TITLE: Navigating the Trade War and Low Season! Transferring a 6 Billion Baht Big Project to Boost Backlog to 2.2 Billion Baht in Prediction of Long Stay Trends in Phuket.

The Phuket real estate market is fiercely competitive. TITLE, a developer, is employing a 75% upfront payment model to combat heightened tensions from the Middle East and the low season. The company achieved a staggering 1,358% profit growth in the first half of the year, and is actively delivering its major project, “Heritage Bang Tao,” driven by strong international demand and new flight routes. The company aims for 2569 billion baht in revenue by the end of 6,000.

10 August 2569 – Mr. Drong Hutajuta, Chief Executive Officer of Rompho Property Public Company Limited (TITLE), a subsidiary of AssetWise (ASW). The company revealed an overview of its performance during the first half of 2569 (January-June 2569), stating that it achieved outstanding growth in its financial results, with cumulative total revenue reaching 2,004 million baht, a 377% increase compared to the same period in 2568. Net profit also surged to 293 million baht, representing a growth of 1,358%.

The key driver of the overall performance growth comes from the revenue recognition structure of the gradual handover of newly completed condominium projects, "The Title Serenity Nai Yang," a 4,000 billion baht project, which achieved strong ownership transfer figures despite facing pressure from seasonal factors during the off-season in Phuket.

Financial structures battling the low season and the Middle East conflict.

Amid pressures from tensions in the Middle East and the onset of the tourist low season, TITLE continued to see a 15% increase in new sales in Q2 2569 compared to the same period last year. This growth was primarily driven by its financial risk management and accounts receivable management strategies prior to delivery.

Mr. Drong explained the cash retention strategy and strict customer contract controls, stating, "By structuring our payment system to collect 75% advance payment from customers before delivery, the cancellation rate is virtually 0% across all projects. This allows TITLE to consistently generate sales and revenue throughout the year, regardless of whether it's the high or low season."

Furthermore, having a long history of operating in the local real estate market serves as a safeguard for the business amidst increasingly fierce competition. โดย Mr. Drong said “With over 15 years of expertise in residential project development in Phuket, we know the area well, understand market needs, and are able to develop products that meet the expectations of both Thai and international customers. We also have a network of professional partners and agents of various nationalities who speak the same language as our clients, further building trust and confidence.”

Factors supporting the high season are driving demand for long-stay travelers and high net worth individuals (HNWIs).

For the real estate industry and purchasing power in Phuket in the second half of the year, positive factors are expected from the high season starting from the end of Q3 2569 until Q1 2570, which will see a clear recovery in the travel atmosphere. This will be supported by transportation infrastructure, including the government's promotion of amphibious aircraft services and the opening of more direct international routes, especially the London Heathrow–Phuket direct flight scheduled to open at the end of this year.

These positive factors, combined with Phuket's geographical strengths—including lifestyle amenities, international schools, plans to upgrade to a medical hub, and long-term visa policies—will be a significant attraction for tourists, high-net-worth individuals, those seeking long-term residency, and those looking for second homes.

Setting the stage for the transfer of a 6 billion baht mega-project – securing a backlog extending to 71.

Regarding revenue recognition plans for the second half of the year, TITLE is preparing to enter the transfer of ownership phase for large-scale projects. In Q3/2569, the company will continue to gradually deliver The Title Serenity in Yang project, along with beginning the transfer of ownership for highlight projects such as “The Title Heritage Bang Tao,” a 6,000 billion baht project which will be a key driver of revenue in the second half of the year, together with “The Title Cielo Rawai,” valued at 1,200 billion baht.

Continuing into Q4 2569, the company is expected to recognize revenue from its first luxury villa project, "The Title Villa Estella Nai Yang," valued at 500 million baht, which is currently 100% sold out and scheduled for completion by the end of the year.

As of the end of Q2 2569, the company had a strong accumulated sales backlog of over 22,981 million baht, which will be a key revenue base for continued growth until 2571.

Expand your recurring revenue stream to cope with fierce competition.

To mitigate the volatility of its real estate development business, the company has begun diversifying into the service sector to generate recurring revenue. It is preparing to launch its first beach club-style restaurant, "The Salute," later this year, following the successful opening of its Mingle community malls in prime locations such as Nai Yang Beach, Bang Tao-Cherng Talay, and Kamala.

Simultaneously, the company is collaborating with global partner IHG Hotels & Resorts to develop three new hotel projects, which will help increase the flexibility of its revenue structure and generate long-term cash flow.

Mr. Drong summarized the market overview and business objectives. that “Currently, the Phuket real estate market is highly competitive, but we still see growth opportunities from strong global demand. This is reflected in TITLE's consistent sales and transfers, giving us confidence that we can achieve our revenue target of 6,000 billion baht. However, TITLE aims for growth on a solid foundation. Therefore, we prioritize managing liquidity and maintaining financial discipline, coupled with closely monitoring all aspects of the situation to ensure TITLE is prepared for any opportunity and can adapt flexibly to all market conditions.”

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