BANGKOK, 10 November 2023
Frasers Property (Thailand) Public Company Limited, ("FPT"), Thailand's first fully integrated real estate leader, reported total revenue of THB 16,810 million and net profit of THB 1,861 million in FY2023 (October 2022 - September 2023). The total revenue grew by 2.8% Y-o-Y, equivalent to THB 463 million. Its residential property business was able to capture a greater share of the luxurious single-detached home market while its industrial property business saw a record occupancy rate of 86% across its 3.5 million sq.m. portfolio of leasable factories and warehouses. Local business sentiment helped boost confidence in office rentals, driving a high occupancy rate for the commercial portfolio and high traffic volume in its shopping centres. The company has declared dividends of 0.40 baht per share to shareholders.
Mr. Thanapol Sirithanachai, Country CEO of Frasers Property (Thailand) Public Company Limited, revealed, ”We maintained a flexible and agile management approach for the business against a dynamic macroeconomic backdrop. I am pleased that as a result, all three major FPT businesses in residential, industrial, and commercial operated effectively, generating net profit margin of 11% for FY2023. The company remains focused on prudent capital management and financial stability with potential balance sheet for future value-added investment. Meanwhile, we have been following our company roadmap to elevate the business to a "Real Estate as a Service” brand, aiming to position ourselves among the top five real estate brands in Thailand.”
During FY2023, the residential business launched eight new projects worth THB 15,000 million. The business remained relatively resilient amidst headwinds in the housing market such as rising inflation and interest rates, growing household debt, and expiration of easing of loan to value (LTV) measure at the end of last year. The company generated THB 11,004 million in revenue from sales of real estate and continued to gain more market share in the single-detached home segment, especially in luxury housing where buyers were insulated from economic headwinds. There are currently 78 active housing projects, worth more than THB 115,800 million.
The industrial business and the commercial business, which generate revenue streams from rental and services, contributed a total of THB 2,799 million in revenue representing a 17% increase from last year. In particular, the factories and warehouses rental business experienced significant growth due to geopolitics factors and the shift in production base to Thailand with heightened demand primarily from the electronics, automobile, and logistics sectors. The strategic investment in Indonesia and Vietnam has also strengthened rental income streams. Overall factory and warehouse portfolio under management currently stands at 3.5 million square metres with an 86% occupancy rate. Additionally, the company plans to launch its mega project for sizable industrial township in Samut Prakan province in FY2024.
The commercial business including Grade A office building rental and retail spaces recorded a steady overall performance of 93% occupancy rate, with the newly-launched mixed-use Silom Edge receiving positive market response after its official opening in March 2023. Occupancy rate for Silom Edge office was high at 92% in FY2023. Samyan Mitrtown and Silom Edge shopping centre saw increased footfall from rebounding tourism in Thailand. Accordingly, hotel business also reported positive revenue growth of more than 72% when compared to last year.
The company has announced dividends of 0.40 baht per share. The ex-dividend date will be on November 22, 2023 and dividends will be paid to shareholders on February 13, 2024.
Looking ahead in 2024, the Thai economy is anticipated to grow fueled mainly by higher private consumption, rising tourism industry, and improving export. However, the headwinds relating to geopolitical conflicts may continue to impact overall economy. Navigating these challenges, FPT will remain focus on guiding the three business segments under its ‘One Platform’ for continued healthy expansion.
Comparison of financial results for a 12-month period (October 2022 - September 2023)
| Financial Performance For a 12-month period (October 2022 – September 2023) |
2023 (Million Baht) |
2022 (Million Baht) |
Difference (THB million) |
Difference (Percent) Y-o-Y |
|---|---|---|---|---|
| Total revenue | 16,810 | 16,347 | 463 | 2.8 |
| - Sale of real estate | 11,004 | 11,420 | -416 | -3.6 |
| - Rental and service fee | 2,799 | 2,392 | 407 | 17.0 |
| - Other income | 3,007 | 2,535 | 472 | 18.6 |
| Net profit | 1,861 | 2,465 | -604 | -24.5 |
Financial breakdown for the fourth financial quarter (July – September 2023)
| Financial Performance | Fourth Financial Quarter of 2023 (July – September) (THB million) |
|---|---|
| Total revenue | 5,209 |
| - Sale of real estate | 3,312 |
| - Rental and service fee | 738 |
| - Other income | 1,159 |
| Net profit | 829 |
