Central Pattana : Financial Report 2023

Imagining

Better Futures

For All

Financial Report

2023

(56-1 One Report)

No.1 Real Estate Developer in Sustainability Globally.

Central Pattana Public Company Limited

Location	32nd Floor, centralwOrld Offices,
	999/9 Rama I Road, Patumwan Sub-District, Patumwan District,
	Bangkok 10330, Thailand
Telephone	[phone]
Corporate Website	www.centralpattana.co.th
Registration No.	0107537002443
Establishment	June 17, 1980
Listed on the Stock	March 1, 1995
Exchange of Thailand (SET)
Business Overview	Develop and invest in Retail-ledMixed-use properties, comprising large-scale
	shopping centers, community malls, food court, office, hotels and residential for sales.
	In addition, the Company invest in other related business, in CPN Commercial
	Growth Leasehold Property Fund (CPNCG) and in CPN Retail Growth Leasehold REIT
	(CPNREIT) and is the property manager and REIT manager.
Contacts	Company Secretary
	Telephone: [phone] Ext. 1665 and 1685
	Email:	[e-mail]
	Investor Relations
	Telephone: [phone] Ext. 1614 and 1632
	Email:	[e-mail]

Shareholders' Meeting

The Annual General Meeting (AGM) will be held on April 25, 2024, at 11.00 a.m. via electronics means (e-AGM).

Contents

05	Reponsibility of the Board of
	Directors to the Financial Statements

06 Independent

Auditor's Report

10 Financial Statements

21	Notes to
	the Financial Statements

Financial Report 2023 (56-1 One Report)	5

Responsibility of

the Board of Directors to the Financial Statements

The Board of Directors of Central Pattana Public Company Limited ("the Company") is responsible for the consolidated financial statements of the Company and its subsidiaries as well as financial information as presented in the annual report. The financial statements are prepared in conformity with Thai Financial Reporting Standards (TFRSs) which are appropriately applied on a consistent basis. Conservation judgment and best estimate are adopted in this preparation. In addition, all important information is adequately disclosed in the notes to financial statements.

The Board of Directors has set up and maintained an effective internal control to reasonably ensure that all accounting records are accurate, complete and sufficient to secure its assets. Moreover, all possible weakness could be found to prevent fraud or material unusual transactions.

The Board of Directors has appointed the audit committee which comprises independent directors, to control quality of financial report and internal control system. The opinion of the audit committee on this matter has already been presented in the audit committee report.

The Board of Directors is of an opinion that internal control systems of the Company and its subsidiaries are in the satisfactory and sufficient level to reasonably build the confidence in the reliability of the consolidated financial statements of the Company and its subsidiaries as of December 31, 2023.

Mr. Sudhitham Chirathivat	Ms. Wallaya Chirathivat
Chairman	Director and Chief Executive Office

6	Financial Report 2023 (56-1 One Report)

Independent Auditor's Report

To the Shareholders of Central Pattana Public Company Limited

Opinion

I have audited the consolidated and separate financial statements of Central Pattana Public Company Limited and its subsidiaries (the "Group") and of Central Pattana Public Company Limited (the "Company"), respectively, which comprise the consolidated and separate statements of financial position as at 31 December 2023, the consolidated and separate statements of comprehensive income, changes in equity and cash flows for the year then ended, and notes, comprising a summary of significant accounting policies and other explanatory information.

In my opinion, the accompanying consolidated and separate financial statements present fairly, in all material respects, the financial position of the Group and the Company, respectively, as at 31 December 2023 and their financial performance and cash flows for the year then ended in accordance with Thai Financial Reporting Standards (TFRSs).

Basis for Opinion

I conducted my audit in accordance with Thai Standards on Auditing (TSAs). My responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated and Separate Financial Statements section of my report. I am independent of the Group and the Company in accordance with the Code of Ethics for Professional Accountants including Independence Standards issued by the Federation of Accounting Profession (Code of Ethics for Professional Accountants) that is relevant to my audit of the consolidated and separate financial statements, and I have fulfilled my other ethical responsibilities in accordance with the Code of Ethics for Professional Accountants. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Key Audit Matters

Key audit matters are those matters that, in my professional judgment, were of most significance in my audit of the consolidated and separate financial statements of the current period. These matters were addressed in the context of my audit of the consolidated and separate financial statements as a whole, and in forming my opinion thereon, and I do not provide a separate opinion on these matters.

Financial Report 2023 (56-1 One Report)	7

Revenue recognition

Refer to Notes 3 (r) and 22 to the consolidated and separate financial statements.

The key audit matter	How the matter was addressed in the audit
Revenue from rental and service are significant	Audit procedures included:
amounts in the financial statements. Those	- understanding the revenue recognition process by
revenues are based on a large number of lease
agreements and service agreements, which had a	inquiring these activities with the related
variety of terms and conditions and there are	management and reading sample of lease and
material amounts including rental and service	service agreements to understand the key terms and
discounts given to tenants. So, the accuracy and	conditions to assist in identifying the risks of
completeness of revenue recognition related to	inappropriate revenue recognition pertaining to the
lease and service agreements are areas of key audit	various revenue streams;
matter for my audit.	- testing of internal control over the revenue
	process including key manual controls,
	including but not limited to, the controls on the
	approval of lease agreements and changes to
	lease terms and the input of these information to
	the accounting system, controls on the invoice
	billings and collection processes, controls on the
	approval of rental discount granted and credit
	note issued;
	- testing of systems-based controls over the revenue
	process with assistance of KPMG IT specialists
	including testing of controls over system
	configuration of rental pricing data and billing
	process and the linkage to usage data that drives
	revenue recognition;
	- testing the recording of revenue from rental and
	service using sampling basis and comparing terms
	and conditions stipulated in the lease agreements
	with related documents including discount, testing
	calculation, collection; and
	- assessing the adequacy of the disclosure in
	accordance with the related Thai Financial
	Reporting Standards.

