STA reported a strong Q4/2024 performance, demonstrating YoY and QoQ growth. The Company's full-year revenue has surpassed THB 110 billion, marking a 35.8% increase, driven by higher rubber prices and a consistent increase in sales volume. Additionally, STA announced a dividend payout of THB 1.00 per share.
Sri Trang Agro-Industry Public Company Limited (STA) reported strong Q4/2024 performance, generating THB 33,256.8 million in sales and service revenue and a net profit of THB 854.3 million, demonstrating growth both YoY and QoQ. The Company also achieved total sales and service revenue of THB 114,373.7 million and a net profit of THB 1,670.4 million for full-year, marking a turnaround from the previous year’s loss. STA plans to propose a dividend payment of THB 1.00 per share for shareholder approval. For 2025, the Company is committed to maintaining or increasing total rubber sales volume across all product categories while integrating AI-driven innovations to enhance business operations and drive future growth.
Mr. Veerasith Sinchareonkul, Chief Executive Officer of Sri Trang Agro-Industry Public Company Limited (STA), the world’s leading fully integrated natural rubber business and Thailand’s largest rubber glove manufacturer, announced that the Company delivered strong and continuous growth in Q4/2024 compared to the same period last year and the previous quarter.
Total revenue from sales and services amounted to THB 33,256.8 million, marking a 53.2% YoY increase and a 5.2% QoQ rise. Net profit reached THB 854.3 million, a significant turnaround from the net loss recorded in the same period last year and a 62.5% increase from the previous quarter. This performance was driven by the rising natural rubber prices and the Company’s proactive sales strategy.
Additionally, STA had a sufficient supply of raw materials this year, avoiding the shortages experienced in the previous year due to the El Niño phenomenon. As a result, total natural rubber sales volume reached 386,956 tons, representing a 23.4% YoY increase and a 1.7% QoQ growth. This included sales and deliveries of 68,867 tons of EUDR-compliant rubber, a 9.7% increase from the previous quarter, whereas the same period last year had yet to record any EUDR rubber sales. Furthermore, the average selling price of natural rubber has continued its upward trend for seven consecutive quarters, reaching 196.6 cents per kilogram.
Given the Company’s strong performance in 2024, the Board of Directors has resolved to propose a dividend payment of THB 1.00 per share, totaling THB 1,536 million. The XD (Ex-Dividend) date is set for April 18, 2025. This proposal will be presented for approval at the Annual General Meeting of Shareholders on April 9, 2025, with the dividend payment scheduled for May 8, 2025.
Mr. Veerasith further stated that the outlook for the natural rubber industry, suggesting that the average rubber price for this year is expected to remain above the previous year’s average of 174.3 cents per kilogram. In January 2025, the average price of TSR20 rubber on the SICOM market stood at 193.8 cents per kilogram, maintaining a level close to Q4/2024. As of mid-February 2025, the average rubber price remains above 190 cents per kilogram. Meanwhile, demand for natural rubber across various industries such as tire manufacturing and rubber gloves is expected to continue growing YoY, with a notable recovery in demand from China, the world’s largest consumer. However, demand for EUDR-compliant rubber may experience a temporary slowdown due to the European Union’s decision to postpone the enforcement of EUDR regulations to the end of 2025, instead of the originally planned enforcement at the end of the previous year.
The Company aims to increase the total sales volume of natural rubber across all categories in 2025 beyond the 1.6 million tons recorded in the previous year (including concentrated latex sales to STGT). This growth strategy is aligned with the company's objective to expand its global market share in natural rubber by enhancing its procurement capabilities. To support this effort, the company is strengthening raw material sourcing from farmers and rubber traders through its digital platforms Sri Trang Friends, Sri Trang Friends Station, and Super Driver ensuring a robust supply chain to meet the increasing global demand for natural rubber.
"We have integrated AI technology into our operations and manufacturing processes to accelerate the company’s advancement and enhance business efficiency. Additionally, we are committed to our ESG policies, which encompass environmental stewardship, social responsibility, and strong corporate governance. Our approach to sustainable rubber production is comprehensive, covering every stage from raw material sourcing and processing to final delivery. By implementing these measures systematically, we aim to promote the sustainable development of Thailand’s rubber industry on a global scale," said Mr. Veerasith.