By Denise A. Valdez
Reporter
INTERNATIONAL Elevator and Equipment, Inc. (IEE) said it is expecting to grow its revenues by 10-15% this year amid robust demand for elevators, escalators and air-conditioning units due to the booming construction industry.
The local affiliate of Japan-based Mitsubishi Electric Corp. said it has consistently been growing for the past 10 years and it remains bullish on the Philippines.
“The construction industry is growing. I think the [government’s massive infrastructure program] Build, Build, Build also affects that… We’re increasing, siguro mga [probably around] 10-15% growth. It’s doing good. Ang forecast namin [Our forecast] is another growth of 10-15% (this year),” IEE President Ramoncito A. Ocampo told reporters.
Mr. Ocampo said IEE is the current market leader for elevators and escalators in the Philippines, with a share of 40%.
“IEE is around 40%. We’re always number 1, since 1979, as far as I can remember. That is only elevator, escalator business,” he said.
Among its three business segments, IEE said elevators and escalators makes up 50% of its sales; air-conditioning at 30%, and generators at 10%. The rest are spread from across a number of investments, Mr. Ocampo said.
IEE Executive Vice-President Itsuo Arakawa said they are expecting improved financial performance in the coming years as the government takes on massive infrastructure projects such as the Metro Manila Subway Project and the North-South Commuter Railway.
“The market matured for many reasons, thanks to the growth of the economy. Also for the future, there are some government (projects coming up). Thanks to the government trying to do a better job for the infrastructure. So many of the new trains, metros coming up. If that happens… the development is coming as well,” he said.
Construction on the Japan-funded Metro Manila Subway Project is now under way. The government targets partial operations of the subway — covering the first three stations — in three years, while full operations is seen by 2025.
“That’s really a big factor for us. Right now there’s a lot of projects in the pipeline that they are planning,” Mr. Ocampo added.
Melecio B. Vivencio, vice-president and treasurer of IEE, also noted they are looking at adding security products to their service lineup in the coming years.
“Our strength is in the commercial buildings. So one potential product that we could handle in the future is the security system, particularly the card reader access system. And then the building management system. Because you could be a one-stop shop for building developers for their elevator requirements, aircon, genset (generator set), and of course the security and the building management system,” he said.
