Q4|2018 PERFORMANCE RESULTS PRESENTATION FOR INVESTOR & ANALYST - - PowerPoint PPT Presentation

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Q4|2018 PERFORMANCE RESULTS PRESENTATION FOR INVESTOR & ANALYST - - PowerPoint PPT Presentation

Q4|2018 PERFORMANCE RESULTS PRESENTATION FOR INVESTOR & ANALYST DISCLAIMER The informat ion cont ained in t his present at ion is for informat ion purposes only and does not const it ut e an offer or invit at ion t o sell or t he solicit at


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SLIDE 1

Q4|2018 PERFORMANCE RESULTS

PRESENTATION FOR INVESTOR & ANALYST

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SLIDE 2

The informat ion cont ained in t his present at ion is for informat ion purposes only and does not const it ut e an offer or invit at ion t o sell or t he solicit at ion of an offer or invit at ion t o purchase or subscribe for share in S iamgas and Pet rochemicals Public Company Limit ed (“ S GP” and shares in S GP, “ shares” ) in any j urisdict ion or should it or any part of it form t he basis of, or be relied upon in any connect ion wit h, any cont ract or commit ment what soever. This present at ion may include informat ion which is forward-looking in nat ure. Forward- looking informat ion involve known and unknown risks, uncert aint ies and ot her fact ors which may impact on t he act ual out comes, including economic condit ions in t he market s in which S GP operat es and general achievement of S GP business forecast s, which will cause t he act ual result s, performance or achievement s of S GP t o differ, perhaps mat erially, from t he result s, performance or achievement s expressed or implied in t his present at ion. This present at ion has been prepared by t he S

  • GP. The informat ion in t his present at ion

has not been independent ly verified. No present at ion, warrant y, express or implied, is made as t o, and no reliance should be placed on, t he fairness, accuracy, complet eness or correct ness of t he informat ion and opinions in t his present at ion. None of t he S GP or any

  • f it s agent s or advisers, or any of t heir respect ive affiliat es, advisers or

represent at ives, shall have any liabilit y (in negligence or ot herwise) for any loss howsoever arising from any use of t he present at ion or it s cont ent s or ot herwise arising in connect ion wit h t his present at ion. This present at ion is made, furnished and dist ribut ed for informat ion purposes only. No part of t his present at ion shall be relied upon direct ly or indirect ly for any invest ment decision-making or for any ot her purposes. This present at ion and all ot her informat ion, mat erials or document s provided in connect ion t herewit h, shall not , eit her in whole or in part , be reproduced, redist ribut ed

  • r made available t o any ot her person, save in st rict compliance wit h all applicable

laws.

DISCLAIMER

2

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SLIDE 3

AGENDA

3

  • Business Overview
  • Thailand Business
  • Oversea Business
  • Financial Results
  • Business Outlook
  • Q & A
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SLIDE 4

6.5% 17.9% 14.3%

SHAREHOLDING STRUCTURE

Latest book closing : On 31 AUG 2018

MANAGEMENT PUBLIC Fund

61.3% 38.7%

4

Thai NVDR Retail

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SLIDE 5

MILESTONES

5

Founded the company Business acquisition Uniquegas Listed in Setup | Cylinder Manufacture Acquire | Ethanol Business Business acquisition Vietnam | Supergas Singapore | Singgas China | Sinosiam Setup | Trading Business in Singapore Business acquisition China | Sogel Business acquisition Vietnam | Citygas N. Malaysia | Mygaz Founded Marine & land logistic Invest in 230 MW.Power Plant In Myanmar

SUSTAINABLE GROWTH

2 4 2 1 1 2 1 6 2 8 1 9 7 6 2 1 2 1 3 2 5

Invest in 10 MW. Power Plant and transmission line in Myanmar

2 1 8

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SLIDE 6

Business operation

6

THAILAND OVERSEA

LIQUEFIED PETROLEUM GAS (LPG) ROAD TRANSPORTATION MARINE TRANSPORTATION CYLINDER MANUFACTURING OIL RETAIL BUSINESS CONTAINER TERMINAL SERVICE BUSINESS

1 2 3 4 5 6

LIQUEFIED PETROLEUM GAS (LPG)

1

  • Singapore
  • China
  • Malaysia
  • Vietnam

2 3

COMBINE CYCLE POWER PLANT

  • Myanmar

DIESEL POWER PLANT

  • Myanmar
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SLIDE 7

BUSINESS UPDATE

Thailand

Expand pet rol wit h LPG st at ions. Expand Filling plant s.

