Siam Cement Group (SCG), Thailand's top industrial conglomerate, expects a slight dip in this year's revenue from its original forecast because flooding is starting to hit sales of construction materials.
President and chief executive Kan Trakulhoon said sales of cement and materials have clearly begun to slow since last month as floods spread to wider areas.
The decline will result in slightly lower revenue for SCG as a whole.
"This year, it's different as the eastern region is not usually flooded," said Mr Kan, adding that demand for construction materials will likely pick up early next year as people repair their homes after flooding.
Although no SCG plants have been inundated, logistics will face problems if floodwater surrounding factories does not subside in a short period, he said.
Meanwhile, SCG's olefins plant in Map Ta Phut in Rayong will be shut down for 45 days for maintenance.
As of last year, 10% of SCG's revenue came from construction materials, 17% from cement, 9% from distribution services 14% from pulp and paper business, and 50% from chemical operations.
For the first six months, the group reported 225 billion baht of revenue for a net profit of 18.7 billion.
Regarding the delayed US$4.5-billion Vietnamese petrochemical complex, Mr Kan confirmed that construction will start in 2015 and finish in 2018.
Products will be sold in Vietnam to serve increased demand for petrochemical products there.
SCG is celebrating the third anniversary of the Community Partnership Association (CPA), which has 13 member companies in Map Ta Phut Industrial Estate that cooperate to improve the environment, health, safety and education in the area.
SCG, PTT Plc, Dow Chemical Co, BLCP Power Ltd and Glow Group were the five founding members.
Srisuwan Janya, president of the Stop Global Warming Association, said the CPA's activities over the past three years have been a positive start, but a lot needs to be done to claim it as a success.