Despite the continued struggles of Thailand’s economy, the country’s property developers reported some good news. Many property companies revealed positive revenue and net profit figures for the first half of the year even though Thailand’s weak economy and rising household debt was a cause for concern.
SC Asset Corporation reported THB5.93 billion in revenue and net profit of THB658 million which were increases of 37 percent and 11.1 percent. In a press conference, SC Asset chief executive officer Nuttaphong Kunakornwong said the company’s revenue and net profit grew because of strong demand for luxury homes priced over THB10 million.
AP (Thailand) recorded THB10.73 billion in revenue and net profit of THB1.2 billion, a jump of over 13 percent and almost 23 percent in each category. AP (Thailand) chief executive office, Anuphong Assavabhokhin said, believed the property market in the first six months was stronger than in the same period a year earlier because there were not the same political problems that had plagued the country in 2014.
Most of the company’s condominium projects that were sold in 2013 would be transferred to the buyers this year, Anuphong told the newspaper. “We continue to have confidence that the market will keep growing over the rest of this year and estimate the overall market growth at 5-10 per cent. As a result, the company plans to launch 15 new residential projects worth THB24.02 billion over the rest of this year,” he added.
Pruksa Real Estate and Sansiri had good first halves as well. Pruksa Real Estate finished with revenue of THB21.76 billion and a net profit of THB3.05 billion. Sansiri totaled revenue of THB17.13 billion and net profit of THB1.44 billion, which rose 47 percent and almost six percent.
Sansiri president Srettha Thavisin pointed out that homes priced over THB5 million were particularly attractive and also noted that low interest rates and cheap energy costs were the main factor boosting demand.
