Noble Development Public Company Limited (NOBLE) has announced its financial results for the first half of 2021, achieving total revenue of 4,915 million baht, a 22% increase YoY, and a net profit growth of 10% YoY, amounting to 786 million baht, driven by sales reaching 4,265 million baht. The company is also set to pay an interim dividend of 0.35 baht per share, with an XD date on August 24, 2021. NOBLE continues to aggressively develop horizontal projects, aiming to diversify its product portfolio and enhance brand recognition. The company emphasizes its strong liquidity, with cash on hand and undrawn credit facilities exceeding 6,100 million baht, supporting its investment plans both domestically and internationally.

Mr. Thongchai Busarakham, Vice Chairman and Co-CEO of Noble Development Public Company Limited (NOBLE), a leader in real estate development in prime locations of Bangkok and its suburbs, revealed that the company has successfully operated in the first half of the year, ending on June 30, 2021, with total revenue of 4,915 million baht, a 22% increase YoY, and a net profit of 786 million baht, growing 10% YoY from the transfer of ownership of completed condominiums and housing projects from both Thai and foreign customers. This growth is also attributed to the transfer of backlog sales and pre-sales from ready-to-move projects such as New Noble Chaeng Watthana, Noble B33 Sukhumvit, Noble Ploenchit, Noble B19 Sukhumvit, Noble Around Sukhumvit 33, Noble Ambience Sukhumvit 42, and Noble Cable Watcharapol.


Mr. Thongchai Busarakham, Vice Chairman and Co-CEO of Noble Development Public Company Limited (NOBLE)

In terms of pre-sales for the first half of the year, the total was 4,265 million baht, with over 2,500 million baht coming from completed ready-to-move projects, and more than 1,700 million baht primarily from the launch of two new projects: Noble Form Thonglor and New Noble Center Bangna. The company successfully launched the LAST PIECE, LAST PRICE campaign for five ready-to-move projects in the first quarter of 2021. Sales from international customers continued to flow in, with a market share of up to 40% of total sales from all operators in the condominium market in Bangkok and its suburbs for foreign customers in the first half of 2021, reflecting the company's strong customer network, particularly from China.

For the second quarter of 2021, the company reported total revenue of 2,233 million baht, a 20% increase YoY, driven by increased ownership transfers of completed condominiums and housing projects from both Thai and foreign customers. The net profit stood at 302 million baht, stable compared to the same period last year, due to pressures from the COVID-19 pandemic.

Additionally, at the 5th/2021 board meeting, the company resolved to pay an interim dividend for the first half of 2021 of 0.35 baht per share, totaling 479 million baht, which represents a dividend yield of over 10% based on the past 12 months, reflecting the strong performance in the first half of the year. The XD date is set for August 24, 2021, with dividend payments expected in early September.

Mr. Thongchai further stated that the company remains focused on the continuous development of horizontal projects, including low-rise condominiums (not exceeding 8 floors) to expand its portfolio with a broader range of products. This type of project development will allow the company to recognize revenue more quickly due to shorter construction times. The goal is to increase the proportion of horizontal project development in the portfolio to approximately 30% from the current 10%. Currently, the company has over 10 projects ready to launch, both horizontal and condominium, with plans to develop various horizontal projects in locations such as Don Mueang Road, Ekkamai-Ramintra Road, Ratchaphruek Road, and Srinakarin Road.

“The company sees opportunities to acquire land for horizontal project development, as the COVID-19 situation has led landowners to sell their land at more reasonable prices. NOBLE is financially well-prepared, with cash on hand totaling over 1,600 million baht and undrawn credit facilities exceeding 4,500 million baht, which can support growth and expansion in the current environment.

Regarding the closure of construction worker camps for one month, NOBLE has not seen any impact on ownership transfers this year, as the company has been able to deliver projects as planned. However, the pre-sales target set at the beginning of the year may change due to delays in project launches caused by the COVID-19 situation. Nevertheless, the company continues to carry out other related development activities, such as obtaining necessary permits while waiting for the situation to improve, which is expected to happen in the fourth quarter onwards. As of the end of the second quarter of 2021, the company had a backlog of sales worth approximately 11,800 million baht, which can be gradually recognized over the next three years, with a net debt-to-equity ratio of 1.19 times.

Furthermore, regarding the progress of investments in the United Kingdom, the company has recently closed deals to purchase two real estate projects worth approximately 300 million baht in Manchester and suburban London, currently undergoing final due diligence. This marks the beginning of investment to diversify risks, leveraging NOBLE's strengths with its international network and strong foreign customer base. Meanwhile, the company also has 2-3 more investment deals in foreign projects worth a total of approximately 1,800 million baht. The goal is to invest in real estate projects in the UK over the next three years, with a total investment budget of approximately 250 million pounds (with NOBLE investing 45% per project). In the first year, the investment budget is expected to be 25 million pounds or about 1,100 million baht (with NOBLE investing approximately 500 million baht at a 45% share), and it is anticipated that within three years, NOBLE will achieve a profit share from these investments of 15%-20% of total net profit.