TTCL expects Bt20 bn revenue by 2015 on foreign expansion

In 2015, overseas sales will make up half of the total, while contribution to total revenue of domestic sales will drop to 25 per cent from 90 per cent in 2010 (the remaining 25 per cent will be from other sources such as subsidiaries). TTCL has subsidiaries in Vietnam, Malaysia, Myanmar, the United States, Abu Dhabi and the Philippines. Its strategic policy is to explore business opportunities in integrated engineering and construction, in which the company has specialised for more than 26 years. 

Surattana Trinratana, TTCL’s vice president for sales and procedures, said Myanmar in particular had good potential. The firm registered its business there early this year and so far has trained 30 local engineers in preparation for future operations. Next month, the number will be increased to 40.

In Myanmar, the company will keep an eye on potential sectors including infrastructure, energy, petrochemicals, fertiliser and chemicals. However, the business there will take some time to establish because the country has only just opened up. Sanctions imposed by foreign nations remain in place, posing business barriers, she said. 

“The company looks for business opportunities in every country to drive growth,’’ Surattana said.

Kobchai Thanasukarn, general manager for finance and investor relations, said the company was well prepared for overseas expansion. When it comes to winning bids, it has not only solid experience, but also advantages in terms of finance, technology and skilled personnel. However, barriers to expansion include local legislation, currency-exchange and taxation systems. 

Despite the big overseas expansion, TTCL’s Thai business will remain at the centre of operations. The firm has trained Thai engineers to serve its expansion. This year, the number of engineers will increase to 1,000 from 850 last year. 

Sales revenue is expected to grow 20-30 per cent to Bt11.5 billion this year, while its net margin will grow 5 per cent from Bt403.67 million in 2011. The company’s backlog this year is worth Bt17.5 billion

The firm operates energy businesses including Navanakorn Electric Co and Bio Natural Energy Co. It plans to invest more in this field with four new projects in the pipeline worth a combined Bt1 billion Bt2 billion, located both locally and abroad.