1h/2018 ichitan group pcl - irplus.in.th · to be a leader in beverage business with both quality...
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1H/2018 Ichitan Group PCL.
August 22nd ,2018
Contents
2
Overview Business Highlight
New Product
Q&A
1
2
3
4
Overview and Financial Highlight
About Company
ICHI Overview
Established the Company
Conversion to Public Company Limited
Listed and Trade in the SET
Entered into joint venture in Indonesia
Focused CLMV Countries
CGR “Excellent” and Rated in “Dividend Universe” list
Development
Year 2010 Year 2013 Year 2014 Year2014 Year2016 Year 2017 Year 2018
Established Mai Tan Co., Ltd. on 3rd September with registered capital of 500 MB and issued 5,000,000 ordinary shares at the par value of 100 Baht per share. In the year 2011,changed the Name to be Ichitan Group .,Ltd.
Conversion the Company into Public Company Limited, decreased par value from 100 Baht per share to 1 Baht 1 per share, and registered capital increase to 1,300 MB, divided into 1,300 million shares at the par value of 1 Baht per share. The Company’s name was Ichitan Group PLC.
Listed and traded on 21st April in the Stock Exchange of Thailand(SET) with Stock’s symbol“ ICHI” Industry: Agro & Food /
Sector: Food & Beverage. Also, registered capital (Fully Paid) 1,300 MB. 1,300 million Share.
On 27th August , entered into a joint venture with PT Atri Pasifik (“AP”) in Indonesia, in order to invest in PT Ichi Tan Indonesia (“PTI”), for distributing RTD beverage under branded “ICHITAN” in Indonesia. Holding share proportion of 50% in “PTI”. Registered capital 400,000 million IDR (about 1,184 MB) partial paid.
Focused entering into CLMV countries.
Ranked in “Excellent” Corporate Governance Report of Thai Listed Companies (CGR) by IOD Rated in “Dividend Universe” list by the SET. Received “Marketing Excellent Award” in Indonesia.
Focusing CLMV countries
New product development
Running new production line
Going to be Sustainable organization
OEM Business
To be a leader in beverage business with both quality and innovation that grows along with the society.
ICHI Financial Highlight
(Unit : million Baht)
Q2/2018 Q2/2017 YoY% 6M/2018 6M/2017 YoY %
Revenues from sale of Goods 1,333.0 1,438.9 (7.4) 2,654.5 2,927.0 (9.3)
Total Revenues 1,335.6 1,459.0 (8.5) 2,661.0 2,951.0 (9.8)
Cost of Sell of Goods 1,119.3 1,110.0 0.8 2,215.2 2,245.2 (1.3)
Distribution Expenses
(incl. Marketing&Promotion cost) 168.3 175.1 (3.9) 310 376.9 (17.8)
Administrative Expenses 39.0 29.2 33.6 70.7 73.2 (3.4)
Finance Costs 16.0 16.3 (1.8) 32.1 34.3 (6.4)
Total Expenses 1,342.6 1,330.6 0.9 2,628.0 2,729.6 (3.7)
Share of loss of investment in Joint venture (55.5) (39.4) 40.9 (86.8) (83.3) 4.2
EBITDA 95.5 222.3 (57.0) 261.2 431.1 (39.4)
Gross Profit 213.7 328.9 (35.0) 439.3 681.8 (35.6)
Net Profit (Loss) (30.4) 90.2 (133.7) 2.5 152.7 98.4
Financial Ratio
Profitability Ratio
Selling (%) 12.6 12.2 3.8 11.7 12.9 (9.3)
Admin (%) 2.9 2.0 44.2 2.7 2.5 6.5
Gross Profit Margin (%) 16.0 22.9 (29.9) 16.5 23.3 (29.0)
Net Profit Margin (%) (2.3) 6.3 (136.4) 0.1 5.2 (98.2)
EBITDA (%) 7.2 15.4 (53.6) 9.8 14.7 (33.2)
Consolidated Financial Statements
Contents
6
New Product
Q&A
1
2
3
4
Overview and Financial Highlight
Overview Business Highlight
ICHI RTD Tea market update RTD tea Market Share Jan-Dec 2017
RTD tea market value 2017 was 13,237 million Baht.
RTD tea market CAGR 0.09% in between year 2012-2017
Source: Nielson 7
Market value of RTD tea in Thailand
million Baht
RTD tea Market Share 6M/2018
CAGR = 0.09 %
Others
Jubjai
27.2%
13.2%
36.8%
6.6%
16.2%
YenYen Oishi
JubJai
Others
14,493 MB.