Overseas

The Company is const ruct ing t erminal and f illing plant s in Myanmar. The Company is const ruct ing f illing plant in Penang Malaysia. The Company is planning t o const ruct LPG t erminal in Indonesia and Bangladesh.

7

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SLIDE 8

PROJECT LPG TERMINAL

  • AT. Northport, Malaysia

8

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SLIDE 9

Terminal north port

Project success >>> LPG filling hall 95 %

9

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SLIDE 10

Project success >>> LPG filling hall 95 %

Terminal north port

10

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SLIDE 11

Project success >>> TRUCK loading building 80 %

Terminal north port

11

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SLIDE 12

SGP’s PRESENCE

12

S HANTOU, S OUTH CHINA | S OGEL THAILAND | S IAMGAS & UNIQUEGAS EAS T MALAYS IA | MYGAZ ZHUHAI, S OUTH CHINA | S INOS IAMGAS HO CHI MINH | S UPERGAS HAIPHONG | CITYGAS NORTH S INGAPORE, RETAIL BUS INES S | S INGGAS S INGAPORE,TRADING BUS INES S | S GT MYANMAR, MAWLAMYING | MLIPP POWERPLANT 230 MW. MALAYS IA | MYGAZ

OTHER business LPG business

MYANMAR, ANIN | S MD POWERPLANT & TRANS MIS S ION LINE 10 MW.

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SLIDE 13

AGENDA

13

  • Business Overview
  • Thailand Business
  • Oversea Business
  • Financial Results
  • Business Outlook
  • Q & A
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SLIDE 14

THAILAND BUSINESS MODEL

REFINERIES & GAS S EP ARATION PLANTS SGP TERMINALS & DEPOTS SGP FILLING PLANTS AGENT FILLING PLANTS LPG RETAILERS SGP AUTO-LPG STATIONS AGENT AUTO-LPG STATIONS

MOTORISTS HOUSEHOLD USERS COMMERCIAL USERS INDUSTRIAL USERS COOKING AUTOMOTIVE INDUST.

SGP LPG IMPORT

14

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SLIDE 15

SGP’s NETWORK IN THAILAND

15

FILLING PLANT & AUTOGAS STATION Company Filling Plant s x 43 Agent Filling Plant s x 144 Company Aut ogas S t at ions x 44 Agent Aut ogas S t at ions x 521

6.Khonkaen 1.Bangkok 3.Chachoengsao 4.Nakornsawan 5.Lampang 8.S

  • ngkhla

7.S urat t hani 2.S amut prakan

25 8 500

vessels terminals roadtankers

Floating Storage

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SLIDE 16

1,039 1,005 1,001 984 251 245 246 3,370 3,171 3,107 3,027 783 759 757 4,409 4,177 4,108 4,011 1,034 1,004 1,002 2015 2016 2017 2018 4Q'17 3Q'18 4Q'18 SGP Group Others Total

THAILAND LPG MARKET

16

SGP GROUP 24.6%

OTHERS 75.5%

  • 2018 LPG market size 4.01 million TON

Cooking 2.16 million TON (53.9%) Automotive 1.17 million TON (29.2%) Industrial 0.68 million TON (16.2%)

  • Average growth (’14-’18) -3.4%

MKT SHARE 2018

MARKET SHARE

  • 1. PTT

41.1 %

  • 2. SGP

24.6 %

  • 3. WP

18.0 %

  • 4. OTHER

16.4 %

2

LPG Sales Volume (‘000 tons) | ALL SECTORS YoY: Total -3.0% | SGP -2.2% QoQ: Total -0.2% | SGP +0.04%

