2Q2019 Presentation Results

August 2019

MK Restaurant Group PCL (“M”)

Company

Presentation

1

Agenda

Company Overview

2Q2019 Key Financial Highlights

Business Update

2

Business Structure

MK Restaurant Group Public Company Limited (M)

Plenus & MK Pte. Ltd.

Plenus MK Co.,Ltd.

100%

MK Service Training Center

Co., Ltd.

100%

50% 12%

Yayoi Japanese

Restaurants

Registered Capital:

400 MB

Provide training services

Registered Capital:

35 MB

Food manufacturer &

distributor

Registered Capital:

280 MB

Restaurants in

Singapore

Registered Capital:

SGD12.5 Million

MK Suki Restaurants

in Japan

Registered Capital:

JPY 250 million

MK Suki, MK Gold and MK Live restaurants

Thai restaurants – Na Siam and Le Siam

Japanese restaurants – Miyazaki and Hakata

Others – Le Petit, MK Harvest, Bizzy Box

Overseas franchise

Provide logistics &

warehouse services

Registered Capital:

1,300 MB

International Food Supply Co., Ltd.

100%

M-Senko Logistics Co., Ltd.

49.75%

Mark One Innovation Center

Co., Ltd.

100%

Research & development

Registered Capital:

60 MB

Catapult Co., Ltd.

100%

MK InterfoodCo., Ltd.

Restaurant business

Registered Capital:

1 MB

3

Restaurant Outlets in Thailand

Type of Business Restaurants Brand No. of Outlets

Suki RestaurantMK 440

MK Gold 7

MK Live 5

Japanese RestaurantYayoi 188

Miyazaki 23

Hakata 5

Thai RestaurantNa Siam 1

Le Siam 3

OthersLe Petit 3

Bizzy Box 6

Harvest 1

Remark: Data as of Jun 2019

4

Leader in chained restaurant industry with nationwide branches coverage

Dominant Position in Chained Restaurant Industry

89 99 97 106 108

5159 68

78 80

2015 2016 2017 2018 2Q19

Bangkok & Metropolitan area Provincial area

197 199 200 202 204

222 225 235 246 248

2015 2016 2017 2018 2Q19

Bangkok & Metropolitan area Provincial area

Extensive Coverage Nationwide

North

MK / Gold / Live 24

Yayoi 6

West

MK / Gold / Live 19

Yayoi 7

North East

MK / Gold / Live 61

Yayoi 18

South

MK / Gold / Live 51

Yayoi 13

East

MK / Gold / Live 49

Yayoi 20

BKK & Greater BKK

MK / Gold / Live 204

Yayoi 108

Central

MK / Gold / Live 44

Yayoi 16

Branches

Japan

MK 35

Japan

an

MK 9

Vietnam

an

Yayoi 8

Singapore

55%

45%

419 424 448

43%

57%

158

184

140

an

MK 2 / Miyazaki 1

Lao PDR

435

165

Yayoi 1

Malaysia

452

188

5

3%

0%

2%2%

1%2%

1Q18 2Q18 1Q19 2Q19 1H18 1H19

Same-Store Sales Growth

In 2Q2019, same-store sales growth for MK and Yayoi were 2% and -3% respectively compared to the previous year.

3%

1%0%

-3%

2%

-1%

1Q18 2Q18 1Q19 2Q19 1H18 1H19

6

Agenda

Company Overview

2Q2019 Key Financial Highlights

Business Update

7

14,957 14,923 15,498 16,458 17,234

8,543 9,042

2,042 1,856 2,100 2,425 2,574 1,291 1,398

2014 2015 2016 2017 2018 1H18 1H19

Total Revenues Net Profit

Total Revenues and Net Profit

%YoY Growth 2014 2015 2016 2017 2018 1H19

Total Revenues 6% 0% 4% 6% 5% 6%

Net Profit 0% -9% 13% 15% 6% 8%

Million Baht

8

Gross Profit

Revenue ContributionRevenues from Sales and Services

Revenues Growth

In 2Q2019, revenues from sales & services grew up 5% compared to the prior year due primarily to the new

