November 20, 2017 – J.S.P. continues its success after rebranding, enhancing J Touch Point, and adjusting design styles, consistently launching projects throughout the year, achieving sales growth exceeding 60%. This has propelled the company into the top 10 real estate brands with the highest revenue in the country for 2017, alongside announcing its vision and business strategy for 2018.

          Mr. Pairoj Wattanaworodom, Managing Director of J.S.P. Property Public Company Limited, revealed that the overall performance of the company in 2016-2017 has been successful in terms of revenue growth and market share due to the rebranding, the introduction of J Touch Point, and a focus on launching horizontal products in the price range below 5 million Baht as the main revenue portfolio. The design style has also been adjusted to include the J ID smart home innovation. Over the past two years, the company has continuously expanded, launching over 20 projects, resulting in a significant increase in sales, especially this year, where the company achieved a revenue increase of 60%, allowing it to break into the top 10 chart of high-revenue quality real estate brands, making it one of the most recognized names in the country.

          The product segments that have helped J.S.P. achieve its ranking and enter the top 10 real estate brands in the country include townhouse projects divided into two segments: 2 - 2.5 million Baht, with a total project value of 4,526 million Baht, generating revenue of 2,869 million Baht, an increase of 132% compared to 2016, and the 3 - 5 million Baht segment, the J Grand Sathorn - Kalapapruek project, with a total project value of 610 million Baht, generating revenue of 595 million Baht, which was recently launched at the beginning of the year.

          “In the first half of 2017, the company has already generated revenue of over 2,120 million Baht, and currently, the company has a backlog of 4,000 million Baht waiting to be recognized as revenue. In the final quarter of the year, the company is working hard to expedite the transfer of ownership, focusing on intensified marketing efforts to meet the planned targets. Although there was a slight slowdown in October, sales and transfers in November and December are expected to pick up again, keeping the estimated total revenue for 2017 on track at 4,500 - 5,000 million Baht,” Mr. Pairoj stated.

          Mr. Pairoj discussed the vision and business plans for 2018, stating that for sustainable development, the company has set a vision for 2018 to achieve Net Profit Growth, marking it as a year for stable growth in net profit to reward shareholders and investors. The company will employ a strategy consisting of four dimensions:

  1. Financial Dimension The company has restructured its finances through three steps:
    • ) Transitioning from short-term to long-term loans. Previously, J.S.P. repaid debts totaling 2,500 million Baht, including 1,100 million Baht in bonds and 1,400 million Baht in short-term bills of exchange, which has earned the trust of leading banks, and increased offers from various institutional lenders.
    • ) The company plans to lower its financial costs.
    • ) Selling some non-income-generating assets simultaneously.
  2. Management Dimension with four operational steps:

2.1) The company will increase the base prices of its products by 5 - 10%.

2.2) Reduce sales costs by focusing on online marketing, as last year the company achieved 50% of sales from online channels while also streamlining operations for greater efficiency.

2.3) Adjust inventory levels to align with monthly sales.

2.4) Meanwhile, next year, the company will start recognizing revenue from two projects: the J Condo Sathorn-Kalapapruek project, starting at 1.49 million Baht, with a total project value of 1,890 million Baht, covering over 10 rai with 1,039 units, expected to generate 520 million Baht in revenue, and the J Condo Rama 2 project, starting at 1.65 million Baht, with a project value of 270 million Baht, covering over 1-1-29 rai with 158 units, expected to generate 210 million Baht in revenue.

Additionally, J.S.P. is enhancing its business strategy by:

  1. Product Development Dimension In the coming year, the company will revamp its products and services in three areas:

              3.1) New product & New market targeting the premium segment to increase GP reflecting net profit growth, focusing on launching single-detached and twin houses in the price range of 3 - 5 million Baht, making up 40 - 60% of the portfolio.

              3.2) Innovating design to meet customer needs with tangible benefits, such as larger usable spaces (Extra bonus).

              3.3) Emphasizing professional after-sales service to respond quickly and accurately to customer needs.

          In 2018, the company will launch three single-detached house projects: J Villa Exclusive Wongwian - Bang Yai, starting at 4.49 million Baht, with a project value of 590 million Baht, covering over 27 rai with 122 units, followed by J Villa Bang Pakong - Ban Pho, starting at 3.5 million Baht, with a project value of 305 million Baht, covering over 26 rai with 95 units, and the Bang Sare - Chonburi single-detached house project, starting at 4.4 million Baht, with a project value of over 1,000 million Baht, covering over 57 rai with 249 units.

          Additionally, three twin house projects will be launched: J City Wongwian - Bang Yai, starting at approximately 3 million Baht, with a project value of 580 million Baht, covering over 35 rai with 98 units, followed by J Villa Rattanathibet - Bang Bua Thong, starting at 4.1 million Baht, with a project value of 800 million Baht, covering over 29 rai with 189 units, and The Theorist project starting at 12.9 million Baht, with a project value of 700 million Baht, covering over 9.5 rai with 46 units, ensuring that next year the company will have no less than 30 projects available for sale and marketing.

          Meanwhile, the strategy for 4.) Investment Dimension for New Projects remains focused on expanding into the eastern Bangkok area, as J.S.P. is an expert in real estate in this region. The company has acquired land to expand projects in King Kaew, Samut Prakan. Additionally, the company is interested in developing real estate and investing in the Eastern Economic Corridor (EEC), allocating a budget of 1,500 million Baht for land acquisition to develop projects in Chachoengsao and Chonburi. Surveys indicate that Chonburi has the second-highest per capita income, while Chachoengsao ranks fourth in the country. The Thai government is also promoting the eastern region as a new economic zone, encouraging investment and attracting more foreign residents, making it a hub for jobs, housing, and tourism, thus increasing population density. The company is confident in investing in these areas.

          For the year-end project of 2017, J.S.P. recently launched in Q3/2017, achieving success with the J Villa Wongwian - Bang Yai project, dubbed the “Paris of Bang Yai,” with a total project value of over 1,208 million Baht, currently generating sales of over 342 million Baht. This marks J.S.P.'s successful entry into the single-detached and twin house market. The commercial building project, J Avenue Rattanathibet - Bang Bua Thong, with a project value of over 300 million Baht, has also achieved sales of over 120 million Baht, along with the expansion into the provincial townhome market with the J City Sriracha - Assumption project, valued at over 710 million Baht, which has successfully generated over 507 million Baht in sales.

          Nevertheless, the company aims to recognize revenue of 5,200 million Baht in 2018, an increase of 15%, and is focused on developing premium single-detached and twin house projects to secure a spot in the top 10 real estate brands in the 3 - 5 million Baht price range by next year. The townhouse products aim to rise into the top 5 in the market under 5 million Baht as well, Mr. Pairoj concluded.

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