Businesses operated by the Company, subsidiaries and joint venture (regarded as a whole as “Group of Companies”) can be categorized into 5 groups based on the nature of service provided, for instance, design, procurement, and electricity system installation, air-conditioning system, sanitary and fire prevention system, telecommunication system ICT and Seeurity systems, and civil construction. Besides, the Company has executed investment and development of the real estate business, with details of each category as follows:

In developing the competition strategy and business policy of the Group, apart from maintaining the market share amid the intense competition due to the economic slowdown, the Group also emphasizes building the long-term competitive capacities. The Group’s competition strategies and business policies are as follows:

1. Reputation and experiences of engineering executives: Their capability and management have been proven as they can manage and bring the Group to survive during the economic crisis in 1997 and to continue to expand the business afterward. With practical experiences, valuable knowledge, widely reputable acceptance in the industry greater than 37 years, engineering executives can oversee and help the engineers who are the project managers of other projects. With these experiences, this enables the Group to quickly respond to any changes in the areas of engineering or new technology.

2. With their previous performance, the Group has highly gained acceptance and trust from customers for their work quality and service. Regarding the customers’ satisfaction, tremendous customers repeat the service with the companies and recommend us to other clients. The Group would like to maintain and enhance their reputation by performing the following key policies.

• Maintaining their quality and performance to be in the acceptable standard level
• Keeping integrity and business ethics
• Completing the project on time as promised to clients
• Taking care of customer’s benefits by considering the company as the owner of the project, and
• Offering after-sales service before and after the contract period

3. Capability of personnel – as human resource is deemed to be the most crucial factor of the business, the Group has a policy to enhance and improve skills and ability of staff members. The following policies will enhance efficiency and maintain the Group’s competitiveness.

• Continuous improvement of staff knowledge and skills both for technical and managerial knowledge
• Developing an accountability to the work and the society
• Creating satisfactory and friendly work atmosphere both for the individuals and the environment
• Teamwork and good cooperation between engineering team and other staff members is performed with the objective of providing excellence service to customers.
• Staff performance is measured by KPI and Balance Scorecard system, including Talent Management and the succession planning systems, which have been incorporated for the continuation of executive positions.

4. Strong financial position: the Group’s policy places high importance on strong financial structure by maintaining the debt to equity ratio in the low level as well as obtaining appropriate liquidity ratio. These shall mitigate the risks in doing business and enhance customer confidence toward the Group. As of 31 December 2024, the company’s Debt to Equity ratio was 9.19 and the gearing is 4.1 time with the liquidity ratio of 0.93 time as well as cash and cash equivalent of 39.38 million Baht. Besides, the company has been supported by commercial banks for business operations with the total credit facilities of 32,210.48 million Baht to support the business.

5. Efficiency of operational management: The Group establishes a policy to continuously develop central system for the operations and work process to enhance efficiency and ability to be responsive to customer’s demand. The Group has been certified ISO 9002:1994 for their quality management system since August 31, 2000 and ISO 9001 Version 2008 since October 2, 2003 from BVQI Co., Ltd. The company got certified of the quality management in the managerial system to be in line with ISO 9001:2008 by BVQI, who evaluated and certified the company’s continuality of the quality management system on October 28, 2015. BVQI will review the process every 6 months and also adjust the review process in the form of Process Approach. In 2017, the company has already received the international standard certification of ISO 9001:2015, which has remained valid until present.

6. Effective procurement: The Group has developed the procurement policy to create transparency and competition amongst suppliers to assure that production cost is within the appropriate level, as well as collaboration with supply chain partners in developing and improving work procedures and equipment.

Customer groups can be categorized into 2; private sector customers such as office buildings, commercial buildings,, accommodations, hotels, hospitals, department stores, industrial plants, etc., and public sector customers such as government bodies, state enterprises, whereby the service provision proportion in the past 3 years is as follows:

Over the past 3 years, the Company has started to take on more of government projects, despite the fact that the participation in the bidding of government projects requires consideration of details stated in the Terms of Reference (TOR) of the hiring organization. The bidding participants must have track record of working with the government sector or having been registered with particular government institutes. Currently, the Company has registered with such organizations as the Mass Rapid Transit Authority of Thailand (MRTA), Provincial Electricity Authority, Provincial Waterworks Authority, Bank of Thailand, and the Ministry of Tourism and Sports, Bangkok Metropolitan Administration, Chulalongkorn University, and Airports of Thailand Public Company Limited (AOT), etc. However, the Group does have the policy to register with more organizations in order to enhance its capacity to take on more of government projects as the government has the policy to invest in different public utility systems, especially in electric power, mass public transportation and telecommunication on a continuous basis.

TThe projects taken on by the Group are contracting projects, assigned directly by customers or via subcontracting arrangements. Over the past several years, about 90% of the total project value has been generated from bidding, while the remaining has been generated from contacts and negotiation. The majority of the projects are ones that the Group got assigned directly by customers as the pricing and payment terms are more favorable. On the other hand, subcontracting projects serve more as a means to gain access to customers and new distribution channels via large construction companies or large international construction companies such as Italian-Thai Development PCL, Chor. Karnchang PCL, Sino-Thai Engineering and Construction PCL and Marubeni Corporation, to create a portfolio in government projects and overseas market, since the majority of the government project bidding or overseas projects are based on single contracts for construction and engineering, and the main construction contractor will engage subcontractors to execute the engineering works. In this regard, the proportion of projects obtained from direct customer contact and ones from subcontracting agreement in the past 3 years is as follows:

Furthermore, the Group also focuses on building good relationships with customers in order to foster opportunities in taking on new projects from existing customers in the future. In 2024, the average proportion of projects from new customers is about 86.20%, and that of existing customers is about 13.80%. Current customers who have trust and credibility in the Company are, for example, Provincial Electricity Authority, Chulalongkorn University, Walialuk University, Lotus, Tops Supermarket, Central Plaza Department Store, CP Group and TCC, etc.