Osotspa Announces Second Quarter Net Profit of 549M Baht, Approves Interim Dividend at 0.40 Baht
Osotspa Public Company Limited revealed its second-quarter performance with sales revenue of 6,709 M Baht, a 2.5% increase from last quarter, and a net profit of 549 M Baht, a 14.9% increase from that of last quarter excluding the dividend received. This results from the recovery of its domestic beverage portfolio, especially with ‘M-150’ and ‘C-vitt’ leading the energy drink and the vitamin C market, and the gradual improvement in production efficiency. The company also declared an interim dividend of 0.40 Baht per share.
Mrs. Wannipa Bhakdibutr, Chief Executive Officer of Osotspa Public Company Limited, a leading consumer products company in Thailand, revealed that the second quarter of 2023 yielded a total sales revenue of 6,709 Baht, a 2.5% increase from the previous quarter. This resulted from a successful strategic approach to managing the company's product portfolio to cover all customers’ needs. In addition, the new marketing approach of ‘M-150’ under the idol marketing strategy which features five top celebrities of Thailand as the brand presenters allows ‘M-150’ to extensively drive awareness among its target audience and capture a wide range of customers. All these mentioned factors including Osotspa’s strong distribution networks contributed to a 0.9% increase in in market share from last quarter to 47.5% in this quarter. As for vitamin-C drinks, the ‘C-vitt’ brand remains the No. 1 market leader. Compared to the previous year, the international beverages, especially CLMV markets, achieved remarkable double-digit sales growth. This reflected Osotspa’s strong brand positioning, local teams, and local production capabilities despite challenges and uncertainties.
The second quarter’s operating profit was 549M Baht. Excluding 300M Baht dividend received from investment in another company in Q1’23, the net profit showed an impressive increase of 14.9% from the previous quarter. This marked the fourth consecutive quarter of growth resulting from the recovery in sales and effective production and cost management. Due to a significant decrease in raw material costs, the company enjoyed a lower cost per unit and increased gross profit margin. As a result, the board of directors approved an interim dividend of 0.40 Baht per share, or 1,202M Baht in total, on August 9th, 2023, to enhance trust and provide a good return to shareholders. The list of persons eligible to receive dividends is to be announced on August 24th. 2023 and the dividend is to be paid on September 8th, 2023.
As for the second half of 2023, Osotspa will continue to drive its strategic plan and strengthen its competitive advantages to acquire more market share and achieve double-digit sales in 2023. The company will focus on organizational transformation and cost management. Moreover, Osotspa will launch new innovations and improve the current product lines to enhance consumers’ health and well-being, which has always been Osotspa’s business priority. Additionally, the company will prepare to drive inorganic growth and push for carbon neutrality by 2050 to secure steady and sustainable growth for Osotspa while generating favorable returns to shareholders.
