Local publicly-listed industrial park management firm Phnom Penh SEZ Plc (PPSP) on April 6 reported solid growth and an upward trend in business performance last year despite Covid-19’s far-reaching impact across the globe.
Market observers are bullish on the company’s future after Inter Logistics (Cambodia) Co Ltd, a member of the Royal Group of Companies Ltd, on December 21 announced that it has acquired 45.09 per cent of total PPSP shares, becoming the industrial zone operator’s largest shareholder. The announcement sent PPSP shares up 4.5 per cent.
In a financial report filed to the Cambodia Securities Exchange (CSX), PPSP reported total revenue of 117.767 billion riel ($29 million) and net income of 7.797 billion riel for 2021, up by 74.53 per cent and 80.66 per cent year-on-year, respectively.
As of December 31, total assets amounted to 426.234 billion riel and total equity 248.003 billion riel, up by 10.98 per cent and 2.07 per cent year-on-year, it said.
PPSP CEO Hiroshi Uematsu said in the filing that despite Covid-19, 2021 was “another good year” for the company with many positive results, such as further improvement in profit after taxation compared to 2020.
He voiced confidence that Inter Logistics, as the current controlling shareholder and Royal Group member, would be able to fuel further growth in PPSP at a faster pace. Uematsu attributed last year’s results to “the hard work and effort put in by the employees of the company”.
Royal Group chairman Kith Meng, who was voted as non-executive chairman of PPSP, predicted that the industrial zone operator would “produce commendable results” this year, much like it had during the pandemic-era, “barring any unforeseen circumstances”.
“My first priority for [PPSP] is to integrate and expand on its existing business reach by leveraging and incorporating all the other business activities within the Royal Group of Companies to enable further synergistic effects and growth for the company.
“As a start, to project the identity of the company as part of the Royal Group of Companies, [Phnom Penh Special Economic Zone] has now been renamed Royal Group Phnom Penh Special Economic Zone,” he said in the filing.
PPSP is behind the recently renamed 357.3ha industrial zone, located in Kambol district’s Kantaok commune on the outskirts of the capital, and became the fourth publicly-listed company on May 30, 2016.
PPSP houses tenants from Japan, China, Singapore, the US, Malaysia, the Netherlands and Australia that represent a wide range of industries including automobile parts, garments, food and beverage, plastic products, electronic products and jewellery.