Latest news with #Panote
Bangkok Post
09-07-2025
- Business
- Bangkok Post
Frasers expands its regional presence
Frasers Property, the Singapore-based property developer and management company of the Sirivadhanabhakdi family, is deepening its presence in Thailand, Vietnam and Singapore to build a resilient portfolio amid an increasingly uncertain global environment. Panote Sirivadhanabhakdi, group chief executive, said the trade environment is increasingly uncertain and conditional, prioritising domestic value creation and compliance with stricter origin rules. Thailand, Southeast Asia and Asia more broadly stand to benefit selectively from this transformation, he said. "In the longer term, we are optimistic about the growth drivers, including strong demographics, urbanisation and a rising middle class, all of which support long-term consumer demand and urban development, even as near-term uncertainties in the trade and geopolitical landscape introduce new layers of complexity and cost," said Mr Panote. But to realise this potential, stronger local ecosystems and integrated logistics will be needed, he said at a regional conference co-hosted by United Overseas Bank (UOB). "Our strategy is built on addressing long-term fundamentals, and we are deepening our presence in our key markets such as Thailand, Vietnam and Singapore to unlock more opportunities," said Mr Panote. The focus is on resilient asset classes amid ongoing macro-uncertainty, particularly for the industrial and logistics sectors, where growing emphasis on domestic production and traceable supply chains reinforces the need for real estate partners with scale, transparency and strategic reach, he said. Frasers Property is well-positioned to evolve with the supply chain recalibration, with roughly 3.8 million square metres of international-grade industrial and logistics warehouses operating in Thailand, Vietnam and Indonesia. In February, Frasers and joint venture partners unveiled ARAYA – The Eastern Gateway, which positions Thailand for the long term in terms of capturing opportunities from trade shifts, said Mr Panote. Spanning more than 4,600 rai, he said the estate provides a fertile seedbed of growth for the semiconductor, electronics, electric vehicle, pharmaceutical, logistics and data centre segments. "We view our role as a real estate investor-developer-manager to be more than just creating spaces. It is about fostering the right environment and playing field for companies and communities to grow and flourish," said Mr Panote. "Southeast Asia's story is still unfolding, and we believe it remains a compelling destination for investment and impact." A diversified presence across the region in industrial and logistics, residential, retail and commercial enables Frasers to contribute to its progress in several facets, helping to shape connected, liveable and sustainable cities of tomorrow, he said. "We remain mindful that success in the new global trade landscape will depend on adaptability, ecosystem resilience and the ability to create genuine local value," said Mr Panote. Last week, Frasers and UOB announced a strategic memorandum of understanding to jointly support industrial investment, trade promotion and financial facilitation for businesses expanding across Thailand, Vietnam and Indonesia. Under the agreement, Frasers Property Industrial Thailand provides general support for businesses investing in industrial space, including offering guidance on local policies, regulations and potential investment opportunities. UOB Thailand is offering financial solutions, including project financing, trade facilities and treasury services, leveraging its regional banking network to support cross-border investments. Frasers operates more than 3.48 million sq m of industrial facilities across Thailand, housing 946 factories and warehouses nationwide. In Vietnam and Indonesia, the company holds 140,000 sq m and 150,000 sq m of industrial space, respectively.
Business Times
09-05-2025
- Business
- Business Times
Frasers Property H1 profit rises 147.6% to S$142.2 million on one-off tax reversal
[SINGAPORE] Higher contributions from residential projects in Singapore, as well as a one-off reversal of tax provisions, pulled up Frasers Property 's first-half earnings – but the group said it will continue zeroing in on optimising capital efficiency. Speaking at an earnings briefing on Friday (May 9) morning, Frasers group chief executive Panote Sirivadhanabhakdi said: 'The most important priority now is building the right cash flow and maintaining the right costing… Our disciplined approach to optimise capital efficiency will allow us to continue to create, sustain and unlock value.' In the latest half-year ended Mar 31, 2025, the group posted a 147.6 per cent jump in profit to S$142.2 million, from S$57.4 million in the year-earlier period. This came as revenue rose 2.7 per cent to S$1.6 billion, from S$1.5 billion in the same period last year. Earnings per share rose to S$0.035, from S$0.009 in the previous corresponding period. No interim dividend was declared for the period, unchanged from the previous year. A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up The surge in profit was largely due to a one-off reversal of tax expenses amounting to S$6.1 million, said Frasers. Excluding the reversal, which is subsequent to finalisation, the group's profit was down 13 per cent year on year. This was mainly from a 14 per cent increase in net interest expense to S$281.5 million. Revenue also rose from the absence of an impairment on a UK commercial property, as well as higher contributions from residential projects in Singapore, such as its 158-unit Sky Eden@Bedok condominium and 777-unit Toa Payoh project, The Orie. In the half-year, Frasers sold 692 homes in Singapore, with S$0.4 billion in unrecognised revenue from 849 contracts on hand. At the same time, Frasers said it maintains a 'robust non-residential development pipeline', focusing on industrial and logistics assets across developed and emerging markets. For instance, the group has 10 assets under development in Australia and Europe, with six to be completed in FY2025, another three in FY2026 and one in FY2027. In total, the 10 span 2.6 million square metres. Panote highlighted that revenue generated from Frasers' residential developments ensure earning and cash flow visibility, while its 'strong build-to-core pipeline' of non-residential assets support the resilience of its recurring income base. '(This) robust portfolio asset management will drive returns and sustainable value (for shareholders) over the long term,' said the chief executive. 'The important part is for us to build up the performance of the company, back to where it has to be. It's not just about a quality portfolio, it's about quality earnings.' As at Mar 31, 2025, Frasers' net asset value per share was down 2.9 per cent to S$2.38. Net interest cover fell to 2.1 times, while net gearing ratio inched up to 88.5 per cent. Meanwhile, fixed rate debt, including those that were hedged, fell to 70.3 per cent. Its average weighted debt maturity was 2.6 years, with a 4 per cent blended cost of debt. Frasers group chief financial officer Loo Choo Leong highlighted that even though almost all figures on the balance sheet were in the red, they were still 'within acceptable levels'. Net debt over property assets stood at 44 per cent. Since the group's balance sheet was currently made up of more investment property assets, including its real estate investment trusts, Loo said this was 'still a decent enough level' from a loan-to-value perspective. He added that it was also a 'timing issue', since some of Frasers' capital partnerships that are already in place had yet to go through. When asked about a potential privatisation – similar to some of its peers, and given that Frasers appeared undervalued – Panote said shareholder decisions were beyond him. But he emphasised that Frasers will remain vigilant and proactive in assessing the health of its business and financial position. This includes ensuring it has the right operating model, and an 'enterprise mindset' to sustain value creation. 'We are closely monitoring the evolving macroeconomic conditions, and we are confident that Frasers Property is well-placed to navigate across the challenging times,' he said. Shares of Frasers Property were trading down S$0.01 or 1.2 per cent to S$0.80 on Friday at 11 am.
