Gunkul Engineering, a construction company and developer of renewable energy listed on SET, expects a growth of 20% of total revenue next year thanks to its service of installing solar panels on the roof, as well as construction and cannabis companies.
Gunkul CEO Somboon Aueatchasai said the revenue growth rate is similar to this year, despite the ongoing Covid-19 pandemic.
The main source of revenue in 2021 is an increase in power generation capacity, especially from the development of solar energy on the roof under private energy purchase agreements as well as construction.
“We will be working on rooftop solar panel projects for companies, including modern trading operators such as Charoen Pokphand Group, CJ Shop and Home Products Center Plc,” Somboon said.
Gunkul expects these operators to install up to 700 megawatts of solar panels. This level should help the company exceed its goal of total 1 gigawatt power generation capacity by 2023, he said.
Gunkul operates renewable energy generation companies (wind and solar parks as well as rooftop solar panels) in Thailand, Malaysia, Vietnam and Japan, with a combined capacity of 642 MW.
In the construction segment, Gunkul has the potential for new projects worth 8 billion baht, mostly from state utilities projects, including those of the Bangkok Metropolitan Administration (BMA), Somboon said. These include the improvement of power transmission lines and the relocation of underground electricity and overhead telecommunications cables.
The government and the BMA have earmarked 50 billion baht for public service improvement projects over the next two years.
Gunkul aims to bid for projects worth 7-10% of the 50 billion baht budget each year, he said.
To further grow its business, Gunkul set aside a capital expenditure worth 20 billion baht for 2021-23. Up to 90% will go to the development of renewable energy, and the rest will support other businesses, including cannabis and hemp.
Gunkul hopes to receive a license to grow cannabis from the government after he was allowed to build a hemp and cannabis processing plant.
According to its business plan, the cultivation of cannabis throughout the year will lead to the production of 5.8-16.7 tons of cannabidiol oil (CBD). CBD oil can be used for the treatment of many diseases.
