Frasers Property Ltd., controlled by Thai billionaire Charoen Sirivadhanabhakdi, has reported a 19% increase in attributable profit, reaching S$206.3 million (approximately $154 million) for the fiscal year ending September 30, 2024. This marks an increase from S$173.1 million in the previous year. The company's revenue also saw a nearly 7% rise, totaling S$4.2 billion, which surpassed analyst estimates of S$3.65 billion [28c2bca2].
The profit increase was primarily driven by higher residential contributions from markets in China and Australia, alongside valuation gains on properties located in Singapore and industrial real estate in Europe and Australia. However, the firm faced valuation losses on its commercial assets in the UK and Australia, indicating mixed performance across its portfolio [28c2bca2].
Despite the positive earnings report, Frasers Property's shares have remained largely unchanged this year, contrasting with a 15% rise in the Straits Times Index. This stagnation in stock performance highlights the challenges the company faces in the current market environment [28c2bca2].
Charoen Sirivadhanabhakdi, aged 80, has denied reports suggesting that he plans to sell control of the company, which is currently 87% controlled by TCC Assets Ltd. following a recent share swap. The company is now focusing on major projects, including One Bangkok and a joint residential project in Singapore, as part of its strategic growth initiatives [28c2bca2].
As Frasers Property navigates these challenges, its emphasis on expanding its residential and industrial real estate segments could play a crucial role in sustaining its growth trajectory in the competitive property market [28c2bca2].