Thai Developer Supalai keeps baht28bn revenue target, planning 22 new launches during second half 2021

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Supalai ICON Sathorn

Thai Developer Supalai keeps baht28bn revenue target, planning 22 new launches during second half 2021

SET-listed developer Supalai is maintaining its record revenue goal of 28 billion baht for this year despite the outbreak, planning 22 new launches worth 24.8 billion during the second half.

Managing director Tritecha Tangmatitham said the performance in the first half was halfway to its revenue target, while its presales target is 27 billion baht.

As of June 30, Supalai has a condo backlog worth 36 billion baht, of which 14.2 billion in revenue will derive from unit transfers this year, followed by 21.8 billion over the next three years, said Mr Tritecha.

Three condo projects worth 14 billion baht are 90% sold and will be ready for transfer this year after construction was disrupted by workers’ camps being closed in July, he said.

Supalai reported total revenue of 11 billion baht in the first half, rising 60% year-on-year, while posting 13 billion in presales, up 8%.

After the launch of nine low-rise projects worth 9.18 billion baht during the first six months, Supalai plans seven more low-rise projects in the third quarter and 15 projects in the last quarter, consisting of 11 low-rise houses and four high-rise condos.

Mr Tritecha said the firm has to closely monitor the virus situation, vaccination pace and consumer sentiment to adjust the timeline for some projects. However, it anticipates these factors should not affect its business plan, he said.

Mr Tritecha said the outbreak remains the greatest threat to the property sector as financial institutions tightened loan approval for mortgages on homes worth less than 3 million baht.

He said houses priced 3-5 million baht is the key segment for Supalai this year as it focuses on mid-range customers or government employees whose incomes are stable.

“The recovery of this industry depends on the virus situation and vaccination in the country, which affects consumer confidence and their purchasing power,” Mr Tritecha said.