SCG's earning remains under pressure
Siam Cement Group reported the third quarter net profit of Bt6.4 billion, which is 50 per cent higher from the previous quarter but 13 per cent lower from the same period last year.
In a statement to the Stock Exchange of Thailand, the largest Thai industrial conglomerate attributed the lower year-on-year result on weak margins from the chemical business.
For the first nine months, its consolidated net profit declined by 31 per cent on year to Bt16.7 billion due to weak chemical margins, inventory loss in the second quarter and the shutdown of Bangkok Synthetics.
Thanks to higher sale volume, the chemical business showed a 7 per cent year-on-year increase in sale revenue to Bt52.05 billion. The paper business showed the 1 per cent increase in sale revenue to Bt14.6 billion.
The cement business showed the 29 per cent increase in sale revenue to Bt17.7 billion, attributable to higher domestic sale volume as well as the consolidation of the recently acquired RMC business in Indonesia.
Building materials witnessed an 18 per cent growth in sale value to Bt10.5 billion, thanks to continued domestic market growth momentum.
The distribution business' sale value also expanded 14 per cent to Bt32.5 billion.
