Pre-Built counts on renovation revenue

Chief executive officer Chaiyarat Thampeera said yesterday that the company’s customers were continuing to construct buildings because they are not in flood areas.
In the first nine months of this year, the company earned Bt88.23 million on revenues of Bt2.49 billion, up 112 per cent and 80 per cent respectively from the same period last year.
Of total revenues, 85 per cent or Bt2.13 billion came from construction, Bt351.1 million from PCM Construction Materials Co, Bt150 million from property firm Built Land Co and the remaining Bt0.52 million from property management firm Built Heart Co.
Pre-Built holds 100 per cent of its three subsidiaries.
The company believes that its contracting business will generate revenue of at least Bt500 million this quarter based on its Bt2.4-billion backlog, which will be converted to revenue this and the coming year.
Although total revenue will meet the target, the company’s net profit margin this final quarter may be thinner than the first nine months by about 1 percentage point because of rising costs for logistics and building materials.
“Normally, we have a net profit margin of about 10 per cent but the last quarter of this year may see only 9 per cent,” he said.
Built Land has to delay the launch its Bt126-million townhouse project in Nonthaburi called The Tempo Town from this month to next year.
“Although our project did not face flooding, we have to redesign it by increasing our landfill by about 30 centimetres higher than the main road to 70 centimetres. This will make sure that the project will survive a flood. This may increase our residential project price by 5-10 per cent from now,” he said.
Built Land is also developing four condominium projects worth a of total Bt1.3 billion. The first, The Tempo on Ruam Rudee, is all ready to transfer this year. The following three projects will transfer next year.