Mrs. Kanoktip Chanpalangsri
Chairman of Executive Board
Mr. Pathompol Saosap
Chief Executive Officer and President
On October 2018, TRIS Rating Company Limited assigns the company rating on Thai Polycons Public Company Limited (“Company” or “TPOLY”) at “BBB” (Triple B Straight) with “Stable” outlook, which reflects the Company’s status as a leading middle-sized construction company in Thailand equipped with abilities in providing construction services for a variety of projects undertaken by specific expertise, strength in project execution and financial flexibilities in consequence of the Company’s strategic investments such as investments in power segment. TRIS Rating forecasts that TPOLY’s operating performance will be solid in the next three years while the profitability of TPOLY’s power segment will be significantly higher as the production capacity in the power segment doubles within the next three years.
Based on TRIS Rating’s view, an intense competition, the cyclical nature of the construction business, an increase in the minimum wage, and rising raw materials prices during the past few years have given adverse and huge impact to the construction segment, and TPOLY’s strength has partially declined. In the midst of such fluctuations, TPOLY has reorganized project management for better cost control, which results to a satisfactory improvement of the gross margin of the construction segment to 12.2% in the first half of 2018. TPOLY also endeavors to acquire contracts for public infrastructure construction projects to maintain the construction revenue, while revenue from the power segment will significantly drive TPOLY’s growth.
TPOLY truly believes that such a credit rating would support its corporate competitiveness and prosperity based on strategic investments it has been executed, ease its acquisition of funding sources, and make TPOLY’s management of financial structure and cost relevant to business goals and business expansion.
TPOLY strives for arousing its corporate strength and growth on the basis of risk management and transparency. The utmost goal is to offer appropriate and equitable returns to all of the shareholders. TPOLY actually hopes that the said credit rating shall be able to secure confidence among all of stakeholders and they would further give strong support to TPOLY.