ORN reports its first half 2023 financial results with revenue of 378.69 million baht, driven by continuous transfers of ownership in both horizontal and vertical projects. The real estate market is currently facing a slowdown in purchasing power, high interest rates, and elevated household debt levels. However, sales from international customers have exceeded expectations, contributing to a solid backlog of 1.148 billion baht. The company is moving forward with operational strategy adjustments to align with market conditions, accelerating the expansion of its international customer base and launching promotional campaigns for all projects to stimulate sales and ensure ongoing growth.

Mr. Pridikorn Buranupakorn, CEO of Orn Sirin Holding Public Company Limited (ORN), stated that in the current real estate market, which is still grappling with high interest rates and elevated household debt, financial institutions are cautious in approving housing loans, leading to increased loan rejections from banks and delays in ownership transfers by Thai customers. Nevertheless, the company continues to see sales from vertical projects, with international customers accounting for 25% of total sales. Currently, the backlog stands at 1.148 billion baht, with revenue recognition expected to begin gradually from the third quarter of 2023 onwards.

Additionally, the company is adjusting its operational strategy to align with the current real estate market conditions, expanding its market among international customers seeking long-term residence and investment. This includes launching marketing campaigns and special promotions for all ongoing projects to encourage purchasing decisions and drive sales, thereby fostering continuous revenue growth.

“The demand for housing in the upper northern region, particularly in Chiang Mai, remains popular among foreigners due to its strong economic readiness and continuous growth potential. The company is adjusting its strategy in collaboration with more international sales agents to accelerate the expansion of its international customer base from both Europe and Asia, highlighting the advantages of prime locations and designs that meet all living needs, along with comprehensive after-sales service to ensure stable revenue and operational performance,” said Mr. Pridikorn.

In the first half of 2023, the company reported revenue of 378.69 million baht and a net profit of 8.10 million baht, with some Thai and international customers postponing ownership transfers to the third quarter of 2023.

The company recognized ownership transfer revenues at a good level, comprising 108.53 million baht from horizontal projects and 72.87 million baht from vertical projects, along with rental and service income of 1.06 million baht.