Sappe Public Company Ltd · SET:SAPPE
Sappe Public — Q1 2024 Earnings Presentation
52 slides from Sappe Public's earnings presentation, May 2024
Slide 1: Q1 2024 Financial Performance
Q1 2024 Financial Performance SAPPE PUBLIC COMPANY LIMITED 1
Slide 2: Agenda
AGENDA 1. SAPPE Overview 2. Financial Performance Q1’2024 3. Business Updates 4. SAPPE’s Sustainability 2
Slide 3: SAPPE Overview
SAPPE Overview 3
Slide 4: Who We Are
WHO WE ARE Fun Innovators Endless Innovations 5 20 SAPPE ALOEBEAUTI VERA #1 #2 100 #3 4
Slide 5: Our Journey to Becoming A Global Beverage Player
Our Journey to Becoming A Global Beverage Player Internationalization Phase Since 1970s.. Growth Phase 2022 - 2023 Sappe x Power Root 2021 Berhad, Malaysia Establishment Phase Sappe x Succeed in Korea Workpoint and France with 2019 Sappe x Korea & France first 2016 Hatakabb strategy 2014 JV (25% sta
Slide 6: Sappe Performance Consolidation
Sappe Performance Consolidation Sappe PCL SAPPE Europe SAPPE HOLDING (60%) (100%) ALL COCO (51%) Domestic International OEM Danone Sappe (25%) Own Brands Own Brands M-Intelligence (16.2%) WOPE (60%) Sappe Philippines Distributor Distributor Corporation (100%) Dormant Company Collaborate • Sappe HK •
Slide 7: Product Categories
Product Categories Large Portfolio with Market Leading Brands and Products Juice Drinks Functional Drinks Functional Powders Healthier Snacks Supplements & Others Unique and refreshing juices Range of products targeting Instant powders for dietary Snacks with healthy Other innovative products – beau
Slide 8: Innovation is the Core of Our DNA
Innovation is the Core of Our DNA 3 Pillars of Innovation Strategies In-house Innovation Business Partnership InnoStudio Internal division to create innovative Relationship with leading enterprises Innovative ideas x Local goodness products Local Creativity goodness Q1’2024: 6 New Products 8
Slide 9: Financial Performance Q1'2024
Financial Performance Q1’2024 9
Slide 10: Q1'24 Key Financial Highlights
Q1’24 Key Financial Highlights Q1’24 Total Revenue Q1’24 Gross Margin 1,904 MB 46.0% +22.5% YoY +2.9% pts YoY Q1’24 SG&A (%) Q1’24 Net Profit 34.4% 25.0% 352 MB 23.3% 25.0% +1.7% pts YoY +28.2% YoY 10
Slide 11: All Time High Revenue Breakdown & Net Profit
All Time High Revenue Breakdown & Net Profit Revenue Net Profit Q1’2024 • The Revenue was at 1,836 mb or +20.8% YoY (New Record), mainly from IB sales +24.3% and the DM sales +6.1%. • Net Profit was at 352 mb, increased by +28.2% YoY (New Record), thanks to the break record in top line and the impro
Slide 12: Cost of Goods Sold by Quarter
Cost of Goods Sold by Quarter Utilization Rate Q1’2024 %COGS was at 54.0% lower than last year at -2.9 pts. However, if we normalize %COGS, the %COGS will lower -1.1 pts. which was from the increasing of utilization rate, efficient production planning and the implementation of cost saving projects.
Slide 13: SG&A
SG&A Selling Expenses Admin Expenses Q1’2024 • %Selling expenses increased by +2.1% YoY • Admin Expenses increased from 103 mb to 117 mb (+13.0% YoY) 13
Slide 14: Q1'2024 Revenue Million Baht
Q1’2024 100 1,836 Million Baht COUNTRIES TERRITORIES 14
Slide 15: Q1'2024 (YoY) Top Line Growth by Regions
Q1’2024 (YoY) TOP LINE GROWTH BY REGIONS International Business Top 3 Contribution by Countries : Europe Q1’2024 +17.6% ME & 1,836 Million Baht Others +107.4% America Asia +43.9% +5.9% Thailand +6.1% 15
Slide 16: Business Updates
Business Updates 16
Slide 17: International Markets
INTERNATIONAL MARKETS 17
Slide 18: International Business Journey
International Business Journey 01 02 03 Trading Model Rising Star model Consumer Market (Gems) • Rebate scheme • Expand coverage • Consumer engagement • Minimize investment • In-depth channel • Brand Love • Trade scheme vs Availability, • Brand of Choice Visibility, Affordability 18
Slide 19: Champion Product
Champion Product • Fruit flavored drink with Nata de coco • Full of extra-large Nata de coco cubes • Variety of choices Naturally Yours with Aloe Vera Cube 19
Slide 20: Overseas Availability
OVERSEAS AVAILABILITY 20
Slide 21: Zone: Asia
Zone: Asia Sales 728.3 Million Baht Growth 5.9% YoY ❑ Asia Contribute 39.7% in Q1’2024 Taiwan Hong Kong ❑ Asia market continues to make a substantial contribution with positive growth. This growth can be attributed primarily to its Philippines successful expansion into a new strategic market, couple
Slide 22: Channel Contribution
Key Countries KOREA Market PHILIPPINES Market INDONESIA Market Channel Contribution 22
