Siam Cement Group announces 2025 results amid global headwinds

Siam Cement Group announces 2025 results amid global headwinds

SCG on February 9 announced its 2025 operating results, highlighting disciplined financial management amid a challenging global and regional economic environment.

The Thai reported revenue of $15.1 billion, down 3 per cent on-year, and an adjusted earnings before interest, taxes, depreciation, and amortisation of $1.7 billion, an annual increase of 6 per cent, while reducing debt by $428 million. Actual sales declined by 3 per cent, but due to the Thai baht appreciating by around 7 per cent, sales appear increased when reported in USD.

These results reflect decisive actions taken throughout the year to streamline operations, exit underperforming businesses, and implement comprehensive cost-saving initiatives, delivering total annual savings of approximately $131 million.

SCG HAS introduced its 2026 strategic direction under the theme “Intensified –⁠ Strengthened –⁠ Reinforced –⁠ Resilient.” The focus will be on maintaining strong financial discipline, building organisational strength, and investing in products that deliver higher value and lower environmental impact, while positioning Vietnam as a key base for regional production and exports.

CEO Thammasak Sethaudom said, “2025 was a challenging year, marked by slower global growth, geopolitical uncertainty, and volatile energy prices, particularly for the petrochemical industry. Despite these pressures, SCG remained focused on cash flow management and operational efficiency, allowing us to stay healthy and reduce debt compared to the previous year."

"As we move into 2026, we expect market conditions in the chemicals business to stabilise as new global supply slows. While challenges remain across many markets, Vietnam continues to show encouraging economic momentum. We see Vietnam not only as a growing domestic market, but also as a strategic operational base to support regional and global customers.”

Vietnam business highlights

In Vietnam, SCG delivered a stable performance in 2025, with total sales of $1.7 billion. A key milestone during the year was the Long Son Petrochemicals (LSP) complex returning to operations from August 2025, marking an important step in strengthening SCG’s industrial base in Vietnam.

With 28 subsidiaries nationwide, SCG Vietnam contributed more than $31.5 million to the state budget in 2025, reaffirming its long-term commitment to supporting Vietnam’s economic and industrial development.

Kulachet Dharachandra, country director of SCG in Vietnam, said, “Our 2025 performance reflects SCG’s ability to stay resilient in a challenging environment, while remaining firmly committed to Vietnam’s sustainable growth. By focusing on ESG-driven operations and working closely with our partners, we are building a stronger foundation for long-term competitiveness –⁠ while creating real value for the economy, communities, and the environment.”

Strategic priorities

Aligned with the group's direction, SCG has set four key strategic priorities for Vietnam in 2026. First is to intensify financial discipline. The group focuses on maintaining healthy cash flow and disciplined capital investment, while continuing to reduce costs through better energy efficiency, automation, and the use of new technologies.

Second is to strengthen organisational capabilities. The group will advance the Regional Optimisation Strategy by leveraging the synergy between Thai and Vietnamese operations –⁠ leveraging shared markets, complementary product portfolios, and best practices. People development remains a priority, supported by wider use of digital tools, robotics, and AI to raise productivity.

Third is to reinforce long-term growth engines. The group aims to capture market potential driven by Vietnam’s ambitious GDP growth targets. A key focus is the $500 million Ethane Feedstock Enhancement Project at LSP, aimed at enhancing feedstock flexibility and cost competitiveness. The venture is progressing as planned and is expected to be completed by the end of 2027.

Fourth is to stay resilient and ready by continuously assessing opportunities and risks to ensure rapid responses to changing business and economic conditions.

Commitment to ESG

Alongside operational progress, SCG reinforced its sustainability leadership through active participation in industry forums and the sharing of best practices. These efforts were recognised in 2025, with SCG and 7 member companies, including Vina Kraft and SIX companies under Prime Group –⁠ honoured among the Top 100 Sustainable Enterprises 2025.

This year, Duy Tan Plastics also received a hat-trick of sustainability awards, including Green Enterprise of Ho Chi Minh City by Sai Gon Giai Phong Newspaper, Vietnam ESG Awards –⁠ Enterprises Pioneering in Circular Economy by Dan Tri Newspaper, and National Green ESG Enterprise by the Institute for Sustainable Development Research.

Binh Minh was also honoured as a Green Enterprise of Ho Chi Minh City by Sai Gon Giai Phong Newspaper.

Beyond awards, SCG’s ESG focus delivered real benefits to people and communities. SCG provided VND1.7 billion ($65,600) in scholarships to 160 students through the SCG and LSP Sharing the Dream programmes and delivered vocational training for 50 students with disabilities via the SCG Learn to Earn project, in collaboration with DrD and HaliCare.

SCG remains committed to delivering sustainable returns to shareholders while strengthening long-term competitiveness and sustainability in every community where it operates.

VIR