AP sees 10% growth

BackSep 15, 2006

REAL ESTATE :Asian Property Development Plc expects its revenue to grow by 10-20% next year to between six billion and seven billion baht.

The extent of growth would depend on oil prices, which have a psychological effect on buying power, chief executive Anuphong Asavabhokin said yesterday.

AP's plan for next year was to shift to selling more condominiums priced from 2-6 million baht and reduce its ratio of detached houses, Mr Anuphong said.

He reiterated this year's revenue forecast of 5.5-6 billion baht, up at least 22% from 4.5 billion last year.

Growth would come from bookings of at least six billion baht, of which 2.2-2.3 billion would be booked this year, 3-4 billion baht next year and around one billion in 2008, Mr Anuphong said.

Despite high oil prices, AP was confident of maintaining this year's gross margin at 32-33%, lower than 35% last year, he said.

AP shares closed yesterday on the SET at 3.82 baht, unchanged, in trade worth 34.06 million baht. REUTERS

Source: Bangkok Post 15 September 2006