Thai Beverage Public Company Limited (OTCPK:TBVPF) Q2 2021 Earnings Conference Call May 14, 2021 7:30 AM ET Company Participants Namfon Aungsutornrungsi - Head of Investor Relations Ueychai Tantha-Obhas - Director, Senior Executive Vice President & Chief Operating Officer, Thailand Prapakon Thongtheppairot - Executive Vice President Spirit Product Group Lester Tan Teck Chuan - Senior Vice President Non-Alcoholic Beverage Business, Thailand Pisanu Vichiensanth - Director & Senior Executive Vice President Tec ...

Financial Performance Highlights - Thai Beverage generated sales revenue of Baht 131,252 million, a decrease of 4.3% year-on-year due to the impact of the new wave of COVID-19 cases in Thailand [15] - The company delivered earnings growth, with net profit rising 8.7% year-on-year to Baht 16,076 million [15] - Interim dividend per share was Baht 0.15, compared to Baht 0.10 in the previous period [21] Business Segment Performance - The spirits business remained resilient with net profit growth of 3.6% year-on-year [15] - The beer business delivered significant profit growth of 84.2% year-on-year due to cost-control measures [15] - Excluding non-recurring items, the non-alcoholic beverage (NAB) business recorded a significant increase in net profit from normal operation of 98.2% year-on-year due to prudent cost management [15] - The food business contributed 4.5% of the total revenue of ThaiBev Group for the six-month period [9] Key Events and Considerations - The potential spin-off and listing of BeerCo was deferred due to uncertain market conditions and the COVID-19 pandemic [8] - InterBev Investment Limited (IBIL) subscribed to additional shares of Frasers Property Limited (FPL) for approximately Baht 8,381.22 million, increasing ownership interest from 28.12% to 28.86% [11] - The company issued debentures with an aggregate principal amount of Baht 8,000 million to refinance short-term loans used for the subscription of Frasers Property Limited (FPL) Rights Issue [12] Financial Position - Total assets increased to Baht 446,286 million [119] - Total liabilities increased to Baht 262,927 million [119] - Total equity increased to Baht 183,359 million [119]

THAI BEVERAGE PLC FY20 FINANCIAL RESULTS (Full Year ended 30 September 2020) FY20 (Full Year ended 30 September 2020) Copyright © Thai Beverage Public Company Limited NOTE ON FORWARD LOOKING STATEMENTS • The following presentation may contain forward looking statements by the management of Thai Beverage Public Company Limited ("ThaiBev"), relating to financial or other trends for future periods, compared to the results for previous periods. • Some of the statements contained in this presentation that are no ...

Financial Data and Key Metrics Changes - Total sales revenue for the year ended September 30, 2020, was ฿253,481 million, a decline of 5.2% compared to the previous year due to decreased sales in beer, non-alcoholic, and food businesses impacted by the COVID-19 pandemic [4] - Net profit was ฿26,055 million, a decrease of 0.1% year-on-year, influenced by a decline in net profit from F&N and FPL, along with non-recurring costs and deferred tax utilization related to business restructuring [5] - Net profit from normal operations increased by 10.1% year-on-year to ฿28,725 million [5] - The Board of Directors proposed a dividend of ฿11,553 million or ฿0.46 per share, representing a 51% payout ratio [6] Business Line Data and Key Metrics Changes - The spirit business generated sales revenue of ฿117,297 million, a 2.2% improvement year-on-year, with net profit of ฿22,271 million, an increase of 14.7% year-on-year [7][8] - The beer business recorded sales revenue of ฿106,871 million, down 11.3% year-on-year, with total sales volume decreasing by 12.7% due to COVID-19 impacts [9] - The non-alcoholic beverage business generated sales revenue of ฿15,281 million, a 3.1% decline year-on-year, but reported a net profit of ฿656 million, up 165.7% from a net loss last year [10][11] - The food business recorded sales revenue of ฿13,172 million, down 15.4% year-on-year, resulting in a net loss of ฿101 million [12] - The international business recorded sales revenue of ฿62,627 million, down 18% year-on-year, primarily due to a 21% decline in beer sales [13] Market Data and Key Metrics Changes - The domestic beer business reported satisfactory profit growth due to prudent cost control and effective management of the COVID-19 situation in Thailand [9] - The international spirits sales revenue decreased by only 1% year-on-year, indicating resilience despite the pandemic [13] Company Strategy and Development Direction - The company is focusing on penetrating the sub-premium market with the launch of Saigon Chill, aiming to compete with established brands like Heineken's Tiger [22][23] - The strategy includes leveraging existing distribution channels to introduce new products while maintaining margins through brand diversification [24][28] Management Comments on Operating Environment and Future Outlook - Management noted improvements in Vietnam's COVID-19 situation, with restaurants reopening and events resuming, although caution is advised regarding future performance due to ongoing economic impacts [16][17] - The last quarter showed month-over-month improvement, but management anticipates some softness in the coming months [17][18] Other Important Information - The company implemented cost control measures and negotiated rent reductions to mitigate the impact of the pandemic on its food business [12] Q&A Session Summary Question: Current situation in Vietnam regarding THBEV - Management indicated that Vietnam has handled the COVID situation well, with improvements in restaurant operations and events, although not at pre-pandemic levels [16][17] Question: Saigon Chill product launch and market penetration - Management expressed excitement about Saigon Chill, noting positive consumer feedback and the ability to sell in existing Saigon Special outlets, which opens up new opportunities [22][24] Question: Protecting market share in the mainstream segment - Management acknowledged the competitive pressure in the mainstream segment but emphasized their strategy of using a diverse brand portfolio to maintain market share without resorting to discounting [27][28]

