Central Pattana Plc (CPN) earned profits of 1.27 billion baht on total revenue of 6.36 billion baht in the second quarter of 2021.
The company said both revenue and profits grew compared to the same quarter last year when the country had stricter lockdown measures in place, but its earnings reports continue to be heavily affected by the Covid-19 situation.
However, CPN said it has been able to maintain a strong financial status through efficient business management, and has continued to implement relief measures for tenants, employees and other stakeholders.
Naparat Sriwanvit, chief financial officer and senior executive vice-president for finance, accounting and risk management at CPN, said in this year’s second quarter the company was able to maintain its ability to manage with efficiency, despite the ongoing pandemic.
The company generated a total revenue of 6.36 billion baht and a net profit of 1.27 billion baht in the second quarter, which are both higher than last year’s second quarter, which was when the Covid-19 outbreak began in Thailand and the government initiated a nationwide lockdown.
“This year, the shopping centre business, which is the company’s core business, has been affected by the third outbreak of Covid-19, the severity of which is still a concern,” said Ms Naparat.
“However, the company is using a risk management approach and utilising its strength of having a nationwide network of shopping centres, some of which are still open, particularly those located outside of Bangkok in the provinces.”
At the same time, CPN has accelerated the development of new online and offline channels to increase convenience for customers and provide opportunities for shops to increase their sales.
This is being carried out together with efficient financial management, reduction and control of operational costs and expenses, retention of cash flow and liquidity at a sufficient level.
“The company continues to monitor, revise and adjust its business plans in accordance with the situation, with consideration given to all stakeholders, who are considered to be at the heart of the plans, which is a principle the company has always followed,” said Ms Naparat.
CPN has continued to implement health measures under its Central hygiene & safety master plan, while providing support to over 15,000 partners and entrepreneurs all over the country through rent reductions and exemptions for shops belonging to business types that were ordered closed by the government.
In addition, the company has helped its partners to access rehabilitation loans from seven banks.
For shop tenants, the company has adjusted its marketing strategies to help push sales, while developing new services and online platforms.
In the second quarter of 2021, CPN signed a deal to acquire shares of Siam Future Development (SF) from the former major shareholders of SF, in order to strengthen its business and expand its portfolio, which now contains two super regional malls, namely Central WestGate and Megabangna.
In addition, CPN is providing space for vaccination centres at 23 of its shopping centres around the country, accounting for a total space of 40,000 square metres.
In the second half of this year, the company plans to continue its support of its stakeholders and cooperate with the public sector on Covid deterence, while preparing to adjust its business strategies in accordance with the evolving situation.
CPN will continue to develop three mixed-use projects, Central Ayutthaya and Central Siracha, slated to be opened at the end of this year, and Central Chanthaburi, to be opened in mid-2022. The Dusit Central Park, a project jointly developed by Central Pattana and Dusit Thani, is expected to gradually open between 2023 and 2024.