AssetWise Reports Q1/2021 Profit Surge of 361.8% with New Growth Strategy Amid COVID-19

AssetWise Public Company Limited or ASW has announced its Q1/2021 financial results, generating revenue of over 1,173 million baht, an increase of 582 million baht from last year, defying the COVID-19 trend with a net profit of 320 million baht compared to a net profit of 69 million baht in the same period last year, representing a growth of over 361.8%. The company emphasizes maintaining a strong profit margin, showcasing a backlog valued at over 7,500 million baht, reaffirming its success with the Best Choice strategy for the new generation. The company is committed to strengthening its strategy and continuously launching new projects worth over 9,700 million baht.

Q1 Profit Growth of 361.8% During COVID-19

Mr. Kramchat Wiphanpong, CEO of AssetWise, revealed that the company's performance in Q1/2021 (ending March 31, 2021) generated revenue of 1,173 million baht, an increase of 582 million baht, representing a growth rate of 98.5% compared to the same quarter last year, which had revenue of 591 million baht. The net profit reached 320 million baht, an increase of 250 million baht or 361.8% compared to the same period last year, which had a net profit of 69 million baht. The gross profit margin was 48.5% and the net profit margin was 25.7%, marking a counter-cyclical growth during the COVID-19 era. Additionally, effective cost management has led to a reduction in the debt-to-equity ratio (D/E) following the fundraising in the stock market.

“Despite the third wave of the COVID-19 outbreak, our performance has not slowed down. The transfer of ownership for condominiums is on target, and sales in each project continue to increase, including the MODIZ brand launched late last year. In Q1/2021, we launched the KAVE SALAYA brand near Mahidol University, with a project value of 1,150 million baht, achieving over 60% of sales for the available units, reflecting real demand. Our real estate projects meet customer needs as the Best Choice condominiums in that location,” he added.

Emphasizing the Best Choice Strategy in Every Location

AssetWise reinforces its goal to be a notable new generation real estate developer, focusing on growth through the “Best Choice” strategy, which involves developing urban condominiums as the best options in their respective locations. This includes precise location selection in potential Blue Ocean areas, providing diverse common areas in both design and function, and offering well-equipped room designs at affordable prices. Another unique signature of ASW is its commitment to studying the detailed behaviors and lifestyles of residents in various neighborhoods closely to understand their true needs. All of this has led to satisfactory growth in Q1/2021 during the COVID-19 period.

Leader in Campus Condominiums

One of AssetWise's flagship successes is the campus condominium group under the KAVE brand, focusing on locations near universities. In Q1/2021, the company experienced strong revenue recognition from the KAVE TOWN SPACE and KAVE TOWN SHIFT projects near Bangkok University, with a total project value of over 4,100 million baht. It is rare to see a real estate developer genuinely committed to nurturing a brand specifically for campus condominiums. Furthermore, the company has completed projects ready for occupancy in various locations near the city’s BTS lines, such as Ratchada-Ladprao and Sukhumvit areas, which represent a backlog awaiting revenue recognition this year.

Continuing to Launch New Projects with Confidence in Ongoing Growth

In Q1/2021, AssetWise achieved over 60% sales from the new KAVE SALAYA project, and this year, there are also projects like KAVE TU opposite Thammasat University Rangsit Center and MODIZ SUKHUMVIT 50, a high-rise condominium in the Sukhumvit area, awaiting revenue recognition.

For the second half of the year, AssetWise plans to continuously launch new projects, both horizontal and vertical, with a total project value of 9,700 million baht, which will be gradually launched in Q2/2021, including the ATMOZ BANGNA condominium project and KAVE AVA, among others.

“We are confident that revenue in 2021 will grow by over 20% from the previous year according to our planned objectives, focusing on driving continuous growth from the backlog of 7,500 million baht, which will gradually recognize revenue from this year to 2023, along with completed projects awaiting sale totaling 1,105 units valued at 3,133 million baht, which will lead to significant business growth in the next 1-2 years,” he stated.

The CEO of ASW also mentioned that the company has been seeking partners to expand growth and is in negotiations with partners for future projects. Currently, AssetWise has signed joint venture agreements with Ideal Real Company Limited and Price Property Company Limited to jointly develop the KAVE SALAYA condominium project, with ASW holding a 51:49 share, enhancing its potential and supporting strong future growth.