Opportunity Day

EPG: Financial Results

Q3 2022/23

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 Disclaimer
This document has been prepared by Eastern Polymer Group Public Company Limited (“EPG”) solely for the reference of intended
recipients only.
The data, information, analysis and valuations contained herein in this document have been prepared based solely on information obtained
from public sources on or prior to the date hereof. EPG has neither independently verified nor in the future intended to verify such
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reasonableness of future projections, estimates, prospects, returns, if any.
Any views contained herein are based on financial, economic, market and other conditions prevailing as at the date of this document. EPG
does not intend, and therefore shall not be held liable, to update all the information contained herein this Document.
Any disclosure or distribution of the information in this document, partly or wholly, to third parties other than the intended recipients without
prior written consent from EPG is strictly forbidden. 2
Agenda

Operational Highlights
Q3 2022/23 Financial Results

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 Q3 2022/23 Operational Highlights
Revenue Gross Profit SG&A Net Profit

3,005.9 MB 1,037.3 MB 23.9 % to sale 212.8 MB

+2.1% YoY +12.3% YoY -47.1% YoY
- Revenue increase 2.1% YoY - EPG Group Q3 2022/23 Gross - EPG Group Q3 2022/23 SGA - net profit of 212.8 MB decrease
from the increase in Insulation profit margin is at 34.5% in to sale is at 23.9% in 47.1% from previous year.
business and consolidation of comparison to previous year at comparison to previous year of - The Net Profit margin is at 7.1%
new business in Australia. 31.4% 21.5% due to business lower in comparison to previous
expansion in Australia. year at 13.7%.

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Note: Q3 2022/23 ends on 31 December 2022,
 Q3 2022/23 Operational Highlights
• The operation of Aeroflex USA remains healthy due to demand for high quality insulation that is certified with safety
standard. Moreover, the company also expand market segment in to Ultra Low Temperature Insulation and Air Ducting
system.
• Domestic and regional Operation improved due to relaxation of covid-19 measurement.
• Our innovation allows the production of AEROROOF to be competitive in the roof insulation market.

• Aeroklas Group revenue increased as the automotive industries improved. In addition, The company also consolidated 4 ways
suspension starting in July 2022.
• Australian operation experienced on-going slowdown due to shortage of new car in the market, hiking interest rates impacting
consumer sentiment and customers impacted by floods.
• In terms of innovation, Aeroklas has partnered with automakers to develop new products and additionally creates products for
other sectors such as alternative energy, agriculture and healthcare.

• EPP is undergoing strategy transformation to improve both Product and Production process..
• Enhance production technology 5
Agenda

Operational Highlights
Q3 2022/23 Financial Results

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 Q3 2022/23 Financial Results
Statement of Comprehensive Dec-21 Sep-22 Dec-22 QoQ YoY
Income (Million Baht) Q3-2021/22 Q2-2022/23 Q3-2022/23
Revenue from sales 2,944.5 3,250.4 3,005.9 -7.5% 2.1%
AEROFLEX 773.7 966.5 838.7 -13.2% 8.4%
AEROKLAS 1,417.5 1,655.1 1,498.1 -9.5% 5.7%
EPP 753.3 628.8 669.2 6.4% -11.2%
Cost of goods sold 2,020.5 2,229.5 1,968.7 -11.7% -2.6%
Gross Profit 924.0 1,020.9 1,037.3 1.6% 12.3%
Other gains-net gain on exchange rate -5.9 39.9 -114.0 -385.8% -1832.4%
SG&A 633.3 732.0 718.1 -1.9% 13.4%
Share of Profit from Investments in Associates 83.7 76.5 59.9 -21.7% -28.4%
EBIT 424.6 434.9 257.2 -40.9% -39.4%
Depre & Amor 211.7 219.3 231.7 5.6% 9.4%
EBITDA 636.3 654.3 488.9 -25.3% -23.2%
Core-EBITDA 502.5 508.3 550.9 8.4% 9.6%
Finance cost 12.1 33.9 19.9 -41.3% 65.1%
Income Tax 10.5 16.2 24.5 51.6% 133.1%
Net Profit 402.0 384.9 212.8 -44.7% -47.1%
Note: Q3 2022/23 ends on 31 December 2022, 7
Core EBITDA = exclude FX, other income and equity sharing
 Q3 2022/23 Financial Results
Ratios Dec-21 Sep-22 Dec-22
Q3-2021/22 Q2-2022/23 Q3-2022/23
Gross Profit Margin 31.4% 31.4% 34.5%
EBITDA margin 21.6% 20.1% 16.3%
Core-EBITDA Margin 17.1% 15.6% 18.3%
EBITDA Margin incl. equity sharing 19.9% 18.0% 19.5%
Net Profit Margin 13.7% 11.8% 7.1%
ROE 15.1% 11.5% 10.1%
ROA 11.8% 8.5% 7.5%
D/E 0.40 0.65 0.69

