OPPORTUNITY DAY16 May 2019

SABINA PUBLIC COMPANY LIMITED www.sabina.co.th

03Financial Highlight

Business Update

Performance Update Q1 2019

0201

AGENDA

SABINA PUBLIC COMPANY LIMITED

04Appendix

Performance Update Q1 2019Sabina Public Company Limited

3

Performance Update Q1 19

Q1 19 Highlights

• Delivered impressive revenue growth of 12.3 % YoY as a result of strong sales performance in core channels, particularly in NSR channel.

• Successfully launched ‘Seamless Fit’ campaign through our integrate marketing activities.

• Expanded more stores in CLMV.

• Launched high margin products during Valentine’s Day in February.

• Gross profit increased to 54.7% YoY due to the lower cost sourced products from trusted sub-contractors.

• Impressive bottom line growth of 12.3% YoY primarily driven by our higher Gross Profit.

• NPM significantly expanded as a result of 1) more sales contribution from NSR, Sabina Export segment 2) an effective cost management and 3) adaptive marketing campaign.

1,141 1,198 1,258 1,3561,595

364 421

53.0% 52.1% 52.8% 50.9% 51.6% 53.0% 54.7%

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

Gross Profit GPM

147 166 176243

362

79 95

6.8% 7.2% 7.3%9.1%

11.7% 11.5% 12.3%

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

Net Profit NPM

THB mm

2,165 2,308 2,397 2,6793,103

690 774

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

Revenue

Gross Profit

Net Profit

11.8 % 15.8%

38.4 % 48.7%

4

Q1 2019 Performance

Sabina at a Glance (Cont’d)

G 4%

G 12%

2016 2017 2018

Sabina Revenue

Q1 2018 Q1 2019 % YoY

Net Profit 79 95 + 20%

Net Profit

THB mmTHB mm

2,397

3,103

2,679

G15.8%

51

63

78

51

79

96

110

75

95

Q1 Q2 Q3 Q4

2017 2018 2019

5

Financial overview by segment

Not include other revenue and service revenue

Performance Update Q1 19 (Cont’d)

Sabina Brand Revenue NSR Revenue

THB mm

1,873 1,977 2,112 2,291 2,489

541 585

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

• Successfully launched ‘Seamless Fit’ campaign through our integrate marketing activities.

• During Q1 Introduced 4 new branches i.e. Robinson Payao, Central Patong, etc.

• Launched new collections i.e. Madmoisellei, Sabinie, Swimwear, Maggie Mae, etc.

• Launched co-promotion campaign with prominent brands of Hospital, Bank , Telco company.

Sabina Export Revenue OEM Revenue

• Expanded more offline and wholesale channels in Myanmar and Vietnam bringing the total point of sale outside Thailand up to 108 stores.

• Expanded more online channels in Vietnam and Myanmar.

• Continued to share our knowledge and expertise to local distributors, in the area of inventory management, POS system, PC training, P&L analysis of sale channels and monthly promotion plan

• Launched the exclusive products for each country to fit with the local lifestyle and fitting

• Due to UK economy slow down (Brexit), some shipments are postponed to Q2, 2019.

• Our orders comprised of only high margin products such as fashion lingerie, big cup bra and swimwear.

• Continued to maintain high quality and on-time delivery.

• Cooperated with key partners to create big campaign, especially for Sabina brand in order to get better awareness and visibility to end customers.

• Collaborated with well-known brands for better communication and promotion to end customers.

• Increased more online channel i.e. Fitcraze.

THB mm

- - - 96

254

57 92

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

38 64 59 52 61

14 21

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

THB mm THB mm

242 256 212 220

287

74 73

2014 2015 2016 2017 2018 Q1 2018 Q1 2019

8.5% 8.6%

3.8% 30.3%-12.7% 17.4%

163.6%

6

Q1 2019 Overview by segmentation

Not include other revenue and service revenue

76%

585

SABINA BRAND

9%

21

SABINA EXPORT

12%

92

NSR

3%

73

OEMTHB mm

Sabina Brand

7

Overview by segmentation

SABINA BRAND

2017Wireless BraPerfect Bra Doomm Series

2016Perfect Bra

2018Wireless BraDoomm Series

Big Cup

All Cup

All CupSmall Cup

2006-2015Doomm Series

Small Cup

THB mm

Sabina Brand

2019Seamless Fit

All Cup

76%

585

G +8%

8

Special campaigns

Sabina Brand (Cont’d)

Special campaigns Q1 2019

Seamless Fit : TVC / Viral Clip Behind The scene

Making of : Seamless Fit Online Promotion Campaign

9

Special campaigns

Sabina Brand (Cont’d)

Special events Q1 2019

LINE Creators Market Connect Day Events at leading department store Baby&Kids Best Buy 2019Partner

Samitivej Hospital SCB KBANK Krungsri AIS DTAC

Donate to Baan Nontapumfoundation

CSR

Doomm Series : Celebrated 10M pcs.

