Singha Estate reported total revenue from sales and services for Q1 of 2024 at 4.034 billion baht, an increase of 21% YoY, and a net profit of 104 million baht, up 46% YoY. This growth is attributed to strong performance across all business segments, particularly the successful launch of new residential projects that have received a positive market response. Additionally, the hotel business strategy has focused on driving room rates and non-room revenue to meet targets, capitalizing on the increasing trend in tourism spending while creating value and sustainable growth in line with the established strategic plan.

Bangkok (May 14, 2024) - Singha Estate Public Company Limited (S) announced its Q1 2024 performance with total revenue of 4.034 billion baht, including revenue from property sales of 997 million baht, which has more than doubled due to several factors, including: (1) recognition of land transfer at the S Ang Thong Industrial Estate after the completion of land development and infrastructure at the end of 2023; (2) the commencement of unit transfers in the first quarter of The Extro Phaya Thai-Rang Nam project. Meanwhile, service business revenue reached 3.037 billion baht, continuing to grow due to: (1) revenue from commercial real estate growing 12% from the previous year, in line with the increase in rental rates at the S-OASIS building; and (2) revenue from the hotel business increasing 8% from the previous year, driven by new room types that have pushed the average daily rate (ADR) across the portfolio up by 24% from the previous year, achieving targets set in the asset improvement plan.

In this quarter, Singha Estate experienced strong growth in both its hotels in Thailand and two hotels in the CROSSROADS Maldives project, attracting a more diverse group of tourists, resulting in an occupancy rate of 89% and an increase in ADR by 12% from Q1 2023. Similarly, hotels in Fiji, which underwent renovations last year, have become prominent and attracted experience-focused tourists, leading to a 36% growth in revenue per available room (RevPAR) compared to the same period last year. In addition to achieving operational targets, in Q1, the company successfully issued a three-year debenture with an interest rate of 5% per annum, with total subscriptions amounting to 1 billion baht to drive performance and provide good returns to shareholders. Singha Estate remains committed to operating in all dimensions to deliver value and quality of life to all stakeholders continuously, ensuring success. Furthermore, Singha Estate has been awarded Thailand’s Most Admired Company in the real estate sector for the second consecutive year by BrandAge magazine for its commitment to social responsibility (Sustainable Development).

Ms. Thitima Rungkwansiriroj, CEO of Singha Estate Public Company Limited, stated, “The Q1 performance reflects Singha Estate's ongoing commitment to delivering value and sustainable growth with 'Best in Class' quality standards, alongside strategies to enhance asset efficiency across all portfolios. This has resulted in strong market confidence and positive responses to all products and services, as evidenced by successful new market entries from various projects, such as the Srin Ratchaphruek Project, The Extro Phaya Thai-Rang Nam Project, and the S Ang Thong Industrial Estate project, which serve as proof of the success of Singha Estate's investments and value creation. Additionally, the hotel business in several countries continues to show positive signs, with increased room bookings for the next three to six months compared to the same period last year, indicating the success of our proactive marketing strategies, including expanding sales channels to reach new potential markets and effective pricing strategies. The performance trends of the SO/Maldives hotel, a new luxury hotel launched at the end of 2023, are also improving, which will be a significant boost for the company to achieve its operational targets for 2024.”

Singha Estate is confident in achieving a new revenue high of 18 billion baht this year, supported by positive operational signals from the residential business since late 2023, including the Sirin Residence and Srin projects, as well as the recognition of revenue from The Extro Phaya Thai-Rang Nam project at the end of Q1. On May 14, 2024, Singha Estate is set to launch two new projects, SHAWN Panya Inthra and SHAWN Wong Hwan Jatu Choti, premium luxury single-detached houses targeting a new market segment in the potential area of Ram Inthra. Additionally, at the end of the year, the company plans to launch four new projects, consisting of two horizontal projects and two condominium projects, with a total value of 10 billion baht. This will result in a total of 14 projects developed and awaiting sale by the end of 2024, valued at over 37 billion baht. The company aims for a 50% increase in residential business revenue in 2024 compared to the previous year, partly due to a backlog of approximately 3 billion baht in sales awaiting transfer of ownership, which is expected to be gradually delivered and recognized as revenue within 2024.

Another key driver of Singha Estate's performance is the hotel business, which is expanding alongside global tourism, with strengths in location and market positioning of the hotels in the company's portfolio, excelling in providing experiences that align with current trends in experiential tourism and eco-tourism, as well as delivering impressive products and services. Furthermore, in 2024, there will be proactive marketing strategies to attract a more diverse group of tourists to enhance portfolio efficiency by continuously improving potential hotels, especially in Thailand and the UK hotel portfolio, along with plans to develop products and services to create a foundation for sustainable growth.

Ms. Thitima added, “For the other two assets currently in the market expansion phase, including the S Oasis office building and the sale of land in the S Ang Thong Industrial Estate, we can continuously leverage from target customer groups. Therefore, the gradual occupancy of major tenants and targeted marketing in each industry will help drive better sales momentum in the future, which will result in the commercial real estate and industrial estate businesses achieving their revenue targets. For Singha Estate, 2024 is considered a year of reaping the rewards from the foundations and investment projects developed over the past two to three years. We are confident in achieving the company's total revenue targets at record levels continuously, with strong profit margins and strict financial discipline to ensure sustainable organizational growth alongside creating value for all stakeholders.”