Homepro

Executive Summary

Home Product Center Public Company Limited was established on June 27, 1995 with the initial registered capital of Baht 150 million, being a joint venture between Land and Houses Group and American International Assurance Co., Ltd. The Company has been listed on the Stock Exchange of Thailand since October 30, 2001. The Company was established with an objective to operate a retail business in home improvement segment by selling goods and providing complete range of services relating to construction, addition, renovation of buildings, houses, and residence places under the trade name of “HOMEPRO” which is the Company’s trademark. Rangsit branch is the first branch of the Company operating in September 1996. As of 31 December 2009, the Company has 35 branches in total, of which 17 branches are located in Bangkok and its vicinity and another 18 branches in upcountry provinces, which the location creates convenient access to customers. There were 2 newly opened branches in 2009, i.e. Phuket – Chalong, and Khao Yai.

Macroeconomics Analysis

Due to many positive factors such as accelerating exports, increasing tourism turnover and rising farm produce prices, the economy in 4Q10 grew better than expected. Those factors also helped reduce the effects of flooding so we expects that the 4Q10 GDP should report growth of at least 0.3 percent QoQ, seasonally adjusted, after contractions were seen for the two consecutive quarters (in 2Q10 and 3Q10). Meanwhile, GDP growth should raise to at least 3.5 percent YoY which is better than expected, and it helped to boost the 2010 GDP to grow 7.8 percent, beating the 2.3-percent contraction of 2009 when the global economy was facing recession.

As we entered 1Q11, the global economic situation, particularly in the USA and China, as well as in the EU, exhibited recoveries beyond analysts’ expectations. In addition, a depreciating Baht may well benefit Thai exports. We expects that our economy...