SCC’s 1Q06 expected to recover

SCC’s 1Q06 expected to recover
Published: 13 April 2006

Siam Cement (SCC) will announce their 1Q06 earning results on April 26. Earnings will improve from the previous quarter and be rather impressive, although down from the same quarter last year with a normalised profit of Bt8,079mn (EPS Bt6.73), up 58% qoq, as full capacity has been the norm at the petrochemical plant after a 35-day shutdown in the fourth quarter and a petrochemical spread that has remained good. However, earnings will be down from last year by 12% from the lower petrochemical spread last year and cement and paper were affected by higher energy costs. Cement is expected to be supported by higher cement prices, up to Bt1,800/tonne from Bt1,650-1,700/tonne in the fourth quarter.