ANAN Records THB940 Million of Revenue in 3Q23 as Management Makes Haste to Evaluate ‘Ashton Asoke’ Case

Ananda Development Public Company Limited (SET: ANAN) has announced its 3Q23 consolidated financial statement through the Stock Exchange of Thailand as follows;

Total revenue in 3Q 2023 accounted for Baht 936.8 million, a decrease of Baht 23 million, or 2.5%, from the same period last year. This was mainly due to a decrease in Revenue from project management services and commission income of Baht 7 million, or 4.6%.

ANAN stated that revenue from sales of real estate was stable from the same period last year with, Artale Asoke – Rama9 project started project transfer in this quarter.

In 3Q 2023, total cost of goods sold accounted for Baht 941.4 million, increasing by Baht 322.9 million, or 52.2%, from the same period last year, mainly due to the company recognized a provision allowance for loss on diminution in project value added in cost of real estate sold an increase of Baht (323.6) million, or 67.2% from the same period last year. 

In addition, selling and administrative expenses in 3Q 2023 accounted for Baht 452.8 million, increasing Baht 44.2 million,or 10.8% from the same period last year.


As for the Ashton Asoke case, ANAN stated that at present, the company’s management is in the process of evaluating various approaches with relevant government agencies and confident that it will be able to rectify the issue of revocation of the construction intent notification receipt under the legal framework. However, the Company’s Management is suitably unable to determine the potential impacts financially on both the separate and consolidated financial statements of the Company for the three-month and nine-month periods ended 30 September 2023 until the clear determination from the government agencies is made.

The case of Ashton Asoke became a serious case for ANAN after the Supreme Administrative Court on July 27, 2023 issued a verdict in the first case, upholding the verdict rendered by the Central Administrative Court. As a result, the permit for construction and modification of the condominium project was revoked. The reason for the permit revocation is that the Mass Rapid Transit Authority (MRTA) is unauthorized to the use of its land as part of the Ashton Asoke Project’s entrance – exit because this action is considered contrary to the purpose of expropriation and is subject to rights reserved in access permit issued to the Project. Consequently, the use of such land violates the Ministerial Regulation No. 33 issued under the Building Control Act B.E. 2522, with retroactive effect to the date of permit issuance, but in case are potential alternative solutions available to resolve the issue without the need to demolish the building, and the Company is allowed to re-apply for a construction permit.

On 17 October 2023, representative residents of Ashton Asoke project submitted a letter seeking justice to the Ministry of Transport. The purpose of the letter was to request the MRTA to expedite the resolution of the project’s entrance and exit issues. On 24 October 2023, the Deputy Minister of Transport issued Ministry of Transport Rules No. 1109/2023 regarding the appointment of a working group responsible for addressing and seeking solutions to the problems faced by those affected by the permission to use the area of the MRTA. The working group will consist of representatives from relevant government agencies and will have the authority and duty to study information related to such issues in a complete and comprehensive manner in accordance with various laws, rules, and regulations including coordinating with relevant agencies to establish guidelines and recommendations for solving problems and mitigating impacts on affected individuals as soon as possible.