Bangkok: GPSC affirms its strong financial position and cash flow, supporting its ability to cope with volatility and reduce cost pressure through a pass-through revenue structure. The company continues its EBITDA uplift while proactively managing risks from unrest in the Middle East.
According to Thai News Agency, Mr. Worawat Pitayasiri, Chief Executive Officer of Global Power Synergy Public Company Limited (GPSC), the leading innovator in the electricity business within the PTT Group, revealed that the company is well-prepared to manage risks from various factors this year. This is reflected in its strong financial position and current cash flow, as well as its management capabilities and the stability of its business portfolio in a volatile energy market environment. GPSC continues its EBITDA Uplift project to enhance operational efficiency and systematically control costs, thereby strengthening its ability to maintain stable performance and effectively building confidence among investors and shareholders.
GPSC stated that over 70% of its current revenue structure allows for cost pass-through through contractual mechanisms, mitigating volatility in fuel costs and the impact of external factors, while supporting cash flow for continued business development. The company aims to increase this proportion of revenue in the future to enhance revenue stability and reduce the risk of overall performance volatility. Simultaneously, the company sees positive signs from declining costs of debt resulting from proactive debt restructuring, aligning with the Bank of Thailand's lower policy interest rate decision last week. This is expected to alleviate interest expenses and boost net profit in 2026.
Furthermore, the company has upside potential from improved performance of its overseas joint ventures and renewable energy subsidiaries, with projected profits from joint ventures and associated companies reaching 1,389 million baht in 2025. This reflects a better diversified investment portfolio, strengthens overall performance stability, and mitigates the impact of fuel cost volatility.
Regarding concerns about the situation in the Middle East, the company is closely monitoring the situation within a proactive risk management framework. Most contract structures are designed to support the pass-through of fuel costs according to established mechanisms, coupled with appropriate inventory management and hedging to maintain operational stability and mitigate the impact of energy market volatility. The company reiterates its readiness to manage costs and liquidity to continuously support stakeholder confidence.