SCC building profits to rise 20 per cent

SCC building profits to rise 20 per cent
Published: 19 February 2004

Siam Cement, Thailand’s largest industrial conglomerate, said it expects its revenue from the building material business to rise 20 per cent to 44 billion baht this year on the back of dramatic expansion in the real estate and construction industries.  Cementai’s, a subsidiary of SCC, Sales and Marketing, Krij Kulnet, said the construction material sector achieved 37 billion baht sales in 2003. Sales are expected to continue to rise this year with demand for residential projects and the government’s expanding spending such as the new Suvarnabhumi Airport and attempting to house the poor.  The total cement market this year is expected to increase by 15 per cent in Thailand.

SCC’s increased sales last year partially came from a clear customer division of 500 Cementhai Home Mart stores to meet demands in the building sector. Max stores sell equipment for residential properties while Builder stores are aimed contractors and suppliers.  Max stores are projected to open an extra 150 stores this year from their current 50, while Builder stores increase to 80 outlets in 2004 from 20 stores. SCC aims to convert all 500 Home Mart stores as soon as it can. However, each dealer will have the choice to decide on the style.