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July 15, 2016 OUTPERFORM
Malee Group (MALEE TB)
Share Price: Bt58.00 Target Price: Bt73.00 (+26%)
Growing through Coco Channel 2Q16 net profit should grow 43% yoy supported by 24% revenue
growth and 3-year high EBIT margin of 9%
Revise up FY16F-17F earnings by 12-15% following improving
outlook of coconut water export, Philippine JV, and operating
profit margin on better cost control and economies of scale
OUTPERFORM, raise TP to Bt73/sh (from Bt46/sh) based on
FY17F PE of 20x. Current share price trades at 20% discount to
peers’ 2Q16 earnings to hit 3-year high MALEE is expected to report Bt116m net profit for 2Q16 (+43% yoy, +6% qoq) on the back of 24% sales growth driven by the strong Malee brand and coconut water exports (+70% yoy). Domestic sales should grow 5% yoy because of a low base amid slow recovery of domestic demand and fierce competition. 2Q16 operating profit margin should hit a 3-year high of 9% due to better cost-efficiency and smaller marketing expenses. MALEE’s capacity utilization rose to 58% in 2Q16 from 55% last year. Contribution from the Philippine JV remains minimal due to the delayed launch of RTD coffee products at convenience stores. We remain bullish on 2H16 as strong exports would help to offset seasonally slower domestic sales in 3Q16. Raise FY16F/17F earnings by 12%/15% on brighter export outlook We revised up sales growth for FY15-18F to 22% CAGR from 17% premised on stronger export revenues. We expect coconut water export (c.70% of MALEE’s exports) to grow by 25% CAGR in that period, in line with the global coconut water market (according to Technavio market research), as consumers are increasingly health conscious. Many eateries in the US and UK have started offering coconut water as a mainstream drink on the menu. We also cut SG&A/Sales to 24% from 25-26% after reflecting lower marketing expenses and better cost efficiency. We remain convinced that MALEE’s plans to boost exports to neighboring Asian markets (+c.100% ytd) will help address the slow domestic market, while the Philippine JV is a medium-term growth catalyst. These would support 25% earnings growth (CAGR) to Bt610m (Bt4.35/sh) by 2018. Buy for 25% earnings growth (3-year CAGR) and 3% dividend yield We maintain an OUTPERFORM call for MALEE with a higher TP of Bt73 (from Bt46), pegged to 20x FY17F PE. There is hidden value in its overseas growth market, and it is trading at a substantial discount to the F&B sector PE valuation of 24x. The delayed sugar tax is good news for beverage producers.
Financial Summary (Btm) Year to Dec 2014 2015 2016F 2017F 2018F
Sales (Btm) 4,771 5,428 6,571 8,104 9,974
Growth (%) (6.2) 13.8 21.0 23.3 23.1
EBITDA (Btm) 499 539 651 760 901
Growth (%) 2.9 8.0 20.7 16.8 18.4
Normalized profit (Btm) 303 314 424 509 610
Growth (%) 9.8 3.7 35.0 20.0 19.9
Net profit (Btm) 306 331 424 509 610
Normalized EPS (Bt) 2.16 2.24 3.03 3.63 4.35
Growth (%) 42.8 3.7 35.0 20.0 19.9
PE (x) 12.7 12.7 19.2 16.0 13.3
DPS (Bt) 1.11 1.20 1.51 1.82 2.18
Yield (%) 4.0 4.2 2.6 3.1 3.8
BVPS (Bt) 7.2 8.9 10.4 12.3 14.4
P/BV (x) 3.81 3.19 5.56 4.73 4.02
Sunthorn THONGTHIP
662 - 659 7000 ext 5009
Key Data
12-mth high/low (Bt) 58.25 / 26.25
Market capital (Btm/US$m) 8,050.0 / 229.1
3m avg. turnover (Btm/US$m) 36 / 1
Free float (%) 30.1
Issued shares (m shares) 140
Major shareholders: - ABICO HOLDINGS PCL 25.5 - JUNGRUNGREANGKIT KAM 16.4 - THAI NVDR CO LTD 9.4
Share Price Performance
YTD 1Mth 3Mth 12Mth
Absolute (%) 101.8 17.3 60.8 74.2
Relative to index (%) 87.4 14.3 54.5 75.1
Krungsri Securities vs Market
Positive Neutral Negative
Market Recommend 5 0 0
Krungsri Market % +/-
Target Price (Bt) 72.0 50.3 43.1
’16 Net Profit (Btm) 424 419 1.2
’17 Net Profit (Btm) 509 496 2.6
Krungsri's earnings revision
2016F 2017F
Earnings revision (%) 12.0 15.0 Source: Bloomberg, Krungsri Securities
Company Update | MALEE
Krungsri Securities Research
