Message from the CEO

(Mr. Poolpipat Tantanasin)
Chairman and Managing Director

(Mr. Ruangchai Kritsnakriengkrai)
Managing Director

In 2016, the Company continued to face intense competition due to the slow economic growth of only 3.1 percent. Furthermore, projects from the state sector were launched for bidding later than in previous years. Moreover, public and private projects were halted. All of this resulted in work competition within the market, primarily concerning prices. Therefore, this is a year in which the Company encountered numerous challenges.

In 2016, the Company’s total earnings amounted to 539.55 million baht, a decrease from 2015 by 56.54 percent. Furthermore, the net loss in financial statement was 80.59 million baht. This decrease in overall income was due to the private work sales of the solar energy power plant sector, which slowed in line with the recessive economic conditions. Hence, power plant projects were delayed, and the Company failed to meet its set sales target. In addition, delayed bidding of government works caused the company to perceive its earnings from government works in the third and fourth quarter with decreased sales according to bid ratios and heavy price competitions.

However, the board of executives has modified both short- and long-term business plans enabling the Company to gain larger sales and market shares. Focus will be directed at foreign ability and buying markets with changes in marketing and sales plans in conjunction with product research and development to meet the needs of all customers. Furthermore, production processes are to be improved together with human development in order to change old work procedures into new procedures with innovative ideas for effective and efficient work. Additionally, there are visible changes to the Company over the past year, i.e., the Company increased its registered capital from 200 million baht to 270 million baht to prepare to enter alternative energy investment projects, which would become another business that will provide sustainability and stability for the Company.

The Company is determined to give primary importance to operating business based on the principles of good business ethics and governance to ensure that the company complies with the criteria for good governance, act in compliance with the law and specifications to maintain transparency, verifiability and consideration to all stakeholders together with continual social and environmental support and development. Over the past 21 years, the Company has received no complaints from the communities around the factory for causing pollution, thereby showing business engagement based on determination to drive business toward sustainable growth.

As for the company’s business trends in 2017, the Company has purchase orders from government and foreign works amounting to over 400 million baht to be delivered this year. Furthermore, the economy is gradually recovering with the support and stimulation of the government and drive for investment projects in basic infrastructure to be more structured.

On behalf of the Executive Board, we would like to express our thanks to all of you, our customers, trade partners and business allies, including everyone involved, who have placed confidence and trust in the work of the Company as we continue to improve every agency within the organization to perform based on set objectives to achieve sustainable stability and prosperity.