RT is adjusting its operational strategy for the fourth quarter of 2022, preparing to take on new projects from both the public and private sectors, focusing on good profit margins and reflecting actual costs in line with economic conditions. This aims to resolve previous issues from ongoing projects affected by construction costs, energy prices, and labor. The company is committed to improving efficiency and managing construction costs to enhance profitability, reporting total revenue of 1,696 million baht for the first nine months of 2022.

Mr. Chawalit Tanomthin, CEO of Right Tunneling Public Company Limited (RT), a specialist in civil engineering and geotechnics, disclosed the business direction for Q4/2022. The company is adjusting its operational strategy to prepare for bidding and undertaking new projects in both public and private sectors, emphasizing projects with good profit margins and reflecting actual costs in line with economic conditions. This is to address previous issues from ongoing projects impacted by construction costs, including material prices, transportation fuel, and labor challenges. Additionally, the company continues to focus on managing construction work more efficiently to accelerate profitability.

“The company is focused on revising its operational plans, aiming to expedite construction and delivery of projects currently underway that have high costs. Along with the increased backlog in the second half of the year, new projects will also reflect actual costs. The company is prepared with machinery, skilled personnel, and additional construction labor, allowing for normal operations across various sites,” Mr. Chawalit added.

Regarding the financial results for the first nine months of 2022, the company reported total revenue of 1,696 million baht, down from 1,935 million baht in the same period last year, with a net loss of 70 million baht, a decline from a net profit of 56 million baht in the previous year.

In Q3/2022, the company recorded total revenue of 605 million baht, an increase from 600 million baht in the same period last year, with a net loss of 45 million baht, down from a net profit of 11 million baht in the previous year.

The increase in revenue for Q3/2022 was attributed to recognizing revenue from construction projects, while the net loss was due to rising construction costs amid global economic volatility and challenges from weather conditions affecting certain construction projects, leading to slight delays in operations and contract deliveries. Nevertheless, the company remains focused on accelerating construction work on remaining projects and taking on new projects that reflect current cost prices.