In 2015, there were several factors that affected the overall real estate business, be it the condition of the domestic economy that has not recovered due to the effects of drought, the export slowdown and the financial institutions' increasing restriction on granting housing loans as well as the volatility of the global economy. In circumstances with such negative factors, there were also positive elements such as lower interest rate, stable construction costs and government's measures to reduce ownership transfer fee and the mortgage of real estate of the state sectors. As a result, the Company and its subsidiaries could sell up to Baht 23,011 million dividing into 51% of condominiums, 49% of low rise with the launch of 26 projects divided into 19 low rise projects and 7 condominium projects. Accordingly, there has been total revenues of Baht 21,523 million, a net profit of Baht 4,537 million, the gearing ratio of approximately 95% and the average rate cost of fund of 3.4% per year with the asset growth of 24% and the shareholders' equity growth of 14%. The Company continued to maintain its credit rating from international rating agency, TRIS at the level of A / Stable.
In such year, the Company has studied and invested cautiously, both in Bangkok and its vicinities and continued to extend its investment to various provinces which are the region's business hubs and tourist destinations. These are mostly low rise projects in selective provinces such as Chiang Mai, Surat Thani, Songkhla, Phuket, Nakhon Si Thammarat, Udon Thani, Khon Kaen, Ubon Ratchathani, Nakhon Ratchasima, Chonburi and Rayong. Besides domestic market, the Company jointly invested with local partners to develop residential projects abroad such as in Australia and the Philippines where the actual operational results are better than expected. The Company, therefore, plans to further expand its overseas investments in the future.
At present, the Company's Group has approximately 103 projects under its development, both in Bangkok, its vicinities and other provinces worth more than Baht 127,390 million with the backlog revenues of approximately Baht 37,879 million. Also, to support the growth of the organization at present and in the future, the Company has implemented the Enterprise Resource Planning System (ERP) or the resource management of the organization for developing working systems of all departments of the Company so as to achieve maximum efficiency and strengthen the Company as well.
Throughout the past years, the Company has proved itself a professional developer having well developed leading real estate projects with expertise in both low-rise and high-rise buildings. It is still committed in creating green design houses, that is, comfortable and modern style homes focusing on the use of every square meter with energy saving systems, such as lighting, air conditioning including the choice of materials and equipment that enable energy conservation and are environmentally friendly like autoclaved aerated concrete, tinted glass, heat insulation, LED light bulbs, water-saving toilet fixtures, vinyl roof for attic air ventilation, etc.
The design of the building based on the concept of Smart Growth derived from the location of the project that is ready to grow along with the facilities to be available in the neighborhood such as the BTS and so on. Also, there has been a development of homes in modern styles by using good and standardized construction materials, while the services must be developed both before and after delivery of goods under the international quality standard ISO 9001: 2008. Also, priority has been given to the care and development of new warm society with safety so as to be consistent with the Company's mission, that is, "to create and develop innovation for good operational results and sustainable growth".
Throughout the year 2015, the Company won many honorable awards from leading organizations which reflects fair and transparent real estate development business with sustainable growth of the organization. The awards of our pride this year are shown below.
The awards presented to the management potential of the Company comprise the "Best Under A Billion Award" given by Forbes Asia according to the profitability, continued growth rate and future business opportunities; the "Thailand Sustainability Investment Award" or "Sustainable Equity of 2015 Award" of the Stock Exchange of Thailand, which is given to listed companies with outstanding and sustainable business operations that create positive impact on the society. Also, the Company has received excellent CG scores.
The award representing Corporate Social Responsibility is for "Outstanding Business Operator with Center for Receiving Complaints and Providing Consumers with Solutions" given by the Office of Consumer Protection Board, and the Company has received this award two times consecutively.
The award representing the leading developer of quality and excellent products is the "Energy Conservation Award 2014". It is given to real estate developer who gives priority to the design of homes to conserve energy and be a good example for the society, and the "BCI Asia Top 10 developers Awards 2015", of which the Company has received five times consecutively. It is the award given to real estate developers of Thailand, who have outstanding and environmentally friendly construction works.
Last but not least, the Board of Directors of Supalai Public Company Limited would like to sincerely thank you all stakeholders for support and trust so the Company could be continually successful in business operation with security and sustainability. Please be confident that the Board of Directors will continue its commitment and dedication to supervise the Company to carefully operate its business by adhering to the principles of integrity, transparency, good governance and ethics, while fully complying with the laws in order to be a leading company with security and sustainable growth, and thereby creating good homes for the Thai society.
Dr. Prateep Tangmatitham
Chairman of the Board
Supalai Public Company Limited