Picture courtesy of Matichon.

 

Italian-Thai Development Public Company Limited (ITD), Thailand’s largest construction firm, reported a dramatic downturn in performance for the first quarter of 2025, with revenues nearly halved and a net loss approaching 3 billion baht.

 

According to the company’s filing with the Stock Exchange of Thailand, ITD’s consolidated revenue from construction services for the three-month period ending 31 March 2025 stood at just 5.096 billion baht. This represents a steep drop of over 11.8 billion baht compared to the same period last year.

 

The sharp revenue decline was primarily attributed to the cessation of revenue recognition from a foreign subsidiary that has since been reclassified as an asset held for sale. Additionally, income from several domestic infrastructure projects, such as building construction, railway systems, ports, and drainage canals, also fell significantly.

 

However, revenue from sales and services rose slightly to 1.744 billion baht, up 117 million baht year-on-year. The increase was largely driven by higher income from mining-related services.

 

On the cost side, ITD reported a reduction in construction service costs to 7.967 billion baht, down by 7.6 billion baht from the previous year, also due to the reclassification of the aforementioned foreign subsidiary. Conversely, costs for sales and services increased to 1.822 billion baht, a rise of 175 million baht, reflecting higher mining service costs and increased expenses at certain subsidiaries.

 

The company posted a gross loss of 2.949 billion baht, compared to a gross profit of 1.36 billion baht in Q1 last year. The gross loss margin stood at 43.11%, a significant reversal from the 7.31% gross profit margin recorded in the same quarter of 2024.

 

ITD cited increased losses from major projects, particularly in railway systems, building construction, ports, and industrial facilities, as key factors, along with the elimination of gross profit recognition from the reclassified foreign subsidiary.

 

The company has not yet declared any dividends for the period, and further financial impacts may follow depending on the outcome of ongoing project performance and asset divestment plans.

 

 

  Adapted by Asean Now from Matichon 2025-05-18.

 

 

 

2nd quarter isn't going to go well either.

Heading downhill, at least on the books ...

Isn't this the horrific company that is failing miserably on the Rama II project? They should be ousted and the project should be given to a competent company. 

As my (external) accountant usually said in the past "tax planning is everything, give 'em some breadcrumbs to feed on and once in while turn in a red zero". 

That is, of course, only for those who are registered and pay taxes in the first place 😉

1 hour ago, spidermike007 said:

Isn't this the horrific company that is failing miserably on the Rama II project? They should be ousted and the project should be given to a competent company. 

 Yes indeed (in conjunction with other contractors) Reference Google:

 

The Rama II highway construction in Bangkok is being overseen by the Expressway Authority of Thailand (Exat), with the primary project, Rama III–Dao Khanong–Western Outer Ring Road Expressway, being undertaken by the ITD-VCB joint venture (Italian-Thai Development Pcl and Vijitphan Construction Ltd.). Additional construction on the Rama 2 area is also being done by the Department of Highways. 

5 hours ago, spidermike007 said:

Isn't this the horrific company that is failing miserably on the Rama II project? They should be ousted and the project should be given to a competent company. 

Its run by our old buddy Premchai who is also in deep s--t about the quake building fall down. He just got out of the slammer from shooting the black panther a few years ago. Nice guy.

Wakanda forever.