2
July 15, 2016
Why we upgraded target price We are maintaining an OUTPERFORM rating for MALEE despite raising TP to Bt73 (from Bt46), pegged to 20x FY17F PE. We upgraded the TP for the following reasons: 1) 2Q16 earnings should hit a 3-year high We are more positive on MALEE after the 2Q16 earnings preview. It is expected to report strong 2Q16 earnings of Bt116m (+43% yoy, +6% qoq) on the back of 24% sales growth driven by the strong Malee brand and coconut water exports (+70% yoy). Export of Malee brand products should register c.100% growth driven by strong demand from neighboring Asian markets. Coconut water exports should grow more than 50% yoy as demand from the US (which accounts for over 50% of MALEE’s portfolio), Europe and Australia remain robust. RTD coffee exports to the Philippine JV remain minimal due to the delayed launch of RTD coffee products at convenience stores. Domestic sales should grow 5% yoy because of a low base amid the slow recovery of domestic demand and fierce competition. SG&A/Sales is in line with guidance at less than 25%. MALEE’s capacity utilization rose to 58% in 2Q16 from 55% last year. We remain bullish on 2H16 as strong exports would help to offset seasonally slower domestic sales in 3Q16.
2Q15 earnings preview Unit: (Btm) 2Q16F 1Q16 y-o-y 2Q15 q-o-q
Sales 1,571 1,261 24.5% 1,541 1.9%
Cost of sales 1,079 841 28.3% 1,055 2.3%
Gross profit 492 420 17.0% 486 1.1%
SG&A 350 324 8.0% 353 -0.8%
Operating profit 142 96 47.3% 134 6.1%
Other income 13 15 -11.3% 13 1.0%
Other expense - 2 n.a. - n.a.
Equity income (1) - n.a. (1) n.a.
EBIT 154 109 41.0% 146 5.6%
Interest expense 6 8 -21.7% 6 0.0%
EBT 148 101 46.0% 139 5.9%
Income tax 30 20 47.2% 28 5.0%
Minority interests 2 - n.a. 2 n.a.
Net income 116 81 43.2% 110 5.8%
EPS (THB) 0.83 0.58 43.2% 0.78 5.8%
Ratio analysis
Gross margin (%) 31.3 33.3 31.5
SGA/Total revenue (%) 22.3 25.7 22.9
Operating profit margin (%) 9.0 7.6 8.7
Net profit margin (%) 7.4 6.4 7.1
Source: Company data, Bloomberg, Krungsri Securities
2) Strong soft drink exports to drive 22% top-line growth (CAGR) We revised up sales growth for FY15-18F to 22% CAGR from 17%, premised on stronger export revenues. We expect coconut water exports (c.70% of MALEE’s exports) to grow by 25% CAGR in that period, in line with the global coconut water market (according to Technavio market research) as consumers get increasingly health conscious. Coconut water is now the most popular alternative to carbonated drinks, juices and nectars which contain high sugar and fat content. People are opting for coconut water as a natural energy drink as it is free from artificial flavors, sweeteners, preservatives, additives, and gluten, and replenishes body fluids much better than sports drinks. Other benefits of coconut water include reducing blood pressure, weight reduction, smoother skin, and easy digestion. Many eateries in the US and UK have started offering coconut water as a mainstream drink on the menu. Coconut water sales in convenience stores are also expected to outpace sales of milk and other beverages. We remain convinced plans to boost exports to neighboring Asian markets (+c.100% ytd) will help address the slow domestic market, while the Philippine JV is a medium-term growth catalyst.
Company Update | MALEE
Krungsri Securities Research
3
July 15, 2016
US: Coconut water sales (Top brands, US$m) US: Estimates size of coconut water market
Source: Euromonitor Source: Technavio’s market research
3) Operating profit margin to hit 3-year high in FY16F with rising utilization rate This would be supported by better economies of scale and cost control. MALEE’s utilization rose to 58% in 2Q16 and should exceed 60% in FY18F from 55% last year. We also cut SG&A/Sales ratio to 24% from 25-26% after reflecting lower marketing expenses and better cost efficiency. MALEE derives higher net margins from contract manufacturing because there is no marketing expenses.