Other Information

Management is responsible for the other information. The other information comprises the information included in the annual report, but does not include the consolidated and separate financial statements and my auditor's report thereon. The annual report is expected to be made available to me after the date of this auditor's report.

My opinion on the consolidated and separate financial statements does not cover the other information and I will not express any form of assurance conclusion thereon.

2

8	Financial Report 2023 (56-1 One Report)

In connection with my audit of the consolidated and separate financial statements, my responsibility is to read the other information identified above when it becomes available and, in doing so, consider whether the other information is materially inconsistent with the consolidated and separate financial statements or my knowledge obtained in the audit, or otherwise appears to be materially misstated.

When I read the annual report, if I conclude that there is a material misstatement therein, I am required to communicate the matter to those charged with governance and request that the correction be made.

Responsibilities of Management and Those Charged with Governance for the Consolidated and Separate Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated and separate financial statements in accordance with TFRSs, and for such internal control as management determines is necessary to enable the preparation of consolidated and separate financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated and separate financial statements, management is responsible for assessing the Group's and the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Group and the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Group's and the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated and Separate Financial Statements

My objectives are to obtain reasonable assurance about whether the consolidated and separate financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with TSAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated and separate financial statements.

As part of an audit in accordance with TSAs, I exercise professional judgment and maintain professional skepticism throughout the audit. I also:

• Identify and assess the risks of material misstatement of the consolidated and separate financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's and the Company's internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

Financial Report 2023 (56-1 One Report)	9

• Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's and the Company's ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor's report to the related disclosures in the consolidated and separate financial statements or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor's report. However, future events or conditions may cause the Group and the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the consolidated and separate financial statements, including the disclosures, and whether the consolidated and separate financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. I am responsible for the direction, supervision and performance of the group audit. I remain solely responsible for my audit opinion.

I communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

I also provide those charged with governance with a statement that I have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on my independence, and where applicable, actions taken to eliminate threats or safeguards applied.

From the matters communicated with those charged with governance, I determine those matters that were of most significance in the audit of the consolidated and separate financial statements of the current period and are therefore the key audit matters. I describe these matters in my auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, I determine that a matter should not be communicated in my report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

(Vannaporn Jongperadechanon)

Certified Public Accountant

Registration No. 4098

KPMG Phoomchai Audit Ltd.

Bangkok

29 February 2024

10	Financial Report 2023 (56-1 One Report)

Central Pattana Public Company Limited and its Subsidiaries

Statement of financial position

		Consolidated financial	Separate financial
		statements	statements
		31 December	31 December
Assets	Note	2023	2022			2023	2022
				(in Baht)
Current assets
Cash and cash equivalents	5	3,168,527,544	3,246,195,440			1,968,150,434	2,101,004,972
Trade accounts receivable	4, 6	2,217,131,443	2,915,054,303			1,464,589,409	1,754,352,288
Other receivables	4	1,760,247,833	2,482,759,488			1,772,300,810	2,242,484,345
Current portion of finance lease receivables		27,320,466	27,598,919			3,057,585	2,967,331
Real estate development for sales	7, 16	16,432,026,018	13,666,532,743			-	-
Short-term loans to related parties	4	49,801,667	29,581,593			806,488,892	683,488,984
Other current financial assets	28	1,890,873,705		2,874,488,061			3,130,000		873,853,805
Total current assets		25,545,928,676	25,242,210,547			6,017,717,130	7,658,151,725
Non-current assets
Restricted bank deposits	16	1,000,000	1,000,000			-	-
Other non-current financial assets	28	4,795,810,755	3,284,750,961			1,311,650,585	1,751,436,968
Investments in subsidiaries and fund	9	-	-			32,307,884,997	32,307,884,997
Investments in associates	8	8,550,976,244	8,393,170,011			9,361,581,038	9,399,168,022
Investments in joint ventures	8	32,571,530,779	31,882,427,902			5,840,753,110	5,840,753,110
Finance lease receivable	4, 30	20,980,434,402	19,576,560,509			258,958	3,316,544
Long-term loans to related parties	4	1,159,942,169	1,030,629,740			67,587,854,693	64,938,185,151
Investment properties	11, 16	170,975,918,512	168,701,806,660			84,612,541,930	84,285,569,327
Property, plant and equipment	12	4,821,628,622	4,005,430,710			487,810,081	530,537,026
Goodwill	14	1,290,875,152	1,290,875,152			-	-
Deferred tax assets	25	3,515,920,829	3,413,013,231			2,292,880,751	1,971,306,728
Other non-current assets	4, 15	5,662,757,884		5,870,052,122			1,016,306,966		1,229,769,892
Total non-current assets		254,326,795,348		247,449,716,998			204,819,523,109		202,257,927,765
Total assets		279,872,724,024	272,691,927,545			210,837,240,239	209,916,079,490

The accompanying notes form an integral part of these financial statements.