PS eyes B100bn sales by 2017

       PREUKSA REAL ESTATE'S SALES REVENUE AND TARGETS 2009: B17 billion 2017: B100 billion
       Preuksa Real Estate Plc (PS), Thailand's second largest residential developer, is aiming for annual sales of 100 billion baht by 2017, said chief financial officer Somboon Wasinchutchawal.
       The company forecasts sales this year of 17 billion baht, up from 13 billion baht last year. The company expects its new markets of India and Vietnam to each contribute one billion baht.
       PS estimates its growth, and that of other large property operators, to be at least 25-30% per year. The industry is set to grow only 5% this year but the slowdown is expected to hit small operators hardest.
       The company focuses on low-rise housing such as townhouses, detached houses and medium-rise condominiums.To meet its sales, PS aims to focus on other provinces such as Chon Buri and Phuket and on building abroad.
       PS is currently planning to start invest-ing in China, where it expects to begin operating next year. The company's investment in China will focus on mediumrise condominiums or townhouses in second-tier cities such as Tianjin, said Mr Somboon.
       "Land in China is very expensive and they don't give much permission to develop low-rise housing, but the demand for housing in China is high due to the large population and low number of developers," said Mr Somboon.
       An investment budget of 20 billion baht is projected for the next one or two years, he said. The company has no need to increase its capital, since it has enough operating cashflow for long-term investment.
       PS plans to launch 23 new projects this year. The company has spent 3.8 billion baht on land for 13 projects and expects to spend 2 billion on land for the other projects..
       The company's first-half revenue was 7.44 billion baht, up 34.9% year-on-year.Townhouses contributed 1.09 billion baht, detached houses 256.7 million and condominiums 558.8 million.
       Second-quarter revenue was 3.66 billion baht, up 11.4% year-on-year.
       Net profit for the first half of the year was 1.33 billion baht, up 41.3% year-onyear. The second quarter recorded 639.4 million baht, up 2.4% year-on-year.
       PS shares closed yesterday on the Stock Exchange of Thailand at 9.9 baht,down 60 satang in trade worth 19.967 million baht.