Concrete firm eyes 15-20% growth on strong demand

Chonburi Concrete Product targets revenue growth of 15-20 per cent to between Bt2.7 billion and Bt2.8 billion this year on strong demand for building materials to renovate both residences and factories in the wake of the recent disastrous flood.

Managing director Chakrit Theepakornsukkasame told a group interview on Tuesday that 40 per cent of revenue would come from the private sector and 60 per cent from government construction projects.

Last year the mix was 30:70, when revenue rose an expected 11 per cent to Bt2.4 billion.

The company now has an order backlog of Bt2.3 billion that will be delivered to customers within a year and a half.

The company plans to increase production of pre-cast concrete systems to serve low- and high-rise residential projects in metropolitan Bangkok.

"Demand for pre-cast concrete systems is increasing because developers face a labour shortage. Pre-cast concrete systems require fewer workers, and the construction process is faster than traditional methods," Chakrit said.

The company is operating at about 60 per cent of total production capacity of 45,000 square metres a month. It hopes to run its pre-cast-concrete plant at full capacity this year, he said.