New model seen to boost CCAC’s net
Philippine Daily Inquirer
MANILA, Philippines—Concepcion Carrier Airconditioning Co. (CCAC) said it was on track to meeting its target of increasing sales by 30 percent to P5.3 billion this year, given its new models and the improved economic conditions in the country.
In a briefing Monday, CCAC chief executive officer Raul Joseph Concepcion said that in the first half alone, the company posted a 30-percent hike in its sales—although this growth was slightly lower than what the company had expected.
“We expected it to be better. The commercial market was disappointing as it did not grow as fast as we expected. But this was mainly due to a slowdown in economic activity brought about by the Eurozone crisis and the Middle East tension,” Concepcion explained. The commercial market accounts for 30 percent of the company’s revenue, while 70 percent comes from the residential sector.
CCAC is, however, confident that the second half sales would be much higher as the economy continues to pick up, and with the launch of its new airconditioning models.
The company has already unveiled five of the 10 models that are scheduled for launching this year.
CCAC on Monday gave media a preview of its latest model, the 1-horsepower Carrier Optima, which promises 17 percent to 30 percent in energy savings yearly.
This model, the company claims, has the lowest rated power consumption of 660 watts in its class.
Concepcion said the company was expecting this model to generate a “very positive impact on the company in terms of sales and market share.”
“This model is a game changer. It changes the game in a way that others give incremental improvements in their models, while we give more. With a reputable brand, price, energy savings and the backing of a large company, there is no reason why a consumer will not like this product,” he said.
The Carrier Optima, CCAC added, was also the company’s way of helping the government cope with rising electricity demand and limited power supply as this unit ensured efficient use of energy. The model allows customers to enjoy airconditioning at lower cost.
CCAC earlier said it was spending as much as P200 million this year to fund the planned expansion of its manufacturing facility in Laguna to accommodate the growing demand for quality cooling solutions both here and abroad.
Concepcion said the capital expenditure budget for 2012 would allow the company to expand its production capacity by 15 to 20 percent from the current production of about 400,000 airconditioning units per year. Amy R. Remo
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Tags: airconditioning , Business , Company Information , Concepcion-Carrier
