Arrow pins hope on revived infrastructure spending
June 12, 2014 00:00 By The Nation
Arrow Syndicate expects sales of its metal electrical pipes and conduits to continue to improve in the second half of this year after the junta proceeded to boost the economy by reviewing the stalled Bt2.2-trillion mega infrastructure scheme.
A nod to the projects would benefit the property and construction industries.
Arrow’s new factory will add 30 per cent to production capacity to support an increase in orders.
It would help the company attain its growth target of 13-15 per cent for this year, managing director Tanin Tanprawat said.
The second half is the high season for Arrow’s business.
The company recently revised its sales policy to become more price-competitive. It is also providing installation service for air-conditioning-system pipes and underground electric-wire pipes and conduits for various projects.
These products plus steel pipes for electric wiring have contributed to the increase in the company’s market share.
Arrow targets 50 per cent of the market for electric-wiring pipes and conduits this year, up from 45 per cent last year.
The company expects this year will outstrip last year’s sales by about 13-15 per cent, while it will try to keep its nitial profit level at above 23 per cent.
It is carrying an order backlog worth more than Bt220 million, which will gradually be booked as earnings this year. The firm plans to propose contracts valued at more than Bt100 million.
It has always striven to boost sales and secure contracts to reinforce business strength and boost profitability, Tanin said.