TKN OPPORTUNITY DAYinvestor.taokaenoi.co.th/misc/presentation/... · PRESENTATION AGENDA Company Overview Financial Performance Business Outlook Q&A. TAOKAENOI FOOD & MARKETING PLC

Taokaenoi Food & Marketing Public Company Limited

Quarter 4 /18

TKN OPPORTUNITY DAY

PRESENTATION AGENDA

Company Overview

Financial Performance

Business Outlook

Q&A

TAOKAENOI FOOD & MARKETING PLC.

TKN STOCK OVERVIEW

3

Key Information :

• Registered Capital

• Issued & Paid Up Capital

• SET Index

• CGR 2017

• Dividend

As of Feb 27, 2020

• Major Shareholders

• Market Cap

345 Mil Baht (1,380 Mil Share)

345 Mil Baht (1,380 Mil Share)

SET 100

Policy : 40% of Net Profit (Separate FS)

FY '19 : 84% of Net Profit (Separate FS)

Peeradechapan group 58.26 %

Free Float 41.74 %

11,868 Mil B (@ 8. baht/share)

Dividend B / Share Payment Date

12M /2019 0.15 May 8, 2020

6M /2019 0.11 Sep 11, 2019

12M /2018 0.17 May 8, 2019

6M /2018 0.17 Sep 6, 2018

12M /2017 0.17 May 4, 2018

6M /2017 0.17 Sep 13, 2017


5.7 BILLION BAHT IN REVENUE

Insert some short and brief lorem ipsum explanatory text about @tle here

4

2004


2005 2006 2007 2008 2009

COMPANY HISTORY

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019



• Start operation 2nd factory at Rojana, Ayutthaya

• 1st Trading day in Stock Exchange of Thailand

• The Billionaire, movie based on true story

• Moved to Nopawong factory, Pathumthani

• Export sales to Singapore via Thai Export channel

TAOKAENOI FOOD & MARKETING PLC. 5

OUR BOARD OF DIRECTOR

Chairman / Independent Director

Yuth Worachattarn

Independent Director / AC Chairman

Wanee Tassanamontien

Independent Director / NRC Chairman

Chaiyong Rattanacharoensiri

Director & Executive Director

Somboon Prasitjutrakul

Director / Chief Executive Officer

Itthipat Peeradechapan

Director / Managing Director

Orrapat Peeradechapan

Director / Deputy Managing Director

Jirapong Suntipiromkul

Director / Internal Audit Director

Porntera Rongkasiripan


OUR MANAGEMENT

Chief Executive Officer / Founder

Itthipat Peeradechapan

Orrapat Peeradechapan

Nutchatpong Peeradechapan

Managing Director : International Trade & Management

Managing Director : Business Support

Jirapong SuntipiromkulDeputy Managing Director

Prayut ApisitsareekuChief Strategy & Commercial Officer

Prin PitchayavijitChief People Officer

Koosoon RattanapornActing Chief Financial Officer

PRESENTATION AGENDA

Company Overview


Business Outlook

Q&A


FINANCIAL HIGHLIGHTS Highlights FY 2019 FY 2018 %YOY

Net Sales Mil B 5,267 5,427 (3%)

Net Profit Mil B 366 459 (20%)

% 7.0% 8.5% (2%)

EPS Baht 0.27 0.33

Net Profit FY 2019 FY 2018 %YOY

Q1 Mil B 81 152 (46%)

Q2 Mil B 98 154 (36%)

Q3 Mil B 69 129 (47%)

Q4 Mil B 118 25 377%

• Sales Growth -3% (Q4/19 +1%)

• Thailand +4% (New Categories)

• Export -1% (China sales drop)

• Sales Portion TH 42% : IM 58%

• Q4/19 Net profit growth YOY mainly from

seaweed cost and utilization rate • Loss impact from impairment of assets (production line in USA and TKN Land) 30 Mil B


0

500

1000

1500

2000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

900719780748

905908750803

936845

707660

517549522532497546537480501492451434

Thailand Int Mkt

9

Mainly drop from China -4% YOY, +31% QOQ

Partially drop from Tourist +4% YOY, -6% QOQ

YR 2017 YR 2018 YR 2019

1,094 1,1581,337

1,4381,283 1,287

1,454 1,402

SALES BY QUARTER

unit : Mil Baht

1,280 1,302 1,2681,417


0

500

1000

1500

2000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

900719780748

905908750803

936845

707660

517549522532497546537480501492451434

Thailand Int Mkt

10

Mainly drop from China -4% YOY, +31% QOQ

Partially drop from Tourist +4% YOY, -6% QOQ

YR 2017 YR 2018 YR 2019

1,094 1,1581,337

1,4381,283 1,287

1,454 1,402

SALES BY QUARTER

unit : Mil Baht

1,280 1,302 1,2681,417


NEW PRODUCT Q4/19 - Q1/20

Nov’19 Oct’19 Dec19

Jan’20 Feb’20


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)


