PPS anticipates that the government will expedite the implementation of planned projects to stimulate the economy and boost private sector confidence, aiming to increase job opportunities while adjusting strategies, developing personnel skills, expanding services, and broadening the scope of work to prepare for the new normal post-COVID-19, with a revenue target of 450 million baht and a net profit margin of 10%.

Dr. Pongthorn Tharachaichai, CEO of Project Planning Service Public Company Limited (PPS), revealed that according to the International Monetary Fund (IMF), Thailand's GDP is projected to decline by 6.66% due to the COVID-19 crisis, prompting the government to accelerate economic stimulus plans. The company hopes that these plans will proceed according to established policies to instill confidence in the private sector, thus providing more opportunities for the company to secure government contracts.

Meanwhile, the private sector has shown signs of slowing down even before the COVID-19 outbreak, with significant impacts particularly on retail, shopping centers, and condominiums, which have delayed construction or project openings. However, opportunities are still seen in private projects in the Eastern Economic Corridor (EEC) and Phuket, which are expected to recover faster than other areas in the country.

The company is adjusting its strategies to enhance capabilities through partnerships and business plan adjustments of its subsidiaries, as well as expanding the scope of work during the crisis and amid fierce competition in the construction industry. Additionally, training and skill enhancement are being implemented to develop employee capabilities to work in the new environment. This situation presents an opportunity for the company to review its business reform and adopt technology to elevate the organization.

“Despite the ongoing operations in the construction business during the COVID-19 situation, we have faced various impacts. Once we move past this period, it may lead to changes in the business landscape (new normal). Therefore, the company focuses on improving operations and restructuring the business to ensure continuous revenue generation and higher profit margins, as well as increasing revenue channels for the group of companies, with a revenue target of no less than 450 million baht this year while maintaining a net profit margin of 10%,” Dr. Pongthorn stated.

As of December 31, 2019, the company had a backlog of 63 projects valued at 537.21 million baht, marking the highest backlog in several years since its listing, with the majority of revenue coming from private projects (65.72%) and government projects (34.27%).

Regarding real estate business operations in the Laem Yamu project in Phuket, Project One Property Development Co., Ltd. (P1), a subsidiary of PPS, completed the land transfer for the project at the end of February 2020. However, due to the COVID-19 outbreak and the government's emergency declaration and lockdown policy as ordered by the Phuket governor, negotiations have temporarily stalled. This situation has impacted the assessment and recording of investment values in subsidiaries and significantly affected the consolidated financial statements, including the preparation of the first-quarter financial statements.

The company has therefore resolved to request an extension for the submission of the first-quarter financial statements ending March 31, 2020, to the Securities and Exchange Commission (SEC), proposing to submit by August 14, 2020, or before the submission of the second-quarter financial statements, to allow the company and auditors more time to gather, prepare, and verify the information to be disclosed to investors accurately.