CCP reveals a positive business outlook for the second half of 2023, accelerating the delivery of government and private sector projects to increase revenue. The company is enhancing its production systems with new innovative machinery to reduce labor costs and boost production capacity by 10%. They are actively bidding for government and private sector projects nationwide, aiming to maintain a backlog of no less than 1.6 billion baht and looking to expand into the logistics sector to meet rising demand, targeting a revenue growth of 3.3 billion baht. For the first half of 2023, the total revenue was 1,449.57 million baht, with a net profit of 35.10 million baht.

Mr. Arthit Teepakornsukasem, Managing Director of Chonburi Concrete Product Public Company Limited (CCP), stated that the business outlook for the second half of 2023 is promising, benefiting from large-scale government project investments that are accelerating the delivery of work in line with the 2023 budget disbursement. Additionally, there are positive factors from foreign investments in various industries looking to relocate production bases to avoid trade wars and strict regulations in countries like China.

For the operational strategy in the second half of 2023, the company is upgrading machinery by incorporating technology to reduce labor and production costs while increasing production capacity by 10% to enhance competitive potential. This is coupled with strategies to manage selling and administrative expenses and control financial costs at appropriate levels.

Moreover, the company continues to bid for government and private sector projects nationwide, such as intercity highway projects and the U-Tapao Airport project, to maintain a backlog of no less than 1.6 billion baht. They are also seeking opportunities to grow their logistics business to meet the increasing demand from clients in the Eastern Economic Corridor (EEC) development projects. Additionally, the company will begin recognizing profit shares from its joint venture with Charlie Top Logistics Solutions Co., Ltd., which started warehouse management services in late Q2 2023, pushing revenue towards the targeted 3.3 billion baht.

In terms of performance for the first half of 2023, the total revenue was 1,449.57 million baht with a net profit of 35.10 million baht. For Q2 2023, the total revenue was 697.34 million baht with a net profit of 7.7 million baht.

Overall performance saw a slight decline due to delays in government projects and the real estate sector caused by the rainy season, which posed unavoidable construction challenges. However, the company continues to receive orders from industrial estates and the manufacturing sector.

“Key factors to monitor in the second half include the government's economic stimulus measures and whether they can meet their targets, as well as the strategies to address the relocation of production bases from China, which may impact the domestic industry in the future. The company is preparing to adjust its operational plans to cautiously respond to various situations that may arise,” Mr. Arthit concluded.