Registration No. 3445; and Finansa Securities Co., Ltd. 2. Mr. Pisit Thangtanagul, CPA Registration No. 4095; and 3. Mrs. Nattaporn Phan-Udom, CPA Registration No. 3430 Annual Report 2018 3 Table of Contents Overview Corporate Governance 4 86 Factsheet Corporate Governance 6 98 Financial Highlights Social and Environmental Responsibility Policy 14 Message from the 100 Chairman of the Board Internal Control and Financial Information Audit 16 108 Message from the 102 Report of the Board of Chairman of the Executive Related Party Directors’ Responsibility Management Transactions for Financial Statements 18 48 104 109 Board of Director Securities and Report of the Audit Analysis and Explanation 20 Shareholders Committee of Management Vision and Mission 49 120 22 Shareholding Structure Financial Statements of the Company and Company Highlights Subsidiaries 24 50 Nature of Business Revenue Structure of the Company and 44 Subsidiaries by Revenue Type Risk Factors 52 Dividend Payout Policy 53 Management Structure 4 Annual Report 2018 WP energy is Thailand’s leading LPG distributor under the brand “World Gas” The company strives to deliver efficient support and services, resulting in an established, long-term trust from our customers within various industries. Gas Separation Plant / Refinery / Petrochemical Plant Industrial Plant LPG Terminals LPG Tanker Truck LPG Service Station LPG Store Household WP energy offers fully integrated service from Consumers upstream to downstream supply chain with an emphasis on quality and international standard LPG Filling Plant of safety Commercial Customers Industrial 3rd position in industrial sector, 5 securing a long-term contract LPG with potential customers. Terminals Household 2 2rd position in household sector LPG Service with over 6.2 million cylinders in Stations the market, along with established and trusted relationship with users. 159 LPG LPG service station Filing Plants 137 leader in LPG service station LPG Transport sector, with a wide coverage Vehicles in the country Annual Report 2018 5 Volume Breakdown by Segment for the Fiscal Year 2018 LPG Filling Plants Supply Sale and others LPG Stores 11.71% 43.48% 4.31% 9.23% 4.85% 26.42% LPG Service Industrial Plants Commercial Station Customer 1. Mr. Aiyawatt Srivaddhanaprabha 11.50% 2. Mr. Watchai Vilailuck 3. Ms. Apiradee Opasiamlikit 16.39% 4. Mr. Chatchaval Jiaravanon 10.37% 5. Pol.Gen. Somyot Poompanmuang Major 6. Ms. Chomkamol Poompanmoung 1.95% Shareholder 7. Mr. Pisarn Panichawong 2.42% 8. VERWALTUNGS - UND PRIVAT - 3.33% 7.19% BANK AKTIENGESELLSCHAFT 4.67% 9. Mr. Watcharis Pongpanit 7.03% 6.82% 10. Mrs. Ranee Ueaytaweekul 6 Annual Report 2018 Total Revenue FY2018 Revenue Breakdown FY2018 (Million Baht) (Million Baht) LPG Filling Plants LPG Service Station Industrial Plants 6,422 3,809 1,412 2018 14,978 2017 15,747 Commercial LPG Stores Supply Sale 2016 16,562 Customers and Others 806 658 1,577 Gross Profit EBITDA Units: THB mn Units: THB mn 830 681 675 650 422 354 2016 2017 2018 2016 2017 2018 Net Profit Financial Position Units: THB mn Units: THB mn 5,715 5,612 671 992 536 5,274 4,738 4,941 4,723 321 132 57 2016 2017 2018 2016 2017 2018 Assets Liabilities Equity Annual Report 2018 7 Financial Highlights 2016 2017 2018 Financial Highlights (Unit: Million Baht) Total Revenue 16,562 15,747 14,978 Gross Profit 681 650 830 EBITDA 354 422 675 Net Profit 57 132 321.48 Assets 5,274 5,612 5,715 Liabilities 4,738 4,941 4,723 Equity 536 671 992 Operating cash flow 170 565 517 Financial Ratios Gross Profit Margin 4.15% 4.19% 5.64% EBITDA Margin 2.14% 2.68% 4.51% Net Profit Margin 0.34% 0.84% 2.15% EPS (Baht/share) 0.11 0.25 0.62 Current Ratio (x) 1.47 1.64 2.08 Debt / Equity (x) 8.84 7.36 4.76 Interest-Bearing Debt / Equity (x) 0.53 0.37 0.21 Return on Assets (ROA) 1.43% 2.78% 7.09% Return on Equity (ROE) 11.22% 21.86% 38.65% 8 Annual Report 2018 We Focus on Society and Environment The Company recognizes the importance of social coexistence and intends to be shared of caring and “being responsible to all stakeholders in the area by participating in enhancing the quality of life for the community and society with the support on the development of life in all aspects and a conscience on corporate social responsibility and environment conservation, the Company will quickly and efficiently respond to all events that affect the environment, communities, that are caused by the Company’s operations. Annual Report 2018 9 POWER UP YOUR LIFE, DRIVE YOUR PLACE. 10 Annual Report 2018 POWER UP YOUR LIFE, DRIVE YOUR MOMENT. Annual Report 2018 11 The Company commits to develop products and services for customers’ utmost satisfactions and “maximum benefit and adheres to provide services to customers with responsibility, honesty, attention to customers by taking into account the quality and efficiency of the services. Apart from the quality services, the Company also pays attention to the safety in order to provide customers the services with the highest quality and efficiency. We Have Standardized Services 12 Annual Report 2018 We realize the concern on energy so that the society can use quality gas because we are the leader in the distribution business of liquefied “petroleum gas (LPG), the purified energy under the trademark “World Gas”, that is fully integrated with potentials. We Have Quality Energy Annual Report 2018 13 POWER UP YOUR LIFE, DRIVE YOUR LIFE. 14 Annual Report 2018 Message from the Chairman of the Board Dear shareholders, The overall market of LPG in 2018 showed a downward trend compared to that of 2017 due to the decline of LPG use in vehicles. Despite the challenge, WP Energy Public Company Limited was able to achieve satisfying growth and operating results in 2018 due to its comprehensive business operations driven by good management planning and prudent investment strategies with an aim to continuously expand its business which is always ready to adapt to change. For the past years, the company has followed the policy established by WP Energy PCL’s Board of Directors which was “to conduct business with integrity, transparency, and commitment to achieve the company’s vision as a regional leader in energy business with service innovation excellence in response to every consumer need.” In 2019, the company is committed to that policy and prepared to move forward to the ASEAN region with its comprehensive business strategies which incorporate upstream, midstream, and downstream businesses. As the Chairman of the Board, I would like thank our shareholders, investors, customers, business allies, employees, and stakeholders for their continued trust and support. We are ready to expand our business domestically and internationally with a high hope to distribute our success to all of you through our dedication which is based on good governance in order to achieve sustainable business growth. (Mr. Chulchit Bunyaketu) Chairman of the Board of Directors WP Energy Public Company Limited Annual Report 2018 15 WP Energy Public Company Limited was able to achieve satisfying growth and operating results in 2018 due to its comprehensive business operations driven by good management planning and prudent investment strategies that are ready to adapt to change.