  • 3.3%
  • 5.3%
  • 0.4%
  • 1.6%

23.6% 24.1% 24.4% 24.6% SGP’s market share in Thailand

  • 2.4%
  • 1.7%
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SLIDE 17

610 619 616 594 155 148 149 1,484 1,491 1,534 1,570 397 397 396 2,094 2,110 2,151 2,164 552 545 545 2015 2016 2017 2018 4Q'17 3Q'18 4Q'18 SGP Group Others Total Cooking

COOKING MARKET

17

SGP GROUP 27.5%

OTHERS 72.5%

60%

COOKING PORTION

MKT SHARE 2018

MARKET SHARE

  • 1. PTT

49.7 %

  • 2. SGP

27.5 %

  • 3. WP

19.9 %

  • 4. OTHER

2.9 %

2

+1.4% +0.8%

  • 0.4%

+1.9%

YoY: Total -1.1% | SGP -3.8% QoQ: Total +0.1% | SGP +0.6% LPG Sales Volume (‘000 tons) | COOKING SECTORS

29.1% 29.3% 28.6% 27.5% SGP’s market share in Thailand

+0.6%

  • 3.5%
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SLIDE 18

292 245 230 228 57 57 56 1,439 1,221 1,089 942 261 231 229 1,731 1,466 1,319 1,170 317 288 285 2015 2016 2017 2018 4Q'17 3Q'18 4Q'18 SGP Group Others Total Automotive

AUTOMOTIVE MARKET

18 23%

AUTOMOTIVE PORTION

SGP GROUP 19.5% OTHER S 80.5%

MKT SHARE 9M|2018

MARKET SHARE

  • 1. SGP

19.5 %

  • 2. WP

18.5 %

  • 3. PTT

17.3 %

  • 4. OTHER*

44.7 %

1

* 10 company

  • 16.3%
  • 15.3%
  • 5.9%
  • 10.0%

LPG Sales Volume (‘000 tons) | COOKING SECTORS

16.9% 16.7% 17.5% 19.5% SGP’s market share in Thailand

  • 0.9%
  • 11.3%

YoY: Total -10.2% | SGP -2.0% QoQ: Total -1.0% | SGP -1.5%

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SLIDE 19

137 142 155 162 39 41 41 448 459 483 515 125 130 131 584 600 638 677 165 171 172 2015 2016 2017 2018 4Q'17 3Q'18 4Q'18 SGP Group Others Total Industrial

INDUSTRY MARKET

19 17%

INDUSTRY PORTION

SGP GROUP 23.9%

OTHERS 76.1%

MKT SHARE 2018

MARKET SHARE

  • 1. PTT

54.5 %

  • 2. SGP

23.9 %

  • 3. WP

11.2 %

  • 4. OTHER

10.4 %

2

+2.8% +3.7% +6.3% +9.3%

LPG Sales Volume (‘000 tons) | COOKING SECTORS

23.4% 23.6% 24.3% 23.9% SGP’s market share in Thailand

+6.0% +4.4%

YoY: Total +4.4% | SGP +3.9% QoQ: Total +0.4% | SGP +0.3%

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SLIDE 20

AGENDA

20

  • Business Overview
  • Thailand Business
  • Oversea Business
  • Financial Results
  • Business Outlook
  • Q & A
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SLIDE 21

HISTORICAL CP PRICE MOVEMENT

21

2015 2014 2007 2008 2009 2010 2011 2012 2013

9 3 5 7 8 4 6 6 7 5 7 5 6 6 2 10

+385.0

  • 535.0

+387.5 +200.0

  • 130.0

+185.0 +182.5

  • 602.5

6 6

  • 92.5

2016

6 6

  • 67.5

2017

6 4 2

2018

6 4 2

+180.0

  • 150.0
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SLIDE 22

54.9 55.5 52.0 53.1 50.9 46.9 48.7 51.4 55.2 57.6 62.6 64.2 69.1 65.7 66.7 71.8 77.0 75.9 75.0 73.8 79.1 80.6 66.0 57.7 60.2 64.4 65.1

