At the end of 2019, Dynasty Ceramic Public Company Limited (DCC) took over Royal Ceramic Industry Public Company Limited (RCI), driving company profit in 3Q20 up to as high as 413 million baht, an increase of 87% from 221.11 million baht a year ago.
Despite the fact that two companies are both backed by Saengsastra Group.
Saengsastra is originally a natural person shareholder of RCI. As the group increased its shareholding proportion to 91.87% in RCI’s shares, management for both companies is more liquidity, thanks to a synergy between RCI and DCC.
Total income for DCC in 3Q20 was 2,067.5 million baht which increased 12% YoY after adjusted its marketing strategy by visiting customers in the village more often, which led to a higher average selling price and the decrease in cost of production.
Other income was 28.6 million baht, increasing 46% YoY, driven by an improving rental fee of 8.5 million baht as many branches offered more space for rent. Gross profit increased to 43.0% from 39.1% of the previous year.
The natural gas cost which is the main cost of production decreased 25%, while total production increased 11%.
Cost of distribution was 192.6 million baht, decreasing 3% YoY, mostly from the decrease in 16% diesel price, but the sales volume surged 10%, including shipping of larger, heavier tiles. Administrative expense decreased 201.6 million baht or 9% YoY.
As of result, DCC profit for the first 9 months stood at 1,223.8 million baht, rising 67% from a net profit of 734.5 million baht a year ago.
In addition, DCC has offered a dividend payment for the period of July-September of ฿0.045/share.