The share price of R&B Food Supply Public Company Limited (RBF) rose as much as ฿1.60/share or 8.89% to ฿19.60/share as of 10:33 local time in Thailand on Monday, April 5, 2021.
RBF estimated 10-15% revenue growth in 2021 from an increase in sales of its existing products, coupled with terpene-infused products, expecting to release in 2Q21.
As for the hemp business, the company is processing for extraction and planting licenses (around 500 rais). The company had contacted and purchased hemp seed from an importer, expecting to start recording the revenue from cannabidiol (CBD) in 2022 with an estimated revenue of 1.2 billion baht from two crops per year.
Finansia Syrus Securities (FSS) expected RBF’s profit growth in 2021-2022 (included terpine, but excluded CBD) at 21% and 53%, respectively. Nevertheless, the security company forecast RBF’s target price at Bt21 (speculative-buy) in 2022 if the CBD business is a success.