Univentures eyes 31 projects
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Univentures eyes 31 projects

Kara on Rama VI Road is one of the 31 new Univentures projects this fiscal year.
Kara on Rama VI Road is one of the 31 new Univentures projects this fiscal year.

SET-listed Univentures Plc (UV), a property firm owned by the Sirivadhanabhakdi family, plans to develop 31 new projects worth a combined 38.2 billion baht in this fiscal year ending Sept 30, 2019.

Of the total, 25 projects worth 28.6 billion baht will be low-rise projects developed by SET-listed Golden Land Property Development Plc, one of its subsidiaries, and the remaining six projects valued at 9.6 billion will be high-rises by Grand Unity Development Co, another subsidiary.

Worawat Srisa-an, the company's president, said six projects were already developed in the first quarter of this fiscal year (October to December 2018), with eight projects scheduled for January to March, nine between April and June and the remaining eight from July to September.

Univentures plans to spend about 12 billion baht this fiscal year, some 20% higher than last year, to acquire new plots for low-rise developments. The budget to buy land for developing high-rise projects rises to 3 billion baht from 2.8 billion last year.

Mr Worawat expects to gain 38 billion baht in presales from new projects this year.

"I am optimistic about the upcoming general election because Thailand's political situation will become clearer," he said. "But the central bank's tightened loan-to-value ratio and an interest rate hike, as well as the global economic prospects, remain the key areas of concern."

But Mr Worawat insisted that the company's business is expected to stay intact, citing the fact that its customers represent real demand and are not speculative buyers.

The company aims to gain revenue of 25.8 billion baht in fiscal 2019, 83% of which will come from property for sales, 7% from property for rent and hotels, and 10% from other businesses (including zinc oxide).

Univentures had consolidated revenue worth a combined 21 billion baht in fiscal 2018 ending Sept 30, 2018, up 16% on fiscal 2017. Net profit rose 4.8% to 1 billion baht.

Of total revenue, 16.8 billion baht was from property for sale in both high-rise and low-rise segments, 1.68 billion from property for rent and hotels, 2.37 billion from other businesses, and 121 million from other income.

As of Dec 31, 2018, the company reported a total backlog of 10.2 billion baht, comprising 7 billion from low-rise projects and 3.2 billion from high-rises.

Mr Worawat said the company aims to enhance its business operations to comply with the core strategy for 2018-20 in several parts, including optimisation and diversification into new platforms such as single detached houses.

As part of the strategy, the company introduced a hotel in Buri Ram under the Modena brand. Modena's first phase with 152 rooms started operations last October.

An additional 150 rooms will open in the second phase. The company has also diversified into other services such as professional asset management, brokerage and construction to maximise efficiency.

UV shares closed yesterday on the Stock Exchange of Thailand at 7.20 baht, up 10 satang, in trade worth 14.8 million baht.

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