Osotspa Announces 2021 Operating Results, Seeing Sales Growth, Maintaining Profits and Strong Balance Sheet despite Negative Factors with 47% Increase of Profit in Q4 and Announcing Second-Half Dividend Payment of 0.65 Baht per Share, Total Annual Payment of 1.1 Baht per Share

'Osotspa Public Company Limited (OSP)' shows continuous growth in 2021 performance despite the negative factors caused by the COVID-19 pandemic. The Company gained revenue from sales of 26,762 million baht and net profit of 3,255 million baht. It reaffirmed its leadership in the domestic beverage market thank to a strong portfolio, while its international market continues to grow. The Company also declares the payment of a dividend from 2021 net profit and retained earnings at the rate of 0.65 baht per share, resulting in a total annual dividend payment of 1.1 baht per share, reinforcing the policy of maximizing returns to shareholders. In 2022, Osotspa will drive growth through adopting technology to enhance efficiency in all dimensions, developing products to meet new normal lifestyles and collaborating with new alliances to expand the business along with utilizing ESG to create sustainable growth.

Mrs. Wannipa Bhakdibutr, Chief Executive Officer of Osotspa Public Company Limited or OSP, Thailand’s leading manufacturer and distributor of consumer products, revealed that the year 2021 was very challenging as the Company had to manage the business amidst the COVID-19 pandemic. However, Osotspa has achieved sustained growth in both domestic and international markets as reflected in 2021 overall performance with 26,762 million baht of sales revenues, an increase of 4.6%. Osotspa’s growth resulted from its potential and its resilient operations with a strong portfolio and the core brands that customers trust. It remained the leader in the market and achieved higher market shares despite the market slowdown. The market share in the energy drink market increased to 54.6%, mainly because of M-150, the No.1 brand, Lipo and Som in Sum. Its functional drinks drove sales growth by double digits and gained a market share of 37.3%.

Osotspa has maintained a strong financial position and cash flow with low Debt to Equity Ratio (D/E Ratio). Despite many negative factors, such as rising energy costs, lockdowns, and exchange rate fluctuations, the company had efficient cost control and gained net profit of 3,255 million baht. Especially in the fourth quarter, when the lockdown was eased, the net margin increased by 47%, compared with the third quarter. As a result, in the meeting on February 23, 2022, the Board of Directors has approved the payment of a dividend for the year 2021 performance at the rate of 1.1 baht per share, amounting to 3,304 million baht, divided into an interim dividend at 0.45 baht per share, and the remaining 0.65 baht per share from 2021 net profit and retained earnings to the shareholders duly listed as eligible for dividend payment as of May 6, 2022, to be paid on May 26, 2022, following approval from the General Shareholders Meeting.

In addition, underscoring its excellence in business operations and its focus on ESG principles (Environmental, Social and Governance) to create sustainable growth, the Company has been selected to the sustainability indices and awarded in various fields, including business operations, marketing, human resource management and social and environmental responsibility, namely Thailand Sustainability Investment or THSI by the Stock Exchange of Thailand, Thailand's Top Corporate Brand 2021 Award for the food and beverage business category, Best Companies to Work for in Asia 2021 by HR Asia, and Outstanding Organization in Supporting the Disabled of the Year 2021 from the Ministry of Social Development and Human Security. Maintaining its popularity and number one position in consumers' minds, M-150, Osotspa's flagship brand, obtained "The Most Powerful Brands of Thailand" award. Twelve Plus brand received the Superbrands 2021 award for 12 consecutive years.

OSP Chief Executive Officer said, “In 2022, many parties expect that the COVID-19 situation will improve, and market conditions will begin to recover back to normal. Therefore, plans must be prepared in advance. When the COVID-19 situation starts to improve, consumption will change rapidly. Those who are well prepared will have an advantage. Osotspa has clearly laid out the strategies to stand ready to respond to the recovering market immediately.”

Furthermore, in 2022, the company has started the Fast Forward 10X project with an aim to enhance cost management and increase operational efficiency in all dimensions to drive sustainable growth. The project includes 1) Cost management 2) Technology adoption to improve operational efficiency and create new business opportunities 3) Transformation for faster and more agile process 4) Human resources development to build a variety of skills, agility and lifelong learning attitudes among employees 5) Asset maximization.

Moreover, to prepare the Ecosystem to seize opportunities and handle challenges in the future, Osotspa develops products that meet new trends, including health and wellbeing, elder population, new consumer behaviors, such as the behavior of new generations (Gen X, Gen Y, Gen Z, Gen Alpha) and home-based lifestyle. The Company also focuses on applying technology to enhance the sales team, especially leveraging data analytics to help in decision-making. Transforming the working processes to increase efficiency, boost speed and reduce cost is another priority. In addition, the Company is continuously seeking inorganic growth to expand the business, increase potential and reduce costs. Recently, Osotspa collaborates with Yanhee Vitamin Water Company Limited to enter the cannabis-based and hemp-based beverage market and uses its strong network to oversee the distribution of Karamucho and Sucorn products to traditional channels and Makro, totaling over 400,000 outlets nationwide.