Ichitan Group had just recorded a quarterly high in revenue and earnings from its 1Q24 performance with top line reaching 2,140 million baht and bottom line recording over 360 million baht.
Tan Passakornnatee, CEO of Ichitan Group Public Company Limited (SET: ICHI), said that the ready-to-drink tea segment continued its strong growth in the first quarter of this year, while its non-tea category like ‘Tansansu Honey Lemon Soda’ resonated well with young customers.
The CEO noted that manufacturing facilities operated at nearly full capacity of 100 million bottles per month to meet surging demand, while seeing the positive trend to continue during summer in Thailand.
Aggressive marketing campaigns across all segments are expected to reinforce Ichitan’s brand identity and drive its revenue to meet a target of 9 billion baht this year. Meanwhile, the company is expecting higher revenue as new production capacity is coming online in the final quarter of this year. Also, operations in Indonesia have rebounded, marking a solid profit base and positive outlook for the future.
CGS International Thailand raised its target price for ICHI to THB21.90 after the announcement of 1Q24 earnings performance, expecting 2Q to be the peak quarter. CGSI added that ICHI’s current valuation is the cheapest among its peers while anticipating the company to offer about 8% dividend yields from 2024-26.
