CP All, a retailer controlled by Thai billionaire Dhanin Chearavanont and his family’s Charoen Pokphand Group, plans to invest up to 13 billion baht ($353 million) in 2024 to expand its store network and upgrade its distribution efficiency. The company plans to open about 700 new stores in Thailand, costing around 4 billion baht, and continue expanding in Cambodia and Laos. As of end-March, CP All had a total of 14,730 stores in Thailand.
The listed company, which operates 7-11 convenience stores, will spend up to 4.1 billion baht on new projects, including a distribution center, with the rest of the funds allocated for fixed assets and IT systems. CP All aims to develop distribution channels for products and services both online and offline, aligning with new store rollouts in areas with growth potential to meet customer needs. The company’s first-quarter net profit surged 53% to 6.3 billion baht as revenues increased by 8.5% to 241.3 billion baht.
CP All’s gross profit margin advancement is expected to continue, driven by a product strategy to meet consumer demand and increase sales participation in higher-margin food and non-food categories. Earlier this year, the company’s retail unit CP Axtra announced plans to merge with CP Group’s Ek-Chai Distribution, as the conglomerate reorganizes its retail businesses to support future growth opportunities. The merger will combine over 160 Makro wholesale stores across nine countries with more than 2,500 Lotus retail chain stores in Thailand and Malaysia to improve operating efficiencies.
CP Group, founded in 1921 by Dhanin’s late father Chia Ek Chor and his brother Choncharoen Chiaravanont, is one of the world’s largest producers of animal feed and livestock. With a net worth of $34 billion, Dhanin and his brothers are the wealthiest individuals in Thailand. Dhanin, who received the Malcolm S. Forbes Lifetime Achievement Award in 2023, served as chairman of the company for 48 years before stepping down in 2017. His eldest son, Soopakij, currently serves as CP’s chairman, while the youngest son, Suphachai, is the CEO. In addition to retail, CP Group has interests in telecommunications, finance, pharmaceuticals, property, automotive, and e-commerce sectors.
In conclusion, CP All’s investment plans to expand its store network and improve distribution efficiency showcase the company’s commitment to growth and meeting customer needs. The merger of CP Axtra and Ek-Chai Distribution is aimed at simplifying the group’s structure and boosting operational efficiencies. The success and wealth of CP Group, led by Dhanin and his family, reflect their expertise and strategic vision in various industries, positioning them as key players in the Thai economy. With a focus on innovation and expansion, CP All continues to drive growth and profitability in the retail sector and beyond.
