TKN OPPORTUNITY DAY Quarter 4 /18 Taokaenoi Food & Marketing - PowerPoint PPT Presentation

TKN OPPORTUNITY DAY Quarter 4 /18 Taokaenoi Food & Marketing Public Company Limited

PRESENTATION AGENDA Company Overview Financial Performance Business Outlook Q&A

TKN STOCK OVERVIEW Key Information : • Registered Capital 345 Mil Baht (1,380 Mil Share) Dividend B / Share Payment Date • Issued & Paid Up Capital 345 Mil Baht (1,380 Mil Share) 12M /2019 0.15 May 8, 2020 • SET Index SET 100 • CGR 2017 6M /2019 0.11 Sep 11, 2019 • Dividend Policy : 40% of Net Profit (Separate FS) 12M /2018 0.17 May 8, 2019 FY '19 : 84% of Net Profit (Separate FS) 6M /2018 0.17 Sep 6, 2018 As of Feb 27, 2020 12M /2017 0.17 May 4, 2018 • Major Shareholders Peeradechapan group 58.26 % Free Float 41.74 % 6M /2017 0.17 Sep 13, 2017 • Market Cap 11,868 Mil B (@ 8. baht/share) TAOKAENOI FOOD & MARKETING PLC. 3

COMPANY HISTORY Insert some short and brief lorem ipsum explanatory text about @tle here 5.7 BILLION BAHT IN REVENUE 3.5 BILLION BAHT IN REVENUE 2.1 BILLION BAHT IN REVENUE 1.0 BILLION BAHT IN REVENUE 2010 2011 2012 2013 2016 2017 2004 2005 2006 2007 2008 2009 2014 2015 2018 2019 • Export sales to • Moved to • The Billionaire , • 1st Trading day in • Start operation 2nd Singapore via Thai movie based on Stock Exchange of Nopawong factory , factory at Rojana, Export channel Pathumthani true story Thailand Ayutthaya TAOKAENOI FOOD & MARKETING PLC. 4

OUR BOARD OF DIRECTOR Yuth Chaiyong Itthipat Jirapong Worachattarn Rattanacharoensiri Peeradechapan Suntipiromkul Chairman / Independent Director / Director / Director / Independent Director NRC Chairman Chief Executive Officer Deputy Managing Director Wanee Somboon Orrapat Porntera Tassanamontien Prasitjutrakul Peeradechapan Rongkasiripan Independent Director / Director & Director / Director / AC Chairman Executive Director Managing Director Internal Audit Director TAOKAENOI FOOD & MARKETING PLC. 5

OUR MANAGEMENT Itthipat Peeradechapan Nutchatpong Peeradechapan Prayut Apisitsareeku Koosoon Rattanaporn Chief Executive Officer / Managing Director : Chief Strategy & Commercial Acting Founder Business Support Officer Chief Financial Officer Orrapat Peeradechapan Jirapong Suntipiromkul Prin Pitchayavijit Managing Director : Deputy Managing Director Chief People Officer International Trade & Management TAOKAENOI FOOD & MARKETING PLC. 6

PRESENTATION AGENDA Company Overview Financial Performance Business Outlook Q&A

FINANCIAL HIGHLIGHTS Highlights FY 2019 FY 2018 %YOY Net Sales 5,267 5,427 (3%) • Sales Growth -3% (Q4/19 +1%) Mil B • Thailand +4% (New Categories) Net Profit 366 459 (20%) Mil B • Export -1% (China sales drop) 7.0% 8.5% (2%) % • Sales Portion TH 42% : IM 58% EPS 0.27 0.33 Baht Net Profit FY 2019 FY 2018 %YOY Q1 81 152 (46%) • Q4/19 Net profit growth YOY mainly from Mil B seaweed cost and utilization rate Q2 98 154 (36%) Mil B • Loss impact from impairment of assets Q3 69 129 (47%) Mil B (production line in USA and TKN Land) 30 Mil B Q4 118 25 377% Mil B TAOKAENOI FOOD & MARKETING PLC. 8

SALES BY QUARTER unit : Mil Baht YR 2017 YR 2018 YR 2019 2000 1,454 1,438 1,417 1,402 1500 1,337 1,302 Mainly drop from China 1,283 1,287 1,280 1,268 908 936 900 905 1,158 -4% YOY , +31% QOQ 845 1,094 780 803 750 748 719 707 660 1000 Partially drop from Tourist 500 546 549 537 532 522 517 501 497 492 480 +4% YOY , -6% QOQ 451 434 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Thailand Int Mkt TAOKAENOI FOOD & MARKETING PLC. 9

SALES BY QUARTER unit : Mil Baht YR 2017 YR 2018 YR 2019 2000 1,454 1,438 1,417 1,402 1500 1,337 1,302 Mainly drop from China 1,283 1,287 1,280 1,268 908 936 900 905 1,158 -4% YOY , +31% QOQ 845 1,094 780 803 750 748 719 707 660 1000 Partially drop from Tourist 500 546 549 537 532 522 517 501 497 492 480 +4% YOY , -6% QOQ 451 434 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Thailand Int Mkt TAOKAENOI FOOD & MARKETING PLC. 10

