Transformer firm TRT upbeat on revenue growth next year
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Transformer firm TRT upbeat on revenue growth next year

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TRT installs transformers for its customers.
TRT installs transformers for its customers.

SET-listed Tirathai (TRT), a local transformer maker and service provider, is buoyant about maintaining its revenue growth in 2025, though the transformer market is facing a slowdown this year.

The company expects revenue to grow by 32% to 2.8 billion baht this year.

Managing director Sumpun Vongphan attributed the revenue growth in 2025 to demand from the state grid and private power operators, exports and TRT's plans to improve business performance, including cost control.

"The transformer industry is projected to contract by 10% this year, but we will manage to increase growth through cost control to maintain high liquidity," he said.

A delay in state budget spending for fiscal 2024, which started on Oct 1 last year, was blamed for causing the contraction.

More than half of TRT's revenue usually comes from the Electricity Generating Authority of Thailand and two state power distribution arms -- the Metropolitan Electricity Authority and the Provincial Electricity Authority.

The delay was caused by the lengthy process to form a new coalition government following the general election in 2023.

In March, the House of Representatives voted to approve the 3.4-trillion-baht budget bill for fiscal 2024, resulting in budget allocation for many state projects.

From January to September, TRT earned 2.33 billion baht, a year-on-year increase of 69% from 1.39 billion, driven mainly by sales and services provided to state grid operators.

Net profit rose seven times to 244 million baht, up from 34 million baht.

In 2025, the company wants to win auctions for state and private transmission system projects by securing 25% of the total auction value worth 15.1 billion baht.

Mr Sumpun said TRT will continue its business adjustment next year, especially plans to reduce production costs, increase productivity and seek new markets overseas.

The company will expand its customer base in the European Union and the US, with the outcome of the export expansion expected to be realised in the second half of next year, he said.

Exports account for about 10% of total revenue annually, said Mr Sumpun.

TRT is preparing to replace fossil fuel-derived transformer oil with bio-transformer oil to reduce the company's carbon footprint, he said.

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