Mr. Sakchai Jongstapongpun, Deputy Chief Executive Officer of Accounting and Finance Management of North East Rubber Public Company Limited (SET: NER), informed Kaohoon that in the third quarter this year, the company is likely to generate sales higher than the same period last year but similar to previous quarter due to the high orders of its natural rubber that last until this November.
On July 31, Goodyear, the world’s largest tire-producing company from the U.S., came to visit NER’s Singapore office to see its factory and natural rubber’s quality. If their performances reached Goodyear’s standard, the company expected to receive additional orders as soon as this fourth quarter or early next year. Its specific amount, however, is still unclear.
NER also negotiated with Linglong Tire, a major Chinese tire manufacturer. Currently, both companies are performing regular transactions, but this talk could turn it into a long term business.
As for the annual performance, NER is confident that its outlook would reach its goal by having total revenue of THB 30 billion, expanding from last year’s revenue of THB 27 billion, and sales volume of 500,000 tons, increased from last year’s volume of 440,000 tons.
Regarding the fire incident on NER’s natural rubber warehouse, which stored 2,000 tons of the company’s standard Thai rubber that was meant to be delivered to four customers in Indonesia and Singapore, the company stated the incident caused damage valued about THB 150 million, but the insurance has it all covered. So far, the company addresses the customers by sending its reserved products and estimates that the delivery process would be finished within this month.
Mr. Sakchai stated that on August 8, NER will hold a board meeting to approve its 2Q25 financial statement and publish it on that date. The company estimated that its outlook will grow from the same period last year, when its revenue and net profit reached THB 6.5 billion, and THB 450 million, respectively, and previous quarter, when its revenue and net profit reached THB 8.6 billion and THB 600 million, respectively. The company is confident in this because it already closed its orders for the second quarter, a period when natural rubber’s price remained high.
