The company primarily uses contractors for the construction of single-family homes and condominiums, including selecting and procuring raw materials. Real estate agencies assist in identifying land and development sites for acquisition, as well as potential customers. The company faces risks related to increases in raw material costs, particularly lumber, labor expenses, and the timely construction and delivery of projects, which may increase costs and affect business results. The availability, skill, and performance of contractors are essential to construction quality and scheduling. While the company maintains good relationships with contractors, it cannot guarantee their continued availability at reasonable rates.
Lead Real Estate Co Ltd's Comment on Supply Chain
The company primarily uses contractors for the construction of single-family homes and condominiums, including selecting and procuring raw materials. Real estate agencies assist in identifying land and development sites for acquisition, as well as potential customers. The company faces risks related to increases in raw material costs, particularly lumber, labor expenses, and the timely construction and delivery of projects, which may increase costs and affect business results. The availability, skill, and performance of contractors are essential to construction quality and scheduling. While the company maintains good relationships with contractors, it cannot guarantee their continued availability at reasonable rates.
Sources:
Lead Real Estate Co Ltd's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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