WE WILL NOT STOP DEVELOPING OUR PRODUCTS AND SERVICES, AIMING TO CONTINUE PROVIDING LIVING SOLUTIONS AND “LIVE WELL, STAY WELL” TO OUR CUSTOMERS.

2022 was the year of creating growth through combining the strengths of the two core businesses, namely real estate business and healthcare business. At the same time, the Company also looking for new business opportunities from future trends by investing and forming business partnerships through adopting the use of Outside-in Innovation in the organization, with the focus on investing in innovative technologies that are able to support real estate business (PropTech) and healthcare business (HealthTech) while also ensuring sustainability (SustainabilityTech) in consideration of the environment, the society and corporate governance.

In the past year, Pruksa has transferred ownerships of over 8,000 housing units to customers. We not only wish for Thai people to be in possession of quality and affordable homes but in terms of earnings, the Company also wishes to bring in profits for the best interests of shareholders. Consequently, the revenue for the year 2022 was Bt28,640 million, similar to that of the previous year. Although the Company faced the challenges of supply chain crisis and labor shortage following the Covid-19 outbreak at the beginning of the year, the Company has speedily resolved these issues by the middle of the year and has streamlined expense management. This resulted in the Company’s profitability report totaling to Bt2,772 million, growing more than 17.8% from 2021, amidst the fluctuating market situation owing to Bank of Thailand’s constant raising of interest rates and high inflation.

Creating Synergy Between Two Businesses for Sustainable Growth

In terms of the readiness in presenting the residential projects of 2022, the Company is in possession of land plots which will be developed into projects with a total worth over Bt60,000 million and projects under development worth Bt69,932 million including completed projects waiting to be sold which customers can readily move in worth Bt16,043 million. However, we will not stop growing with just that. The Group is still searching for opportunities to purchase more land that will suit the needs of specific customer groups in order to grow in the next 4-5 years.

These include not only houses, as Pruksa also aims to provide good quality of life to its residents. The success from the opening of the first ViMUT Wellness Center in August at Pruksa Avenue @ Bangna-Wongwaen, under the motto of “Live Well, Stay Well” is the beginning of quality of life for both today and the future. We aim to enlarge and fully integrate Pruksa’s housing community into a wellness living community. We are the first company in real estate industry to develop residences from the process of design into healthy homes for every age group, including providing healthcare services through telemedicine in collaboration with ViMUT Hospital. It also established healthcare and rehabilitation services at the community health center, presenting the new ViMUT Life Link service which is a smart solution that assists users in reporting emergencies and receiving timely treatment. In addition, ViMUT introduced rehabilitation and healthcare center for families and the elderly for the purpose of holistic healthcare in aspects of preventive measures, health recovery and providing care to the elderly to promote sustainable growth of both the environment and the society.

Branding, Adjusting Work Process and Structure of Organization to Achieve Unlimited Potential

The Company focuses on increasing value to residential projects so that they are different and suitable to every age group, from the design and practical functions through universal design. We never stop growing and earning income, as the beginning of 2022, the Company has adopted the use of value engineering to facilitate the manufacturing process hollow core, new design ground beam, concrete joints, and also adopted the technology of “CarbonCure” to reduce manufacturing costs and expected carbon usage of over 1,000 tons per year, as well as pioneering the technologies of blockchain, e-procurement and streamline that reduces over 10,400 hours of labor.

In addition, the Company has modified its organizational structure, establishing “Inno Precast Company Limited,” and transferring Pruksa precast factory, which is a green “Zero Waste” precast factory and the first factory of Thailand that is low-carbon, from the management of Pruksa Real Estate Public Company Limited to Pruksa Holding Group. This is to increase efficiency and flexibility of the group’s management, accommodate business expansion, increase sales channels for precast concrete slabs and expand the network of future business partners.

Investment Strategy for Related Business by Adopting Innovation to Improve the Quality of Life

From its solid financial position with operational cash flow of Bt12,316 million, the Company has invested and paid back the debt burden, continuously reducing net gearing and increasing its financial strength to prepare for future fluctuations.

