Preuksa and Prinsiri report healthy results
Written by Writer on Tuesday, November 11th, 2008
PROPERTY / Preuksa and Prinsiri report healthy results
Despite unfavourable market sentiment, two listed developers reported good performances in the third quarter, supported by sales of low-rise units.
Preuksa Real Estate Plc (PS) and its subsidiaries generated 558.2 million baht in consolidated net profit for the third quarter, up 369.5 million baht or 195.8% year on year. Nine-month net profit was 1.5 billion baht, up 87.3% from the same period last year.
Preuksa recorded 3.23 billion baht in consolidated revenue, up 59% year-on-year, due to an increase in townhouse sales of 646.2 million baht, representing 57.8% growth, as well as a rise in single-house sales of 499.6 million baht, up 55.9%.
Nine-month revenue was 8.75 billion baht, up 42.1%, resulting from a 47% increase in townhouse sales of 1.6 billion baht and a 31.9% increase in single-house sales of 837.9 million baht.
PS said significant revenue growth reflected the right business strategy through the continuous launching of projects with appropriate prices since late 2007.
It also reported the establishment of a new subsidiary to develop housing projects internationally, in which PS will hold 99.97% of the registered capital of 100 million baht.
PS shares closed yesterday at 5.05 baht, unchanged, in trade worth 4.56 million baht.
Prinsiri Plc (PRIN) also reported a significant rise in consolidated net profit to 155.38 million baht in the third quarter, up 1,582% from 9.24 million a year earlier, reflecting profit of 87.97 million from selling a land plot for which it had no plan for short-term development.
Therefore, the company had total consolidated revenue of 978.49 million baht in the third quarter, including 827 million baht from the sale of land.
Prinsiri recorded 224.11 million baht in consolidated net profit for the nine-month period, up 253.5%, and 2.495 billion baht in consolidated revenue, up 50.55%.
An analyst from CIMB said PS still had a strong presence in its core specialty, the townhouse market, while it was also gaining market share in new segments that it had entered.
PRIN shares closed yesterday on the SET at 0.84 baht, up four satang, in trade worth 4.02 million baht.
Bangkok Post
Tuesday November 11, 2008