Sales by category Gross margin, EBIT margin and Net profit margin (%)
Source: Company data Source: Company data
4) Philippine JV to support long-term growth The JV with a leading food manufacturer in the Philippines (Monde Nissin) will give MALEE access to distribution channels to penetrate the Bt200bn Philippine beverage market. There is growth potential in RTD coffee products in the Philippines which has a market size of Bt200m, or only 2% of the RTD coffee market in Thailand. After launching the products at convenience stores in July this year, we expect RTD coffee sales to surge as they would be widely available to consumers. The JV - Monde Malee - has been promoting the RTD coffee under “Kratos” brand on TV to reach its target consumers since April. RTD coffee is mostly consumed by call-center workers as an alternative to energy drinks to stay alert. The JV also plans to launch a new product in 4Q16. We have revised up the JV’s sales by 2-3 fold for FY17F-18F.
Company Update | MALEE
Krungsri Securities Research
4
July 15, 2016
Thailand: Coffee market (Bt m) Philippines: Coffee market (Bt m)
Source: Company data Source: Company data
Philippines: The call-center capital of the world with a
US$25bn industry employing 1.3 million people
Philippines: KRATOS Coffee advertisement
Source: Nikkei Asian Review Source: Kratos Strong Coffee Facebook
Philippines: 2nd largest population in ASEAN Philippines: Beverage Market (Bt m)
Source: Company data Source: Company data
Assumption 2014 2015 2016F 2017F 2018F 2019F 2020F
Revenue (mn Bt) 4,771 5,428 6,571 8,104 9,974 12,632 16,646
Revenue Growth % -6.2% 13.8% 21.0% 23.3% 23.1% 26.7% 31.8%
Malee brands 60.0% 54.0% 50.6% 49.9% 49.1% 49.8% 52.4%
Contract Manufacturing 40.0% 46.0% 49.4% 50.1% 50.9% 50.2% 47.6%
Gross margin 33.7% 32.8% 31.4% 30.5% 29.7% 28.7% 27.5%
Malee brands (mn Bt) 2,862 2,931 3,224 3,547 3,902 4,292 4,721
Contract Manufacturing (mn Bt) 1,908 2,497 3,246 4,058 5,072 6,340 7,925
Monde Nissin sales (mn Bt)
100 500 1,000 2,000 4,000
SG&A/Sales 26.2% 26.0% 23.9% 23.3% 22.7% 22.1% 21.4%
Profits from Philippines JV (mn Bt)
4 20 39 78 156
Operating profit margin 6.3% 5.8% 6.4% 6.3% 6.1% 5.9% 5.8%
Company Update | MALEE
Krungsri Securities Research
5
July 15, 2016
P/E Band P/BV Band
Source: Bloomberg, Krungsri Securities Source: Bloomberg, Krungsri Securities
Peer Comparison
Market PE P/BV EPS Div Yid ROE Share Price
Cap (x) (x) G% (%) (%) Performance
BB Ticker Name US$ 16F 17F 16F 17F 16F 17F 16F 16F 1M 3M 6M YTD
Thailand MALEE TB MALEE SAMPRAN PUBLIC CO LTD 232 18.8 15.7 5.5 4.7 35.0 20.0 2.7 28.9 17.3 60.8 107.1 101.8
CBG TB CARABAO GROUP PCL 1,605 38.2 32.1 8.1 7.4 16.8 19.0 1.4 21.9 16.6 43.3 44.2 63.0
TIPCO TB TIPCO FOODS PCL 467 19.0 NA 3.6 NA 20.9 NA 2.8 19.5 0.3 12.9 37.4 39.6
OISHI TB OISHI GROUP PCL 479 19.6 18.0 2.7 2.6 4.4 8.8 3.7 13.6 4.9 3.2 5.7 4.9
ICHI TB ICHITAN GROUP PCL 463 NA NA NA NA NA NA NA NA (12.9) 7.0 27.1 19.0
SSC TB SERMSUK PCL 181 18.0 15.3 3.3 2.9 16.8 17.9 2.7 18.4 13.5 33.8 18.6 19.3
SAPPE TB SAPPE PCL 176 NA NA NA NA NA NA NA NA (4.5) 2.4 (33.7) (26.9)
