Q-CON Management maintains sales target

Quality Construction Products (Q-CON) management is still maintaining a stable yoy sales target of Bt1,040mn or Bt260mn per quarter, even though the 1H09 sales of Bt450mn missed the target by 13%. The 2Q09 earnings turned to loss of -Bt7mn affected by the world economic crisis, political uncertainly and a loss in investment confidence. However, the situation in the second half will improve inline with the economic recovery with more marketing campaigns and 350-400 sales agents and dealers. In Jul – Aug, there were higher orders compared with the second quarter. The gross margin should improve to around 25% from 22.5% last year as Q-CON using natural gas instead of fuel oil, saves around 4-5% on production costs.