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 Brent crude oil

435 510 480 430 385 385 345 420 480 575 575 590 590 525 480 475 500 560 555 580 600 655 540 445 430 440 490 495 600 600 490 390 390 365 460 500 580 580 570 570 505 465 470 505 560 570 595 635 655 525 415 420 470 520

100 200 300 400 500 600 700

Propane [C3] Butane [C4]

Saudi Aramco CP vs Crude oil

22 USD/TON USD/BARREL

6 4

+180.0

2 6 4

  • 150.0

2

2017 2018 Q1 +140.0

  • 107.5

Q2

  • 152.5

+87.5 Q3 +102.5 +57.5 Q4 +90.0

  • 187.5

2018 2019 Q1

  • 107.5

+75.0 2017 2018 Q1

  • 2.1

+2.5 Q2

  • 5.1

+9.2 Q3 +8.3 +3.2 Q4 +9.1

  • 21.4

2018 2019 Q1 +2.5 +7.5

2 1

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SLIDE 23

Singapore Market (1/2)

23

56,906 463,104 664,255 946,394 663,564 589,188 543,452 736,544

2010 2011 2012 2013 2014 2015 2016 2017 2018

+713.8 % +43.4 % +42.5 %

  • 29.9

%

  • 11.2

%

  • 7.8

% +35.5 % +28.0 %

Sales volume : tons S ell t o cust omer in Macau, Hong Kong, Philippines, Viet nam, S

  • ut h China, Bangladesh,

Cambodia, et c. By SIAM GAS TRADING PTE. LTD.(100% owned)

Trading business >>>

942,946

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SLIDE 24

Singapore Market (2/2)

24

8,793 17,872 25,683 24,375 21,041 21,401 21,772 21,866

2010 2011 2012 2013 2014 2015 2016 2017 2018

+103.3 % +43.7 %

  • 5.1

%

  • 13.7

% +1.7 % +1.7 % +0.4 %

  • 2.1

%

S mall market wit h good margin Consumer seeks qualit y product & service over price concern Sales volume : tons By Singgas (lpg) pte. Ltd. (95% owned)

Retail business >>>

21,396

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SLIDE 25

China Market

25

  • 121,705

87,969 338,229 345,645 909,874 1,200,167 1,219,477

2010 2011 2012 2013 2014 2015 2016 2017 2018

Large import LPG market in S

  • ut h China

Advant age over compet it ors wit h large cavern st orage Large sale volume wit h cont inuous growt h rat e

  • 27.7

% +284.5 % +2.2 % +163.2 % +31.9 % +1.6 % +4.8 %

Sales volume : tons By 1. sinosiamgas and petrochemicals co., ltd. (100% owned)

  • 2. siam ocean gas & energy ltd. (100% owned)

Retail business >>>

1,277,786

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SLIDE 26

Vietnam Market

26

12,380 26,496 19,972 67,388 185,274 166,814 143,628 44,785

2010 2011 2012 2013 2014 2015 2016 2017 2018

High compet it ion wit h high growt h pot ent ial Consumers gradually swit ch t o LPG inst ead of fire wood

+114.0 %

  • 24.6

% +237.4 % +173.9 %

  • 10.0

%

  • 13.9

%

  • 68.8

%

  • 29.4

%

Sales volume : tons By 1. supergas company limited (100% owned)

  • 2. citygas north company limited (70% owned)

Retail business >>>

31,631

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SLIDE 27

Malaysia Market

27

  • 52,592

91,696 95,600 116,790 133,642

2010 2011 2012 2013 2014 2015 2016 2017 2018

Market leader wit h growt h pot ent ial in East Malaysia Expand market t o West Malaysia

+74.4 % +4.3 % +22.2 % +14.4 % +9.6 %

Sales volume : tons By mygaz sdn. bhd. (70% owned)

Retail business >>>

146,464

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SLIDE 28

Total oversea volume

28

78,079 629,177 797,880 1,428,978 1,307,220 1,782,877 2,025,809 2,156,314 2010 2011 2012 2013 2014 2015 2016 2017 2018

