Opportunity Day

H1/201629 august 2016

SAPPE PUBLIC COMPANY LIMITED, THAILAND

AGENDA:

1. Financial Review H1/2016

2. Business Overview & Category Direction

3. Why All coco group?

4. Business Synergy

1. Financial Review H1/2016

2016 Key Achievements

- China: Coverage Expansion as planned

- Indonesia: effective in-store execution and economy recovery

- Cost Saving Project:

• Setup new production line

• Reduce plastic usage in packaging material

• Merging production base project (Bangchan Factory to Klong 13)

5

Full-Year Revenue Breakdown

SAPPE’s %COGS continued to decrease due to the new production line and cost saving projects during Q3-Q4:2015.

6

Cost of Goods Sold by Quarters

• New capacity increase by 30% from

100,000 to 130,000 tons, with highly

efficient processes

• In-house bottling capacity increase

from 50% to nearly 100% of demand

• Less plastic usage in packaging material

by 10% from short-neck and resin

reduction project

• Less admin & transportation costs from

factory relocation

Cost Saving Project

8

Gross Profit Margin

(THB mm)

SAPPE’s Selling Expenses in first half were significantly increased but remain in the budget through out the year

Sales and marketing campaigns for summer (Apr–Jun 16).

Regional campaigns for international business, preparing for Q1-Q2:2016.

9

Selling Expenses

(THB mm)

10

Administration Expenses was up YoY by 0.6 percentage points, driven by:

1. Organic growth of normal expenses, such as employee salaries

2. Investment in infrastructure to support its international business growth, including manpower, IT

system and a new office of a subsidiary.

Admin Expenses

(THB mm)

11

Net Profit Margin

(THB mm)

Net profit amount 150.7Mb and 18.0% of Net Profit Margin in Q2 2016 is the highest point since 2012.

12

Asset Components

(THBmm)

13

Liabilities Components

1.0x 1.2x NilNilIBD/E

(THBmm)

Nil

275.0350.0

187.0

181.8

216.8151.9 185.9

191.3

216.9

252.9303.7

281.2

0.0

4.7

4.3 4.24.2

19.1

44.6

49.3 54.973.9

0.0

100.0

200.0

300.0

400.0

500.0

600.0

700.0

800.0

900.0

1000.0

2012 2013 2014 2015 H1-2016

Short term loan from FI Account payable Other payable Loan from related party Long term loan Financial lease Other liabiliies

546

787

939

524 515

600.0

14

Capital Expenditure

(THBmm)

The company had no mega capital expenditure project plan in year 2016 only a small cost saving projects through the year

Business Overview

16

No. 1 market share in value in

Thailand (women segment)

No. 1 coffee volume in Thailand

Production Categories Description Key Brands Sale Structure

Strong Portfolio

H1 : 2016

THB 1,417.0 MB

17

“We derive our sale from more than 60 countries around the world”

Europe

Sale structure by geography

Asia

Geographical Overview of Our Market

Indonesia

H1 : 2016

THB 1,417.0 MB

18

$1 billion Y14 category in US+UK

Projected 25.24 %CAGR from Y14-20

*data from TransferWise BLOG

Global Mega Trend: Coconut Drink

strictly confidential 19

Coconut water sales, top brands

How do Thai Coconuts play in Global market?

strictly confidential 20

http://www.worldatlas.com/articles/the-world-leaders-in-coconut-production.html

3%

มะพรา้วน ้าหอม รูจ้กัไปท ัว่อเมรกิาและยุโรป

ผ่านแบรนดใ์นตา่งประเทศ !!

SAPPE PORTFOLIO EXPANSION

Functional Drink Provide beauty and health

benefits to supplement

normal diets

“A Beauty you can drink”

concept captures the key

target market

Functional Powder Instant powder without sugar

and cholesterol for dietary

purpose and healthy benefits

RTD Juice Drink Juice Drink with inclusion

(nata de coco & aloe vera),

and 100% natural fruit and

vegetable juice

“Mogu Mogu” is the top

selling brand among nata de

coco drinks

RTD Coffee & Others Preaw coffee in a can for

ready to drink purpose

No. 1 market share in value in Thailand

(women segment)

No. 1 coffee volume in Thailand

Product Categories Description Current Brands

strictly confidential 22

EXPANSION

RTD Coconut Water

Why All coco?

Why ?