Int Mkt25%

China39%

Thailand36%

EXPORT SALES PERFORMANCE

Q4 2019

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

Int Mkt24%

China36%

Thailand40%

Thailand China Int Mkt

Full Yr 2019


200

400

600

800

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

547417

478463572588

470563619591

425446

14

YR 2019YR 2017 YR 2018

CHINA SALES PERFORMANCEunit : Mil Baht

FY2019 Sales 1,916 Mil B (-13%)

• Q4/19 554 Mil B

(-3%yoy / +32%qoq)

• 1st order to new distributor on mid Oct • Listing product on Q4/19-Q2/20 in key

accountsHypermarket CVS SupermarketE-Commerce

Club Store


Overhead8%

Labor Cost20%

Other Materials9%

Packaging24%

Seaweed39%

Q4/20 Gross Margin Improvement

• The increased proportion of new season seaweed which accounted for decreasing costs

• The growing utilization rate relative to sales in China

during the period between November-December.

FactoryCapacity

(Ton/Year)

Q4/19 Utilization

(%)

FY 2019 Utilization

(%)

Grand Total 8,250 80% 67%

- Nopawong 4,700 84% 72%

- Rojana 3,550 76% 60%

OPERATION UPDATEunit : %


0

0.053

0.107

0.16

0

100

200

300

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Net Profit % Net Profit

8.3%

5.4%7.6%

6.4%

1.8%

10.2%12.0%11.9%

9.9%12.0%11.7%

15.6%

118

699881

25

129154152142160

135171

15.6%

11.7% 12.0%9.9%

11.9% 12.0%10.2%

1.8%

6.4%7.6%

5.4%

8.3%

16

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

YR 2019YR 2017 YR 2018

PROFIT SUMMARY unit : Mil Baht


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)

BALANCE SHEET

PRESENTATION AGENDA

Company Overview


Business Outlook

Q&A


Become an innovative food company and bring happiness to our consumers around the world

VISION :

Develop innovative products without any border limitations

19

Become a production that is recognized and approved by international standard and also being environmentally friendly

Create happiness and healthy relationships and bonds with the organization

The ability to become adaptive to the constant changes of the world and the continuous development for sustainable growth

I

II

III

IV

MISSION :

BUSINESS OUTLOOK

A trustworthy organization due to good governance and sustainable development

V

Strive to make the company a Thailand Quality Award (TQA) standard within 2026 and generating more than 1 billion dollars in sales by 2028

TARGET :


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

Ӿےရ ྎےရ

Wuhan, China Keep Fighting


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


COVID-19 ACTION PLAN Commercial

• Revised 2020 sales target to 5,300 Mil B (Flat with 2019) with net margin +50% YOY

• Develop new team to focus online channel to balance channel mix

• Launched NPD earlier than original plan, partially offset with sales drop

• Deduct marketing expenses 100 Mil B, focus on sales-driven activities

• Increase R&D budget for new product

• Close 'Taokaenoi Land' shop 8-10 branches which not generate positive net margin

Operation

• Study to combine Nopawong factory with Rojana factory within 1H/2020

• gross margin improvement and maximise tax benefit

• Move with automated machine to increase productivity & product quality

PRESENTATION AGENDA

Company Overview


Business Outlook

Q&A


Q&A


• Address: Taokaenoi Food & Marketing PLC. 337 Bond Street Road, Bangpood, Pakkred, Nonthaburi 11120 Thailand +66 2984 0666

• Investor Relations: [email protected] +66 2984 0666 #316

Disclaimer The information contained here is being furnish on a confidential basis for discussion purposes only and only for the use of the recipient, and may be subject to completion or amendment through the delivery of additional documentation. Except as otherwise provided herein, this document does not constitute an offer to sell or purchase any security of engage in any transaction. The information contained herein has been obtained from sources that Taokaenoi Food & Marketing Public Company Limited (“TKN”) considers to be reliable; however, TKN makes no representation as to, and accepts no responsibility or liability for, the accuracy or completeness of the information contained herein. Any projections, valuations and statistical analyses contained herein have been provided to assist the recipient in the evaluation of the matters described herein; such projections, valuations and analyses may be based on subjective assessments and assumptions and may utilize one among alternative methodologies that produce differing results; accordingly, such projections, valuations and statistical analyses are not to be viewed as facts and should not be relied upon as an accurate representation of future events. The recipient should make an independent evaluation and judgement with respect to the matters contained herein.

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TKN OPPORTUNITY DAYinvestor.taokaenoi.co.th/misc/presentation/... · PRESENTATION AGENDA Company Overview Financial Performance Business Outlook Q&A. TAOKAENOI FOOD & MARKETING PLC