SCG Philippines, which locally markets its cement and building materials directly from facilities in Thailand, has reported continued profitable if significantly eroded operations in 2022.
SCG president and CEO Roongrote Rangsiyopash, in a statement sent to Context.ph, bared full-year 2022 unaudited revenues rising 7 percent to P885.27 billion or $16.24 million but acknowledged that profits went south by 55 percent to P33.23 billion or $610 million.
In the fourth quarter last year alone, its Philippine operations generated profits reaching P248 million or some $4 million.
“All of these are the result of multiple crises stemming from the Russia-Ukraine conflict, rapidly soaring coal and electricity prices, inflation, Thai baht fluctuation, China’s economic slowdown, and the largest petrochemical trough in 20 years,” he said.
According to him, these developments forced the business to assess the economic landscape and adjust quickly by emphasizing on maintaining financial stability, cut costs by using renewable energy sources and digital technology in the production, and prudently strategizing its investment decisions that resulted to a healthy cash balance of P147.65 billion or $2.71 billion.
“In the meantime, recent challenges have also generated new business opportunities, particularly the demand for green products, which are a major global trend and are constantly growing, such as renewable energy, green polymer, energy-saving solutions, and sustainable packaging. In 2022, SCG Green Choice sales went up by 34 percent or represented 51 percent of total sales, exceeding the growth target. All SCG business units are ready to step forward to strengthen their businesses,” Roongrote said.
SCG is also into green renewable energy generation and boosted the proportion of its alternative fuels use to 34 percent from 26 percent as its solar energy capacity increased to 194 megawatts in 2022 from 130 megawatts the year before.
