SCG reported its operating results for the 1Q23, showing a recovery across all business units, with increased sales and profits boosted by the revival of tourism and China’s border reopening. SCG’s total assets as of 31 March 2023, amounted to THB923,725m (US$27,414m), of which 44 per cent represented assets in ASEAN (excluding Thailand).
The Cement-Building Materials segment recorded sales revenue of THB50,800m. The result was “increasing by three per cent QoQ and similar to the same period last year thanks to increased sales volume and commercial strategies, resulting in higher revenues both domestically and in other regions,” said an SCG Statement. Profit for the period was THB13,463m, an increase of THB10,972m YoY, mainly due to gain from fair value adjustment of investment in SCG Logistics, whereas core profit for the period would have been THB1,507m, a decrease of THB984m YoY mainly as a result of higher raw material and energy costs. SCG’s cement business accounted for 33 per cent of the group’s profits in the 1Q23.
Domestic grey cement demand rose by two per cent YoY. Residential demand slipped by one per cent, whereas commercial demand rose by one per cent and infrastructure by six per cent in the 1Q23. Alternative fuel usage by the group increased from 34 per cent in 2022 to 38 per cent in the 1Q23. SCG’s domestic cement plants increased alternative fuel usage from 19 per cent in 2022 to 23 per cent in the 1Q23.
To propel long-term growth, SCG is accelerating its focus on SCG Cleanergy, an end-to-end clean energy business that continuously grows in response to global trends in environmental protection. Successful cost reduction was achieved through the increased use of alternative fuels and solar energy. SCG’s Solar generating capacity reached nearly 179MW in the 1Q23.
