“L.P.N.” moves forward to create a balance in managing the portfolio of houses and condominiums. and investment in housing project development Go ahead and create new businesses to maintain the organization's sustainable growth rate. Ready to accelerate the release of ready-to-move-in products, accumulated to more than 11,000 million baht, setting a goal this year to release 1,800 units, valued at 4,500-5,000 million baht, expecting to sell them all in 3 years. Revealing that in 2024, 6 new projects will be launched, divided into 5 low-rise houses and condo projects. 1 project with a total value of 6,500 million baht, targeting full year sales of 11,000 million baht, an increase of 10% from the previous year.

Mr. Apichart Kasemkulsiri, Chief Executive Officer of L.P.N. Development Public Company Limited or LPN, spoke about the company's management guidelines after assuming the position that L.P.N. .is a real estate business group that conducts a fully integrated business. (Self-fulfillment) with affiliated companies doing related businesses. and make money Both project management companies such as LPP Property Management Company Limited (LPP), engineering services companies such as LPS Project Management Company Limited. (LPS) and security companies like Security LSS Solutions Co., Ltd. (LSS), each company has continued to expand in the past.

“As CEO, I have a duty to look ahead. and looking for other businesses In addition to the real estate business To find new businesses that will create returns in the medium and long term, apart from the real estate business. This is an important strategy for creating balance in long-term business growth. By working in harmony in every sector,” Mr. Apichart said and that LPN has a guideline for creating balance in 3 dimensions in order to create business growth simultaneously in every dimension, consisting of:

1.Rebalance Portfolio Creating balance in real estate business development Both in terms of project development, service work, and research and development. Leverage the strengths of each business unit to strengthen and drive the organization together. In the first year, we will focus on developing our strengths as experts in developing quality housing under the concept of "Livable" (5C). stronger Including improving and fulfilling the limitations of L.P.N. To increase competitiveness in the market

2. The main thing is to create a balance of the portfolio by increasing income and reducing expenses. Currently, the company has sold products waiting to be transferred (Backlog) on hand of 2,300 million baht. The company plans to increase sales using the strategy. Price side and increasing appropriate rates of return for the agency Including the company's sales network to stimulate sales. This year, the target is to have total sales of 11,000 million baht, an increase of 10% from last year, divided into sales from new projects. 4,500-5,000 million baht An increase of 10% from last year and was sales from house and condo stock. Completed construction is worth 4,500-5,000 million baht. Currently, the company has ready-to-hand housing stock of more than 4,000-5,000 units, valued at 11,000 million baht, divided into 70% condominiums and 30% low-rise houses.

“The finished stock that is 6-7 years old is the Lumpini Seaview Cha-am project, with more than 700 units. Currently, there are more than 500 units left for sale, using a price reduction strategy as the main strategy. By agreeing to reduce the gross profit rate that was previously averaging 22% to 20% in order to reduce the burden of interest expenses, common fees and repair costs. This year's target is expected to release more than 1,800 units, or approximately 4,500-5,000 million baht. As for condo stock, In the Lumpini Township project Currently, there are only 10% of units remaining.”

2.Rebalance Resource: Creating balance by allocating existing resources. and create value for the organization by bringing the expertise of each department to support the administration and management of L.P.N. to be more consistent

To develop potential and increase work efficiency It is a guideline for long-term organizational development.

3.Rebalance Stakeholders' Wealth under management guidelines to balance the first two dimensions. It will lead to creating a balance in providing good returns to all stakeholders, including investors, shareholders, employees, and business partners to receive appropriate returns.

In addition, it sees an opportunity for growth by listing affiliated companies with good operating results on the Market for Alternative Investment (MAI), especially L.P.P. Property Management Co., Ltd. ( LPP) It is expected that LPP will be listed on the MAI market, which will separate the service business from the real estate business that will help L.P.N. realize the true value of the business. services of more than 40% and also promotes sustainable growth strategies. In 2023, LPP had an income of approximately 1,560 million baht and a net profit of approximately 139 million baht, which represents an income growth rate of more than 80% and Grow net profits over 23% within 3 years.

Source:https://mgronline.com/stockmarket/detail/9670000016394

at 23/2/2024