Quick news
SCC net profit up 40% in first nine months
Siam City Cement has announced revenue of Bt22.56 billion for the first nine months, 2.7 per cent more than it generated in the same period last year, while the company’s consolidated net profit showed a significant year-on-year increase of 40.4 per cent to Bt4.04 billion.
Earnings per share improved to Bt17.58, from Bt12.52 in the same period last year.
SCC said solid demand had continued for domestic cement and other construction-material businesses due to ongoing infrastructure projects, commercial construction activities and real-estate sector development.
Net sales growth was also supported by higher cement prices in both domestic and border markets, and by the revenues generated from capacity expansion in various businesses, the company said in a press release.
Production costs trended higher due to rising wages, as well as increased electricity rates and transportation costs. However, thanks to favourable coal prices and savings from multiple energy-related projects, the overall cost escalation could still be mitigated.
Consequently, the operating profit margin improved to 21.8 per cent for the first nine months, compared to17.4 per cent for the same period last year. In terms of outlook, SCC said cement consumption had tapered in the third quarter, but was forecast to pick up in the latter part of the current quarter.
The company expects the positive demand trend to continue into next year.
WHA solar JVs unlikely to hit leverage: Fitch
WHA Corp’s investment in the government’s rooftop solar-panel project is unlikely to affect the company’s credit metrics, while the cash inflow to WHA from the investment is unlikely to be significant over the next three to four years, Fitch Ratings (Thailand) said yesterday.
Thailand’s state utilities have agreed to purchase up to 8.52 megawatts of solar power from WHA’s joint ventures taking part in the Energy’s Ministry rooftop solar programme, in which households and commercial operators submit proposals to sell electricity generated by photovoltaic panels on their roofs to state utilities.
WHA’s stake in each JV is about 75 per cent. According to the company, the total project cost for 8.52MW is about Bt600 million, which will be financed by the JVs with no recourse to their shareholders.
The company expects the JVs to have debt-to-equity ratios of 3:1. WHA’s estimated investment in these ventures is about Bt113 million and it does not expect significant additional capital injection.
In Fitch’s view, this investment amount is not likely to have a significant impact on its financial leverage.
BSH invests Bt20m in one-stop service centre
BSH Home Appliances, the marketing, sales, and after-sales service representative for Siemens, Gaggenau and Bosch in Thailand, is investing Bt20 million in a new Bangkok Customer Service Centre, creating a one-stop-shop where customers experience a “360-degree” service.
Located at BSH’s headquarters at Ital Thai Tower on New Phetchburi Road, the investment is a strategic realignment increasing staff resources dedicated to customer service and improving operational systems, to continuously develop a high standard of service for customers, something for which all three brands are recognised, the company said.
Chamber of Commerce to state amnesty bill stance next week
The Thai Chamber of Commerce plans to announce its position on the amnesty bill next week, pending responses from provincial members.
Isara Vongkusolkit, chairman of the chamber, yesterday said a letter had been sent to 77 provincial chambers, asking for their opinions on the issue. The chamber will then announce the collective stance next week. He said most members urged a peaceful solution, as any violence and spillover effects would damage business sentiment.
Cabinet approves change to Government Pension Fund law
The Cabinet yesterday approved an amendment to the law governing the Government Pension Fund.
The amendment will allow civil servants who are now fund members to reap benefits from the government’s old pension scheme.
The proposal will be submitted for the House of Representatives’ consideration of the change being included in the Government Pension Act as soon as possible, said Deputy Government Spokesman Pakdiharn Himathongkam.
Under the 1951 Act, the officials will immediately receive a pension or gratuity based on their years of service and their age at the point when they terminated their service under the pay-as-you-go system. If they choose to receive the pension at the flat-rate basic level, the benefit is equal to their final month’s salary times 2 per cent accrued for every year of service.
If they choose to take a gratuity, they receive a lump sum equal to their final month’s salary times the number of years of service. – The Nation
Acquisition by TPC Power
Holdings gets parent’s nod
Thai Polycons’ board has approved its subsidiary TPC Power Holding’s acquisition of 100 per cent of Phatthalung Green Power, which generates and distributes electricity.
The investment will increase the company’s revenue, net profit and provide stable cash flow in the long term, Thai Polycons managing director Chainarong Chanpalangsir said yesterday. – The Nation
Thailand top destination in expat quality of life survey
Now in its sixth year, the “Expat Explorer” survey, the world’s largest global survey of expatriates, shows that Asia – and Thailand in particular – is leading the way as a destination for expat quality of life.
Five out of the top 10 destinations in the 2013 Expat Explorer Experience league table – ranked by expats for quality of life, ease of setting up and integration – are in Asia.
Thailand ranks first, with China, Singapore, India and Taiwan making up third, sixth, seventh and eighth places, respectively, according to the research commissioned by HSBC Expat.
Expats in these Asian destinations were more likely to find it easy to make friends since moving abroad – Thailand 76 per cent, Singapore 63 per cent, Taiwan 63 per cent, China 59 per cent and India 57 per cent, compared with the global average of 57 per cent – as well as enjoying a more active social life upon relocation (Thailand 59 per cent, China 44 per cent, India 37 per cent, Taiwan 36 per cent and Singapore 29 per cent, compared with the global average of 26 per cent). – The Nation