Average (Simple)
22.7 20.3 4.6 4.4 18.8 16.4 2.7 20.5
Regional
PIP PM PEPSI-COLA PRODUCTS PHILIPPI 271 13.8 11.9 1.4 1.3 13.6 16.0 2.3 10.3 2.1 (9.9) 9.2 (6.3)
2587 JP SUNTORY BEVERAGE & FOOD LTD 13,568 33.0 28.0 2.4 2.3 2.6 17.9 1.5 7.5 (7.4) (4.8) (11.6) (12.6)
FNN SP FRASER AND NEAVE LTD 2,205 30.1 28.5 1.3 1.3 NA 5.9 2.0 4.3 (1.4) 3.0 (1.4) (1.4)
FNH MK FRASER & NEAVE HOLDINGS BHD 2,424 22.5 20.6 4.6 4.3 NA 8.8 3.1 21.4 6.2 29.0 40.2 40.5
PWRT MK POWER ROOT BHD 189 NA NA NA NA NA NA NA NA 3.7 19.1 1.6 (9.5)
Average(simple) 23.6 21.1 3.7 3.4 16.1 14.5 2.5 16.6
Source: Bloomberg, Krungsri Securities
MALEE: Quarterly Earnings
Unit: (Btm) 1Q15 2Q15 3Q15 4Q15 1Q16
Sales 1,285 1,261 1,330 1,552 1,541
Cost of sales 869 841 877 1,061 1,055
Gross profit 416 420 453 491 486
SG&A 335 324 384 370 353
Operating profit 81 96 69 121 134
Other income 36 15 18 16 13
Other expense - 2 6 (4) -
Equity income - - - - (1)
EBIT 118 109 81 141 146
Interest expense 10 8 8 8 6
EBT 107 101 72 133 139
Income tax 22 20 14 26 28
Minority interests - - - - 2
Net income 85 81 58 107 110
EPS (THB) 0.61 0.58 0.41 0.77 0.78
Source: Company data, Bloomberg, Krungsri Securities
Company Update | MALEE
Krungsri Securities Research
6
July 15, 2016
INCOME STATEMENT (Btm) 2014 2015 2016F 2017F 2018F
Turnover 4,771 5,428 6,571 8,104 9,974
Cost of sales (COGS) (3,246) (3,740) (4,599) (5,728) (7,116)
Depreciation &amortization 82 92 92 92 101
Gross profit 1,606 1,780 2,063 2,469 2,958
S&A expenses (1,248) (1,413) (1,570) (1,884) (2,263)
Operating profit 358 367 494 585 695
Other operating income 0 0 0 0 0
EBIT 358 367 494 585 695
Interest expense (37) (34) (29) (31) (36)
Interest income 0 0 0 0 0
Other income 59 60 62 64 66
Goodwill amortization 0 0 0 0 0
Pre-tax profit 380 393 527 617 725
Income tax on company & subsidiaries (75) (82) (106) (127) (153)
Profit after tax 306 310 421 490 572
Minority interests (0) (1) (1) (1) (1)
Share of associate net income (3) 0 4 20 39
Preferred dividends 0 0 0 0 0
Recurring attributable net profit 302 310 424 509 610
Extraordinary items 4 21 0 0 0
Reported net profit 306 331 424 509 610
Shares in issue (Y/E, m) 140 140 140 140 140
Shares in issue (weighted avg, m) 140 140 140 140 140
EPS (before extraordinary items, Bt) 2.16 2.24 3.03 3.63 4.35
DPS (Bt) 1.11 1.20 1.51 1.82 2.18
DPS/EPS (%) 51 51 50 50 50 CASHFLOW (Btm) 2014 2015 2016F 2017F 2018F
Cash flows from operations before WC 331 479 515 601 711
Net change in working capital (379) 69 (135) (205) (248)
Cash flow from Operations (48) 548 380 396 463
Capex (346) (92) (100) (200) (200)
Other (14) 1 (8) (11) (13)
Cash flow from Investment (360) (91) (108) (211) (213)
Net borrowings 457 (284) (4) 15 66
Equity capital raised 0 6 0 0 0
Others 80 1 0 0 0
Dividends paid (145) (155) (212) (254) (305)
Cash flow from financing 391 (432) (216) (239) (239)
Net change in cash (17) 25 56 (54) 10
Company Update | MALEE
Krungsri Securities Research
7
July 15, 2016
BALANCE SHEET (Btm)
2014 2015 2016F 2017F 2018F
Cash & equivalents 50 75 131 77 88
