Siam Cement Group's (SCG) has revised down its sales growth outlook for 2017 as net profits in cement and building materials fell by 29 per cent YoY in the 2Q17.
Speaking to reporters in Bangkok on Tuesday, SCG chief executive, Roongrote Rangsiyopash, said the Thai cement market slowed more than the company expected in the period. Domestic cement sales by volume were down seven per cent YoY in the three months to the end of June, following a seven per cent fall the previous quarter. Demand in all sectors (government, commercial and residential) declined. Mr Roongrote noted that government infrastructure projects, which are being increasingly approved and going through bidding procedures, had not yet reached the stage of procuring cement. "I hope that the latter half of the year will improve, but I am not sure that we can make up for the decline in the first half," he added.
The company's total net profit for the April-June quarter was down by 17 per cent YoY to THB13.252 ($396m) on sales of THB108.825bn.
