Opportunity Day Year 2017 Performance ICHITAN GROUP PLC. - - PowerPoint PPT Presentation

Opportunity Day

Year 2017 Performance

ICHITAN GROUP PLC.

Tuesday, March 20 th ,2018

at 11.20 am. -12.20 pm. at The Stock Exchange of Thailand

About Company

Contents

3

Overview Business Highlight New Product Q&A 1 2 3 4 Overview and Financial Highlight

ICHI Overview

Established the Company Conversion to Public Company Limited Listed and Trade in the SET Entered into joint venture in Indonesia Focused CLMV Countries CGR “Excellent” and Rated in “Dividend Universe” list Development

Year 2010 Year 2013 Year 2014 Year2014 Year2016 Year 2017 Year 2018

Established Mai Tan Co., Ltd.

• n 3rd September

with registered capital of 500 MB and issued 5,000,000 ordinary shares at the par value of 100 Baht per share. In the year 2011,changed the Name to be Ichitan Group .,Ltd. Conversion the Company into Public Company Limited, decreased par value from 100 Baht per share to 1 Baht 1 per share, and registered capital increase to 1,300 MB, divided into 1,300 million shares at the par value of 1 Baht per

• share. The

Company’s name was Ichitan Group PLC. Listed and traded

• n 21st April in the

Stock Exchange of Thailand(SET) with Stock’s symbol“ ICHI” Industry: Agro & Food / Sector: Food & Beverage. Also, registered capital (Fully Paid) 1,300 MB. 1,300 million Share.

On 27th August , entered into a joint venture with PT Atri Pasifik (“AP”) in Indonesia, in order to invest in PT Ichi Tan Indonesia (“PTI”), for distributing RTD beverage under branded “ICHITAN” in Indonesia. Holding share proportion of 50% in “PTI”. Registered capital 400,000 million IDR (about 1,184 MB) partial paid.

Focused entering into CLMV countries. Ranked in “Excellent” Corporate Governance Report of Thai Listed Companies (CGR) by IOD Rated in “Dividend Universe” list by the SET. Received “Marketing Excellent Award” in Indonesia.

• Focusing

CLMV countries

• New product

development

• Running new

production line

• Going to be

Sustainable

• rganization.

To be a leader in beverage business with both quality and innovation that grows along with the society.

Statement of Financial Position

ICHI

YoY (0.01)%

Unit : million Baht

YoY (10.6) % YoY 5.3 %

ICHI Financial Performance : Sale Revenue

YoY + 25.6% YoY + 6.5 %

Resulted from:

 Increased EXPORT sale volume.

Unit: million Baht

ICHI Financial Performance: Gross Profit

Unit: million Baht

YoY +83.3% YoY (3.0) %

ICHI Financial Performance: Net Profit

YoY +268.5 % YoY (14.5) %

Unit: million Baht

ICHI Financial Highlight

(Unit : million Baht)

• Year 2017

Year 2016 YoY% Q4/2017 Q4/2016 YoY % Revenues from sale of Goods

5,687.5 5,338.3 6.5 1,304.6 1,038.8 25.6

Total Revenues

5,719.0 5,266.1 6.7 1,311.1 954.8 37.3

Cost of Sell of Goods

4,334.7 3,943.9 9.9 982.0 862.8 13.8

Distribution Expenses (incl. Marketing&Promotion cost)

711.4 714.9 (0.5) 135.9 157.9 (13.9)

Administrative Expenses

174.5 202.6 (13.9) 64.6 74.3 (13.1)

Finance Costs

64.3 75.5 (14.8) 14.5 18.4 (21.2)

Total Expenses

5,284.9 4,936.9 7.0 1,197.0 1,113.4 7.5

Share of loss of investment in Joint venture

(144.3) (95.7) 50.8 (42.9) (61.4) (30.1)

EBITDA

877.3 918.1 (4.4) 219.4 25.3 767.2

Gross Profit

1,352.8 1,394.4 (3.0) 322.6 176.0 83.3

Net Profit (Loss)

315.1 368.5 (14.5) 93.2 (55.3) 268.5

Financial Ratio Profitability Ratio Selling (%)

12.5 13.4 (6.6) 10.4 15.2 (31.5)

Admin (%)

3.1 3.8 (19.2) 5.0 7.2 (30.8)

Gross Profit Margin (%)

23.8 26.1 (8.9) 24.7 16.9 46.0

Net Profit Margin (%)

5.5 6.9 (19.7) 7.1 (5.3) (234.2)

EBITDA (%)

15.4 17.2 (10.3) 16.8 2.4 590.5

Consolidated Financial Statements

Contents

10

New Product Q&A 1 2 3 4 Overview and Financial Highlight Overview Business Highlight

Industry Update : Beverage Business

Obstacle

• High competition
• Taxation

Trend & Opportunity

• Healthy product

ICHI RTD Tea market update

RTD tea Market Share Jan-Dec 16

• RTD tea market value 2017 was 13,237 million Baht.
• RTD tea market CAGR 0.09% in between year 2012-2017

Source: Nielson

12

Market value of RTD tea in Thailand

million Baht

RTD tea Market Share Jan-Dec 17

CAGR = 0.09 %

Others Jubjai

27.2% 13.2% 36.8% 6.6% 16.2%

YenYen Oishi JubJai Others

14,493

MB.

