MAI-listed Cho Thavee Dollasien Plc, a bus and truck assembler, is upbeat about revenue prospects this year despite a tepid first-half performance.
President and chief executive Suradech Taweesaengsakulthai said revenue growth of at least 10% to 1.68 billion baht was still expected.
Cho achieved first-half revenue of 482 million baht, down by 29.1%, for a net profit of 7.79 million, down by 86.1%.
Mr Suradech said Cho, through the JVCC consortium in June, won a contract to procure 489 NGV-fuelled buses for the Bangkok Mass Transit Authority (BMTA).
The contract, to be signed next month, is worth 1.74 billion baht for NGV buses and 2.29 billion for 10-year maintenance costs. Delivery will be made in 90 days.
Cho controls half the consortium and Khon Kaen Cho Thavee (1993) the rest.
Mr Suradech said Cho would employ 200 more staff at its factory in Khon Kaen province to support the BMTA project.
Founded in 1994 as a joint venture between Khon Kaen Cho Thavee (1993) and Germany's Doll Fahrzeugbau AG, Cho now has three main businesses -- standard trucks, trailers and NGV vehicles; special designs for vehicles such as military transport; and project management and services.
Mr Suradech said his company would revise up its revenue target in the fourth quarter after delivering all 489 buses.
"Once revenue from the bus procurement contract is realised, we expect total revenue for the year will come in at 2.6 to 2.7 billion baht," he said.
As of June, Cho had a backlog worth 521 million baht.
Mr Suradech said his company was also interested in joining bids to procure another 2,694 NGV and electric buses for the BMTA.
Cho will spend 240 million baht to expand its service centres to 15 locations by 2018 from seven now, part of plans to raise revenue from maintenance services to 30% of the total from 10% now.
The company achieved revenue of 1.53 billion baht last year, up 75% from 2013, for a net profit of 97.3 million, up 101%.
CHO shares closed yesterday on the MAI at 3.20 baht, down 12 satang, in trade worth 15.7 million baht.