15 May 2020 17:05:00
Management Discussion and Analysis Quarter 1 Ending 31 Mar 2020
Management Discussion and Analysis Company name : AQ ESTATE PUBLIC COMPANY LIMITED Year : 2020 Quarter : Quarter 1 Ending : 31-Mar-2020 Note : -Translation- SET. 014/2020 15 May 2020 Subject: Clarification of the operating result for Q.1/2020 To: Directors and the Manager The Stock Exchange of Thailand CC: Secretary of the SEC Office According to the resolution of the Board of Directors' Meeting of AQ Estate Public Company Limited No. 5/2020 on 15 May 2020 at 15.00 p.m., the Board of Director have considered the information items that could notify the resolution of Boards' meeting to Office of the Securities and Exchange Commission of Thailand, is to consider and approve the financial statements for Q1/2020 ended 31 March 2020 and reviewed by the CPA successfully. AQ Estate Public Company Limited hereby reported its operating results for Q.1/2020 with net loss of 54.01 million baht and net loss of 43.61 million baht in 2019 for the period then ended, resulting in an increase in losses of Baht 10.40 million from the same period in 2019 and a loss of more than 20 % for the following reasons: Unit: Million Baht Q1-2020 Q1-2019 Increase (Decrease %Increase (Decrease) Revenues from Sales and Services 148.65 276.86 (128.21) (46.31) Cost of Sales and Services 140.85 234.25 (93.40) (39.87) Gross Profits 7.80 42.61 (34.81) (81.69) Other Incomes 22.09 32.93 (10.84) (32.92) Expenses 80.84 119.16 (38.32) (32.16) Financial Costs 1.39 0.04 1.35 3,375.00 Income Tax 1.67 0.01 1.66 16,600.00 Profit (loss) for the year (54.01) (43.61) (10.40) 23.85 Revenues from sales and services of the company and its subsidiaries amounted to 148.65 million baht for Q.1/2020, compared with amounting to Baht 276.86 million in 2019 for the period then ended, a decrease of 128.21 million baht or 46.31% due to the following reasons: 1. Revenues from sale of property was 100.97 million baht. In the year 2019 amounted to 241.80 million baht in for the period then ended, a decrease of 140.83 million baht or 58.24%. The main reason is that the number of house sales has decreased due to the effect of Coronavirus disease 2019 (COVID-19) outbreak situation. 2. Revenues from hotel operations and services of the company and its subsidiaries amounted to 41.99 million baht for Q.1/2020. In the year 2019 amounted to Baht 29.94 million baht for the period then ended, an increase of 12.06 million baht or 40.28% from the same prior period due to the operating result improved and the company has increased the hotel business from the same period in 2019. 3. Other incomes of company and its subsidiaries amounted to 22.09 million baht for Q.1/2020. In the year 2019 amounted to Baht 32.93 million baht for the period then ended, a decrease of 10.84 million baht from the same period in2019, representing 32.93%. The main reason is that interest income decreased in 2020. 4. Cost of sales and services amounted to 140.85 million baht for Q.1/2020, compared with amounting to 234.25 million baht in 2019 for the period then ended, a decrease of 93.40 million baht or 39.87% due to the sales decline. 5. Gross profit of company and its subsidiaries amounted to 7.80 million baht for Q.1/2020, compared with amounting to 42.61 million baht in 2019 for the period then ended, a decrease of 34.81 million baht, representing 81.69% due to the company had sales of real estate decreased in Q.1/2020. 6. Selling and administrative expenses were 80.84 million baht in 2020 and 119.16 million baht for the period then ended in 2019, a decrease of 38.33 million baht or 32.16% due to the increased personnel expenses and litigation costs due to the company has court fees, lawyer fees and leasehold rights of hotel at Samui for the year 2019. 7. Income tax of the company and its subsidiaries were 1.67 million baht for Q.1/2020 and 0.01 million baht for the period then ended in 2019, an increase of 1.66 million baht or 16,600%. For the reason mentioned above, the net loss of company and its subsidiaries amounted to 54.01 million baht for Q.1/2020. 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.