SCC’s 2Q Profit Increases 33% to ฿9.3Bn, Offering ฿5.50/Share Dividend Payment!
SCC’s 2Q Profit Increases 33% to ฿9.3Bn, Offering ฿5.50/Share Dividend Payment!
SCC’s 2Q Profit Increases 33% to ฿9.3Bn, Offering ฿5.50/Share Dividend Payment!
29 ก.ค. 2563

The Siam Cement Public Company Limited (SCC) has reported a consolidated financial statement of 2Q20 through the Stock Exchange of Thailand as follows;

SCC reported a net profit of 9,383 million baht in 2Q20, increased 33.23% from a net profit of 7,043 million baht in 2Q19. The increase was mainly due to improved performance at all three of SCG’s key business units due to cost optimization efforts and business continuity.
EBITDA from operations and EBITDA rose +23% YoY and +11% YoY, respectively. Revenue from Sales decreased -12% YoY, mainly from lower chemicals product prices.
 
In Q2/20, Thailand’s total domestic grey cement demand increased +4% YoY as the cancellation of Songkran Holiday in efforts to contain the spread of COVID-19 added more working days to the quarter. Cement demand from the government sector (approx. 40% of total demand volume) increased +7% YoY, while the non government sector (approx. 60% of total demand volume) increased +2% YoY. The average grey cement price in Q2/20 declined to be in the range of 1,750 1,800 Bt/ton.
For the non-cement products in Q2/20, Thailand’s demand of ceramic tiles dropped 12% YoY while demand of housing products (applications for roof, ceiling &amp; wall) slightly increased +1% YoY.
In the ceramic tiles business (floor and wall tiles), the total sales volume in all markets (Thailand, Vietnam, Indonesia, Philippines) in Q2/20 amounted to 37 million sqm, decreased 20% YoY, because of weak demand stemming from COVID-19 lockdown measures. The average price of ceramic tiles for all of SCG’s ASEAN operations slightly declined by -1% YoY.
 
Q2/20 Revenue from sales in the Cement–Building Materials Business registered 42,506 million baht, decreased 7% YoY and -8% QoQ due to weak demand from COVID-19 lockdown measures. EBITDA registered 6,001 million baht, increased +13% YoY as a result of continuous efficiency improvement and lower energy price, but decreased -11% QoQ on seasonality and the assets impairment of 699 million baht in Q2/20. Profit for the Period registered 1,944 million baht, increased +211% YoY, from the aforementioned cost optimizations and severance pay adjustment in Q2/19 of 964 million baht but decreased -30% QoQ on seasonality and assets impairment in Q2/20.
 
Q2/20 total Consolidated Revenue from Sales of “Packaging Business” registered at 21,636 million baht, decreased -11% QoQ due to decreased demand from the for Electronics and Electrical Appliance (E&amp;E) and Auto parts segments, but increased +6% YoY following consolidation growths. Similarly, EBITDA decreased -21% QoQ and increased +19% YoY to 3,963 million baht while EBITDA margin registered a solid 18% despite the lockdown when demonstrating the resiliency, compared to 16% in Q2/19. Consolidated Profit for the period increased +10% QoQ and +94% YoY to 1,904 million baht. Packaging Business recognized 482 million baht foreign exchange gain from Fajar’s USD loan in Q2/20 compared to 563 million baht foreign exchange loss in Q1/20.
 
In addition, the Board of Directors of SCG has approved a H1/20 interim dividend payment of ฿5.50/share (6,600 million baht), which is payable on Aug 28 (XD-date on Aug 13).