A/C receivable 837 957 1,143 1,410 1,735
Inventory 800 741 897 1,107 1,362
Others 53 28 34 42 51
Total Current Assets 1,740 1,802 2,205 2,636 3,237
Property and equipment 1,133 1,133 1,141 1,249 1,348
Investments & associates 0 0 0 0 0
Goodwill 13 13 13 14 14
Other assets 106 112 117 125 136
Total Assets 2,992 3,061 3,477 4,024 4,734 Short-term debt 1,034 758 764 779 845
A/C payable 647 728 899 1,124 1,399
Other current liabilities 96 115 142 177 221
Total Current Liabilities 1,777 1,600 1,805 2,081 2,465
Long-term debt 19 11 0 0 0
Other liabilities 181 195 206 222 243
Total Liabilities 1,976 1,806 2,011 2,303 2,708 Share capital 140 140 140 140 140
Share premium 0 6 6 6 6
Treasury 0 0 0 0 0
Translation adjustment 201 201 201 201 201
Retained earnings 670 902 1,114 1,369 1,673
Total ordinary equity 1,012 1,250 1,461 1,716 2,021
Preferred equity 0 0 0 0 0
Minorities 4 5 5 5 5
Total equity & minorities 1,016 1,254 1,466 1,720 2,025
0 0 0 0 0 BV per ordinary share (Y/E, Bt) 7.23 8.93 10.44 12.26 14.43
Adjusted book value ps (Y/E, Bt) 7.23 8.93 10.44 12.26 14.43 RATIOS (%) 2014 2015 2016F 2017F 2018F
Growth
Turnover (6.2) 13.8 21.0 23.3 23.1
EBITDA 2.9 8.0 20.7 16.8 18.4
EBIT 2.4 7.2 24.9 19.4 19.7
Net profit 6.6 8.1 28.1 20.0 19.9
EPS pre extraordinary items 9.8 3.7 35.0 20.0 19.9
EPS (diluted) 42.8 3.7 35.0 20.0 19.9
DPS 5.7 8.1 26.1 20.0 19.9
Accounting ratios
Gross profit margin 33.7 32.8 31.4 30.5 29.7
Operating profit margin 6.3 5.8 6.4 6.3 6.1
EBITDA margin 10.5 9.9 9.9 9.4 9.0
EBIT margin 8.8 8.2 8.5 8.2 8.0
Net profit margin 6.4 6.1 6.4 6.3 6.1
ROA 10.2 10.8 12.2 12.6 12.9
ROE 30.1 26.4 28.9 29.6 30.1
Stability
D/E (x) 1.9 1.4 1.4 1.3 1.3
Net D/E (x) 1.0 0.6 0.4 0.4 0.4
Interest Coverage Ratio 11.4 13.1 19.5 21.4 22.3
Current ratio (x) 1.0 1.1 1.2 1.3 1.3
Quick ratio (x) 0.5 0.7 0.7 0.7 0.8
Valuation (x)
PER 12.6 12.1 18.8 15.7 13.1
Normalized PER 12.7 12.7 18.8 15.7 13.1
P/BV 3.8 3.2 5.5 4.7 3.9
EV/EBTDA 9.7 8.7 13.2 11.4 9.7
Dividend yield (%) 4.0 4.2 2.7 3.2 3.8
CG Rating 2015 Companies with CG Rating
ADVANC BAFS BCP BIGC BTS CK CPN DRT DTAC DTC EASTW EGCO GRAMMY HANA
HMPRO INTUCH IRPC IVL KBANK KCE KKP KTB LHBANK LPN MCOT MINT MONO NKI
PHOL PPS PS PSL PTT PTTEP PTTGC QTC RATCH ROBINS SAMART SAMTEL SAT SC
SCB SCC SE-ED SIM SNC SPALI THCOM TISCO TKT TMB TOP VGI WACOAL
AAV ACAP AGE AHC AKP AMATA ANAN AOT APCS ARIP ASIMAR ASK ASP BANPU
BAY BBL BDMS BKI BLA BOL BROOK BWG CENTEL CFRESH CHO CIMBT CM CNT
COL CPF CPI CSL DCC DELTA DEMCO ECF EE ERW GBX GC GFPT GLOBAL
GUNKUL HOTPOT HYDRO ICC ICHI INET IRC KSL KTC LANNA LH LOXLEY LRH MACO
MBK MC MEGA MFEC NBC NCH NINE NSI NTV OCC OGC OISHI OTO PAP
PDI PE PG PJW PM PPP PR PRANDA PREB PT PTG Q-CON QH RS
S & J SABINA SAMCO SCG SEAFCO SFP SIAM SINGER SIS SITHAI SMK SMPC SMT SNP
SPI SSF SSI SSSC SST STA STEC SVI SWC SYMC SYNTEC TASCO TBSP TCAP
TF TGCI THAI THANA THANI THIP THRE THREL TICON TIP TIPCO TK TKS TMI
TMILL TMT TNDT TNITY TNL TOG TPC TPCORP TRC TRU TRUE TSC TSTE TSTH
TTA TTCL TTW TU TVD TVO UAC UT UV VNT WAVE WINNER YUASA ZMICO
2S AEC AEONTS AF AH AIRA AIT AJ AKR AMANAH AMARIN AP APCO AQUA
