Article by: Mr. Surachet Kongcheep Property DNA

In business, what indicates success may often be more about profit than revenue, as profit represents what remains after all costs and expenses. Looking at the financial performance of real estate developers over the past 9 months, Sansiri achieved the highest profit, while AP ranked first in terms of revenue. There is a possibility that Sansiri will also rank first in profit this year, considering the projects awaiting ownership transfer and those set to launch before the end of the year. During the past 9 months, only 4 companies generated revenue exceeding 20 billion baht.

In the first 9 months of 2023, the 39 companies developing residential projects for sale in the stock market saw a total revenue increase of approximately 1.37%. While this increase is modest, the profit decreased by about 6.37%, which is quite significant and noteworthy. The changes in both revenue and profit for these 39 companies compared to the same period last year can partly be attributed to a slowdown in purchasing power in the third quarter. This is evident from the total revenue of all 39 companies in the third quarter of 2023, which decreased by 2.9%, while profits dropped by as much as 20%. The financial results in the third quarter reflect that the slight decrease in revenue may be due to the companies' efforts to generate income, particularly from the transfer of completed projects, along with promotional pricing strategies to attract interest, even if it meant reducing profits somewhat. They also organized activities that continued into the fourth quarter of this year.