Frasers Property Thailand with its integrated real estate platform achieves stable profit for 1Q FY2024 financial results
Frasers Property (Thailand) Public Company Limited, or “FPT”, Thailand’s first integrated real estate platform, today announced its 1QFY2024 financial results, generating THB 3,066 million which saw higher year-on-year profit of THB 322 million in 1QFY2024 compared to 1QFY2023. Steady rental and service income from its industrial and commercial businesses contributed to its resilient financial performance while the residential business has faced economic headwinds, notably high household debt.
Mr. Thanapol Sirithanachai, Country CEO of Frasers Property (Thailand) Public Company Limited, said: “Frasers Property Thailand has sustained its stable financial performance for 1QFY2024 (October – December 2023) despite macro uncertainty and pressure. Secured by a stable rental income stream, our integrated real estate business remains focused on effective financial management with a balanced asset portfolio generating sales and recurring rental incomes in a 40:60 ratio. To differentiate and grow in the Thai market, we will tap on the Frasers Property Group’s trusted reputation and its deep multinational real estate expertise to develop into a ‘Real Estate as a Service’ brand that improves quality of life for both businesses and people.”
The company’s financial performance was backed by its industrial and commercial portfolio that generated THB 734 million in rental revenue, a 10.7% increase compared to the same quarter last year. FPT’s industrial business saw sustained high demand for industrial properties, particularly factories. This has attracted an increase in enquiries and new lease signings for FPT, primarily in the electronics and automotive sectors from China, Hong Kong and Taiwan. Additionally, FPT’s industrial operations in Indonesia and Vietnam achieved positive rental reversions with an influx of new customers and long-term renewals from existing tenants. Overall, the portfolio’s average occupancy rate is now at a three-year high of 87%. FPT is ready to invest and expand its inventory of factories and warehouses to meet additional demand from existing and prospective tenants. The industrial business plans to launch a new Built-to-Function solution in the next quarter, complementing its current Ready-Built and Built-to-Suit offerings.