AS ASIA AUCT AYUD BA BEAUTY BEC BFIT BH BIG BJC BJCHI BKD BTNC
CBG CGD CHG CHOW CI CITY CKP CNS CPALL CPL CSC CSP CSS CTW
DNA EARTH EASON ECL EFORL ESSO FE FIRE FOCUS FORTH FPI FSMART FSS FVC
GCAP GENCO GL GLAND GLOW GOLD GYT HTC HTECH IEC IFEC IFS IHL IRCP
ITD JSP JTS JUBILE KASET KBS KCAR KGI KKC KTIS KWC KYE L&E LALIN
LHK LIT LST M MAJOR MAKRO MATCH MATI MBKET M-CHAI MFC MILL MJD MK
MODERN MOONG MPG MSC MTI MTLS NC NOK NUSA NWR NYT OCEAN PACE PATO
PB PCA PCSGH PDG PF PICO PL PLANB PLAT PPM PRG PRIN PSTC PTL
PYLON QLT RCI RCL RICHY RML RPC S SALEE SAPPE SAWAD SCCC SCN SCP
SEAOIL SIRI SKR SMG SOLAR SORKON SPA SPC SPCG SPPT SPVI SRICHA SSC STANLY
STPI SUC SUSCO SUTHA SYNEX TAE TAKUNI TCC TCCC TCJ TEAM TFD TFI TIC
TIW TLUXE TMC TMD TOPP TPCH TPIPL TRT TSE TSR TT UMI UP UPF
UPOIC UREKA UWC VIBHA VIH VPO WHA WIN XO
Disclaimer
The disclosure of the survey result of the Thai Institute of Directors Association ("IOD") regarding corporate governance is made pursuant to
the policy of the Office of the Securities and Exchange Commission. The survey of the IOD is based on the information of a company listed on
the Stock Exchange of Thailand and the Market for Alternative Investment disclosed to the public and able to be accessed by a general public
investor. The result, therefore, is from the perspective of a third party. It is not an assessment of operation and is not based on inside
information. The survey result is as of the date appearing in the Corporate Governance Report of Thai Listed Companies. As a result, the
survey result may be changed after that date or when there is any change to the relevant information. Nevertheless, Krungsri Securities Public
Company Limited does not confirm, verify, or certify the accuracy and completeness of such survey result.
Anti-corruption Progress Indicator 2015 Level 5: Extended
BCP CPN GYT PE PM PPP PT PTT PTTGC SAT SCC THANI TOP
Level 4: Certified
ADVANC AMANAH ASP AYUD BAFS BANPU BAY BBL BKI BLA BTS CFRESH CIMBT CNS
CSL DCC DRT DTC EASTW ECL EGCO ERW FSS GCAP HANA HTC IFEC INTUCH
IRPC IVL KBANK KCE KGI KKP KTB LANNA LHBANK MBKET MFC MINT MTI NKI
PPS PSL PTG PTTEP SABINA SCB SINGER SIS SNC SNP SSF SSI SSSC SVI
TCAP THCOM THRE THREL TISCO TMB TMD TNITY TOG TSTH
Level 3B: Established by Commitment and Policy
AAV AHC AIT AKR ARROW ASK BA BDMS BEC BJCHI CGH CHG CHOW CIG
CITY CK CKP COLOR CWT EARTH EASON EPG F&D FANCY FIRE FMT FORTH GENCO
GL GOLD GPSC GRAMMY HYDRO IRCP IT JCT KCM KWC LH LIT LOXLEY MACO
MANRIN MATI MODERN MSC NOBLE NOK NPK NUSA OISHI OTO PAF PAP PATO PF
PJW PLANB PLE POLAR PRG PTL Q-CON QTC RCI S11 SALEE SAM SAMART SAMTEL
SAPPE SC SCP SFP SIM SLP SMT SPA SPORT SSC SST STEC STPI SUC
SUTHA T TAE TBSP TCC TFD TGCI TGPRO THANA THIP TIW TK TMW TNDT
TOPP TPC TPCH TPIPL TSR TT TYCN UAC UBIS UEC UMI UP UPF UT
UV VPO WAVE WINNER YUASA
Level 3A: Established by declaration of intent
ABC ACAP AGE AH ANAN AP APCS APURE AS ASIA ASIAN ASIMAR BIGC BROOK
BWG CEN CENTEL CHARAN CHO CHOTI CM CNT COL CPF CPI CPL DELTA DEMCO
DIMET DNA DTAC EA ECF EE EVER FPI GBX GC GFPT GLOW HMPRO HOTPOT
