“My team and I are determined to follow our visions and missions to lead QTC’s business toward sustainable growth. We would like to thank everyone for their confidence and trust…………”
Over the past year of 2018, the Thai economy has recovered slightly from 2017. The main factor continues to be government sector policies on investment to develop infrastructure. Biddings for work from the Metropolitan Electricity Authority and the Provincial Electricity Authority have begun, but only to a certain extent. Thus, government sector sales have dropped by 36.34 percent from 2017. Therefore, the Company has had to market overseas by performing OEM work for customers in Japan and Australia by developing manufacturing processes with higher standards and increasing production capacity to meet customer needs by group together with building maximum confidence for customers. This put overseas sales in 2018 at 14.88 percent higher than 2017. The domestic private sector market grew slightly by four percent when compared to 2018 due to slow investment growth from the industrial and real-estate sectors. In the meantime, severe pricing competitions have made it necessary for the Company to review cost structures for better competitive capacity by supporting TQM and KAIEN activities continually and more intensely while maintaining the highest quality of goods and services, causing production costs to be reduced. Furthermore, in 2018, the Company began to use the strategy of making a difference by educating customers on special properties and differences in the Super Low Loss transformer innovation developed by the Company when compared to ordinary transformers in order to provide a “SAVE THE WORLD, SAVE YOUR MONEY” option, which attracted interest from many customers and was able to generate over 11 million baht in sales during its first year. Overall, the Company’s economic performance in 2018 in the business of manufacturing, repairing and distributing electrical transformers returned to generate a profit of 4.10 million baht.
Regarding the investment project in the L Solar 1 Power Plant business, the Company changed the name to Q Solar 1 Co., Lt. The project was able to generate over 140 million baht of income for the Company and made over 70 million baht in profit per year. Concerning the joint venture in Green Earth Power (Thailand) Co., Ltd. (GEPT) at a share ratio of 15 percent of by QTC Global Power Co., Ltd. in the Minbu Solar Power Plant Project (Myanmar), the Company exercised the right to resell shares to the original shareholder because the Company found high risk in the project’s success. Furthermore, the Company closed the business of QTC-PANCO Co., Ltd. (Laos) because the Company (the aforementioned company) was unable to manufacture and distribute transformers according to goals. In the aforementioned operations, the Company thoroughly considered impacts for the maximum benefit of shareholders and stakeholders and the Company will continue to seek investment opportunities in the energy business or new products in line the organization’s vision in order to distribute risk and strengthen the organization to become a world-class leader in the future.
With regard to significant management in the organization in 2018, the Company performed self-assessments on counter corruption measures and requested accreditation from CAC in Quarter 4/2018. The Company passed consideration for accreditation and will have a certificate awarding ceremony in February 2019. Assessment of employees’ work-life balance in 2018 found work-life balance to be slightly higher than 2017 in line with the Company’s overall economic performance. The Company is concerned with the issue of employees’ work safety, which remains a high risk. Although the Company has strong preventive measures in place, lack of awareness among employees may cause severe accidents. Nevertheless, the Company needs to intensity preventive measures by allowing more employees to participate in 2019 and future years. In the area of environment management, the Company places importance on managing disused materials from manufacturing by entering the project to manage industrial waste in the area of the EEC in order to improve capacity for using waste. The Company received the 3Rs Award. In the future, the Company will improve waste management levels to “Zero Waste to Landfill”.
Furthermore, in 2018, the Company constructed and added to the 4th floor of the office building to increase workspace for employees from all companies in the group to combine management centers. The center is officially open for operations.
In the area of involvement in community development, the Company emphasizes public participation in communities through activities, public hearings and community meetings with QTC. In 2018, the Company retained trust from the community, which participated in discussions and exchanged opinions. The community emphasized promoting students’ education in the form of inspirational activities and contact with reality, which are important questions for the Company to study and plan operations.
Finally, on behalf of the Board of Directors, executives and all employees, I would like to thank our shareholders, customers, trading partners, community residents and all stakeholders for supporting and encouraging the Company. The Company promises to follow the Company’s stated vision, obligations and development framework and the Company will dedicate to develop protocols, instruments, machines and human capital to be able to stand in the Industry 4.0 Era with security and sustainability.
(Mr. Poonphiphat Tantanasin)
Chief Executive Officer