Osotspa Showcases FY2019 Net Profit of 3,259 Million Baht
Osotspa Announces FY2019 Net Profit of 3,259 Million Baht Sets Full-Year Dividend Payment of 1 Baht/Share Targets 2-Digit Growth, Innovations and Foreign Markets in 2020
Osotspa Public Company Limited (OSP) reported sales revenue in 2019 at 25,611 million baht and net profits of 3,259 million baht with 5.4% growth as planned, with strong business potential both in and outside country. The domestic beverage products have grown in every segment. The personal care product portfolio grew significantly, and the Fit Fast Firm program outperformed the plan, helping to improve cost management. The Board agreed to pay dividends for the FY2019 at 1.0 baht per share and set a 2-digit growth target in 2020.
Mr. Petch Osathanugrah, Chairman of the Executive Committee & CEO of Osotspa Public Company Limited, a leading Thailand-based consumer products producer and distributor, revealed the performance in 2019 that OSP can grow both revenue and net profit as the target. OSP's sales revenue is 25,611 million baht, an increase of 5.4% from 2018 and a net profit of 3,259 million baht, an increase of 8.4% from 2018. OSP remains the leader in the energy drink market with 53.5% market share and functional drink with 33.3%. Osotspa, as the market leader, plays an important role in driving the 5.7% growth of the beverage market and 19.3% in the functional drink market, while those of personal care products continue to grow through new innovations. At the same time, the ‘Fit Fast Firm’, a cost control project, proceeded better than the plan, helping to reduce the costs by 775 million baht.
The M-150 energy drink retained its market leadership in the energy drink market and continued to receive good response from the consumers. A new flavor, with Black Ginger & Honey, was released in response to the strong herbal-infused trend, along with the M-Point campaign, a digital platform to create long-term loyalty. Meanwhile, C-vitt is another brand that has achieved a remarkable growth of 46.1% from the previous year, occupying the leadership in functional drink market with a market share of 25.6%. Peptein is growing steadily after the release of Peptide Plus during the year. There are also new products including the brand 'V-Plus', mixed drinks of vitamin C and electrolyte. 'Slimma', drinks containing fiber, L-carnitine and vitamin B, reduces the absorption of fat, starch and sugar and 'Peptein Gold’ drinks that enhance the immune system. These products are targeted at specific groups of consumers and distributed through selective channels such as online channels. In addition, the company expands distribution channels to automated vending machines which have grown tremendously in the past year. The international market continues to expand at constant exchange rates, especially Myanmar, our main market in foreign countries.
As for the personal care product category, there has been a remarkable growth through product launches and innovation developments. Crossover between confectionary products and personal care products brings the unique sweet scent of Ole strawberry flavored candy to new personal care products, creating a huge trend among consumers. Furthermore, other products have been developed to adapt to the changing environment. Babi Mild added Babi Mild Anti-pollution Baby Cream to help protect babies’ sensitive skin from pollution which includes PM2.5 dust. Twelve Plus and Exit were also growing in the market from the ongoing marketing campaigns.
Through these successes in mind, the Board of Directors have unanimously agreed in the meeting held on February 26, 2020, to pay out 2019 dividend at the rate of 1.0 baht per share in the amount of 3,004 million baht which is divided into interim dividend at 0.35 baht per share, and the remaining 0.65 baht per share to the shareholders, duly listed as eligible for dividend payment as of May 8, 2020, to be paid on May 28, 2020, following approval from the General Shareholders Meeting on April 29, 2020.
นอกจากนี้ ภายในงานยังมีการเปิดตัวภาพยนตร์โฆษณาชุดใหม่ที่ถ่ายทอดผ่าน 3 คาแรคเตอร์ญี่ปุ่น ให้ความหมายสื่อถึงคุณประโยชน์ในเครื่องดื่มบำรุงกำลังลิโพได้อย่างชัดเจน ได้แก่ ‘ซูโม่’ สื่อถึงความแข็งแรง ช่วยเพิ่มพลังให้ร่างกาย ‘นินจา’ สื่อถึงความกระฉับกระเฉงว่องไว และ ‘ซามูไร’ สื่อถึงดวงตาที่เฉียบคม จากการช่วยบำรุงสายตา
Mr. Petch said, “The past year 2019 was the year that our investment in innovation has shown clear results through new product released, especially the extension of both beverage products and personal care products. We are confident that more new innovations will come down stream this year. Where our local partners and new businesses abroad are concerned, everything is proceeding as planned. Therefore, we have set our growth target for 2020 at no less than double-digit.”
For this year's investment plan, the company is in the process of expanding the production capacity of beverage filling in the country which is expected to be completed in the middle of this year. The construction of a new glass bottle factory in Myanmar, worth 1,200 million baht, with local business partners is expected to be completed in 2021. The beverage plant in Myanmar has been completed and ready to operate commercially within the first quarter. This new beverage plant will increase the competitiveness and the profit margin.