Note: Q3 2022/23 ends on 31 December 2022, 8

Core EBITDA = exclude FX, other income and equity sharing
 Q3 2022/23 Financial Results
Statement of Financial Dec-21 Sep-22 Dec-22
Status (Million Baht) Q3-2021/22 Q2-2022/23 Q3-2022/23
Current Asset 6,220.6 8,203.9 8,160.2
Non - Current Asset 9,914.4 11,628.6 11,575.9
Total Asset 16,135.0 19,832.5 19,736.1
Interest bearing debt 2,820.3 5,456.6 5,726.6
Current Liabilities 2,728.4 5,416.2 4,606.6
Non - Current Liabilities 1,903.2 2,419.8 3,424.0
Total Liabilities 4,631.6 7,836.1 8,030.7
Paid Up Capital 2,800.0 2,800.0 2,800.0
Retained earnings (unappropriate) 4,520.3 4,938.9 4,842.4
Total Equity 11,503.4 11,996.4 11,705.4

Note: Q3 2022/23 ends on 31 December 2022, 9

Core EBITDA = exclude FX, other income and equity sharing
 9M 2022/23 Financial Results
Statement of Comprehensive 9M 9M YoY
Income (Million Baht) 2021/22 2022/23
Revenue from sales 8,858.8 9,099.8 2.7%
AEROFLEX 2,314.7 2,689.2 16.2%
AEROKLAS 4,448.4 4,457.4 0.2%
EPP 2,095.7 1,953.2 -6.8%
Cost of goods sold 6,059.5 6,107.7 0.8%
Gross Profit 2,799.3 2,992.1 6.9%
Other gains-net gain on exchange rate 60.0 -59.4 -199.1%
SG&A 1,758.6 2,125.5 20.9%
Share of Profit from Investments in Associates 191.2 159.6 -16.5%
EBIT 1,376.3 971.1 -29.4%
Depre & Amor 625.9 666.8 6.5%
EBITDA 2,002.3 1,637.9 -18.2%
Core-EBITDA 1,666.6 1,533.3 -8.0%
Finance cost 60.8 71.4 17.5%
Income Tax 51.3 71.5 39.2%
Net Profit 1,264.3 828.2 -34.5%
Note: Q3 2022/23 ends on 31 December 2022, 10
Core EBITDA = exclude FX, other income and equity sharing
 9M 2022/23 Financial Results
Ratios 9M 9M
2021/22 2022/23
Gross Profit Margin 31.6% 32.9%
EBITDA margin 22.6% 18.0%
Core-EBITDA Margin 18.8% 16.9%
EBITDA Margin incl. equity sharing 21.0% 18.3%
Net Profit Margin 14.3% 9.1%
ROE 11.3% 14.6%
ROA 9.0% 11.3%
D/E 0.40 0.69

Note: Q3 2022/23 ends on 31 December 2022, 11

Core EBITDA = exclude FX, other income and equity sharing
 Q3 2022/23 Financial Results
AEROFLEX Revenue (MB) AEROFLEX Revenue break down by region
+ 8.4% YoY + 16.2% YoY
-13.2% QoQ 2,689.2
2,314.7
Domestic 25.9 %

773.7 966.5 838.7

International 74.1%
Q3-2021/22 Q2-2022/23 Q3-2022/23 9M-2021/22 9M-2022/23

• Q3 22/23 revenue is at 838.7 MB increase 8.4%YoY but decrease 13.2% QoQ

• 9M 22/23 revenue is at 2,689.2 MB increase 16.2% YoY
• The revenue from sale in US increased due to demand insulation and expansion into Ultra Low Temperature and Air Ducting
system Insulation. While revenue from Asian market such as Japan and domestic market increased.
• International Revenue is at 74.1% and Domestic is at 25.9%

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Note: Q3 2022/23 ends on 31 December 2022,
 Q3 2022/23 Financial Results
AEROKLAS Revenue (MB) AEROKLAS Revenue break down by region
+ 5.7% YoY + 0.2% YoY
-9.5% QoQ 4,448.4 4,457.4

Domestic 23.7%
1,417.5 1,655.1 1,498.1

International 76.3%
Q3-2021/22 Q2-2022/23 Q3-2022/23 9M-2021/22 9M-2022/23

• Q3 22/23 revenue is at 1,498.1 MB increase 5.7%YoY but decrease 9.5% QoQ

• 9M 22/23 revenue is at 4,457.4 MB increase 0.2%YoY
• Overall Aeroklas group revenue increased YoY due to inclusion of 4ways suspension. In Q3 22/23 Aeroklas core products is
able to expand YoY. On the other hand, Australian operation experienced slowdown due fluctuation of Currency and Major
flood in Australia
• International Revenue is at 76.3 % and Domestic is at 23.7%
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Note: Q3 2022/23 ends on 31 December 2022,
 Q3 2022/23 Financial Results
EPP Revenue (MB) EPP Revenue break down by region
-11.2% YoY -6.8% YoY
+6.4% QoQ International 6.6%
2,095.7 1,953.2