Total

+705.8 % +26.8 % +79.1 %

  • 8.5

% +36.4 % +13.6 % +6.4 % +12.2 %

Wholesale 39.0% China 52.8% Vietnam 1.3% S ingapore 0.9% Malaysia 6.1%

2018

Sale Portion

2,420,223

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SLIDE 29

230 MW. POWERPLANT | MYANMAR

29

Capacity : MW. By MYANMAR LIGHTING (IPP) CO., LTD. (41.1% owned)

Sell to government >>>

Consist ent Income

  • High demand in

elect ricit y

2017 2018 1,081,187

1,048,258

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SLIDE 30

230 MW. Combine cycle power plant

30

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SLIDE 31

230 MW. Combine cycle power plant

31

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SLIDE 32

230 MW. Combine cycle powerplant

32

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SLIDE 33

230 MW. Combine cycle powerplant

33

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SLIDE 34

AGENDA

34

  • Business Overview
  • Thailand Business
  • Oversea Business
  • Financial Results
  • Business Outlook
  • Q & A
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SLIDE 35

30.3% 25.7% 42.8% 0.4% 0.9%

Thailand Offshore Oversea business Logistic Other (S ervice & Other & Dividend)

REVENUE PORTION

2017

Thailand 35.6% Oversea 64.4%

2018

Thailand 31.5% Oversea 68.5%

35

34.1% 20.1% 44.3% 0.7% 0.8%

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SLIDE 36

Full year and quarterly Revenue [Bt.m]

36

24,274 22,921 19,792 20,340 20,934 36,903 34,661 27,902 38,403 47,329 980 757 684 886 840

62,157 58,339 48,378 59,629 69,103

2014 2015 2016 2017 2018 5,174 5,005 5,118 5,328 5,483 12,115 10,521 10,803 13,807 12,197 228 218 265 111 246

17,517 15,744 16,186 19,246 17,927

Q4| 2017 Q1| 2018 Q2| 2018 Q3| 2018 Q4| 2018

2018 Consolidated revenue of Bt.69,103 m shows a 15.9% yoy growth

Revenue by year Revenue by quarter

Local TH Oversea Other +15.9%

yoy

  • 6.9%

qoq

+2.3%

yoy

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SLIDE 37

Full year and quarterly EBITDA [Bt.m]

37 1,690 588 1,282 1,223

  • 441

9.65% 3.73% 7.92% 6.35%

  • 2.46%
  • 3%
  • 1%

1% 3% 5% 7% 9% 11% 13% 15% (1,000) (500)

  • 500

1,000 1,500 2,000

Q4|2017 Q1|2018 Q2|2018 Q3|2018 Q4|2018

EBITDA EBITDA MARGIN 1,164 2,836 2,860 5,193

2,651

1.87% 4.86% 5.91% 8.71% 3.84%

0% 2% 4% 6% 8% 10% 12%

  • 1,000

2,000 3,000 4,000 5,000 6,000

2014 2015 2016 2017 2018

EBITDA EBITDA MARGIN

EBITDA by year EBITDA margin : 3.84% in 2018 decreased from 8.71% in 2017

2018 Consolidated EBITDA of Bt.2,651 m shows a -48.9% yoy decline

EBITDA by Quarter

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SLIDE 38

Gross profit margin & Net profit margin

38

1,706 469 1,055 1,227

  • 490

889 101 766 738

  • 734

9.82% 3.01% 6.60% 6.40%

  • 2.76%

5.07% 0.64% 4.73% 3.84%

  • 4.09%
  • 6%
  • 4%
  • 2%

0% 2% 4% 6% 8% 10% 12% (1,000) (500)

  • 500

1,000 1,500 2,000 Q4|2017 Q1|2018 Q2|2018 Q3|2018 Q4|2018 834 3,037 2,891 4,947

2,260

  • 514

1,116 1,119 2,811

871

1.35% 5.23% 6.00% 8.36% 3.30%

  • 0.83%

1.91% 2.31% 4.71% 1.26%

  • 2%

0% 2% 4% 6% 8% 10% 12% (1,000)

