13 Aug 2019 18:35:00
Management Discussion and Analysis Quarter 2 Ending 30 Jun 2019
Management Discussion and Analysis Company name : AQ ESTATE PUBLIC COMPANY LIMITED Year : 2019 Quarter : Quarter 2 Ending : 30-Jun-2019 Note : -Translation- SET. 020/2019 13 August 2019 Subject: Clarification of the operating result for Q.2/2019 To: Directors and the Manager The Stock Exchange of Thailand C.C. Secretary of the SEC Office The Board of Director meeting resolution of AQ Estate Public Company Limited No. 7/2019 on 13 August 2019 at 15.00 p.m. have the information list for the Board of Director consideration by notifying the resolution of Board of Directors meeting to the SEC office and approved the financial statements for Q.2/2019 ended 30 June 2019 which had already reviewed by the certified public accountant. The AQ Estate Public Company Limited hereby reported its operating results for Q.2/2019, the net loss amounted to 46.87 million baht which the net profit is 18.69 in the same period of 2018. The loss increased 65.56 million baht from prior year, causing the loss more than 20 % due to the following reasons. Unit: Million Baht Q2-62 Q2-61 Increase (Decrease) % Increase (Decrease) Revenues from Sales and Services 83.59 95.48 (11.89) (12.45) Cost of Sales and Services 84.06 77.17 6.89 8.93 Gross Profits (0.47) 18.31 (18.78) (102.57) Other Incomes 34.10 74.78 (40.68) (54.40) Expenses 80.54 74.42 6.12 8.23 Finance Costs 16.00 37.00 (21.00) (56.76) Profit (Loss) for the period (46.87) 18.69 (65.56) (350.78) 1. Revenue from sales and services of the company and its subsidiaries amounted 83.59 million baht in Q.2/2019, compared with the same period of 2018, amounting to 95.48 million baht, a decrease of 11.89 million baht or 12.45 %. In reference to the revenues from property sales amounted to 55.71 million baht in Q.2/2019 and in 2018, amounting to 73.82 million baht, a decrease of 18.11 million baht or 24.53% due mainly to houses sales had dropped. 2. Revenues from hotel businesses and services of company and its subsidiaries amounted to 22.35 million baht in Q.2/2019, an increase of 6.28 million baht or 39.09 % from the same period of 2018 due to hotels in Chiang Mai have improved their performance and the subsidiary company had opened service of Alix, Soi Soonwijai thus, resulting in more revenues. 3. Other incomes of company and its subsidiaries amounted to 34.10 million baht in Q.2/2019, a decrease of 40.68 million baht from 2018 or 54.40%. The main reason was that the company recorded penalty income for delayed product delivery in 2018. 4. Cost of sales and services amounted to 84.06 million baht in Q.2/2019, compared with the same period of 2018, amounting to 77.17 million baht, an increase of 6.89 million baht or 8.93 % because the subsidiaries company had increased cost of hotel business in 2019 by recording depreciation in newly opened hotel. 5. Gross profit of company and its subsidiaries amounted to (0.47) million baht in Q.2/2019, compared with amounting to 18.31 million baht in the same period of 2018, a decrease of 18.78 million baht, representing 102.57% due to the company has decreased sales of real estate in Q.2/2019 and the company recorded depreciation from new hotel business, which still had the insufficient income to cover with depreciation. 6. The total of selling and administrative expenses amounted to 80.54 million baht in Q.2/2019 In the same period of 2018 was 74.42 million baht, an increase of 6.12 million baht or 8.23% due to the company had reserved the provision employee benefits under labor law that retired employees changed from 300 days to 400 days. In reference to the reasons as mentioned above, the company and its subsidiaries had net loss in amount of 46.87 million baht in Q.2/2019. Please be aware and please spread further. Yours Sincerely, (Mr. Suthad Chankingthong) (Ms. Ranchana Rajatanavin) Director Director This announcement was prepared and disseminated by listed company or issuer through the electronic system which is provided for the purpose of dissemination of the information and related documents of listed company or issuer to the Stock Exchange of Thailand only. The Stock Exchange of Thailand has no responsibility for the correctness and completeness of any statements, figures, reports or opinions contained in this announcement, and has no liability for any losses and damages in any cases. In case you have any inquiries or clarification regarding this announcement, please directly contact listed company or issuer who made this announcement.