SCG Decor Public Company Limited, or SCGD, reported its second-quarter 2026 results, swinging to a net loss of 282 million baht, a decline of 227% compared to the same period last year when it posted a net profit of 222 million baht. This brought the first-half 2026 loss to 35 million baht, down 108% from a net profit of 439 million baht in the same period last year. The main reason was a business restructuring to reduce long-term costs, which required recording asset impairment and restructuring expenses totaling 690 million baht. Looking ahead to future growth, its subsidiary Siam Sanitary Ware Company Limited, or SSW, signed a joint venture agreement with Axent Switzerland AG to establish a joint venture for manufacturing and assembling smart sanitary ware, with a registered capital of 80 million baht. SSW holds a 51% stake and Axent holds 49%. Commercial operations are expected to begin by April 2027, with a targeted production capacity of 96,000 units per year and a total investment of approximately 80 million baht. Axent is a subsidiary of Xiamen Axent Corporation, one of China's top five sanitary ware component manufacturers, with expertise in smart sanitary ware technology. Meanwhile, SSW is the market leader in sanitary ware in Thailand under the COTTO brand, with a production capacity of 2.3 million units per year. This collaboration combines Axent's technological strengths with SSW's manufacturing and distribution network in Thailand, Laos, Myanmar, and Cambodia to penetrate the smart sanitary ware and rimless toilet markets, which tend to generate higher margins and could be a key driver for SCGD to return to strong growth in the future.
SCG Decor PCLQ2 2026 net loss of 282 million baht, down 227% YoY, due to restructuring charges of 690 million baht.