The NATION (Thailand)/ANN: MOST Thai listed property firms show strong growth in their financial results for the first nine months of this year, thanks to strong demand in the market.
According to financial results for the first nine months as reported on Tuesday to the Stock Exchange of Thailand by 10 listed property firms, eight of them achieved higher net profit growth this year than in the same period of last year.
The exception was Sansiri Plc and Land and Houses Plc, which posted a net profit of one billion baht($30.4 million) and 8.2 billion baht for the nine months, a drop of 50.98 per cent and 3.5 per cent respectively from the same period of last year.
Origin Property Plc, Golden Land Property Development Plc and Property Perfect Plc achieved high growth exceeding 100 per cent for the comparison period.
Other key firms also showed double-digit net profit growth for the first nine months compared to the same period of last year except for Pruksa Holdings Plc and LPN Development Plc, who achieved net profit growth of one digit, 8.08 per cent and 9.21 per cent respectively, from the same period last year.
Origin Property Plc’s CEO Peerapong Charoon-Ek pointed to the company’s success in launching condominium projects in the last two years that were completed this year and transferred to customers starting early this year.
The company also recorded 10.69 billion baht in total revenue for the first nine months of this year, up 166 per cent from the same period last year. This was the first time the company had boosted its total revenue beyond 10 billion baht, Peerapong said.
He noted that Origin also has more condominium units for transfer to its customers in the last quarter of this year and plans to launch two new single detached house and townhouse projects worth 2.9 billion baht in the last quarter of this year.
Together, they will boost total revenue growth to achieve the targeted 16 billion baht by the end of this year.
Pruksa Holding Plc’s deputy group chief executive SupattraPaopiamsap told a press conference on Tuesday that in the first three quarters of this year, Pruksa Real Estate had achieved satisfactory results – a net profit of 4.017 billion baht, a rise of 8.1 per cent year-on-year, on total revenues of 30.48 billion baht.
The company also plans to launch 15 new residential projects for the last quarter, worth 11.4 billion baht, to boost its total revenue and net profit growth for the period, Supattra said.
Sansiri Plc’s chief financial officer Wanchak Buranasiri reported to the Stock Exchange of Thailand on Tuesday that in the first nine months of this year, Sansiri and its subsidiaries reported a net profit of one billion baht, a drastic decrease from a net profit of 2.04 billion baht in the same period last year.
The net profit margin of 5.6 per cent on total revenue for the nine months had decreased from 8.8 per cent of total revenue a year ago, due to decreased revenue from project sales and an increase in selling expenses.
However, the company has confidence its presales will grow to achieve the target 50 billion baht by the end of this year, after it recorded presales of 43.6 billion baht in the first 10 months of this year, he said in a press release on Tuesday.
“The new measure by the Bank of Thailand to increase down-payments for second and third homes will boost the demand to buy residential from this time until the first quarter of next year before the new measures take effect on April 1 of next year,” Wanchak said.