22.4% 10.4% 40.6% 5.6% 21.0%

YenYen Oishi

13,237

MB.

(Value -8.7%)

13

Business Update

8,780 MB (-11.6%) 2,116 MB (-26.2%) 891 MB (+14.6%) 1,450 MB (+58.10%)

Main Green Tea Herbal Tea Premium Tea Tea+Nata CoCo

13,237 MB

(-8.7% Value)

Tea Market size & %Growth by Segment Year 2017.

Increasing production capacity to 1,500 Bottles/year

PET Production (million Bottles/year) UHT Production(million Bricks/year)

OEM ratio has tendency to decrease continuously in the future after increasing production capacity in phase 2

2 2

Production Line

3 4 2 2 6 2 7

CAPEX = 800 MB In December,2017

15

58.00% 36.00% 4.20% Export 1.80%

5,338

MB 43.00% 26.00% 2.50% 1.50% 27.00%

5,688

MB

ICHI Sales by Brand / Export

Year 2016 Year 2017

45.0% 28.0%

ICHI Retail and Distribution Channel

1) Modern Trade 2) Traditional Trade

IGT (TT Retail) (Wholesaler network and partner of Singha nation wide)

Thailand : 73%

Export : 27.0 %

• CLMV: Cambodia , Lao PDR, Myanmar, Vietnam

Take note: % from total sales of beverage

16

January-December,2017 62.0% 8.0% 3.0%

ICHI Proportion of Income by Distribution Channel

17

Year 2016 Year 2017

The Impact of Excise & Sugar Taxes : ICHITAN Product

18

New Act

• Will pay for Excise tax 10% of

the recommended retail price (RRP) + Sugar tax X Baht per litre in regard to sugar content.

• Local tax

Previously Exempted Excise Tax Previously Exempted Excise Tax New Act

• หลังปรับสูตร “เย็น เย็น”
• Exempted Excise Tax
• Exempted Sugar tax
• Local tax

Previously Exempted Excise Tax New Act

• Exempting Excise Tax
• Will pay for Sugar tax X Baht per litre

in regard to sugar content.

• Local tax

Green Tea Yen Yen

Bireley’s

19

New Act

• Will pay for Excise tax 14 % of the recommended retail price

(RRP) + Sugar tax X Baht per litre in regard to sugar content.

• Local tax

Previously

• Paid for Excise Tax 22% of Ex-Factory price.

The Impact of Excise & Sugar Taxes : ICHITAN Product

ENERGY DRINK

Contents

20

Overview Business Highlight New Product Q&A 1 2 3 4 Overview and Financial Highlight

21

On shelf April 26th ,2018

LOGO ทางเลือกสุขภาพ : Green Tea

Logo : Healthier Choice Authorized by: Government Group: Beverage Objective: To give to beverage sugar

less than > 6 Gram/ml .

LOGO ทางเลือกสุขภาพ : Yen Yen

The 2017 Marketing Award, Indonesia

• PT. Ichi Tan Indonesia (ICHITAN), a leading RTD (Ready-to-Drink) company originally

from Thailand earned proudly achievement in the prestigious event in Indonesia, “Marketing Award 2017” which held in Jakarta, Hotel Mulia, Wednesday,13 September 2017.

Marketing Award is an interesting event to observe what companies in Indonesia faced and did especially in marketing.

TVC Thailand: Summer Campaign

TVC Indonesia: Thai Milk Tea

TVC Indonesia: Jutawan Campaign

TVC CLMV : CAMBODIA

Q & A

29

Contact: website : http:// www.ichitangroup.com Email: ir@ichitangroup.com

Download Presentation

Source: Prachachat Newspaper

Tax in regard to Sugar Content

31

14-18 Gram 6-8 Gram 8-10 Gram 10-14 Gram 0-6 Gram Over 18 Gram (per 100 ml.) (per litre) Exempt Tax 10 satang Tax 30 satang Tax 50 satang Tax 1 Baht Tax 1 Baht

Tax in regard to Sugar Content