BJC Heavy Industries (BJCHI) plans to expand its business in South America to boost the proportion of revenue from this region to 50 per cent.
BJC is trying to secure Bt5.91 billion in new contracts.
BJCHI’s assistant managing director, Janjira Samakthai, is confident revenue growth this year will be at least 15 per cent following last year’s Bt3.92 billion. BJCHI has Bt2.7 billion worth of contracts in-hand/backlogs, of which Bt2.2 billion (80 per cent of total contracts value) in revenue will be recognised this year.
Meanwhile, BJCHI is negotiating to secure high-potential projects worth Bt5.91 billion which, if secured, would help the company achieve this year’s revenue target.
As for business strategy, BJCHI will focus on expanding its business to countries in South America as the region has abundant of liquid natural gas as well as investment opportunities in large projects. For 2014-15, the BJCHI hopes to raise the proportion of revenue from business in South America to 50 per cent from nothing last year. In 2013, the proportion of revenue from its business in Australia was 99.93 per cent with 0.07 per cent for others.
BJCHI will try to expand its South American clients base through its good reputation and vast experience in large projects and timely delivery of quality job performance, which would win the trust and confidence of clients, Janjira said.
Apart from this, BJCHI will also continue to expand its business elsewhere by seeking good profit margin projects. The company plans to bid for more foreign projects this year, especially modularisation for the natural gas drilling/production projects, worth an estimated Bt5.91 billion.
BJCHI generated total revenue of Bt3.93 billion in 2013, up 7.5 per cent over the Bt3.65 billion earned in 2012, while net profit last year was Bt1.21 billion, up 52.16 per cent from the Bt792.79 million in 2012. The company’s shareholders have approved Bt2.40 per share cash dividend for 2013 operations, totalling Bt768 million.