Business Times
09-05-2025
- Business
- Business Times
Frasers Property H1 profit rises 147.6% to S$142.2 million on tax reversal; revenue up 2.7%
[SINGAPORE] Higher contributions from residential projects in Singapore, as well as a one-off reversal of tax provisions, pulled up Frasers Property 's first-half earnings – but the group said it will continue zeroing in on optimising capital efficiency. Speaking at an earnings briefing on Friday (May 9) morning, Frasers group chief executive Panote Sirivadhanabhakdi said: 'The most important priority now is building the right cash flow and maintaining the right costing… Our disciplined approach to optimise capital efficiency will allow us to continue to create, sustain and unlock value.' In the latest half-year ended Mar 31, 2025, the group posted a 147.6 per cent jump in profit to S$142.2 million, from S$57.4 million in the year-ago period. This came as revenue rose 2.7 per cent to S$1.6 billion, from S$1.5 billion in the same period last year. Earnings per share rose to S$0.035, from S$0.009 in the previous corresponding period. No interim dividend was declared for the period, unchanged from the previous year. The surge in profit was largely due to a one-off reversal of tax expenses amounting to S$6.1 million, said Frasers. Excluding the reversal, which is subsequent to finalisation, the group's profit was down 13 per cent year on year. This was mainly from a 14 per cent increase in net interest expense to S$281.5 million. Revenue also rose from the absence of an impairment on a UK commercial property, as well as higher contributions from residential projects in Singapore, such as its 158-unit Sky Eden@Bedok condominium and 777-unit Toa Payoh project, The Orie. In the half-year, Frasers sold 692 homes in Singapore, with S$0.4 billion in unrecognised revenue from 849 contracts on hand. At the same time, Frasers said it maintains a 'robust non-residential development pipeline', focusing on industrial and logistics assets across developed and emerging markets. For instance, the group has 10 assets under development in Australia and Europe, with six to be completed in FY2025, another three in FY2026 and one in FY2027. In total, the 10 span 2.6 million square metres. Panote highlighted that revenue generated from Frasers' residential developments ensure earning and cash flow visibility, while its 'strong build-to-core pipeline' of non-residential assets support the resilience of its recurring income base. '(This) robust portfolio asset management will drive returns and sustainable value (for shareholders over the long term,' said the chief executive. 'The important part is for us to build up the performance of the company, back to where it has to be. It's not just about a quality portfolio, it's about quality earnings.' As at Mar 31, 2025, Frasers' net asset value per share was down 2.9 per cent to S$2.38. Net interest cover fell to 2.1 times, while net gearing ratio inched up to 88.5 per cent. Meanwhile, fixed rate debt, including those that were hedged, fell to 70.3 per cent. Its average weighted debt maturity was 2.6 years, with a 4 per cent blended cost of debt. Frasers group chief financial officer Loo Choo Leong highlighted that even though almost all figures on the balance sheet were in the red, they were still 'within acceptable levels'. Net debt over property assets stood at 44 per cent. Since the group's balance sheet was currently made up of more investment property assets, including its real estate investment trusts, Loo said this was 'still a decent enough level' from a loan-to-value perspective. He added that it was also a 'timing issue', since some of Frasers' capital partnerships that are already in place had yet to go through. When asked about a potential privatisation – similar to some of its peers, and given that Frasers appeared undervalued – Panote said shareholder decisions were beyond him. But he emphasised that Frasers will remain vigilant and proactive in assessing the health of its business and financial position. This includes ensuring it has the right operating model, and an 'enterprise mindset' to sustain value creation. 'We are closely monitoring the evolving macroeconomic conditions, and we are confident that Frasers Property is well-placed to navigate across the challenging times,' he said. Shares of Frasers Property were trading down S$0.01 or 1.2 per cent to S$0.80 on Friday at 11 am.