  • 1,000

2,000 3,000 4,000 5,000 6,000 2014 2015 2016 2017 2018

Gross profit margin : 3.30% in 2018 decreased from 8.36% in 2017 Net profit margin : 1.26% in 2018 decreased from 4.71% in 2017

1 2 3 4

Gross profit = 2,260 Bt.m Gross profit margin = 3.30% Net profit margin = 1.26% Net profit = 871 Bt.m

1 2 3 4

Gross profit & Net profit by year Gross profit & Net profit by quarter

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SLIDE 39

FINANCIAL POSITION

39 7,301 8,983 Loan from financial institution Debenture

0.99 1.06 1.20 0.97 1.03 1.08 1.14 0.95 0.85 1.05 1.34

1.63 11,308 10,129 5,297 5,626 6,448 6,947 4,321 3,765 4,084 9,337 31 DEC 2017 31 DEC 2018 Short term loan Current liabilities Long term Debt Non current liabilities Total Equity 15,646 16,794 9,152 11,344 4,070 4,818 2,590 2,849 31 DEC 2017 31 DEC 2018 Cash & Equivalents Inventory Other asset PP&E

ASSET (THB Million) LIABILITIES & EQUITY (THB Million) DEBT PORTION

LOAN FROM FINANCIAL INSTITUTION 7,301 DEBENTURE 8,903 TOTAL 16,204 (THB Million)

Interest Bearing Debt (Times)

COMPANY RATING

BBB+ Stable

BOND RATING

BBB+ Stable

BOND with CGIF RATING

A+ Stable

31,458 35,804 31,458 35,804

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SLIDE 40

AGENDA

40

  • Business Overview
  • Thailand Business
  • Oversea Business
  • Financial Results
  • Business Outlook
  • Q & A
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SLIDE 41

OUTLOOK 2019

41

LPG Sales Volume (Tons)

Sales volume (TONs) 2016 2017 2018 Outlook 2019 % Growth Thailand 1,016,965.56 1,030,660.58 1,010,383.14 1,050,000.00 3.9% Offshore Trading 543,451.66 736,544.45 942,945.98 1,150,000.00 22.0% China 1,200,167.37 1,219,476.64 1,277,786.33 1,300,000.00 1.7% Vietnam 143,628.32 44,784.87 31,631.45 45,000.00 42.3% Malaysia & Singapore 138,561.38 155,507.90 167,859.71 225,000.00 34.0% GRAND TOTAL 3,042,774.29 3,186,974.44 3,430,606.62 3,770,000.00 10.0% Oversea business 2,025,808.73 2,156,313.86 2,420,223.47 2,720,000.00 12.4% Domestic portion 33.4% 32.3% 29.5% 27.9% Oversea portion 66.6% 67.7% 70.5% 72.1% Growth (%) 24.5% 4.7% 7.6% 10.0%

7.6% 4.7% 7.4% 16.0% 8.7% 29.8% 11.1% 49.2%

2010 2011 2012 2013 2014 2015 2016 2017 2018

SGP - Thailand SGP Offshore Trading China Vietnam Malaysia & Singapore

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SLIDE 42

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 0.15 0.20 0.20 0.15 0.15 0.10 0.15 0.20 0.15 0.50 0.25 0.25 0.30 0.30 0.30 0.25 0.50 0.20 0.30 0.35 1.00 0.20

Interim Final

DIVIDEND PAYMENT

42

Dividend Policy

The Company has est ablished t he policy t o pay dividends t o t he shareholders at t he rat e of not less t han 40%

  • f t he net profit aft er

corporat e income t ax, accumulat ed loss brought forward (if any) and appropriat ion of st at ut ory reserve in accordance wit h t he Company’ s separat e financial st at ement s. However, t he Board of Direct ors may set t he rat e of dividend less t han t he one ment ioned above depending

  • n t he operat ing result s, financial

sit uat ion, liquidit y and t he necessit y t o expand t he operat ion as well as t he reserve on circulat ing capit al of t he operat ing of t he organizat ion.

Historical dividend payment

Unit : Baht/annum SGP split par from Bt1.00 to Bt 0.50 in May 2018

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SLIDE 43

Q & A

Questions are welcomed !

43