As for its investment strategy, the Company has started to improve plans for diversified investment for growth of core business and implemented the investment strategy of Corporate Venture Capital (CVC) to further its mission in innovation, adopting the use of outside-in innovation by jointly investing in PropTech and HealthTech startups and the business with sustainable growth and high potential both in Thailand and abroad. These investment include Naluri, a digital healthcare service provider that aims to develop healthcare technology and innovation; Amili, the first and only company in Southeast Asia with bio-technology on gut microbiome that has the most accuracy and Pathology Asia Holdings, one of the leading medical diagnosis service providers in Southeast Asia. In addition, the company has also invested in RealTech Ventures Fund, which is a development fund for real estate technology with an investment portfolio in new global technological innovation companies that have a positive impact on the environment.

Elevating Lifestyles with Business Expansion into Social Commerce

Social Commerce business is one of the growing industries that directly caters to the behavior of consumers. Pruksa Holding has established “Synergy Growth Company Limited,” which invests in “Pundai” platform and affiliate marketing network tools that assist in online trade with its all-in-one functions, selling to entrepreneurs via every online channel and suggesting goods and services from well-known and credible sources. In addition to catering to the lifestyle of today’s consumers, it also serves to help in creating jobs and driving the digital economy. To fully encourage the lifestyles and quality of life of the people, Pruksa Holding, in collaboration with CapitaLand Investment Group, world-class real estate investment manager from Singapore and Ally Logistic Property, Taiwan’s most advanced all-in-one service provider for intelligent inventory solution in the logistics industry, has jointly established “CapitaLand SEA Logistics Fund,” worth over Bt25,000 million, which operates seamless automated logistics in Southeast Asia to provide end-to-end services to customers. This collaboration not only serves to bring cutting-edge technology to ensure quality of life, but also boosts the Company’s strength in real estate business to further earn recurring income for the whole business group.

Commitment in Corporate Mission Along with Social and Environmental Development

This year is the first year the Company has led the startup nurturing project, “Accelerate Impact with PRUKSA,” to search and provide support for Thai social enterprises that are in need of support for business expansion with the purpose of helping companies that participate in the project to truly achieve their goal in creating a positive impact in society and environment development in accordance with the organization’s goals. In addition, the Company also launched a joint venture company, “Pun New Energy Company Limited,” in collaboration with Gunkul Engineering Public Company Limited to develop and create new strengths for Pruksa’s residential projects, with the purpose of selling and installing clean-energy solar roof to every Pruksa’s community, and to become the first company in the real estate development industry that adopts the use of “CarbonCure” to produce low-carbon precast concrete slabs, passing on good quality of life and clean environment to future generations. The Company attaches importance to always operating in accordance with its environmental, social and governance sustainable growth framework (ESG), enabling Pruksa Holding to be selected as part of Thailand Sustainability Investment (THSI) 2022 for 7 years. We also received the 3G Excellence in Sustainable Development Award 2022 and 3G CSR Leadership Award 2022 from an international stage, cementing the force of the Company’s corporate governance.

Year of Forming a Foundation to Provide Living Solutions and “Live Well, Stay Well” Quality of Life

The Board of Director has approved the payment of interim dividend at Bt0.31 per share on September 10, 2022 for the first half of 2022 performance and the payment of dividend at Bt0.65 on February 17, 2023 for the second half of 2022 performance, which is a total dividend payment of Bt0.96 per share, accounting for dividend yield of up to 7.4% and considered a high return in comparison with other companies in the same industry.

Despite the fact that in 2022, the economy and tourism that have not yet fully recovered, coupled with a global rise in inflation rates, have directly affected consumers’ purchasing power, we still strongly believe that the Company can drive both its real estate and healthcare businesses to steadily grow, as well as the investment in new businesses that has seen more prominent returns. We will not stop developing our products and services, aiming to continue providing living solutions and “Live well, Stay well” to our customers.

Dr. Prasarn Trairatvorakul
Chairman of the Board of Directors
Mr. Thongma Vijitpongpun
Group Chief Executive Officer
Mr. Uten Lohachitpitaks
Group Chief Executive Officer