REGIONAL conglomerate Siam Cement Group (SCG) posted 35 percent earnings growth for fiscal year 2015 driven by the robust performance of its chemicals business.
Engaged in cement and building materials, chemicals, and packaging, SCG has more than 200 companies under its umbrella and has been present in the Philippines since 1993 through its seven subsidiaries here, which include United Pulp & Paper Co. and Mariwasa Siam Ceramics Inc.
Despite the lower performance of its cement and building materials businesses, profit for the period reached P60.3 billion ($1.3 billion) on the healthy earnings of its chemicals business.
Export revenue, which accounted for 29 percent of SCG’s revenue, decreased 11 percent to P168.76 billion ($3.7 billion).
In the Philippines, SCG’s Q4-2015 report owned P9.3 billion ($199 million) worth of total assets, down 2 percent from the previous year. In the same period, the company reported revenue of P1.6 billion ($34 million), a 10 percent increase year-on-year.
For fiscal year 2015, SCG in the Philippines reported revenue of P7.1 billion ($156 million), up 7 percent from the year before, mainly from the building materials business.
“As for the progress of SCG’s investments in Asean, we are continuing as planned and are able to accommodate and meet the market demand dynamics,” said Roongrote Rangsiyopash, president and CEO of SCG.
“These investments are integral to the ability to support our market expansions and serve our Asean customers’ demands,” he said.
The company said its cement plant in Indonesia commenced commercial operation in November 2015, while the cement plants in Myanmar and Laos are expected to begin operation in the middle of 2016 and 2017, respectively.
“SCG is confident in the region’s growth prospects and anticipates that in 2016, the Asean Economic Community will propel our businesses especially in the CLMV countries (Cambodia, Laos, Myanmar and Vietnam) which are the key export markets,” Roongrote said.