Bangkok--Nov 21--BrandComm Consultants
Hemaraj Land And Development Plc, Thailand’s leading developer of
industrial estates, recorded an operating revenue of Bt 1,916.3 million or
17% more than the previous year during the nine-month period ending 30
September 2005 by virtue of an 87% growth in SME factories business and a sizable
recognition of revenue from its high-end condominium project — The Park Chidlom.
Hemaraj’s net income from its operating business during the same period
increased 9 % to Bt 386.4 million in 2005. Although industrial estate development
has been the core business of Hemaraj, SME factories for lease and sale, which
recorded an 87% growth during the period, contributed Bt 202.65 million to the
operating revenue of the company. In all, the company signed 12 new contracts
with small and medium entrepreneurs - seven for lease and five for sale of SME
factories.
The company reported industrial land sales of 516 rai with 33 contracts,
14 with new customers and 19 with existing customers intending to expand. By virtue
of the new contracts, its industrial clients’ base rose to 303 with 100 automotive
customers. The company recognized a revenue of baht 535.7 million from The Park
Chidlom during 9 months, with 146 units valuing Baht 3,748 million being sold.
Commenting on the operating results, Hemaraj’s President and Chief
Executive Officer Mr. David Nardone said, “Our broadened property development
strategy has increased the predictability of the company’s revenue, while
maintaining a strong balance sheet. We have seen substantial contribution from
The Park Chidlom to our bottom line, improving our profitability and revenue
growth. The gross profit margin during the nine-month period has been consistent
at 42%, while the EBITDA margin stood at 29%, both levels exceeding industry
margins.”
The company’s flagship Eastern Seaboard Industrial Estate (Rayong),
which is dubbed as the “Detroit of the East”, is home to some 100 automotive
manufacturers, including makers of auto parts, accessories and appliances. Set up
on an extent of 8,048 rai in Rayong, the industrial estate serves as an automotive
cluster offering location and logistic advantages to several auto manufacturers
and allied industries. Currently, 303 rai of land is being developed under the
sixth phase, while the Free Zone meant for export oriented industries has already
been sold out.
As an extension to ESIE, the company launched Hemaraj Eastern Seaboard
Industrial Estate (Hemaraj ESIE) to promote the concept of automotive and export
clustering. With as much as 9,759 rai area, Hemaraj ESIE doubles Hemaraj’s land
bank on Eastern Seaboard. The first phase development of 1,700 rai is now ready
for sale. Around 700 rai of the first phase development will be dedicated to Free
Zone.
So far, Hemaraj has built more than 80 SME factories with a combined
extent of over 150,000 sq m. “With the predicted fast growing demand in
ready-built factory leasing, Hemaraj sees a promising potential in the segment
which will continue to steadily contribute to the company’s operation”, said
David.
The company plans to develop S I L Industrial Land (Saraburi) as an
electronics and logistics cluster in line with its location advantages. S I L is
strategically located in central Thailand on the border of Saraburi and Ayuthaya
provinces and is just 30 minutes away from the Bangkok International Airport.
With well-connected highways and rail networks, Saraburi is the gateway to every
part of Thailand making it ideal for S I L to be developed as logistics hub.
With an extent of 3,655 rai, S I L Industrial Land (Saraburi) offers
BOI Zone II incentives. Currently it is home to some 40 companies representing
10 countries. The potential of S I L as electronics cluster is also unbeatable
as the area surrounding S I L enjoys a well-established human resource and is in
proximity to several R&D centers, including Asian Institute of Technology (AIT).
In terms of water, there is abundant water supply from Pasak Cholasith Dam.
A Free Zone of 428 rai will be available at S I L early next year.
Meanwhile, the construction of The Park Chidlom, the high-end residential
condominium launched by Hemaraj, is going on at a brisk pace and is expected to be
completed on schedule. The transfer of titles to the buyers of residential units
of the twin-tower condominium is expected to begin as scheduled from October 2006.
So far, 24 floors of the 28-storey Chidlom Tower and 27 floors of the 35-storey
Somkid Tower have been completed.
The company received BBB+/Stable rating from TRIS in the third quarter
of this year. The Board of Directors has approved Baht 0.02 per share interim
dividend to be paid within 13 December 2005. The date of book closing is 30
November.
About Hemaraj
Hemaraj Land And Development Public Company Limited is Thailand’s
leading developer of industrial estates, utilities, property and infrastructure
customer solutions. Founded in 1988 and listed on the Stock Exchange of Thailand
in 1992, today Hemaraj has assets of approximately Baht 8,600 million (USD 210
million) with an appropriate financial structure and a global customer base.
Hemaraj currently has six industrial estates/zones under management/development
which are Hemaraj Chonburi Industrial Estate, Hemaraj Eastern Industrial Estate
(Map Ta Phut), Eastern Seaboard Industrial Estate (Rayong), Hemaraj Eastern
Seaboard Industrial Estate, Rayong Industrial Land and S I L Industrial Land
(Saraburi). These represent 32,000 rai under development, industrial clusters for
petrochemical automotive and other industries, with 320 customers including 100
automotive customers, direct employment for 40,000 people and a customer
investment estimated at USD 10 billion. The Hemaraj strategy is to create
long-term shareholder value achieved through focused and appropriate strategic,
business, governance and financial disciplines. This long term value can be
realized by demonstrating and communicating respect for its customers, employees
and stakeholders while consistently behaving in a manner that is communally,
ethically and environmentally responsible. Hemaraj’s business has evolved from
17 years of experience in the development of industrial estates, utilities, SME
Factories for Rent and Sale and high-end residential condominium “The Park
Chidlom”.
For further information concerning Hemaraj Land And Development Plc.,
please visit our website at www.hemaraj.com or contact by email at
[email protected]
Mr. David R. Nardone Mr. Paopitaya Smutrakalin Ms. Chantana Hinkaew
President & CEO Director, Investor Relations Director, Corporate Marketing
Hemaraj Land And Development Plc. Hemaraj Land And Development Plc. Hemaraj Land And Development Plc.
18/F UM Tower, 9 Ramkhamhaeng 18/F UM Tower, 9 Ramkhamhaeng 18/F UM Tower, 9 Ramkhamhaeng
Suanluang, Bangkok 10250, Thailand Suanluang, Bangkok 10250, Thailand Suanluang, Bangkok 10250, Thailand
Tel: 662-719-9555 to 9 Tel: 662-719-9555 to 9 Tel: 662-719-9555 to 9
Fax: 662-719-9546 to 7 Fax: 662-719-9546 to 7 Fax: 662-719-9546 to 7
Email: [email protected] Email: [email protected] Email: [email protected]
www.hemaraj.com www.hemaraj.com www.hemaraj.com
Or contact:-
BrandComm Consultants Co., Ltd.: Tel. 0-2645-0171
Ms. Pailin Buranamittranond / Ms. Nattapat Chotipitakkul End.