YenYen Oishi
6,106 MB.
(Value – 10.4%)
19.10%
10.20%
39.50%
5.80%
25.40%
8
Business Update
Tea Market size & %Growth by Segment 6M/2018
3,870 MB (-15.2%)
981 MB (-12.9%)
510 MB (+20.5%)
745 MB (+5.90%)
Main Green Tea
Herbal Tea
Premium Tea
Tea+Nata CoCo
6,106 MB
(-10.4% Value)
Increasing production capacity to 1,500 Bottles/year
PET Production (million Bottles/year) UHT Production(million Bricks/year)
OEM ratio has tendency to decrease continuously in the future after increasing production capacity in phase 2
2 2
Production Line
3 4 2 2 6 2 7
Year 2018 : Capacity 1,500 Bottle/year OEM 0 %
10
43.0%
26.0%
2.5% 1.5%
27.0%
5,688 MB
ICHI Sales by Brand / Export Year 2017 6M/2018
39.05%
27.03%
1.12% 2.10 %
30.70%
2,654 MB
42.3 %
27.0 %
ICHI Retail and Distribution Channel
1) Modern Trade
2) Traditional Trade
IGT (TT Retail)
(Wholesaler network and partner of Singha nation wide)
Thailand : 69.3% Export : 30.7 %
o CLMV: Cambodia , Lao PDR, Myanmar, Vietnam Take note: % from total sales of beverage 11
January-June,2018
59.50 %
1.72 %
8.08 %
ICHI Proportion of Income by Distribution Channel
12
Year 2017 6M/2018
13
YEAR 2018
• DRIVING BY EXPORT
• DRIVING BY NEW PRODUCT
• DRIVING BY OEM BUSINESS
The Impact of Excise & Sugar Taxes : ICHITAN Product
14
New Act
- Will pay for Excise tax 10% of the recommended retail price (RRP) + Sugar tax X Baht per litre in regard to sugar content. - Local tax
Previously
Exempted Excise Tax
Previously Exempted Excise Tax
New Act -หลังปรับสตูร “เย็น เย็น” -Exempted Excise Tax -Exempted Sugar tax - Local tax
Previously Exempted Excise Tax
New Act
- Exempting Excise Tax - Will pay for Sugar tax X Baht per litre in regard to sugar content. - Local tax
Green Tea Yen Yen Bireley’s
15
New Act • Will pay for Excise tax 14 % of the recommended retail price (RRP) + Sugar tax X Baht per litre in regard to sugar content.
• Local tax
Previously
• Paid for Excise Tax 22% of Ex-Factory price.
The Impact of Excise & Sugar Taxes : ICHITAN Product
ENERGY DRINK
Contents
16
Overview Business Highlight
New Product
Q&A
1
2
3
4
Overview and Financial Highlight
17
On shelf April 26th ,2018
https://www.facebook.com/ShizuokaTH/videos/
18
On shelf September,2018
Price: 20 Baht/bottle Size: 420 ml. Distribution Channel: Modern Trade Traditional Trade
LOGO ทางเลือกสุขภาพ : Green Tea
Logo : Healthier Choice Authorized by: Government
Group: Beverage Objective: To give to beverage sugar
less than > 6 Gram/ml .
LOGO ทางเลือกสุขภาพ : Yen Yen
TVC Thailand: Year 2018
http://www.ichitandrink.com/media.html
The 2017 Marketing Award, Indonesia
PT. Ichi Tan Indonesia (ICHITAN), a leading RTD (Ready-to-Drink) company originally from Thailand earned proudly achievement in the prestigious event in Indonesia,
“Marketing Award 2017” which held in Jakarta, Hotel Mulia, Wed.,13 September 2017. Marketing Award is an interesting event to observe what companies in Indonesia faced and did especially in marketing.
TVC Indonesia: Year 2018
https://ichitan.co.id/mendadak-jutawan-2/
TVC Indonesia: Thai Milk Tea
TVC CLMV : CAMBODIA
APPENDIX
Source: Prachachat Newspaper
Tax in regard to Sugar Content
INDONESIA MARKET OVERVIEW
JKT
Sumatra 21.1%
Java 53.8%
Borneo 5.7% Sulawesi 7.3%
Lesser Sunda 5.4%
Maluku 5.3%
Western New Guinea
253,899,536 4th Rank of World Population 1st Rank of ASEAN Population
