SCG, a leading ASEAN business conglomerate, reported a 33 percent increase in profit for its Philippine business in the second quarter this year although its year-on-year revenues declined by 12 percent due to lower chemical products prices.

 In a statement, SCG said the good performance in the second quarter has brought company profit year on year to P14.797 million due to cost optimization and business continuity efforts. Revenues, however, dropped to P141.388 million due to lower chemicals products product prices and decline in all core businesses.

The ASEAN conglomerate is specializing in the manufacturer of cement-building materials, chemicals and packaging. During this pandemic, SCG is optimizing digital solutions to continue to serve the market while keeping both consumers and its people safe.

The company offers a full range of products and solutions through its e-commerce platform scgshop.com.ph. The platform has been revitalized to serve as a one-stop online shop, offering not only SCG products but all kinds of products related to home and living, and construction such as electrical, lighting, furniture and even appliances.

SCG President and CEO Roongrote Rangsiyopash said, “Even though SCG isn’t in industries severely affected by the pandemic, the company constantly monitors and assesses the situation to be able to respond accordingly.”

SCG has implemented  focused business strategies such as Prepare for the Worst, which sets up sales plans and transport arrangements for a possible lockdown. It has also Plan for the Best, which optimizes production capacity to meet the growing demand; and Digital Transformation to bring about an Optimization Model.

“We take a dynamic approach by offering solutions, products and services that better fulfill the needs and capture the untapped market in the wake of growing trends in e-commerce, on-demand food delivery service, and health and wellness. As a result, the operating results for Q2 2020 and H1 2020 were relatively less affected by the global economic slowdown,” he said.

SCG recently launched the instant concrete SCG SmartCrete, a new innovative product that offers a more convenient process of mixing cement compared to the conventional method of mixing onsite. The SCG SmartCrete is a cost-effective solution as it prevents incorrect proportioning while providing enough

ready-mix concrete for use anytime.

For Mariwasa Siam Ceramics, Inc., the country’s largest ceramic tile manufacturer, the SCG unit recently introduced the Mariwasa Tile Adhesive. This tiling solution is a cementitious adhesive that comes in 25kg per bag for 5sqm to 6sqm of tiling area. This new adhesive has undergone standard quality tests to prove its strong bond and high tensile strength in conformance to ISO 13007-1 requirements.

SCG also bolstered its Packaging Business, with the outlook for this unit promising with the merger and partnership of Fajar Surya Wisesa Tbk, a leading Indonesian packaging paper company, and Visy Packaging (Thailand) Limited, and planned acquisition of Bien Hoa Packaging Joint Stock Company or SOVI in Vietnam. These efforts have helped strengthen the company's portfolio in the ASEAN market and enabled the company to better satisfy customer needs.

For business continuity management, the company’s Packaging Business focuses on optimizing manufacturing procedures in Thailand and other ASEAN countries, namely Vietnam, Indonesia, the Philippines and Malaysia to streamline processes and introduce new standards. Packaging Business also works closely with clients throughout the supply chain to ensure reliable raw material sourcing and logistics management and enforce strict hygiene practices in delivering packaging solutions.

SCG’s business continuity management for its Chemicals Business ensures maximum production capacity and emphasizes seizing business opportunities in a challenging market environment brought about by the pandemic. To ensure the safety of its staff, the company provides accommodation and transportation, arranges working groups and area divisions at the plant, and maintains a high standard of quality control and cleanliness. It implements production flexibility to be able to cater to rapid changes in demand and secure increased sales volumes amid market volatility. The business continues to expand the proportion of High Value-Added Products & Services (HVA) to improve competitiveness, ride a market upturn and meet customers’ needs.

Its cement-building materials business has taken an adaptive approach by focusing on offering products and services with total solutions and developing an Active Omnichannel to increase retail sales and construction innovations that help improve the convenience, precision and efficiency of construction.