CP Land, MQDC upbeat on rise in contributions

Real Estate September 10, 2018 01:00


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PROPERTY, ALBEIT a relatively new business of Thai conglomerate Charoen Pokphand Group (CP Group), contributes an average of Bt10 billion annually to the group's revenue. 

CP Land and Magnolia Quality Development Corporation (MQDC), the group's two property players, each brings in half of the amount. 

CP Group is involved in eight types of business activities in Thailand and overseas: agriculture and food processing, retail, telecom and communication, e-commerce and digital, auto, finance, property, and medicine manufacturing.

Agriculture and food processing, retail, telecom and communication are the main drivers of group revenue, generating Bt1.3 trillion in total income last year. 

Rise in property sales 

MQDC expects its total sales to reach Bt20 billion this year while CP Land estimates a double-digit rise in its 2018 revenue from the end of last year.

“Our business model places equal importance on recurring income and residential sales for sustainable growth,” said CP Land's president Sunthorn Arunanondchai.

Visit Malaisirirat, MQDC’s chief executive officer, said the company expects its 2018 revenue to reach Bt20 billion in view of the completion and unit transfers of several residential projects, including Icon Siam and Wizdom 101.

“Our business strategy will keep us on the path of sustainable growth. We will launch five to ten residential projects annually to drive our business,” Visit said.