CHEWA indicates that the real estate market in 2026 will face challenges regarding market conditions and credit. The company is preparing to adjust its strategy to "Build Brand - Clear Stock," delaying the launch of new projects while focusing on high-potential land and preparing Environmental Impact Assessments (EIA) to wait for the market to recover. The company reaffirms its position as a leader in the low-rise condominium market and is launching sales campaigns to boost cash flow back into the company, while selecting 2-3 high-potential land plots to prepare for EIA applications, aiming for revenue of 1.2 billion baht in 2026.

Mr. Boon Chun Kiat, Managing Director of Chewathai Public Company Limited (CHEWA), revealed that 2026 is expected to be a challenging year. Following a downturn in the real estate and housing credit markets last year, while home prices in some areas may not have decreased significantly, the volume of transactions has dropped to a low point due to reduced purchasing power. Customer income has not kept pace with inflation and high-interest rates.

Developers have a large stock of unsold condos or houses, but potential buyers are unable to access credit, leading to delays in launching new projects. Consumers with purchasing power are in a wait-and-see mode due to concerns about economic recession and job stability. The credit sector is facing a severe credit rejection crisis, with banks shifting from being mere "lenders" to fully becoming "risk managers," especially in Thailand and several countries where household debt is soaring. The credit rejection rate has reached 40% - 70% in some segments, with freelancers or small business owners undergoing strict scrutiny of their income over the past 2-3 years. If their income fluctuates even slightly, banks immediately classify the risk as "high."

“This year is a year for Chewathai to build strength. Although we will not launch new projects this year, it does not mean we are stagnant. We are actively managing our inventory to convert it into strong cash flow. Most strategies focus on "clearing existing stock" and launching sales campaigns to bring cash flow back into the company, while also selecting 2-3 high-potential land plots to prepare for EIA applications. Being prepared in advance during a market slowdown will give us an advantage and allow us to seize the opportunity to launch projects immediately when economic signals are favorable. We remain confident in the strengths of low-rise condos, which is the market we are most experienced in.” Additionally, the company is expanding new business opportunities to increase recurring income by investing in businesses that are potential and linked to its existing operations, including second-hand homes under the Renue brand and legal entity businesses, while exploring other businesses that will promote and generate continuous income for the company.

The strategy to be implemented this year includes enhancing sales policies that have received positive feedback, such as the "Want to Buy, Must Buy" promotion, which offers financial consulting services to assist customers with issues related to loan documentation, debt management, or financial discipline that prevent them from securing loans. Chewathai will provide long-term support and advice to customers until they can successfully secure loans and transfer ownership. This has resulted in a backlog of customers who have been with us for a long time, some for over six months, gradually improving their financial discipline until they can successfully borrow. Furthermore, the competitive strategy will include ongoing promotions from Chewathai, such as "MEGA SALES," to return profits to customers throughout the year, which is expected to continue attracting customer interest.

Currently, the company has a backlog of sales awaiting revenue recognition (as of December 31, 2025) valued at 1,232.09 million baht, divided into condos worth 789.95 million baht and horizontal housing worth 442.14 million baht. In addition to revenue from existing real estate sales, the company is also accelerating revenue recognition from joint venture projects with partners this year, such as the condominium project "Chewathai Hallmark Ekkamai-Ramintra" valued at 1,014 million baht, in collaboration with Nippon Steel Kowa Real Estate Co., Ltd. (NSKRE), a leading real estate developer from Japan, and a ready-to-rent factory in Amata City Industrial Estate, Rayong, under the Chewa Work Industrial brand, valued at 210 million baht, in partnership with Uwork 999 and Neo727, a well-recognized construction company. Both projects are expected to generate revenue in 2026, with a target total revenue of 1.2 billion baht.

Regarding the performance in 2025, the company reported total revenue of 858.35 million baht, a decrease from the previous year's figure of 1,044.96 million baht, representing a 55% decline. Revenue from condominium projects was 471.66 million baht, down 62% from the same period last year, while revenue from horizontal projects was 316.34 million baht, down 40% from the same period last year. Additionally, there was revenue from second-hand home projects amounting to 20.48 million baht and other income of 49.87 million baht, accounting for 6% of total revenue. The main sales came from condominium projects priced between 2-4 million baht, including Chewathai Pinklao and Chewathai Hallmark Ladprao-Chokchai 4 Phase 2. Horizontal projects, including townhomes/commercial buildings and single-detached houses, saw a decline due to issues with customer credit rejection. Although the company maintained its accumulated contract figures, it was unable to transfer ownership as planned, resulting in a net loss of 410.81 million baht for the year, attributed to restructuring costs and provisions for losses from declining project values to adjust the actual cost basis of real estate sales.

“The company remains focused on cost and expense management policies to ensure efficiency, as well as implementing sustainability principles (ESG) within the organization. Furthermore, we are utilizing CHEWA AI, with a team dedicated to learning and applying artificial intelligence (AI) technology to drive the organization towards sustainability under the vision of 'Enhancing Sustainability through Artificial Intelligence.' This initiative has already been widely implemented and received positive feedback, such as using CHEWA AI to provide information to investors in the Chewa Opportunity event, the first of its kind in Thailand, to enhance product quality and organizational growth for maximum efficiency and to conduct business sustainably,” said Mr. Boon Chun Kiat.