Campaign

10

Sabina Brand (Cont’d)New Collections

Influencers

11

Non Store Retailing

NSR

ONLINE

TV Shopping

Catalogue

THB mm

12%

92

G +62%

12

Non-store Retailing Live Streaming Video Brand of the day

Shopee Lazada

13

Bangladesh 10

Pakistan 9

Vietnam 41

Philippines 29

Myanmar 10

Laos 6

Cambodia 3

+1 -1

+2

Sabina Brand Export

New Store/POS expansion (Q4 2018)

Shopee : Tet

Total 108 outlets as of Q1 2019 , net addition of 5 outlets from 2018.

OPEN CLOSE TOTAL

New Store : Vincom Tran Duy Hung

THB mm

21

3%

Sabina cooperate with Marc

Launched the collection to match with the Chinese New Year

Joined the campaign with Outerwear Brand to increase the customer base in online channel

Expanded more wholesale market stores in Vietnam

Wholesale market

G +43%

14

OEM

High margin products

9%

73THB mm

Visiting of UK Buyer for big cup swimwear development

G -2%

Financial HighlightSabina Public Company Limited

16

147 166 176243

362

95

6.8% 7.2% 7.3%

9.1%

11.7%12.3%

2014 2015 2016 2017 2018 Q1 2019

Net Profit NPM

2,165 2,308 2,397 2,679

3,103

774

2014 2015 2016 2017 2018 Q1 2019

Strong GPM and steadily expanding EBIT margins

948 953 997 1,051 1,067 1,156

304

43.5% 44.3% 43.4% 44.1%40.1% 37.4% 39.5%

2013 2014 2015 2016 2017 2018 Q1 2019

SG&A SG&A/Sales

Solid top line growth with strong margin improvement

Rapidly trending down SG&A to sales

% THB mm

% YoY Growth

-1% 7% 4% 12% 16%

THB mm THB mm

% YoY Growth

25.4% 12.7% 6.1% 38.4% 48.7%

Consistently growing top line

Significantly expanding net profit and NPM

Financial Highlights (Cont’d)

7.7% 8.7% 9.2% 9.2% 11.4%14.6% 15.6%

51.3% 53.0% 52.1% 52.8% 50.9% 51.6%54.7%

2013 2014 2015 2016 2017 2018 Q1 2019

EBIT Margin GPM

17

Financial Highlights (Cont’d)Steadily improving working capital management

449402 382

296258 271

2014 2015 2016 2017 2018 Q1 2019

56 50 49 45 44 49

6.57.3 7.5

8.1 8.37.5

2014 2015 2016 2017 2018 Q1 2019

DSO (Days) A/R Turnover (Times)

41 42 41 46 41 48

8.8 8.7 8.98.0

8.9

7.6

2014 2015 2016 2017 2018 Q1 2019

A/P Turnover Days (Days) A/P Turnover (Times)

Days inventory outstanding and inventory turnoverDays sales outstanding and account receivable turnover

Improving cash conversion cycleAccount payable turnover days and account payable turnover

434 394 374297

255 270

0.8 0.9 1.0

1.21.4 1.4

2014 2015 2016 2017 2018 Q1 2019

DIO (Days) Inventory Turnover (Times)

Days

18

D/E

Key Financial RatioHealthy balance sheet with ample debt room to raise fund whenever it is needed

1,566 1,664 1,754 1,895 1,835 1,937

741 552 484 492

767 777

0.47

0.33 0.28 0.26

0.42 0.40

2014 2015 2016 2017 2018 Q1 2019

Total Equity Total Liabilities D/E

9.7 10.3 10.3

13.3

19.4 19.3

2014 2015 2016 2017 2018 Q1 2019

6.47.3 7.9

10.5

14.5 14.6

2014 2015 2016 2017 2018 Q1 2019

ROA ROE

EPS

0.420.48 0.51

0.70

1.04

0.27

2014 2015 2016 2017 2018 Q1 2019

Percent Percent

THB/Share

19

Stock Information and DividendsDividend policy is not less than 40% of normal net profit

0.42 0.48 0.51

0.70

1.04

0.07 0.08 0.10 0.14

0.50

0.10 0.11 0.14

0.68

0.54

-

0.20

0.40

0.60

0.80

1.00

1.20

-

0.20

0.40

0.60

0.80

1.00

1.20

2014 2015 2016 2017 2018

EPS (THB/Share) 1st Half 2nd Half

2014 2015 2016 2017 2018

40% 40% 47% 117% 100%

THB

Business UpdateSabina Public Company Limited

21

FACTORY

Output 2018 2019 %G

Ys 4.7 4.7 0%

Cn 2.7 2.7 0%

Bn 1.4 1.9 34%

Tp 2.0 2.0 0%

S5 1.4 1.6 11%

Capacity 12.2 12.8 5%

2,400 1,400 1,550 1,851 1,833

1,900

1,400 1,450 1,622 1,677

800

1,100 1,200 1,162 1,150

2011 2013 2017 2018 Q1 2019

PC

Nonsewing+PC

Sewing

2017 2018 Q1 2019

Sourcing GPM 59%

Produce GPM 50%

GPM 51.6%

Output (million pcs.)