Financial Performance Highlights - Revenue from sales decreased by 39% to Baht 137092 million in 1H20 [38, 48] - EBITDA increased by 49% to Baht 25251 million in 1H20 [38, 48] - Net profit increased by 39% to Baht 14789 million in 1H20 [38, 48] - Interim dividend declared at Bt 010 per share [35] Business Segment Performance (1H20) - Spirits sales revenue increased by 25% to Baht 64262 million [79] - Beer sales revenue decreased by 112% to Baht 56875 million [92] - Non-alcoholic beverages sales revenue increased by 49% to Baht 8690 million [106] - Food sales revenue decreased by 32% to Baht 7351 million [120] Key Financial Position Changes - Total assets increased to Baht 429567 million [127] - Total liabilities increased to Baht 260041 million [127] - Total equity increased to Baht 169526 million [127] Debt and Ratios - Total interest-bearing debt was Baht 222290 million [132] - Net interest-bearing debt was Baht 196657 million [132] - Current ratio decreased to 088 times [137] - Liability to equity ratio decreased to 153 times [137] International Business - International business sales revenue decreased by 24% due to declines in both spirits and beer sales [123]

Financial Performance Highlights - Revenue from sales increased by 4.2% to 75,680 million Baht[30, 33] - Net profit increased significantly by 23.2% to 9,213 million Baht[30, 33] - Attributable profit increased by 13.6% to 8,423 million Baht[30, 33] - EBITDA increased by 14.5% to 14,047 million Baht[30, 33] - Basic EPS increased by 13.3% to 0.34 Baht[30] Segment Performance - Spirits domestic volume increased by 7.0%[28] - Beer volume (excluding Sabeco) increased by 13.5%[28] - Total Non-Alcoholic Beverage (NAB) volume increased by 1.9%[28] - NAB turned profitable with a net profit of 125 million Baht[28] - Spirits sales revenue increased by 8.8% to 34,420 million Baht[51] - Beer sales revenue increased slightly by 0.2% to 33,222 million Baht[67] - Non-alcoholic Beverages sales revenue increased by 4.4% to 4,214 million Baht[76] - Food sales revenue increased by 1.5% to 3,874 million Baht[83] Key Operational Changes and Investments - Chang water and Chang soda are now included in the beer segment instead of NAB and Spirits segment respectively[7] - BeerCo holds approximately 99.39% of the charter capital of Vietnam Beverage[17] - BeerCo holds approximately 99% of Vietnam F&B's charter capital[21] Financial Position - Total assets increased to 412,806 million Baht[92] - Total liabilities decreased to 254,197 million Baht[92] - Total equity increased to 158,609 million Baht[92]