Siam JWD bullish on 2017 outlook
Siam JWD Logistics, an automotive logistics provider, is positive about its revenue prospects this year, given the recovering automotive industry and strong support from its founders.
Director Charvanin Bunditkitsada said the company expects to achieve its revenue target of 50 million baht this year, its first year of operation, and sees revenue growing by double digits down the road.
Founded in November last year, with registered capital of 20 million baht, Siam JWD Logistics is 52.5%-held by Siam Motors through its subsidiary, Siam Motor Industries Co, the importer and distributor of the UniCarriers forklifts, with JWD’s affiliate AutoLogic Co holding 42.5% and an unnamed individual investor owning the remaining 5%.
According to Mr Charvanin, the jointventure firm has plenty of capabilities for long-term sustainable growth because both JWD InfoLogistics and Siam Motors have their own specialties in warehouse management and logistic services.
Siam JWD is positioned to provide logistics solutions for auto-parts manufacturers, he said.
“Siam JWD is not starting from zero, so we will utilise our existing resources such as our heavy-duty truck and forklift fleets to support our future customers while Thailand’s auto-parts sector has the strongest supply chain in this region,” said Mr Charvanin.
In the initial stage, Siam JWD will focus on p r oviding logistic services to Siam Motor’s automotive plants.
Pratanwong Phornprapha, the company’s president said the group now operates more than 20 manufacturing plants in the automotive sector.
Siam Motors’ two subsidiaries — Siam GS Yuasa and Bangkok Komatsu Sales Co — belong to Siam JWD’s customers, with the latter handling transportation and delivery of car batteries and mining equipment, respectively.
“I expect Siam JWD will help fulfil logistics services for the group, and by 2020, Siam JWD is expected to be able to provide the logistics system to all Siam Motors’ plants,” he said.
Mr Charvanin said Siam JWD also aims to expand into the Asean market in 2021 to capitalise on higher demand driven by the Asean Economic Community.
He said Thailand will be a strategic logistics hub for the region while the automotive sector is growing in many Asean countries as well.
“JWD has a presence in Laos, Myanmar and C ambodia with future locations in Indonesia and Vietnam, while Siam Motors has automotive partnerships in many countries,” he said.
At home, according to Mr Charvanin, the government also has a long-term plan to u p grade Thailand’s industrial sector including the automotive industry via several efforts such as cluster development, the Eastern Economic Corridor and the electric-vehicle scheme.
Earlier in February, Mr Charvanin, also chief executive of JWD InfoLogistics Plc, said the company expected revenue to grow by 7% to 2.4-2.5 billion baht thanks to higher exports in the frozen seafood sector.
JWD s hares closed yesterday on the Stock Exchange of Thailand at 8.60 baht, up 20 satang, in trade worth 82.9 million baht.