'Osotspa Public Company Limited (OSP)' reveals operating results for the first 9 months of this year with sales revenue of 20,833 million baht, an increase of 5.2%. The personal care product line grew prominently in both domestic and international markets. Meanwhile, M-150 launched the M cap campaign to drive up year-end sales, as the new products of M-150 received great feedback and quickly penetrated the target market, reaffirming its leading position in the energy drink market. In addition, the Company is pursuing inorganic growth, expecting to announce 1-2 partners next year.
Mrs. Wannipa Bhakdibutr, Chief Executive Officer of Osotspa Public Company Limited or OSP, Thailand's leading manufacturer and distributor of consumer products, disclosed an overview of operations in the first nine months of this year (January-September 2022). The Company continued driving revenue growth worth 20,833 million baht, an increase of 5.2%, compared to the same period last year, with a net profit of 1,597 million baht. While Q3/2022 (July-September 2022) made sales revenue of 6,178 million baht and a net profit of 244 million baht. Reasons for a decline in operating profit were soaring raw materials and energy prices, depreciation in the Thai Baht and Myanmar Kyat exchange rate, as well as the decrease in sales volume and production which resulted in higher costs per unit.
Osotspa’s energy drinks continue to rule the market with a solid portfolio, containing a variety of energy drink brands that cover all segments whose purchasing power is different,and the brand M-150 is the market leader. In the functional drinks market, C-vitt remains its leading position with 38.9% market share, the highest among vitamin C-containing beverages. Meanwhile, the sales of M Electrolyte and Calpis Lacto were outstanding.
For the fourth quarter, Osotspa stressed its leadership in the energy drink market by launching a big sweepstake campaign "M’s Cap Gives Away Big Rewards, Both Points and Lucky Draw,” encouraging consumers to participate via offline and online channels. For the offline promotion, consumers can use M-150 caps to redeem for a discount of premium goods at the stores or the M-150 sale vans. Online sweepstakes offer a chance to win gold bars worth up to 1 million baht. This campaign has also invited Jazz Chuanchuen as a presenter to drive up year-end sales and hype up the ongoing trends of M-150’s new products, including the M-150 Honey, which is sold at 10 baht and quickly penetrates the 10-baht energy drink market, and the M-150 Terpene, which has a standout fragrance and helps bring out positive energy, good mood and boost power, has surpassed the sales target by 200%.
The personal care product group achieved a 35.4% growth in the third quarter from successful marketing and launches of new products that expand to new consumer groups and are in line with consumer trends, especially deodorant roll-on products for women. As a result, Babi Mild, Twelve Plus and Exit brands have grown strongly in both domestic and international markets, particularly in Lao PDR, Cambodia and Indonesia.
“The company has been constantly improving the production and operation efficiency to reach cost reduction target. It also keeps up the marketing competency in all aspects to meet the needs and win the hearts of consumers firmly through the development of new products and effective marketing activities. As a result, the Company generates continuous growth amidst negative economic factors. In addition to maintaining the growth of its core business, the company is also pursuing inorganic growth and expects to announce successful negotiations with one or two partners next year to sustainably strengthen OSP,” said Mrs. Wannipa.
Furthermore, Osotspa has been selected by the Stock Exchange of Thailand to be included in the list of “Thailand Sustainability Investment (THSI) 2022” in the agriculture and food industry group. This reinforced Osotspa’s commitment to operating the business under ESG (Environmental, Social and Governance). The Company also received the Thailand Kaizen Award 2022 (bronze level) in the Genba Kaizen category from the Technology Promotion Association. (Thai-Japan), which affirms a determination to improve its production.