ICC ICHI INOX INSURE IRC JAS JTS JUBILE KC KTC KYE LHK LPN LRH
MAKRO MC MCOT MFEC MJD MONO MOONG NBC NDR NINE NMG NSI NTV OGC
PACE PCSGH PDI PG PHOL PLAT PR PRANDA PREB PS QLT RATCH RML ROBINS
ROJNA RWI SAMCO SCCC SCG SEAOIL SE-ED SENA SITHAI SMK SMPC SPALI SPC SPCG
SPI SRICHA STANLY SUPER SYMC SYNEX SYNTEC TASCO TCMC TFI THAI TICON TKT TLUXE
TMILL TMT TNL TPCORP TSTE TTCL TU TVI UOBKH UREKA VGI VNT WACOAL WHA
ZMICO
Level 2: Declared
2S ABICO AF AIRA AKP ALUCON AMARIN AMATA AOT APCO BEAUTY BFIT BH BKD
BLAND BROCK BRR BSBM BTNC CCP CI CSC CSR CSS EFORL EPCO ESTAR FE
FER FNS FVC GEL GLOBAL GUNKUL IEC IFS ILINK INET J JMT JUTHA K
KASET KBS KCAR KKC KSL KTECH L&E LALIN LTX M MALEE MBAX MBK MEGA
MILL MK MPG MTLS NCH NCL NNCL NPP OCC OCEAN PB PCA PDG PRINC
PSTC PYLON QH ROCK ROH RP RPC S & J SGP SIAM SKR SMG SMIT SORKON
SPACK SPPT SR SUSCO TAKUNI TEAM TF TIC TIP TIPCO TMC TMI TPA TPP
TRT TRU TRUE TSC TSI TTW TVD TVO TVT U UKEM UNIQ UWC VIBHA
VNG WIIK WIN XO
Level 1: Committed
AEONTS AFC AJ AMC AQUA ARIP AUCT BAT-3K BIG BJC BOL CBG CCET CCN
CGD CMR CPH CSP CTW DCON DRACO DSGT DTCI E EMC ESSO FOCUS FSMART
GIFT GLAND GRAND GREEN HFT HTECH IHL ITD JSP KDH KTIS KTP LEE LST
MAJOR MATCH MAX M-CHAI MDX MIDA ML MPIC NC NEP NWR OHTL PICO PK
PL PPM PRAKIT PRECHA PRIN RAM RICH RS SANKO SAUCE SAWAD SAWANG SCN SEAFCO
SF SHANG SIRI SMART SMM SOLAR SPG SPVI STA STAR SVH SVOA SWC TAPAC
TC TCCC TCJ TCOAT TH TKS TNH TNPC TPAC TPOLY TRC TRUBB TSE TTA
TTI TTL TTTM TWP TWZ UMS UPA UPOIC UTP UVAN VARO VI VIH VTE
WG
Disclaimer The disclosure of the Anti-Corruption Progress Indicators of a listed company on the Stock Exchange of Thailand, which is assessed by Thaipat Institute, is made in order to comply with the policy and sustainable development plan for the listed companies of the Office of the Securities and Exchange Commission. Thaipat Institute made this assessment based on the information received from the listed company, as stipulated in the form for the assessment of Anti-corruption which refers to the Annual Registration Statement (Form 56-1), Annual Report (Form 56-2), or other relevant documents or reports of such listed company . The assessment result is therefore made from the perspective of Thaipat Institute that is a third party. It is not an assessment of operation and is not based on any inside information. Since this assessment is only the assessment result as of the date appearing in the assessment result, it may be changed after that date or when there is any change to the relevant information. Nevertheless, Krungsri Securities Public Company Limited does not confirm, verify, or certify the accuracy and completeness of the assessment result." Reference
Level 5: Extended – Extension of the anti-corruption policy to business partners in the supply chain, and disclosure of any current
investigations, prosecutions or closed cases
Level 4: Certified – Audit engagement by audit committee or auditors approved by the office of SEC, and receiving certification or assurance
by independent external assurance providers (CAC etc.)
