SET-listed Rojana Industrial Park Plc (ROJNA) expects flat sales of land next year as the weak economic outlook persists and curbs investment, says independent director Amara Charoengitwattanagun.
She said land sales in 2017 will remain at 400-500 rai, below the target of 500-600 rai announced earlier this year.
The global economy has not yet fully recovered and this will have an adverse impact on the Thai economy as well as investment, Mrs Amara said.
"The company expects next year's land sales to be flat as we have not seen any positive signs to help improve the economy and investment in Thailand," she said. "We cannot expect any rise in land sales and revenue."
Rojana plans to review its investment budget and investment strategy next month.
The existing business plan does not have the company expanding any projects next year. However, it will continue with the third phase of its 110-megawatt power plant, worth US$115 million.
Rojana will also continue with its plan to develop a combined 3,000 rai of land for industrial estates in Rayong and Chon Buri provinces.
"As global and domestic economies are uncontrollable and unpredictable, we want to have a conservative investment plan to be safe," Mrs Amara said.
She expects the government's massive investment in infrastructure projects to boost the country's investment in the economy eventually.
As a weak economic outlook remains, Rojana sees few of its clients ready to expand their business or start new investment projects, except for Chinese investors, Mrs Amara said. Because Chinese investors keep investing, the company plans to develop a new industrial estate to accommodate specifically this group in the future, she said.
Rojana posted a net profit of 39 million baht in the third quarter this year, rising from a net loss of 142.1 million baht in the same period last year.
For the first nine months this year, it posted a net profit of 10.3 million baht, well below 555 million from the same period the previous year.
ROJNA shares closed Friday on the SET at 4.54 baht, unchanged, in trade worth 2.64 million baht.