NEW PRODUCT Q4/19 - Q1/20 Oct’19 Nov’19 Dec19 Feb’20 Jan’20 TAOKAENOI FOOD & MARKETING PLC. 11

THAILAND SALES PERFORMANCE FY2019 Sales 2,120 Mil B (+3%) • FMCG +4.7%, Seaweed Snack -3.4% • 3 Yrs New Product in concept 'Super Snack : 3P' • Plant Based Snack • Tempura Seaweed (Jan20) • Protein Snack • Premium Snack • Co-branding with Orion : Crispy Corn Snack, Corn Soup Flavour 'Kobuk' (Feb20) • 2 branches of Hinoya Curry : Promenade (Oct), Central World (Nov) TAOKAENOI FOOD & MARKETING PLC. 12

EXPORT SALES PERFORMANCE FY2019 Sales 3,147 Mil B (-7%) • China 1,906 Mil B (-13%) • International Markets 1,241 Mil B (+6%) • Sales Portion Chine 61% : International 39% • Growth significantly in potential market : CLMV, USA, and Indonesia Q4 2019 Full Yr 2019 Int Mkt Int Mkt Thailand Thailand 24% 25% 36% 40% China China Thailand China Int Mkt 36% 39% TAOKAENOI FOOD & MARKETING PLC. 13

CHINA SALES PERFORMANCE unit : Mil Baht FY2019 Sales 1,916 Mil B (-13%) 800 YR 2017 YR 2018 YR 2019 • Q4/19 554 Mil B 600 619 591 588 572 563 547 (-3%yoy / +32%qoq) 478 470 400 463 446 425 417 200 • 1st order to new distributor on mid Oct • Listing product on Q4/19-Q2/20 in key Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 accounts Hypermarket CVS Supermarket E-Commerce Club Store TAOKAENOI FOOD & MARKETING PLC. 14

OPERATION UPDATE unit : % Q4/19 FY 2019 Capacity Factory Utilization Utilization (Ton/Year) (%) (%) Overhead 8% Grand Total 8,250 80% 67% Labor Cost Seaweed - Nopawong 4,700 84% 72% 20% 39% - Rojana 3,550 76% 60% Other Materials 9% Q4/20 Gross Margin Improvement • The increased proportion of new season seaweed Packaging 24% which accounted for decreasing costs • The growing utilization rate relative to sales in China during the period between November-December. TAOKAENOI FOOD & MARKETING PLC. 15

PROFIT SUMMARY unit : Mil Baht 15.6% 15.6% YR 2017 YR 2018 YR 2019 0.16 300 12.0% 12.0% 12.0% 12.0% 11.9% 11.9% 11.7% 11.7% 10.2% 10.2% 9.9% 9.9% 0.107 200 8.3% 8.3% 7.6% 7.6% 6.4% 6.4% 171 160 5.4% 5.4% 154 152 142 135 129 118 0.053 100 98 1.8% 1.8% 81 69 25 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Net Profit % Net Profit Profit & Loss Q4/2019 FY 2019 Mil B % on Sales Mil B % on Sales Gross Margin 433 30.5 1,480 28.1 Selling Expenses 213 15.0 768 14.6 Administrative Expenses 121 8.5 344 6.5 Net Profit 118 8.3 366 7.0 TAOKAENOI FOOD & MARKETING PLC. 16

BALANCE SHEET Separate Financial Statements Unit Dec 2019 Dec 2018 Change A/R - local collection period Days 103 88 15 A/R - export collection period Days 16 22 (6) Finished goods holding period Days 5 9 (4) Inventory holding period Days 112 101 11 A/P payment period Days 28 27 1 DE Ratio Times 0.67 0.70 (0.03) TAOKAENOI FOOD & MARKETING PLC. 17

PRESENTATION AGENDA Company Overview Financial Performance Business Outlook Q&A

BUSINESS OUTLOOK VISION : MISSION : Become an innovative food company Develop innovative products without any border I and bring happiness to our consumers limitations around the world Become a production that is recognized and II approved by international standard and also being environmentally friendly TARGET : Create happiness and healthy relationships and III Strive to make the company a Thailand bonds with the organization Quality Award (TQA) standard within The ability to become adaptive to the constant IV 2026 and generating more than 1 billion changes of the world and the continuous dollars in sales by 2028 development for sustainable growth A trustworthy organization due to good governance V and sustainable development TAOKAENOI FOOD & MARKETING PLC. 19

of Feb 27, 2020 Wuhan, China • Orion's stock on hand still higher than standard which impact from Chinese new year CHINA SITUATION UPDATE Keep Fighting extension • Obstruct from in-land logistics, only about 50% of normal situation but mainly focus ���� ���� on must-have product • Purchasing team of key modern trade back to work this week • Work closely with Orion team, weekly meeting with management • Feb-Mar order about 60% from target TAOKAENOI FOOD & MARKETING PLC. 20

CHINA SITUATION UPDATE as of Feb 27, 2020 • Orion's stock on hand still higher than standard which impact from Chinese new year extension • Obstruct from in-land logistics, only about 50% of normal situation but mainly focus on must-have product • Purchasing team of key modern trade back to work this week • Work closely with Orion team, weekly meeting with management • Feb-Mar order about 60% from target TAOKAENOI FOOD & MARKETING PLC. 21