Message from Chairman

In 2023, Thailand's economy was forecasted to grow by 1.8%, a decrease from the 2.6% expansion observed in 2022. This slowdown was attributed primarily to a reduction in industrial sector production, especially in automotive and computer electronics. Consequently, the country's export value was expected to decline by 1.5% per annum due to weakened demand, while import value was projected to decrease by 1.9% per annum. The Thai Baht experienced fluctuations throughout the year, depreciating in the first three quarters and appreciating in the fourth. These movements were influenced by several factors, including the Federal Reserve's increasing interest rates, economic challenges in China, and Japan's relaxed monetary policy. (Source: Fiscal Policy Office, Ministry of Finance).

In 2023, the real estate sector faced several challenges, including the Bank of Thailand's decision not to extend the Loan-to-Value (LTV) relief measures, impacting potential buyers of second and third properties since late 2022. Additionally, high levels of household debt and rising interest rates diminished the purchasing power of prospective homebuyers, adversely affecting the Company's business.

In 2023, data from the Real Estate Information Center indicated an 8.8% decline in the total number of property ownership transfers in the Bangkok Metropolitan Region compared to 2022. Analysis by property type showed a decrease in ownership transfers across all categories by 10-14%, with the exception of condominiums, which saw a smaller decline of 4.4%. Additionally, the overall value of ownership transfers for residences fell from the previous year, with townhomes experiencing the largest drop at 9.0%, followed by twin houses at 6.1%. In contrast, condominiums saw a slight increase in transfer value by 0.4%. However, the average value per ownership transfer unit overall rose by 5.0%, led by commercial buildings with an 11.0% increase and single houses at 9.8%. The year also saw a reduction in newly granted housing loans for the general public and real estate developers compared to 2022.

In 2023, Sammakorn Public Company Limited and its subsidiaries reported total revenues of 2,003 million Baht, marking a 16.68% decrease from the previous year. The total net profit for the year was 34.70 million Baht, which represents a 69.18% decline from 2022, and the Earnings per Share at 0.05 Baht. The Company's revenue primarily originated from its real estate sales business, accounting for 87.77%, with leasing and service businesses contributing 10.08%. During the year, Sammakorn launched two single-house project developments. Additionally, the company expanded the rental area of Mueang Eke Market in its rental business sector and opened a new branch in its food and beverage sector, with plans to open more branches to boost sales volume.

In 2023, the Company continued to prioritize the review of each Board/Committee's Charter and the refinement of its strategic direction, including vision, mission, and governance practices, to ensure alignment with its goals. Furthermore, the Company emphasized sustainable development across environmental, economic, and social dimensions to support its long-term business sustainability. This approach integrates business operations with sustainable development initiatives.

For 2024, the Company anticipates continued, steady growth in the Thai economy, though it acknowledges the need for close monitoring of government policies and measures that are key to stimulating economic recovery and navigating financial policy fluctuations. The Board of Directors places a strong emphasis on risk management, investment strategies, internal management, and sustainable operations. They express deep gratitude to shareholders, customers, employees, business partners, financial institutions, and all stakeholders for their ongoing support. The Board commits to managing the Company with integrity and good governance, aiming for stable, sustainable growth, and upholding the Company’s esteemed reputation.