SCGP's revenue from sales for the 1st quarter of 2022 continued to grow, reaching THB36,634 million, up 34% from the same period of last year as a result of gradual recovery of demands in ASEAN amid global volatilities. The Company continued to focus on cost management while cautiously expanded the business with goal to reach annual revenue of THB140,000 million as well as enlarged the B2C customer base. Meanwhile, SCGP's effort to become leader in ESG was elevated by the submission to join the Science Based Targets initiative (SBTi), a renowned international multi-stakeholders climate initiative to achieve Net Zero in 2050.
Mr. Wichan Jitpukdee, Chief Executive Officer, SCG Packaging Public Company Limited, SCGP, reported that the Company continued to grow with revenue from sales reaching THB36,634 million, an increase of 34% compared to the same period last year. Meanwhile, profit for the quarter stood at THB 1,658 million, a decrease of 22% from the same period last year and EBITDA of THB4,887 million, a decrease of 7%. However, excluding extraordinary adjustment in the previous quarter, profit for the period and EBITDA of Q1/2022 increased QoQ.
Factors contributing to the increase of revenue from sales include the continuous growth of business stemming from mergers and partnerships (M&Ps) with Duy Tan, Intan Group, and Deltalab. Also contributing are increased sales from the Integrated Packaging Business in ASEAN of both polymer and paper packaging products due to rising demands of consumers goods, exports of ready meal, frozen food, and pet food as well as higher prices of paper pulp as a result of surge in restocking demand amid concerns over disruptions to the supply chain.
Profit for the quarter was lower than the same period of the previous year, the rising costs of raw materials and energy were contributing factors, which affected the entire industry. However, SCGP has maintained an effective and proactive cost management throughout the supply chain. The Company entered into long-term contract to acquire coal for future usage in sufficient quantities to ensure energy security and lessen impacts from price volatility. Moreover, the use of renewable energy has been continuously increased. Other mitigation efforts for ongoing uncertainties include a vigilant cash and working capital management and prudent consideration of investment projects.
Heading toward the rest of 2022, demands for packaging in ASEAN are trending up as governments start relaxing COVID-19 restrictions and opening up their countries, positively impacting the manufacturing sector and encouraging more cross-country traveling. Yet, if the Russia-Ukraine conflict persists, the heightened costs of commodity, energy and raw materials would continue to be headwind for manufacturing sectors.
Nevertheless, SCGP is determined to achieve the target of sales revenue at THB140,000 million and to keep on expanding its operations with capital expenditure budget of THB20,000 million for the current year under its five-year (2022-2026) investment plan with a total of THB100,000 million. Investment activity will be carried out with thorough consideration, focusing on downstream packaging industries that show long-term potential for growth benefiting from changing consumer behaviors.
SCGP also commits to business continuity management to minimize internal and external risk exposures while relentlessly pursues operational excellence, value creation from business alliances, and efficient cost management throughout the supply chain. Attention is also paid to liquidity management to ensure financial stability amid the rising interest trend in order to steer the business toward its short- and long-term goals.
Importantly, SCGP pays special care and consideration to the Environmental, Social and Governance (ESG) in its business operations. In the first quarter of 2022, SCGP has officially submitted our intention to join Science Based Targets initiative (SBTi), a renowned international multi-stakeholders climate initiative which help clearly-defined pathway for more than 2,000 businesses around the world to reduce greenhouse gas (GHG) emissions while prevent the worst impacts of climate change in line with the Paris Agreement goals. This is part of our long-term efforts to embed science-based targets in the fundamental of sustainability management along with the Net Zero in 2050 commitment.