Haad Thip Public Company Limited Annual General Meeting 24 th April - - PowerPoint PPT Presentation

Haad Thip Public Company Limited Annual General Meeting

24th April 2019

(S31 Hotel, Bangkok)

1969 (2512) 1974 (2517) 1978 (2521) 1988 (2531) 1998 (2541) 2008 (2551) 2018 (2561)

53 MUC

1

MUC 23 MUC

Our 50-years Journey

“ from Nakornthip to Haad Thip”

15 MUC 6 MUC Haad Thip Today

• 2 production plants with 8 lines

& 3 injection machines

• 19 sales branches with 200

sales trucks

• Over 2000 employees
• 131 SKUs and 8 brands in the

product portfolio

2018 NEW PRODUCTs

Coke Plus Coffee

Sparkling

Mini Can Coke 300ml PET Fanta Dang Manao Soda Minute Maid Essential Minute Maid Doikham

Still

Namthip 350ml (Mar’19)

2018 KEY MILESTONES

• 3rd injection machine in operational (Oct’18)
• RTM Pre-sell expanded to Red Zone (100% completed)
• Salesforce automisation
• Vending machine pilot
• SAP upgrading (Mar’18)
• Additional SKUs certified for product carbon footprint (24 -> 34 SKUs)

South NARTD Market

• 5.7%
• 7.4%
• 5.3%
• 8.0%
• 11.8%

2.5%

• 0.3%

7.7%

• 5.0%
• 14.6%

Total NARTD Softdrink Drinking Water RTD Juice RTD Tea

% Volume Change

Y17 vs. Y16 Y18 vs. Y17

• 2018 NARTD Growth is mainly

driven by the growing drinking water category which has 48% contribution of total NARTD market.

• Several categories, i.e. Soft

drink, RTD Juice and Tea, had continued with negative volume growth for another year.

(Total Company +2.0%)

Y2018 Sales Performance

• 0.6%

+0.6% +5.5% +0.2%

• 3.1%
• 0.3%

5,671 5,704 1,519 1,402 1,404 1,379

FY17 FY18 Q1 Q2 Q3 Q4

Net Sales Revenues (MB)

• Good start in Q1 due to PY low base

(severe flood in Q1’17)

• But total year sales revenue grew only 0.6%

due to

• Slow economic recovery
• Inclement weather (rains) in the South
• Phuket boat accident (Q3)

CSD 92% Other Still 1% Water 7%

Volume Contribution by Category

+/- vs. PY

0.2% 21.4%

• 4.9%

CSD Water Other Still

Volume Growth by Category

Y2018 Financial Highlights

Sales Revenues had increased by 33MB (+0.6%) vs. PY, but still lagged behind sales volume growth (+2.0%) primarily due to change in category & pack mixes and ex-factory sales which has lower selling price. While, low volume growth had been in line with soft sparkling and NARTD market. Gross Profit had increased by 60MB or +3.2% vs. PY (GPM had improved from 32.9% to 33.7%),

• Sugar cost savings
• Tax savings
• Increased production volume
• Partially offset by increased resin cost

But Net Profit had declined by 34MB or -12% vs. PY (NPM had decreased from 5.0% to 4.4%), mainly due to increased SG&A exp.

• Human investment
• PP&E and IT capital investment
• PY Low base of sales & promotion exp.

5,671 5,704

Y17 Y18

Net Sales Revenue (MB)

1,864 1,924

32.9% 33.7%

31.0% 32.0% 33.0% 34.0% 35.0% 36.0% 1,800

Y17 Y18

Gross Profit (MB, % of NSR)

283 249

5.0% 4.4%

• 4.0%

6.0% 16.0% 26.0% 36.0%

• Y17

Y18

Net Profit (MB, % of NSR)

2018 Statement of Financial Position

+102MB (+5%)

Higher working capital required and increased trade AP to support growing business Total Liabilities

+149MB (+3%)

Capital investment to improve business operation and support expansion (injection machine, plant & warehouse building, SAP) Total Assets

+47MB (+2%)

Net profit generated for 2018 Total SH’s Equity

4,609 1,944 2,665 4,758 2,046 2,712

Total Assets Total Liabilities Total Shareholders' Equity 31Dec17 31Dec18

HTC Vision & Purpose

“Continually increasing profitable, sustainable unit case sales of our products by satisfying new and existing consumers through excellent service to and with our customers at an increasing return”

• 53 MUC Sales
• 5700 MB Revenues
• 24% NARTD share
• 84% Sparkling share

2018

2028

Increasing sales Increasing NARTD shares through portfolio expansion Increasing productivities

Thank You

• Q&A -