Manpower Production : Sourcing

96% : 4%

Working capital and inventory management

Inventory turn over at 1.4 time despite the increase in unit production of 6.1% and sourcing of 33%

- Sourcing gains 9.3% higher margin than production.

4,6354,200

3,900

5,100

- 28 employees have been increased from the expansion of the moulding line.

67% : 33%82% : 18%4,664

Sourcing GPM 62.2%

Produce GPM 52.9%

GPM 54.7%

434 394 374297

255 270

0.8 0.9 1.0

1.2 1.4 1.4

2014 2015 2016 2017 2018 Q1 2019

DIO (Days) Inventory Turnover (Times)

22

Sabina Brand Launching new collection

WOONSEN COLLECTION

23

Sabina Brand Launching new collection

Influencer

24

Sabina Brand (Cont’d)Our integrated marketing strategy in both offline and online channels

NEW WEBSITE

www.sabina.co.th

25

Growth Strategy in 2019-2024

Customer centric product development

Consistently introduce new products / collection that meet customers needs

Backed by state-of-the-art marketing activities (plan to invest 3-4% of sales in marketing activities)

Store expansion

Price optimization

Increase B2B Business

Wider and Exclusive assortment in online and TV channels

Joint business plan with key partners to align sales & marketing plan

Provide customer seamless Experience

Personalized marketing campaign

Sabina brand building

Strengthen distributors

Stores expansion

Online and TV channels expansion oversea

Product innovation Maintain superb quality and

on-time delivery

Now Looking Forward

Key Drivers

Sales will be supported by both Sabina manufacturing capacity together with an increase in product sourcing from trusted sub-contractors

Sabina

Brand

NSR

Export

OEM

ESG

26

ESG Principles

Zero Waste policy

5S

SOLAR

EVAP system

Non Plastic Use

Disabled employees

Mother Jintana Foundation

Sewing Cup, Sewing Heart

Factory Model : Lean , 5 S , Kaizen

AunJai Fund (Micro Finance )

Code of conduct

CAC (Collective Action Coalition Against

Corruption )

WRAP (Worldwide Responsible Accredited

Production)

SEDEX (Supplier Ethical Data Exchange)

SABINA PUBLIC COMPANY LIMITED www.sabina.co.th

AppendixSabina Public Company Limited

29

0%

BRAND EXPORT

2%

BRAND EXPORT

8%

NSR

9%

OEM

10%

BRAND

90%

OEM

81%

BRAND

From OEM manufacturer to brand developer

2005: No pricing ability with nominated supplier 2018: Ability to command retail price with variety supplier

Sale Report Brand and OEM (2006 - 2018)

60%55%

50%

35%30%

25%

10% 9% 11% 11% 9% 9%9%

40%45% 50%

65% 70%75%

90% 91% 89% 89%97% 91% 91%

1,3461,163

959

551556

441

185 200 242 250 216 220 287

848903

994

1,0991,310

1,459

1,824 1,978 1,911 2,0442,108

0

500

1,000

1,500

2,000

0%

20%

40%

60%

80%

100%

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

OEM Sabina

% Gross Profit

27% 26% 37% 37% 35% 44% 50% 51% 53% 52% 53% 51% 52%

% Net Profit Margin

8% 6% 9% 4% 3% 3% 6% 5% 7% 7% 7% 9% 12%

2011: Thailand Great flood / Euro-zone crisis

2012: Minimum Wages hike to THB 3002007-2008:Subprime 2010:UK Financial Crisis

2,439 2,803

Medium (<THB700) Medium-High(THB700-1,000) High(>THB1,000)

Children(6-15 years)

Teens(15-25 years)

Young women(25-45 years)

Women( > 45 years)

30

Sabina at a GlanceWide product offering with ability to capture broad group of customers

Sabina at a Glance (Cont’d)

31

Highly penetrated and robust distribution network

ShopDepartment stores and

others

Modern Trade

Special Event

DistributorsQ1 2019

Strengths

Key channel for high valueproducts

Advertising channels

Channels to gather customer behavior data for R&D

Key channel for mid-end products

Key channel for low price products

Key channel to manage obsoleteinventory

Domestic International

Vietnam 41

Philippines 29

Myanmar 10

Laos 6

Cambodia 3

Bangladesh 10

Pakistan 9

83 Shops 2-3 Events per quarter80 Department stores110 other channels

308 Modern trade

Traditional Store Retailing Channels

Non-stores Retailing Channels (NSR)

3 TV channels, 9 online, 2 direct catalog distribution channels

New growth drivers with minimal cost

Consistently ranked the Best selling products in TV channels since 2019

Sabina Export and POS Q1 2019 OEM Customers

Manufacture only high margin OEM products for selected brands

Purely distributed by local partnerswith no direct investment on the stores

TV Shopping

Online

Direct Catalogue

Q1 2019 Store Total

Department store Central 23

Robinson 48

The mall 9 80

Modern trade Big C 131

Lotus 176

Makro 1 308

Shops 83

Other 110

Total 581