branch expansion

THB Million

THB Million

MK, 79%

Yayoi, 19%

Others, 2%

4,049 4,249 4,352 4,470

8,298 8,822

1Q18 2Q18 1Q19 2Q19 1H18 1H19

+5% YoY

+6% YoY

2,773 2,911 2,979 3,085 5,684 6,063

68.5% 68.5% 68.4% 69.0% 68.5% 68.7%

0%

10%

20%

30%

40%

50%

60%

70%

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

1Q18 2Q18 1Q19 2Q19 1H18 1H19

+7% YoY

+7% YoY

9

SG&A

In 2Q2019, SG&A increased 5% YoY compared to the prior year primarily due to the increase of labor cost and

rent.

SG&A Expenses

1H2019 SG&A Expenses Breakdown

THB Million

2,114 2,233 2,218 2,344

4,348 4,561

51% 51% 50% 51% 51% 50%

0%

10%

20%

30%

40%

50%

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

1Q18 2Q18 1Q19 2Q19 1H18 1H19

+5% YoY

+5% YoY

Personel, 53%

Rental, 20%

Utilities, 7%

Depreciation, 7%

Others, 13%

10

Net Profit

THB Million

EBITDA

In 2Q2019, EBITDA & Net Profit grew 3% and 4% YoY respectively compared to the previous year

THB Million

EBITDA & Net Profit

982 1,014 1,062 1,047 1,996 2,109

23.6% 23.1% 23.8% 22.8% 23.4% 23.3%

0%

5%

10%

15%

20%

25%

-

1,000

2,000

3,000

4,000

5,000

1Q18 2Q18 1Q19 2Q19 1H18 1H19

3% YoY6% YoY

632 659 710 689

1,291 1,398

15.2% 15.1% 15.9% 15.0% 15.1% 15.5%

0%

2%

4%

6%

8%

10%

12%

14%

16%

-

500

1,000

1,500

2,000

2,500

3,000

1Q18 2Q18 1Q19 2Q19 1H18 1H19

+4% YoY

+8% YoY

11

Current RatioD/E Ratio

Financial Ratio

Liquidity is at a comfortable level as well as strong capital base to support growth

ROA (%) ROE (%)

2,998 2,605

14,176 14,377

0.21 0.18

-

0.05

0.10

0.15

0.20

-

5,000

10,000

15,000

20,000

31-Dec-18 30-Jun-19

Total Liabilities Shareholders's Equity D/E

4.2 5.0

31-Dec-18 30-Jun-19

15.4% 16.1%

31-Dec-18 30-Jun-19

18.4% 18.9%

31-Dec-18 30-Jun-19

12

Agenda

Company Overview

2Q2019 Key Financial Highlights

Business Update

13

Notable Events in 1H2019

March 19, 2019 Awarded “Thailand Top Company Awards 2019” in “Food & Beverage” category

from Business+ Magazine & University of The Thai Chamber of Commerce.

April 26, 2019

June 28, 2019

Opened 8th MK Branch in Hanoi, Vietnam.

Opened 9th MK Branch in Ho Chi Minh City, Vietnam.

June 7, 2019 The Company was included in “THAIPAT Institute’s 2019 ESG100”, recognized

as outstanding performance in environment, social and governance aspects for 4

consecutive years.

14

Continued expansion strategy with shopping complexes, modern trade stores and community malls covering

nationwide

Outlet Expansion Plan

No. of New

outlets opened

in 1H2019

Plan

No. of New

outlets in 2019

65

4

MK Yayoi Others

1715

6

MK Yayoi Others

15

Marketing Campaign in 2Q2019 – MK

16

Marketing Campaign in 2Q2019 – MK

17

Marketing Campaign in 2Q2019 – Yayoi

18

Marketing Campaign in 2Q2019 – Yayoi

19