Quality Houses : Form 56-1 One Report 2022

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Contents
2	3	4			5	6
Vision and Mission	Financial Highlights	Message from	Report of the Board	Report from
	for the year	the Board	of Directors'	the Sub-Committees
	2020 - 2022	of Directors	Responsibility
15					for Financial Reports
The Board of Directors
and Executives
Section 1 Business Operation and Operating Results
17	52	56			70	84
1. Organizational	2. Risk Management	3. Driving Business	4. Management	5.		General
Structure and		for Sustainability	Discussion			Information and
Operation of the					and Analysis			Other Material
Group of Companies								Facts
Section 2 Corporate Governance
88	103				119	138
6. Corporate	7. Corporate Governance Structure	8. Report on Key	9.		Internal Control
Governance	and Significant Information Related to	Operating Results			and Related
Policy	the Board of Directors, Sub-Committees,	Related to			Party Transactions
	Executives, Employees and Others	Corporate
					Governance

Section 3 Financial Statements

155

Financial Statements

Attachments

225

Attachment 1

Details of Directors, Executives, Controlling Persons, the person assigned to take highest responsibility in Accounting and Finance, the person assigned to take direct responsibility for accounting supervision and the Company's Secretary

238	239	240
Attachment 2	Attachment 3	Attachment 4
Details of the	Details of the Head	Assets for Business
Directors	of the Internal	Undertaking and
of Subsidiaries	Audit	Details of Asset
		Appraisal

251	252
Attachment 5	Attachment 6
Corporate Governance Policy	Report of the Audit
and Code of Conduct	Committee

Remark: Investors can get more information form 56-1 One Report from by downloading from www.sec.or.thor www.qh.co.th

Form 56-1 One Report 2022

1

Vision and Mission

Vision

To be the leading real estate development company in providing the quality and

innovations of products and services for

customers in all target segments.

	Mission
Product and Service	Work Life Quality
Quality	• Create work environment and
• Create long-term competitive	culture, as well as improve
advantage by focusing on best	employee benefits to achieve
quality of products and services	maximum performance.
for customers in all target
segments.
• Focus on the innovations of
new products and services that
accurately respond to customer
needs.

Personnel

• Operate legally with transparency that can be monitored at every stage.
• Support and encourage employees to develop their potentials in various fields in accordance with their responsibilities.

Social Quality

• Social quality of the project:
  Focus on pleasant and environmental friendly living place, as well as providing convenience and safety for customers.
• Social quality of the surrounding community: Support and be responsible for surrounding communities where the company and its subsidiaries operate, as well as general society.

Investment quality

• Improve efficiency of company's operation and investment in order to achieve a sustainable growth in profitability.

2	Quality Houses Public Company Limited

Financial Highlights for the year 2020-2022

				(Unit	: Million Baht)
Summary of Financial Statements Information				2022
	2020		2021
Total Assets		47,667		46,236		43,626
Total Liabilities		21,099		19,251		15,793
Shareholders' Equity		26,568		26,985		27,833
Net Sales		9,138		8,119		9,226
Total Revenues		9,370		8,352		9,445
Gross Profit		2,820		2,418		3,129
Net Profit		2,123		1,670		2,396
		2020		2021
Financial Ratio				2022
Net Profit Margin (%)		22.7		20.0		25.4
Return on Equity (%)		7.9		6.2		8.7
Return on Assets (%)		4.3		3.6		5.3
Basic Earning per Share (Baht)		0.20		0.16		0.22
Dividend per Share (Baht)		0.12		0.10		n.a.
Debt to Equity Ratio (Time)		0.8		0.7		0.6
Book Value per Share (Baht)		2.48		2.52		2.60

	Total Assets		Total Revenues		Net Profit
47,667
46,236	43,626	9,370	9,445		2,396
	2,123
			8,352
						1,670

2020	2021	2022		2020	2021	2022		2020	2021	2022
	(Million Baht)				(Million Baht)				(Million Baht)

Form 56-1 One Report 2022

3

Message from the Board of Directors

Dear Shareholders,

In 2022, the global economic situation, including the Thai economy, began to improve due to the easing measures of each country after the COVID-19 pandemic. This led to a modest recovery of the tourism and hospitality sector, which was the main factor for the improvement of spending and consumption, along with the relaxation of LTV measures, which helped stimulate spending in the real estate sector.

The Company has focused on the development of low-rise residential projects because the customers in this group tend be real demand. In 2022, the Company launched 4 low-rise projects in Bangkok and vicinity areas with a total project value of Baht 7,598 million, which was higher

than in 2021. In addition, the Company's hotel business reported an improvement in performance from foreign and domestic tourists after the easing of COVID-19 measures. However, the rental space demand for the office rental business slightly dropped due to an increase of work-from-home behavior of tenants.

For the above reasons, the Company's revenue from the sales of real estate and rental and service income was Baht 9,226 million, an increase of 14%.The Company had a net profit of Baht 2,396 million, an increase of 43%, and an interest-bearing debt to equity ratio of 0.41 (compared to 0.56 in the year 2021).

The Company received an "Excellent" recognition level according to the Corporate Governance Report of Thai List Companies (CGR) survey program for 7 consecutive years and the Company's certification as a member of Thai Private Sector Collective Action Against Corruption (CAC) was renewed for the 2nd time.

On the issue of sustainable development, the Company adhered to the ESG management guidelines which cover environmental, social, and corporate governance and economic dimensions, under good corporate governance principles. Furthermore, in 2022, the Board of Directors appointed the Sustainable Development Committee to drive the Company to operate according to the policies and guidelines for sustainable development.

The Board of Directors, Quality House Public Company Limited, would like to thank all customers, shareholders, business partners, and all stakeholders who have always given continued support to the Company, as well as all employees who strived to perform their duties to the best of their abilities over the past year. The Company will continue to adhere to sustainable business operations under good corporate governance principles to create value for society and the maximum benefit of the Company and all stakeholders.

(Mr. Boonsom Lerdhirunwong)

Chairman

4	Quality Houses Public Company Limited