Mr. Boon Chunkiat, Managing Director of Chiwa Thai Public Company Limited (CHEWA), revealed that the company's performance in the first three months of 2023 showed a total revenue of 384.2 million baht, an increase of 25.2% compared to the same quarter last year. Revenue from condominium projects amounted to 216.5 million baht, up 12.8% from the previous year, while revenue from horizontal projects reached 98 million baht, a significant increase of 46.6%. Additionally, other income totaled 12.5 million baht, accounting for 3.2% of total revenue. Consequently, the company's net profit for the three-month period stood at 8.22 million baht, a remarkable increase of 10,177.5% compared to the same quarter last year when the profit was only 0.08 million baht.

The continuous growth of the company can be attributed to ongoing promotions that stimulate customer decision-making, creating interest tailored to each project's target audience. For instance, the campaign "Book for 0 Baht, Get a Trip to Georgia for Every Unit" offers special privileges for customers booking and transferring condos in three prime locations (Chiwa Thai Kaset-Nawamin, Chiwa Thai Hallmark Ladprao-Chokchai 4, and Chiwa Thai Pinklao). Another campaign, "Want to Buy a House but Facing Problems? Come to Chiwa Thai," aims to assist those looking to own a home but facing challenges with loan approvals and real estate information. Following their launch, these campaigns received positive feedback, attracting significant customer interest. Furthermore, Chiwa Thai will host a major promotion event called "Chiwa Thai Mega Sale" to give back to customers throughout the year, which is expected to maintain customer interest.

Another factor contributing to the company's growth is the recovery of the real estate market in the first quarter of 2023, leading to improved revenue recognition for the company and the overall market. This positive trend is driven by several factors, including the reopening of China, which has revitalized the tourism industry, even as the global economy faces recession. In contrast, the ASEAN region and China continue to grow against the trend. Additionally, government policies aimed at reducing transfer fees and mortgage costs for real estate transactions valued at no more than 3 million baht, along with tax reductions on land and buildings in 2023 for property development projects, have further stimulated business recovery. However, there are still several risk factors, such as rising interest rates and monetary policy from the Bank of Thailand, which have led commercial banks to increase loan interest rates this year. Other factors affecting project development costs include rising land prices, which are the main cost drivers, and the announcement of minimum wage increases in October 2022, all of which impact the purchasing power of middle and lower-income customers when making decisions and applying for loans.

Regarding the company's investment plans and new project launches, after introducing the single-house brand Chiwaram, the project Chiwaram New Ratchaphruek, located on the new Ratchaphruek Road (Road No. 346), is valued at approximately 687 million baht and is expected to start recognizing revenue in the fourth quarter of 2023. The company is also studying two additional land plots as part of its plan to acquire land for further project development, with a goal of purchasing seven projects within 2023, totaling 6.35 billion baht (with approximately 1.7 billion baht allocated for land development). This includes two low-rise condominium projects under the Chiwa Thai Hallmark brand valued at around 2 billion baht, one high-rise condominium project under the Chiwa Thai brand valued at approximately 1 billion baht, one low-rise condominium project under the Chiwa Thai Hallmark Lite brand valued at 700 million baht, two single-house projects under the Chiwaram brand valued at 1.5 billion baht, one townhome project under the Chiwa Home brand valued at approximately 800 million baht, and a second-hand home project from Chiwa Renew valued at 350 million baht. The company continues to seek new business opportunities and welcomes joint ventures in real estate and related businesses.

The overall real estate market outlook for 2023 is expected to grow in line with the economic recovery, supported by positive factors from the tourism sector and related businesses. However, several factors may impact growth, including rising property prices due to a limited supply of existing housing projects in the market. Consequently, most new projects will be priced based on increased costs driven by inflation, rising minimum wages, and higher construction costs, including material prices and energy costs, which affect both production and transportation. Another factor is the government's policy interest rate hikes, which have led to continuous increases in loan and deposit interest rates, causing homebuyers to face higher monthly payments or extended repayment periods. Financial institutions or banks will also tighten their credit approval criteria, potentially reducing the approved loan amounts. Although there are government measures to support the real estate sector, they may not be sufficient to stimulate overall market growth.

In terms of customer care, the company prioritizes this as its number one focus. “Chiwa Thai” continues to enhance product quality and after-sales service through “Chiwa Care” to reinforce its position as the top choice for customers in terms of quality and service (for real estate companies with revenues not exceeding 5 billion baht). The company also aims to maintain product quality, striving for Zero Defect to ensure that customers purchasing projects from Chiwa Thai receive the best service from pre-sales to after-sales, along with special privileges and various services from Chiwa Thai Society activities,” said Mr. Boon Chunkiat.