The way he sees it, property sales will drive growth, not hotel earnings. Management has stated that its residences arm will drive its Patmi growth in 2026 and 2027 due to strong sales in Thailand. Pre-sales of its projects in Phuket, Thailand, totalled $329 million in 2024 (+23% y-o-y) and while there should be a slight decline in 2025, the timing of revenue recognition could result in strong double-digit Patmi growth in 2026 and 2027.
UOB Kay Hian (UOBKH) is giving some attention to Banyan Tree Holdings in an unrated report dated Oct 7. Analyst Adrian Loh likes the stock for its strong brand equity for its hotels, as evidenced by numerous awards from Tripadvisor, Forbes and the Thailand Tourism Authority.
While the company’s hotel investments segment is often in the limelight, especially with the 2025 opening of the Mandai Rainforest Resort by Banyan Tree, Loh is in the view that the group's residences segment (or property development) that will generate earnings growth over the 2025-2027 period.