No.1 exporter

Minimum supply 100k coconut/day

No.1

organic certify

(4,000 rai)

All coco brand

established

Facility Installed

-

Ready to launch

In-house R&D for coconut product

strictly confidential 24

No.1 exporter

Minimum supply 100k coconut/day

No.1

organic certify

(4,000 rai)*

All coco brand

established

Facility Installed

-

Ready to launch

In-house R&D for coconut product

strictly confidential 25

K Best Farm Co., Ltd.

*by the end of 2017

มะพรา้วน ้าหอม - ราคาลติรละ 35-140 บาท

- รสชาตดิ ีมกีลิน่หอม

- ขายเป็นผลสดหรอืแปรรปูราคาแพง

Coconut Industry

26

มะพรา้วแก/่มะพรา้วกะทิ

- น ้าไม่อรอ่ย รสชาตไิม่ด ีตอ้งเอาไปปรงุแตง่รสชาติ

- น ้าราคาลติรละ 8-12 บาท

- เป็น by product ของโรงงานท ากะทิ

- ปัจจบุนัน าเขา้จากอนิโดนีเซยีบางส่วน

strictly confidential

Our Network 6,000 ไร่

Minimum Supply 100,000 ลูก/วนั

No.1 exporter

Minimum supply 100k coconut/day

No.1

organic certify

(4,000 rai)*

All coco brand

established

Facility Installed

-

Ready to launch

In-house R&D for coconut product

strictly confidential 28

Nam Hom Coconut Juicy PuddingNAM HOM frozen pudding mixed with young coconut flesh,

a balance of light sweet taste of 100% NAM HOM water

and soft coconut flesh makes the texture and the aroma so irresistible.

=

=

=

Cholesterol Free

=

=

=

Cholesterol Free

Coco SnowflakesOur signature product made from wholesome NAM HOM coconut water,

ALL COCO special recipe a snowflake slushy 100% NAM HOM soft, sweet and fresh to the last drop.

Choose from different flavors No sugar, Charcoal, Extreme and make one or all your favorite.

No Sugar Added Charcoal Extreme

OriginalMixCharcoal

=

=

Cholesterol Free

Coco Soft ServeSoft and naturally sweet soft ice cream made from 100% NAM HOM coconut,

so creamy that you will crave for more.

ALL COCO soft serve offers different flavors from original

and charcoal flavor from burned coconut shell and

husk or you can have both in one serve in case you can't decide.

3 kgs tub

=

=

=

Coco Ice Cream100% NAM HOM coconuts are created into a variety of fun and flavorful ice cream.

No coconut milk so it has no fat, no cholesterol.

It's the one and only ice cream made from 100% NAM HOM you can find.

Coconut Shell Bagged Coconut Water Coconut Flesh

Coco Snowball Fresh Coconut Coconut Oil

Other Coconut Products

World’s first Nam Hom Coconut Café

“The Sweet Nature of Life”

Central Festival EastVille

Central West Gate

Siam Paragon The Emquartier Platinum

No.1 exporter

Minimum supply 100k coconut/day

No.1

organic certify

(4,000 rai)*

All coco brand

established

Facility Installed

-

Ready to launch

In-house R&D for coconut product

strictly confidential 40

Coconut Factory Co., Ltd.

• Established in 2014

• Manufacture of Nam Hom Coconut in

hygienic facility and closed system

• Transform coconut intro various products

with our innovation

• Lock Nam Hom Coconut DNA

No.1 exporter

Minimum supply 100k coconut/day

No.1

organic certify

(4,000 rai)*

All coco brand

established

Facility Installed

-

Ready to launch

In-house R&D for coconut product

strictly confidential 43

• Since 2004

• Manufacturer and exporter of

Young fresh coconuts

• Export 20 million coconuts / year

• 30 countries around the world

• Manufacturing in world class standard,

GMP and HACCP by SGS

strictly confidential 46

47

เข้าซือ้ท่ีราคา 140 MB

Additional

20%@Market Value

strictly confidential

Business Synergy from our network

“Be an inspiring THAI MODEL ORGANIZATION to deliver a SUPERIOR CHOICE OF COCONUT

PRODUCT that better people’s lives”

Premium drink Affordable

drinkFood&Snack Raw/Fresh

Coverage

72 countries

Coverage

30 countries

Pro

du

ct

Ch

an

ne

l

Oth

ersChina

Indonesia

- Finance

- R&D

- Engineer

- Production

Support

48strictly confidential

BASE BUSINESS

49

Trader & OEM

Incremental business from SAPPE

strictly confidential

strictly confidential 50

From the begin of supply chain …To the hand of consumer

Q&A