Slide 23: Korea Limited Edition Packaging Design
KOREA LIMITED EDITION PACKAGING DESIGN #MOGUMOGU #모구모구 #MOGUMOGUWINTERCOLLECTION 23
Slide 24: Mogu Mogu in Stores & Marketing Activities
Mogu Mogu in Stores & Marketing Activities MOGU MOGU X SOJU #MoJu 24
Slide 25: Marketing Activities
Marketing Activities Fun takes over ot _ KALA GHODA FESTIVAL
Slide 26: Zone: Europe
Zone: Europe Sales 367.0 Million Baht Growth 17.6% YoY ❑ Europe Contribute 20.0% in Q1’2024 ❑ Significant growth of Europe market was driven by expanding coverage into MT and in all channel, types including implementing online and trade marketing activity in order to create visibility and increase c
Slide 27: Mogu Mogu France Market
France Market Mogu Mogu New Superstar Fruit Juice Drink Channel Contribution 27
Slide 28: Mogu Mogu in Stores & Marketing Activities
Mogu Mogu in Stores & Marketing Activities 28
Slide 29: Mogu Mogu in Stores & Marketing Activities
Mogu Mogu in Stores & Marketing Activities 29
Slide 30: Zone: Middle East & Others
Zone: Middle East & Others Sales 338.1 Million Baht Growth 107.4% YoY ❑ Middle East & Others Contribute 18.4% in Q1’2024 LIBYA ❑ The growth in Middle East by increased demand and increased visibility in main Hypermarket and Supermarket also boosted demand by in stores promotion with media social pla
Slide 31: Mogu Mogu in Stores & Marketing Activities
Mogu Mogu in Stores & Marketing Activities 31
Slide 32: Mogu Mogu in Stores
Mogu Mogu in Stores 32
Slide 33: Marketing Activities
Marketing Activities 33
Slide 34: Zone: America
Zone: America Alaska Sales 90.2 Million Baht Growth 43.9% YoY ❑ America Contribute 4.9% in Q1’2024 ❑ America market growth was driven by penetrating to greenfields area in major mainstream chain market. With the significant growth, also listed products in some key mainstream channel in USA and Canad
Slide 35: Mogu Mogu in Stores
Mogu Mogu in Stores SS Seasons &
Slide 36: Domestic Market
Domestic Market 36
Slide 37: Rebranding Campaign
Rebranding Campaign Loyalty Campaign To collect consumer data / Gain gen Z consumers / Create more brand awareness and consumption 37
Slide 38: Sappe Beauti Powder Stix
Sappe Beauti Powder Stix NPD launch Engagement View Reach 307K 9.6M 7.7M Sustain campaign awareness by using KOL 38
Slide 39: More Taste of Fun On-line Activities
MORE TASTE OF FUN On-line Activities Tiktok 12 KOLs Product tie-in with Youtube music entertainment channel and creating a catchy wording for promote on TikTok Friend of B’lue School Tour 39
Slide 40: Marketing Activities
Marketing Activities Always On Content Product sample 40
Slide 41: E-Commerce
E-Commerce June 10 umn 14 Au fifas ff faanvaainidudatusardy ——quadaasiniwaefiovarquavia #anéMaudund... siao'lei fu Seppe Beauti.. andaunaasiioud @... @ stame_nari > 2M — @ baifarm D 135K — @ pukpingorigi D17™M ai a2 a3 a4 2024 a . roumlaan uaa 4 tea] 1 fraan 10 um imarlanuws — #usuciiuii #aaaarau wi
Slide 42: Outlook: All Coco Q1/2024
OUTLOOK : ALL COCO Q1/2024 Revenue Net Profit 12% 24% 21% 70% 81% 71% 67.52 82.56 88.14 +31% YoY +7% QoQ Total Revenue from selling goods in Q1/2024 was at 88.14 MB or +31% YoY, from Industrial + 34%, Shop&Retail +17%, OEM&Other +48% 42
Slide 43: Outlook: All Coco Q1/2024
OUTLOOK : ALL COCO Q1/2024 New NPD Volume coconut in Makro growth +39% YoY 100% Coconut water 1,000 ml. Thaifex Horec Asia 43
Slide 44: Production Facility
Production Facility State-of-the-art Production Facility to Support Growth Klong 13 factory Projects under construction 2 Manufacturing buildings New manufacturing plant & Utilization rate: +8,500 sqm warehouse space 79%* 4 8 in TH Beverage lines Powder filling lines 2 5 3 new production lines Pouch
Slide 45: Target Growth 2022-2026
Target Growth 2022-2026 Sales Q1’2024 REVENUE Growth 10,000 MB. +20.8% YoY 45
Slide 46: SAPPE's Sustainability
SAPPE’S Sustainability 46
Slide 47: Sustainability Framework
Sustainability Framework WE BETTER PEOPLE’S LIVES THROUGH OUR INNOVATIVE SPIRIT 47
Slide 48: SAPPE's Sustainability Story
SAPPE’S SUSTAINABILITY STORY
Slide 49: Good Health & Well-being
GOOD HEALTH & WELL-BEING Ensure safe food and clean water access by enhancing and installing drinking water systems for nearby communities and schools. Ignite creativity in child by providing playgrounds for schools and communities. Enhance well-being for all.
Slide 50: Climate Action
CLIMATE ACTION Circular Economy Affordable & Clean Energy Responsible Consumption & Production
Slide 51: Q&A
Q&A
Slide 52: www.sappe.com
WWW.SAPPE.COM