Level 3: Established – Carrying out preventive measures, risk assessment, communication and training for all employees, including
consistent monitoring and review processes
Level 3A: Established by declaration of intent, Level 3B: Established by Commitment and Policy
Level 2: Declared – Public declaration statement to participate in Thailand's private sector Collective Action Coalition Against Corruption
(CAC) or equivalent initiatives
Level 1: Committed – Organization’s statement or board's resolution to work against corruption and to be in compliance with all relevant laws
www.krungsrisecurities.com
Krungsri Securities Public Company Limited
Headquarters
898 Ploenchit Tower, 3rd Floor, Ploenchit Road, Lumpini Pathumwan, Bangkok 10330 Tel: 0-2659-7000 Fax: 0-2658-5699 Internet Trading: 0-2659-7777
Branches
Emporium 662 Emporium Tower, Fl. 10, Sukhumvit 24 Road Klongton, Klongtoey, Bangkok 10110 Tel: 0-2695-4500 Fax: 0-2695-4599 Central Bangna 589/151 Central City Tower 1 Office, Fl. 27 Bangna-Trad Road, Bangna, Bangkok 10260 Tel: 0-2763-2000 Fax: 0-2399-1448 Rama II 111/917-919 Rama II Road, Smaedum, Bangkhuntien, Bangkok 10150 Tel: 0-2895-9575 Fax: 0-2895-9557 Vibhavadi-rangsit Bank of Ayudhya Public Company Limited 123 Suntowers (B) Building, Vibhavadirangsit Road, Jompol, Jatujak, Bangkok 10900 Tel: 0-2273-8388 Fax: 0-2273-8399 Chonburi 64/17 Sukhumvit Road, Tambol Bang Plasoi, Amphur Muang, Chonburi 20000 Tel: 0-3879-0430 Fax: 0-3879-0425 Hat Yai Branch 90-92-94 Nipat U Tit Nueng Road,Tambol Hat Yai, Amphur Hat Yai, Songkhla 90110 Tel: 0-7422-1229 Fax: 0-7422-1411
Nakhon Pathom 67/1 Ratchadamnoen Road, Tambol Phra Pathom Jaedee, Amphur Muang, Nakhon Pathom 73000 Tel: 0-3427-5500-7 Fax: 0-3421-8989
Suphanburi 249/171-172 Moo 5 Tambol Ta Rahad, Amphur Muang, Suphanburi, 72000 Tel: 0-3550-1234 Fax: 0-3552-2449
Nakhon Ratchasima 168 Chomphon Road, Tambol Nai Muang, Amphur Muang Nakhon Ratchasima, Nakhon Ratchasima 30000 Tel: 0-4425-1211-4 Fax: 0-4425-1215
Khon Kaen 114 Sri Chan Road, Tambol Nai Muang, Amphur Muang, Khon Kaen 40000 Tel: 0-4322-6120 Fax: 0-4322-6180
Chiang Mai 70 Chang Phuak Road, Tambol Sri Phum Amphur Muang, Chiang Mai 50200 Tel: 0-5321-9234 Fax: 0-5321-9247
Chiang Rai 231-232 Thamalai Road, Tambol Wiang, Amphur Muang, Chiang Rai 57000 Tel: 0-5371-6489 Fax: 0-5371-6490
Phitsanulok 275/1 Phichaisongkram Road, Tambol Nai Muang, Amphur Muang, Phitsanulok 65000 Tel: 0-5530-3360 Fax: 0-5530-2580
Analyst Team Sector Coverage Central line:
662-659-7000 E-mail
Naphat Chantaraserekul, Head of Research Energy, Petrochemical, Strategy
Construction Materials
ext. 5000 [email protected]
Kittisorn Pruitipat, CFA, FRM Property, ICT ext. 5019 [email protected]
Jesada Techahusdin, CFA
Banking, Consumer Finance, Insurance
Insurance Insurance
ext. 5004 [email protected]
Sunthorn Thongthip Food, Transportation, Strategy ext. 5009 [email protected]
Worrapong Tuntiwutthipong Electronic, Automotive, Commerce,
Media
ext. 5016 [email protected]
Teerapol Udomvej, Assistant Analyst Healthcare, Tourism
Songklod Wongchai Investment Strategy ext. 5003 [email protected]
Artit Jansawang Mid - Small cap, MAI ext. 5005 [email protected]
Nalinee Praman, Assistant Analyst Mid - Small cap, MAI
Apisak Limthumrongkul Technical ext. 5007 [email protected]
Fax 662-658-5643
Definition of Ratings
OUTPERFORM - Stocks with an expected capital gain above 10% in the next 12 months for small-caps, above 5% for big-caps
NEUTRAL - Stocks with an expected capital gain between -10% and +10% in the next 12 months for small-caps, -5% to +5% for big-caps
UNDERPERFORM - Stocks with an expected capital gain below 10% in the next 12 months for small-caps, below 5% for big-caps