753.3 628.8 669.2

Domestic 93.4%
Q3-2021/22 Q2-2022/23 Q3-2022/23 9M-2021/22 9M-2022/23

• Q3 22/23 revenue is at 669.2 MB decrease 11.2%YoY but increase 6.4% QoQ

• 9M 22/23 revenue is at 1,953.2 MB decrease 6.8% YoY
• The revenue from sale of EPP decreased from the same period last year due to reduction in food packaging order while the
demand of drinking cup started to increase. Further, EPP adapt to the situation by using campaign and promotion to stimulate
sale. The company is undergoing strategy transformation to improve both Product and Production process.
• International Revenue is at 6.6 % and Domestic is at 93.4%
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Note: Q3 2022/23 ends on 31 December 2022,
 FY 2022/23 outlook

Innovation
• Aeroflex USA completed their state of Art production facilities which has total of 8,000 tons production capacities.
The Factory is fully equipped with Automation Technology; reduce the risk of relying on intensive labor.
• Introduce new Aeroflex application into US and Japanese market where Aeroflex’s product is well equipped with
standard certified the safeties.
• Invest in research and development for future production Generations.
• Develop more economical process.

Business Direction
• Aiming to be “Net Zero” Organization within twenty years such as investment in renewable energy via solar roof
• Maintain strong market presence in USA, Japan and domestic market.
• With increased Capacities in USA, Aeroflex will penetrate more into Ducting system and Ultralow temperature.
• Enhance cost management via the use of Technology. 15
 FY 2022/23 outlook
Innovation
• Maintain strong partnership with global Automakers from US Europe and Asia to offer high quality new products.
• Continue to develop the new Process Technology to speed up production and lowering cost.
• Introduce Hi-tech Injection product to automotive market through our partnership with Faraero,.Co.Ltd

Business Direction
• Utilize Strong Aeroklas Business Channel which includes OEM ODM and After Market via Aeroklas Brand.
• Aeroklas shall benefit from transition from ICE to EV (In case of one ton pickup truck), as the Automakers
require high standard products that can help reduce total weight of the car.
• Consolidate growth via investment in Joint Venture in South Africa and Faraero,.Co.Ltd .
• Expected continuous growth in Australian operation from demand of Light Commercial Vehicle and SUV in
Australia. Starting in 1st April 2022, TJM Products Pty.Ltd. (TJM) shall change the name to Aeroklas Asia Pacific
Group (AAPG), the change is expected to enhance all of our Brand in Australia.
• Expand TJM operation in regional Area through the establishing of TJM Asia Pacific. 16
 FY 2022/23 outlook

Innovation
• Continue to improve Factory efficiency while increase the use of High speed Automation
• Continue to do R&D packaging product to serve food industrial customer’s needs, especially in food packaging
segment.
• Able to switch to Bioplastic with no new investment in accordance to surge in environmental friendly products

Business Direction
• EPP continue to focus on “Capacities driven” Strategy
• Enhance EPP brand awareness
• Expand market share in food packaging and eici.
• EPP product is expected to benefit from the ban of plastic with thickness below 100 microns and Styrofoam food
packaging as the competition subsides. 17
• Continue to growth from the industrial made to order that require high standard such as GMP HACCP and BRC
Capital Expenditure
E2022/23 E2023/24 E2024/25 Total

272 MB 30 MB 30 MB MB

362 MB 30 MB 30 MB MB

168 MB 15 MB 15 MB MB

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Benchmark index

MSCI GLOBAL SMALL CAP INDEXES

• MSCI THAILAND INDEX, May 12, 2015

• FTSE SET Mid-Cap Index, June 22, 2015

• FTSE SET Shariah Index

• SET100 indices, December 14, 2015

(SET100 indices to be used in the first half of 2016 [January 1-June 30, 2016])

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Corporate Governance

• EPG received Asean Corporate Governance scorecard award in Asean asset class category

• EPG is named in Thailand sustainable investment 2021 (THSI)

• Awarded Excellent CG Scoring By Thai Institutional of Director (IOD)

• EPG is a certified CAC member 20

Contact

Corporate Communication Division

+662 249 3976 ext 231

prapawadeen@aeroflex.co.th

+662 249 3976 ext 232

jetanana@aeroflex.co.th

IR@epg.co.th

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