Lalin Property has announced its business plan for 2024, aiming to expand its operations to become a National Property Company with a focus on sustainable growth. The company plans to continuously launch 8-12 new projects valued at over 7-8 billion baht to replace nearing completion projects and expand into new potential locations. The sales target is set at 6.55 billion baht, with revenue recognition projected at 5.25 billion baht, alongside a land acquisition budget of 1.5 billion baht.

Mr. Chaiyan Chakarakul, Chairman of the Executive Board of Lalin Property Plc., a real estate developer with over 30 years of experience, discussed the global and Thai economic outlook for 2023. He noted that the world continues to face ongoing risks from the previous year, including geopolitical risks and conflicts arising in various regions, efforts to control inflation through interest rate hikes by central banks in several countries, particularly the U.S. and Europe, where the Fed has raised rates to levels between 5.25% and 5.50%, the highest in over 20 years. This has led to a continued slowdown in the global economy from 2022.

The Thai economy, heavily reliant on exports, tourism, and foreign direct investment (FDI), was impacted in 2023 by the slowdown of trading partner economies, including the U.S., Europe, and China. As a result, Thailand's exports are expected to contract by approximately 1.5% for the year. Although the tourism sector has continued to grow since 2022, it has not met targets, particularly with the return of Chinese tourists still lagging. Consumption and public investment have also declined due to the formation of a new government and delays in budget preparation, resulting in Thailand's economic growth for 2023 falling short of many forecasts.

Looking ahead to 2024, the Thai economy is expected to grow by around 2.5% to 3.5%. However, it still faces high uncertainty from both domestic and international factors, including geopolitical issues, upcoming elections in several key countries worldwide, and measures to stimulate and recover the Chinese economy. Domestically, high public and household debt levels remain a challenge. Nevertheless, the real estate sector in 2024 is expected to have positive factors, such as stable interest rates with a potential decrease in the second half of the year, which will encourage consumer decisions to purchase homes. The extension of government measures to reduce transfer and mortgage fees for homes priced below 3 million baht until the end of 2024, along with improved exports and tourism, and increased foreign direct investment, will help create jobs and stimulate economic circulation.

We remain confident that the real estate market, particularly the Real Demand segment, will continue to thrive. The company will focus on business operations and expansion for sustainable growth in markets where it has expertise and a deep understanding of consumer behavior. In 2024, the company has allocated a budget of 1.5 billion baht for land purchases, with plans to launch an additional 8-12 projects valued at 7-8 billion baht, targeting sales of 6.55 billion baht and revenue recognition of 5.25 billion baht.

Mr. Churat Chakarakul, Managing Director of Lalin Property Plc., stated that this year, Lalin will continue to emphasize sustainable business practices while considering environmental, social, and governance (ESG) responsibilities. The company is also focused on reducing environmental impact and conserving electricity and water, minimizing greenhouse gas emissions, and using eco-friendly construction materials to deliver quality products and services that enhance customers' quality of life and community well-being, in line with the company's vision.

For the marketing plan in 2024, the company will continue to focus on customer-centric strategies through Lifestyle Marketing and Experience Marketing, enhancing brand image through collaborations to attract new customer segments and meet the needs of all target consumers. Additionally, the company will emphasize marketing through diverse digital channels to align with current consumer behavior, improving efficiency by utilizing Big Data for customer insights. The company aims to become a real estate development organization operating under Agile Principles, using digital strategies as a key tool for transformation. Furthermore, the company prioritizes the housing market for Real Demand, focusing on product development in design innovation and smart, flexible home functions, while continuing to incorporate the elegance of French architecture in its French Colonial Style homes, a hallmark of the company, offering them in prime locations at affordable prices to consistently meet consumer demands.

The company's financial status remains strong, with a debt-to-equity ratio (D/E Ratio) of only 0.76, significantly lower than the industry average of 1.45. The company has utilized diverse funding sources and maintained stringent financial risk management, earning the confidence of financial institutions, including commercial banks and asset management companies, ensuring no issues with funding sources. Recently, the company issued a 2-year bond with an interest rate of 3.80%, which was fully subscribed by investors at 500 million baht.